Shenanigans’ Geithner the Fed and AIG
Bloomberg Secret Banking Cabal Emerges From AIG Shadows: David Reilly
The idea of secret banking cabals that control the country and global economy are a given among conspiracy theorists who stockpile ammo, bottled water and peanut butter. After this week’s congressional hearing into the bailout of American International Group Inc., you have to wonder if those folks are crazy after all.
Wednesday’s hearing described a secretive group deploying billions of dollars to favored banks, operating with little oversight by the public or elected officials.
We’re talking about the Federal Reserve Bank of New York, whose role as the most influential part of the federal-reserve system—apart from the matter of AIG’s bailout—deserves further congressional scrutiny.
Yet when unelected and unaccountable agencies pick banking winners while trying to end-run Congress, even as taxpayers are forced to lend, spend and guarantee about $8 trillion to prop up the financial system, our collective blood should boil.
Heck of a business model. AIG takes huge risks and when thing are good they take their profit. When things go bad they are ‘too big to fail’ and get bailed out by the American taxpayer.
As Reilly says ‘our collective blood should boil.’