Treasury Department

Occupied By Wall Street – The Latest TARP Taxpayer Screw-Job Is Revealed

The Treasury-created market has benefited a few savvy investors, while saddling taxpayers with a loss. The Treasury, which has held 185 auctions to date, said it has raised about $3 billion on TARP investments that were originally valued at $3.8 billion, for a loss of $800 million at the auctions. The Treasury “set up this market where investors could come in quickly and flip and profit,” said Christy Romero, TARP’s special inspector general, in an interview. Three private funds have won almost half the shares available at auction, often netting either a profit on paper or on the resale, according to SIGTARP.  “As a banker I was happy, but as a taxpayer I was not at all happy,” said Chief Financial Officer Donald Boyer. “The discount came out of taxpayers’ pockets.” 

Sprott Money's picture

The U.S. government is already bankrupt. This is old news to anyone who has been following the number-crunching of individuals such as former Reagan economic advisor, Professor Lawrence Kotlikoff. The U.S. government, the greatest debtor in the history of the world, claims that it is about to (finally) raise interest rates, which have been permanently/fraudulently frozen at 0% for now over 6 years.

Lazard's Antonio "Tax-Inverter" Weiss Withdraws Treasury Nomination (But End-Arounds Senate For 'Counsel' Role)

It appears Lazard's investment banker Antonio Weiss' "help" in tax inversions was just too 'unpatriotic' to scare President Obama off at the last minute.

  • *ANTONIO WEISS SAID TO WITHDRAW NAME AS TREASURY NOMINEE
  • *WEISS SOUGHT TO AVOID LENGTHY CONFIRMATION PROCESS (how thoughtful?)

The White House exclaimed "opposition to Weiss was unjustfied," so perhaps it was his $203 million in assets just would not have played well with Obama's new vision for the future. However, he has managed to get a position as "counselor" - which does not require Senate approval.

The Greater Abomination: Washington's Lies About TARP's "Success" Are Worse Than The Original Bailouts, Part I

The mainstream economics narrative is so far down the monetary rabbit hole that the blinding clarity of the chart below has no chance whatsoever of seeing the light of day. That’s because it dramatizes the real truth regarding all the Fed gibberish about “accommodation” and “stimulus”. Namely, that what lies beneath its “extraordinary measures”, such as ZIRP, QE, wealth effects and the rest of the litany, is a central banking regime that systematically destroy savers. Period. TARP wasn’t “repaid” with a profit. It was simply perpetuated and  morphed into a new form of destructive state subvention and malinvestment.

Why Is The US Treasury Quietly Ordering "Surival Kits" For US Bankers?

The Department of Treasury is spending $200,000 on survival kits for all of its employees who oversee the federal banking system, according to a new solicitation. As FreeBeacon reports, survival kits will be delivered to every major bank in the United States and includes a solar blanket, food bar, water-purification tablets, and dust mask (among other things). The question, obviously, is just what do they know that the rest of us don't?

5 Complete Lies About America's New $18 Trillion Debt Level

On October 22, 1981, the government of the United States of America accumulated an astounding $1 TRILLION in debt. At that point, it had taken the country 74,984 days (more than 205 years) to accumulate its first trillion in debt. It would take less than five years to accumulate its second trillion. And as the US government just hit $18 trillion in debt on Friday afternoon, it has taken a measly 403 days to accumulate its most recent trillion. There’s so much misinformation and propaganda about this; let’s examine some of the biggest lies out there about the US debt...

Fed Fischer's Complete & Bizarre Nonsense: Oil Price Collapse "Making Everybody Better Off"

"I'm not very worried," explains Fed Vice Chairman Stan Fischer in a very Bernanke-"contained"-like nonchalence about the total collapse of oil prices (and US oil producer stocks). Sharply lower oil prices will boost spending and aid U.S. growth, Fischer stated in a mind-blowingly naive speech for the 2nd-most-important-monetary-policy-maker-in-the-world, adding that lower oil prices were "a phenomenon that’s making everybody better off." We don’t understand his ignorance: as we noted earlier, Fischer is talking about money that would otherwise also have been spent, only on gas. There is no additional money, so where’s the boost? This is just complete and bizarre nonsense.

Obama Nominee, Antonio "Tax Inversion" Weiss Discloses Up To $203 Million In Assets

It appears Lazard's investment banker Antonio Weiss' "help" in tax inversions is not 'unpatriotic' enough to scare President Obama off - as we suspect Weiss' bundling and donating help more than offset any ethical challenges. However, in a somewhat eye-opening financial disclosure, Bloomberg reports that Obama's nominee for undersecretary of Treasury for domestic finance, has between $54 million and $203 million in assets spread across various family trusts and his anticipated compensation in 2014 is between $5 million and $25 million. It's good to know the 'people' are well-represented once again in Washington...

As The "Sanctions War" Heats Up, Will Putin Play His 'Gold Card'?

The topic of ‘currency war’ has been bantered about in financial circles since at least the term was first used by Brazilian Finance Minister Guido Mantega in September 2010. Recently, the currency war has escalated, and a ‘sanctions war’ against Russia has broken out. History suggests that financial assets are highly unlikely to preserve investors’ real purchasing power in this inhospitable international environment, due in part to the associated currency crises, which will catalyse at least a partial international remonetisation of gold. Vladimir Putin, under pressure from economic sanctions, may calculate that now is the time to play his ‘gold card’.

How The IRS & Homeland Security Are Expanding Undercover Work

“There is a danger to democracy,” a Supreme Court spokesman said, “in having police infiltrate protests when there isn’t a reasonable basis to suspect criminality.” "It is impossible to tell how effective the government’s operations are or evaluate whether the benefits outweigh the costs, since little information about them is publicly disclosed." Just another day in the American oligarchy.

Frontrunning: November 12

  • Banks to Pay $3.3 Billion in FX-Manipulation Probe (BBG)
  • Symbolic being the key word: U.S., China sign symbolic emissions plan, play down rivalry (Reuters)
  • Europe (so really Russian sanctions) is the new "snow in the winter" - Carney Sees Europe Stagnation Impact as Growth Outlook Cut (BBG)
  • Eurozone Industrial Output Points to Weak Third Quarter Growth (WSJ)
  • Not everyone around Abe is insane: Kuroda Ally Flags Warning on Delaying Sales-Tax Increase (BBG)
  • Hong Kong to scrap daily yuan conversion limit to boost stock investment (Reuters)
  • Barclays Falls After FX Settlement Delay Reduces Discount (BBG)
  • Some unhappy Yahoo investors asking AOL for rescue (Reuters)