Treasury Secretary Geithner Does NOT Rule Out Replacing More CEOs – Meanwhile Unemployment SOARS

Posted Posted in Barack Obama, economics, Timothy Geithner

First it was General Motor’s CEO Rick Waggoner who resigned at the behest of President Obama and now MORE CEOs may go according to Secretary of the Treasury Timothy Geithner.

Days after GM’s CEO Rick Wagoner was forced out by the Obama administration, Treasury Secretary Timothy Geithner left open the possibility that such moves could happen again.

In an interview with CBS Evening News anchor Katie Couric, Geithner acknowledged the government has had to do “exceptional things” – citing AIG as well as Fannie Mae and Freddie Mac.

“We have changed management aboard,” he said. “And where we’ve done that, we’ve done it because we thought that was necessary to make sure these institutions emerge stronger in the future.”

The federal government should just stop monkeying around with the private business sector. If the business is failing get out of the way and let it fail.

Don’t bail out the business and then micromanage it from the Treasury Department.

Obama and the Democrats in Congress have failed to stem unemployment since the iunauguration with their tax and spend policies. What makes anyone think they can run the automotive industry or any business sector?

The number of people filing initial claims for unemployment benefits unexpectedly rose last week, while those filing continuing claims hit an all-time high for the 10th straight week, according to a government report released Thursday.

In the week ended March 28, 669,000 people filed initial jobless claims, up 12,000 from the previous week’s upwardly revised figure of 657,000, the Labor Department reported.

It was the largest weekly increase since October 1982, and it surprised economists surveyed by, who had forecast initial claims to decline to 650,000.

The number of people continuing to file for jobless benefits rose 161,000 to 5.7 million in the week ended March 21, the latest week for which data was available. It was the highest number since the government began keeping records in 1967, and the 10th consecutive week that continuing claims rose to a record high.

This move by Geithner and Obama is unprecedented and should be stopped cold by the Congress by a rejection of Obama’s budget.

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House Passes Bill Taxing AIG and Other Employee Bonuses – Kabuki Theater

Posted 6 CommentsPosted in AIG, Barack Obama, Chris Dodd, economics, Elton Gallegly, Timothy Geithner

Michelle is RIGHT about referring to the passage of the House Bill today exacting 90 per cent taxes on AIG and other companies who enjoy government bailouts employee bonuses as Kabuki Theater.
Denouncing a “squandering of the people’s money,” lawmakers voted decisively Thursday to impose a 90 percent tax on millions of dollars in employee bonuses paid by troubled insurance giant AIG and other bailed-out companies.

In some cases the bonuses might be taxed 100 percent leaving the recipients with nothing.

The House vote was 328-93. Similar legislation has been introduced in the Senate and President Barack Obama quickly signaled general support for the concept.

“I look forward to receiving a final product that will serve as a strong signal to the executives who run these firms that such compensation will not be tolerated,” the president said in a statement.

“We want our money back now for the taxpayers,” said House Speaker Nancy Pelosi. “It isn’t that complicated.”

Rep. Charles Rangel, a New York Democrat, chairman of the tax-writing House Ways and Means Committee, said he expected local and state governments to take the remaining 10 percent of the bonuses, nullifying the pay-outs.

The bonuses are outrageous but it was President Obama who signed the economic stimulus bill that allowed them – whether he knew or understood they were in the bill. And, it was Timothy Geithner’s Treasury Department that asked Senator Chris Dodd to insert a provision in last month’s $787 billion economic- stimulus legislation that had the effect of authorizing American International Group Inc.’s bonuses.

But, the Kabuki Theater comes from Flap’s own Congressman, Elton Gallegly and the fact this TAX AS A WEAPON legislation is a BILL of ATTAINDER which is prohibited by the U.S. Constitution.

From Congressman Gallegly’s Press Release:

“As a person with a lifetime record of opposing tax increases, today I voted for a bill to tax bonuses awarded to executives who received federal bailout money. It was the least the House could do to reclaim hard-earned taxpayer money from Wall Street firms who insult American taxpayers by rewarding those responsible for our economic crisis.

“It’s not the bill I would have preferred. I wanted to vote for the Republican alternative that would have recouped 100 percent of the bonuses. It would have done so by denying future federal funds to any company who did not recoup bonuses paid out under previous bailouts. It also would have required Treasury Department approval before companies could give future bonuses. I believe the bill would have been more effective and would have passed constitutional muster.

“Unfortunately, my Democratic colleagues—who stripped language banning bonuses from the stimulus bill and therefore allowed these payments—did not give members an opportunity to vote on the better bill.

