The new SIGTARP report is out and it's not the bombshell last month's report was.
Below is an interview with SIGTARP inspector general Neil M. Barofsky that's just dynamite. MSNBC anchor Dylan Ratigan has coined a new phrase, Corporate Communism to describe how taxpayers are getting the shaft while a select group of financial institutions can do no wrong.
An earlier post gave a preview of this report. The claim some healthy banks were receiving TARP funds was fiction and done simply to boost investor confidence.
The report also provides new insight into the way the Treasury allocated billions of dollars to nine of Wall Street’s largest players. The report says that Bank of America appeared to qualify for more aid earlier, under the government plan. That assertion adds another element of intrigue to continuing investigations of the bank’s merger with Merrill Lynch and the role that regulators played in the deal, even as Merrill’s condition deteriorated.
So, in other words, each bank was not treated equally and with even the same terms.
The SIGTARP October report is attached to this blog piece for your review. Contained within are timeline graphs of last years events, and losses by TARP recipient banks.