I have a better idea..why don’t you and I start a bank and give ourselves lavish bonuses for committing outright fraud and then go into hiding for a little while until the taxpayer gets completely bent over and ass raped and then start a new LLC called, lets see, lets really piss people off here…PENNY MAC.
Then we can buy all of these assets back for PENNIES on the dollar and make even more absurd amounts of money while the average taxpayer is still trying to figure out why someone took Jose Canseco’s baseball bat and shoved it straight up their ass…
This nonsense has to stop as our government is looting us left and right, every day, in every way….
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It’s nice to hear some sensible voices on this board. I mean that. I can’t believe the number of Piggs that are in favor of these bank bailouts.
This article sums up pretty well what’s happened in my opinion:
Also, you may have heard that the some big banks were ‘profitable’ in January and February. Surprise, surprise, that ‘profitable’ came straight from taxpayers as AIG overpaid massively (at the insistence of the government) on several of those CDS contracts they wrote:
Here’s a good tutorial that explains how taxpayers are about to get royally screwed by Geithner’s latest plan:
George Soros says the tighter regulation on CDS contracts could lessen the cost of the bailout:
“AIG failed because it sold large amounts of CDS without properly offsetting or covering their positions. What we must take away from this is that CDS are toxic instruments whose use ought to be strictly regulated.”
CDS are used to hedge against the risk that bonds will default. Only investors who actually own the underlying bonds should be allowed to buy CDS, Soros argues.
“Instituting this rule would tame a destructive force and cut the price of the swaps,” he says.
“It would also save the U.S. Treasury a lot of money by reducing the loss on AIG’s outstanding positions without abrogating any contracts.”
While some maintain that CDS should trade on regulated exchanges, Soros thinks that doesn’t go far enough because all kinds of speculators would be able to bet on them.
“I believe that they are toxic and should only be allowed to be used by those who own the bonds,” he says.
There are good ideas out there, but all I’m seeing from this administration is a bunch of fire and motion designed to keep people distracted from all the looting. I hope people wake up before it is too late.
