Wednesday, December 3, 2008

Same old same old

The Bailout Isn't Being Policed Properly: Government Accountability Office
In the first comprehensive review of the rescue package, the Government Accountability Office said Tuesday that the Treasury Department has no mechanisms to ensure that banking institutions limit their top executives' pay and comply with other restrictions.
In a response to the GAO, Neel Kashkari, who heads the department's Office of Financial Stability, said the agency was developing its own compliance program and indicated that it disagreed with the need to work with regulators.
The GAO is one of three watchdogs that Congress has assigned to monitor the extraordinary $700 billion financial rescue package, known as the Troubled Asset Relief Program, or TARP. A congressional oversight panel is scheduled to issue its report on Dec. 10. In addition, Congress created an inspector general's office to oversee the program, but the confirmation of veteran federal prosecutor Neil M. Barofsky to the post has been blocked in the Senate by a senator who remains anonymous under Senate practice.
Who could have foreseen...blah blah blah. Protections get put in, regulations made, laws signed....and then the Bush Administration makes sure that none of them get implemented, says it'll set up its own oversight, and commences an unfettered handout of billions while Democrats stand on the sidelines going "Hey....wait, this doesn't seem right!"

So financial institutions aren't complying with regulations (see how much they've learned!) and we have no measure to make them comply or even know what they are doing because the position tasked with making them comply is being held up by one person in the Senate. But don't worry, Neel "Don't annoy with with your pissant questions" Kashkari is totally going to get around to setting up his own compliance program and he's going to set it up any day now, what with all the time he and Hank Paulson have left at their jobs.

Take heart, America. That money is being pissed away for companies to make dividend payments, mergers, and to buy other, smaller, failing banks, and every regulation is not being followed and no one will do anything about it. Is that par for the course or did Bush and the Treasury Department hit a birdie this time? Remember this when you find out that we left Detroit's bailout in a burlap sack outside Gordie Howe's house and aren't sure Ford or GM even got it.

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