ft.com - 4/3/2009
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US banks that have received government aid, including Citigroup , Goldman Sachs , Morgan Stanley and JPMorgan Chase , are considering buying toxic assets to be sold by rivals under the Treasury’s $1,000bn (£680bn) plan to revive the financial system. The plans proved controversial, with critics ...
businessinsider.com - 4/3/2009
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businessinsider.com —
We told you this was coming. FT has
learned that the major US banks, Citigroup (C), Goldman...
Sachs (GS), Morgan Stanley (MS) and JP Morgan (JPM) are all interested in buying toxic assets from one another, using the massive leverage provided by Tim ...
(more)
Banks Plan To Buy Toxic Assets From Each Other
krugman.blogs.nytimes.com - 4/2/2009
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krugman.blogs.nytimes.com —
On the run: this critique of my views
is interesting. But I think there's a crucial assumption...
that isn't right. The question isn't whether "the banks" are insolvent; most surely aren't. Instead, some banks are probably insolvent. So it's not the case ...
(more)
"The banks" versus "some banks"
simplifythepositive.blogspot.com - 4/6/2009
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simplifythepositive.blogspot.com —
When you have this kind of perspective on
these toxic assets, you begin to truly see how...
insidious this latest national financial calamity is for us. You see people who have put good money behind good faith, paying on first mortgages with 10% and 12% interest rates.
(more)
What A Toxic Asset Looks Like Up Close
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Report: Banks Considering Gaming PPIP
Calculated Risk —
The Financial Times reports: Bailed-out banks eye toxic asset buys (ht Scot) US banks that have received government aid, including Citigroup, Goldman Sachs, Morgan Stanley and JPMorgan Chase, are considering buying toxic assets to be sold by rivals under the Treasury’s $1,000bn (£680bn) plan to revive the financial system. The plans proved controversial, with critics charging that the government’s public-private partnership - which provide generous loans to investors - are intended to help banks sell, rather than acquire, troubled securities and loans. ...
Banks Planning To Game Geithner’s Investment Fund By Swapping Toxic Assets
Wonk Room —
... Today, Financial Times highlighted another way in which financial institutions may be hijacking Geithner’s plan. Financial behemoths Citigroup, Goldman Sachs, Morgan Stanley and JPMorgan Chase are ...
Bailed-out banks eye toxic asset buys
Democratic Underground Latest Breaking News —
... to help banks sell, rather than acquire, troubled securities and loans. Spencer Bachus, the top Republican on the House financial services committee, vowed after being told of the plans by the FT to introduce legislation to stop financial institutions gaming the system to reap taxpayer-subsidised windfalls. Mr Bachus added it would mark a new level of absurdity if financial institutions were colluding to swap assets at inflated prices using taxpayers dollars. Read more: http://www.ft.com/cms/s/0/358e479a-1fbf-11de-a1df-00144...
Keep the Wolf at the Door
Obsidian Wings —
... Today, Financial Times highlighted another way in which financial institutions may be hijacking Geithner’s plan. Financial behemoths Citigroup, Goldman Sachs, Morgan Stanley and JPMorgan Chase are ...
Whiskey Fire should run the Treasury
Whiskey Fire —
... by flory
I might point out that some of us saw this coming:
US banks that have received government aid, including Citigroup, Goldman Sachs, Morgan Stanley and JPMorgan Chase, are considering buying toxic assets to be sold by rivals under the Treasury’s $1,000bn (£680bn) plan to revive the financial system.
Rocket science this isn't. It was a plan ripe for gaming ...
You Buy Mine, I'll Buy Yours
The Corner on National Review Online —
... ] The Financial Times reports some of the major American banks seem set to use some of the bailout money they have received and the leverage made possible by the Geithner plan to buy large amounts of toxic assets from one another a clever manipulation of the proposed public private investment partnership that essentially amounts to using taxpayer resources and assurances to inflate the banks books by raising the prices of the assets through implicit swapping arrangements. Francis Cianfrocca at Contentions ...
The Bailouts and Democracy
Seeing the Forest —
... , “The unemployment rate hit 8.9 percent last week and it is undoubtedly going higher.” Is the Public/Private Investment Partnership (PPIP) plan being gamed as rumored with big banks using bailout funds to trade toxic assets at inflated prices and again fraudulently boost their balance sheets (BBuBfBBs)? (The dual-alliteration test might be just as valid as a stress test that used a sure-to-be-topped unemployment number as its worst case.) But seriously, is someone looking into this and stopping it if true? ...
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FT.com / Companies / Banks - Warning over US toxic asset plan
ft.com 4/24/2009 — The Obama administration will on Friday get the first indication of investor interest in its $1,000bn toxic assets plan amid fears that the threat of government intervention and banks’ reluctance to sell will deter fund managers from participating. ...
What Is Going On With Banks
seeingtheforest.com 3/9/2009 — This radio show explains what is going on with the banks. It is a very good, regular=person explanation. But it will scare the crap out of you.
FT.com / Companies / Banks - Swiss banks ban top executive travel
ft.com 3/27/2009 — Switzerland’s private banks have started to ban their top executives from travelling abroad, even to neighbouring France and Germany, because of fears they will be detained as part of a global crackdown on bank secrecy. The head of one leading private ...
Banks
nytimes.com 5/19/2009 — Americans were promised a reward for rescuing the nation’s banks. In return for all those bailouts, the banks essentially granted stock options to the government a potential jackpot for taxpayers once the crisis blew over. But now banks, eager to ...
Thousands of banks watch
krugman.blogs.nytimes.com 4/27/2009 — One of the really bad arguments against temporary receivership for troubled banks is that we just have too many banks. Unfortunately, among those rolling out that argument has been the president.
So it's worth quoting from the otherwise not very ...
NY Times Example of a Toxic Asset
calculatedriskblog.com 2/2/2009 — “To date, the banks have stuck their heads in the sand and demanded that they be paid the price of good apples for bad apples.” Lynn E. Turner, a former SEC chief accountant Vikas Bajaj and Stephen Labaton provide us with an example of the different ...
Video: Banks And Your Money
marketnewslive.blogspot.com 2/10/2009 — Nearly 4 months after U.S. banks received a multi-billion dollar bailout from the government Sharyl Attkisson takes a look at just how each of those banks are spending taxpayer money.
Banks Balk at Selling Toxic Assets
time.com 4/16/2009 — For all the bailout money they've received, some of America's biggest banks are still unwilling to sell many of the toxic assets clogging their balance sheets. The prices being offered, they say, are simply too low, and neither massive government ...
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