I don't like to turn this blog into a political forum and it should be focused on the market. But we are now solidly in a political economy more run by the politicians rather than the private sector. The politicians are deciding who wins, who loses, how companies are run, who can get paid how much and what housing prices should be, among other things. Socialism at its finest.
You can no longer talk about wall street and the stock market without having a political discussion. No time in the history of the U.S. has the economy been run by the politicians like it has now. A very dangerous thing to have to say. Soon the gov't will decide what small companies can startup, which can survive, and which can be merged into larger companies. The private sector is getting expodentially smaller daily. And there is no slowing down of the political machine known as the Obama/Pelozi/Dodd/Franks regime.
Lets talk AIG. Not to beat a dead horse to death but this is a very important discussion everyone should be aware of.
How is it that bonuses were allowed in the first place after over $100 billion in bailouts and clear corruption of company management? Why are so many people concerned about this $160+ million, less than 1% of the total bailout of AIG? Because this could be the largest conspiricy of money laundering and government tampering in the history of the U.S. You don't beleive me? Look at the facts.
- On Tuesday, Senator Chris Dodd said he had no idea how the provision for bonuses got into the Obama stimulus bill. He claimed this was an oversight and he was not aware of it.
- On Wednesday, as pressure built on how this provision was introduced, Dodd fessed up that he wrote the provision himself. But he did so by direction of the "administration" (not specifying if that meant White House or Treasury).
- This provision was hidding in 111 pages of the pork-filled stimulus bill which was distributed at 11:30pm the night before it was to be voted on at 2:00pm the next day. Admittedly, no one read it.
- Can you guess the top two politicians who AIG contributed the most to their compaigns last year? Anyone? Anyone? Bueller?... The top two contributions from AIG to politicians last year were (drum roll please)... #1 Barrack Obama and.... (drum roll...) #2 Chris Dodd. That's right. Senator Chris Dodd "slipped" the bonus provision into the stimulus package at the last minute knowing no one would read it or question it. He did it apparently by orders of the "administration" (read, Barrack Obama). Politics as usual????? This should make your blood boil.
- And lets not forget Timmy Geithner. He orchastrated the bailout of AIG. He also knew of this provision but claims he was not aware. How can the person in charge of the bailout not know what was in it????
- Don't get me started on the AIG money that went to Goldman. Sure it was owed but Goldman has their own piece of TARP. Why are they also getting indirect TARP money???? Could it have anything to do with Hank Paulson???
What will occur here is an investigation started by the republican party to determine the extent of the corruption. This seamingly minor part of the bailout will perhaps become a bigger story than Watergate.
- Chris Dodd should be impeached for corruption and abuse of power for adding the provision as pay back for the contributions to his campaign.
- President Obama won't be impeached and there will be such a huge cover up there is no way he is touchable, but his involvement in this should be investigated.
- Geithner should be removed from office. He has done nothing and is not in control of the treasury. He organized the entire AIG bailout and has no idea what was in it and did not define how the money should be used.
We are in a dangerous point in our history. We are on the road to destruction of American capitalism. We are headed to the destruction of the private sector. We are headed to socialism and thus the contraction of the economy for many years to come.