“Right now, this was the only bill available to prevent AIG and other companies who receive bailout money to know of my outrage at giving outlandish bonuses to executives who failed the American people. These companies must get the message that the American people will no longer tolerate this behavior. Therefore, I voted for this bill.

“I look forward to working with my Democratic colleagues to pass meaningful legislation that will fix this loophole.”

The AIG bonus bill is a JOKE. The Democrats are blaming Bush and everyone knows the REAL culprits are Timothy Geithner, Chris Dodd and Barack Obama.

The Democrats are running for cover and Flap’s Representative should have voted NO today and for any additional federal government bailouts PERIOD.

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Day By Day by Chris Muir March 13, 2009 – Experience Needed

Posted Posted in Barack Obama, Timothy Geithner
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Day By Day by Chris Muir

Flap does not think the “TAX CHEAT” issue or GOP hype of same is the real reason why Barack Obama is having trouble filling administration positions.

No one is a Saint with regards to the IRS and the U.S. Senate has NOT made back taxes a deal breaker on the path to confirmation – for example, Timothy Geithner, Secretary of the Treasury.

But, let’s look at a couple of the  folks who withdrew their nominations e.g. Tom Daschle and Bill Richardson. There is an underlying issue of corruption and inapprpriate use of government influence/resources in each case. Plus, their nominations were withdrawn by themselves (really Obama pressure) before they were considered by the Senate.

The Obama Administration needs to stop moaning about Republican obstructionism, find some good political appointees and get the Treasury Department staffed at appropriate levels.


The Day By Day Archive

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Poll Watch: 56 Per Cent OPPOSE Any More Government Help for Banks

Posted 1 CommentPosted in Barack Obama, economics, Timothy Geithner
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Political Cartoon by Michael Ramirez

The American voting public does NOT heart the banking industry.

When asked the question: Do you favor or oppose additional government spending or guarantees being to help the troubled banking industry? The answer is a resounding NO.

While the Obama Administration is pledging up to $2.5 trillion in support for the troubled U.S. financial system, 56% of Americans oppose giving bankers any additional government money or any guarantees backed by the government.

Twenty percent (20%) support such assistance, and 24% are not sure in a new Rasmussen Reports national telephone survey. The polling was done Monday and Tuesday nights. Treasury Secretary Timothy Geithner announced the bank bailout plan on Tuesday, but its contents were widely reported before that.

Among those more closely attuned to the workings of the financial industry, opposition is even higher. Fifty-nine percent (59%) of investors oppose the new bailout, compared to 53% of non-investors.

The stock market plunged 4.6% in reaction to Geithner’s plan, and consumer confidence as measured by the Rasmussen Consumer Index fell to an all-time low. The Rasmussen Investor Index remains just slightly above the all-time low it hit in December.

Americans want to see details from Treasury Secretary Timothy Geithner and President Obama on how they deal with toxic bank assets.

Why not just let the banks fail and recapitalize new banks?

A plurality of Americans say the earlier bank bailout plan has either had no impact or made the economy worse. Moreover, most Americans don’t think their political leaders know what they’re doing anyway as they wrestle with the country’s economic problems.

As the bank CEO’s go up on Capitol Hill today, hat in hand, keep in mind the American public does NOT support any further government bailout.

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Day By Day by Chris Muir February 6, 2009 – Tax Time

Posted 2 CommentsPosted in Barack Obama, Day By Day, Hilda Solis, Timothy Geithner, Tom Daschle
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Day By Day by Chris Muir

At the rate President Obama has been appointing tax cheats to his Cabinet, by April 15th he still may not have a full one.

Let’s see:

  • Tom Daschle – Secretary of Health and Human Services
  • Timothy Geithner, Secretary of the Treasury
  • Hilda Solis, Secretary of Labor

Yeah, Chris, you may very well be correct – a lonely time for the President.


The Day By Day Archive

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Day By Day by Chris Muir February 4, 2009 – Health Plan

Posted Posted in Barack Obama, Timothy Geithner, Tom Daschle
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Day By Day by Chris Muir

After President Obama “screwed up” with the Tom Daschle appointment as HHS Secretary, he is left with no one to shepherd his universal health care program through the Congress. How any President could consider a “tax cheat” and whored out lobbyist to the LEFT as someone to undertake such a program is really beyond belief.

Now, President Obama, what about your “tax cheat” Timothy Geithner as Treasury Secretary? Shouldn’t Geithner resign as well?

Obama’s reputation has been tainted with these appointments and it is becoming apparent that “The One” is wearing NO clothes.

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