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Journalist and author Matt Taibbi on the government’s bank bailouts and former AIG CEO Hank Greenberg’s lawsuit against the government.
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And senators like -- -- Richard who I think it was a wonderful writer team on frank curious to.
Review.
That they.
All I think to -- have had little or no interest right.
Right there was just to reach him observed -- was liberals ridiculous level that is brutal but we've been specifically because of that -- I actually yesterday wrote a blog where I called some added I think the biggest -- American history -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- So why give them the money why why why and why wouldn't we be the government -- the giving companies money who were in trouble but.
That's not what -- roundup -- -- does is what happened but that's not to review of the official rationale for the.
Hello rest that these companies it's not that they were insolvent -- -- that there was they have quote unquote liquidity problem that the credit markets for frozen not people couldn't borrow from each other and that they just needed to inject a bunch of money into the systems that everybody would feel better about lending.
-- borrowing.
So wasn't that companies like Citigroup were completely bankrupt and going out and going out of business.
It was just that the there was -- panic in the markets and that they had to kind of double much money in -- -- -- kind of to grease the wheels to get people trading again.
But what came out later on is that and you know in the unit example -- Citigroup.
You know they give to a much money in and they had to go back to more -- -- -- more money.
And so we do we knew that that company at least was was on the brink of insolvency.
And it did individuals benefit flawless sort and -- Brussels absolutely amendment -- you know like the people who.
You know the executives of those companies for instance -- -- one of the things we talked about it.
In the piece was that while a lot of these companies were receiving.
Aid that was both known to the public and not known because there were -- worst loans that were secretly given to these companies by the Fed that only came out.
In 2011.
When Bloomberg did -- -- foyer request to the Fed to find out.
How much money they got.
There were executives whose companies or buying stock in their own -- while there were receiving these gigantic.
Fifty and sixty billion dollar loans from the Fed civilian knew that they were more solvent them them everybody else did.
So yes certainly individuals benefited but there but I think the real problem.
Is that -- -- created this note that the way the economy should work is that everybody has access to the same information.
But what happened after the bailout is we have.
17 numbers that is what everybody put the government wants you to believe and then there's is obvious that a numbers that.
Are the real numbers and that's that's a confusing situation -- it's untenable.
And it's a situation that nobody in terms of absolutely and we don't care about me and McConnell have no interest in commercial I mean I know we -- -- and implement McConnell have more -- that was neither.
But I'm ma I'm heartened to hear her.
Of an assessment of Hank Greenberg -- -- Gordon -- hospital if there's a warning Greenberg line.
And then -- -- hideous changing health Hank and his wife and I'm sure she's -- God knows what she's on the go through what do you want him.
However.
And I'm always creeped out every -- -- have to walk by a devastating and garlic are mountain out like -- -- yes and some hardened and all that is.
Heroism Jewish bad.
So villainous sue the government right adjoining.
Well AIG is considered Hank is already sued the government.
So he's asking AIG to join him and his crusade for justice.
And now and that's what this is -- about it and it.
It's I mean it's incredibly funny as you review actually read the suit and read to complain and read the judge's response torture route yet analysts it's it's.
-- actually has a couple of interesting point scenario 101 of his points is that.
The AIG bailout was not really a bailout of AIG it was a bail out of the companies that were owed money by AIG like you know Goldman Sachs and Citigroup and Barclays.
And they got tons of money when the government dumps.
All of asthma.
So he's what he's basically saying -- -- If it was up to the media -- we're you know -- -- that position I would negotiated much.
Mark you know firmly and with Goldman and Citi throw open the -- that are but the -- The reality is due to be bankrupt yeah you know you -- do do about it there you wouldn't be negotiating with anybody -- some other person would be given.
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