Home > Fande = Fact & Evidence, Original Thought, self-sacrificing, The Economy > If Wall Street takes taxpayers’ money then Wall Street works for us now?

If Wall Street takes taxpayers’ money then Wall Street works for us now?

Hey Wall Street!

Yeah you, Goldman Sachs, since you double-dipped in the $700 billion TARP money that Hank Paulson, George W. Bush’s Treasury Secretary, doled out. Goldman got paid and so did its veritable bookie, AIG.

We, the taxpayers, covered Goldman Sachs’ losses on subprime mortgage-backed securities.

After causing a collapse of home prices, a freeze of the credit market and double-digit unemployment, the banks are not making America better. It is not business as usual when banks take money from the U.S. taxpayers; and it is beyond exploitation when banks pay their employees record bonuses with taxpayer money during the Great Recession caused in large part by the irresponsible behavior on Wall Street.

The subprime debacle was the opposite of “fiduciary responsibility.”

Goldman Sachs and the rest of the banks betting heavy on subprime don’t deserve rewards for getting bailed out. They just wrecked the economy. It’s time to check these self-serving people. Either they work for the American people or they’re a loan shark operation backed by a Mafia.

Remember, the banks didn’t take the write-downs on the “toxic assets,” or otherwise known as “subprime mortgages.”

Shhhhh…don’t tell anyone. Wall Street just robbed America blind.

http://dealbook.blogs.nytimes.com/2009/10/26/short-memories-at-goldman/?pagemode=print

“That $10 billion of TARP money meant that Goldman Sachs could free up an additional $10 billion to put to work making money — instead of having to use it to shore up its capital. Indeed, when the firm paid back the TARP money last summer, it went out and raised new capital so that it wouldn’t have to reduce the amount it could deploy to make money.

And of course the government wound up paying off all the A.I.G. counterparties at 100 cents on the dollar, which in Goldman’s case amounted to $12.9 billion.”

http://speier.house.gov/index.cfm?&sectionid=141&itemid=258

“Goldman not only has been the beneficiary of $10 billion of TARP money directly, but it has gotten another $13 billion through its credit default swaps with AIG.  All while it reported a $1. 8 billion quarterly profit and is seeking to repay its $10 billion in TARP funds because it doesn’t like the compensation strings that come with it. If AIG had been forced to declare bankruptcy, the financial institutions like Goldman doing business with it would have wound up in court, just like San Mateo County has had to do with Lehman, fighting to get pennies on the dollar for their claims.  I say let Goldman repay its bailout and use that money where it is really needed—our local communities.”

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