Friday, April 3, 2009

Horrors---Banks will rig the prices of toxic assets!

Excuse me, but wasn't that the idea?

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.

Why did these banks meet with Obama in the White House? And why did the terms change for the participants? From $500 million in assets, to holding $10 billion of toxic assets?

The banks can buy each other's toxic assets, and they'll then be backstopped by the taxpayer.

Why else did they have to meet with Obama. Did you think they didn't have a deal?

That's the deal.

So deal with!

Hasn't anyone ever met a contractor outside of a building?

What happened?

Someone got a bag of fresh 100's in exchange for something.

It's the same here.

But this time the cash was provided by the taxpayer, and it was dressed up to make it look legitimate; under the cover of law.

It's Uncle Sam's cover!

The moral pontificating is done by those who are underinvested, or who are short.

They feel like they are providing the money.

They are!

The down payment comes from those that are short, who tried to ruin the financial system, who now need to buy their stocks back.

The crooks that are short are now reliquifying the same system that they tried to break.

That's their deal.

So deal with it!