SEARCH BLOG: GOVERNMENT
With all of the noise about health care, CAFE, and Cap and Scam, the small matter of $700 billion has quietly been forgotten. I'll be glad to investigate in detail where it has gone for a 15% finder's fee.
Back in March... almost 5 months ago... the Washington Post reported that:
A more recent article by Forbes stated:
A special inspector general at the Treasury Department recently started asking all companies that received government TARP funds for a "narrative" of where that money was going.
What I'm hearing is that at least some of the companies that got money under the Troubled Asset Relief Program could answer by saying: "Part of the money is going to hire criminal attorneys to defend ourselves because of stupid requirements like this."
TARP banks are nervous because tracking the government's money isn't as easy as Washington thinks. The Treasury said this week that it has only $134.5 billion left of the original $700 billion allocated for the Troubled Asset Relief Program.
TARP Remains TroubledSure, that's clear enough. Money went into the banks; money disappeared; nothing happened... and the problems still seem to be there.
Alexandra Zendrian, 08.13.09, 04:00 PM EDT
The Congressional Oversight Panel has concerns about the still very much present troubled assets on banks' balance sheets.
The Troubled Asset Relief Program has being in place for 10 months. The program was originally designed to purchase troubled assets off the banks' balance sheets; when the financial crisis became dire and the previous plan wouldn't fly, the funds' intention morphed into a cash injection for the banks. So in these 10 months, we still have many of the troubled assets that were previously on banks' balance sheets but we're $700 billion in the hole. The Congressional Oversight Panel has a problem with this.
In a recent report about the TARP funds, the panel cited the lack of transparency and available information about how many troubled assets are out there. "It is likely that an overwhelming portion of the troubled assets from last October remain on bank balance sheets today," the report says. Likely, as in "we're not totally sure because we don't have all the data."
This makes Bernie Madoff seem like a petty shoplifter... and gives me all the confidence in the world that the government's plan to spend $ trillions on health care schemes will actually improve health care.