Totally Busted: The Truth About Goldman's Bailout by the Fed

Eric Fry has put together the pieces, searched the articles and has done the timeline that show's how the Fed shoveled money into the coffers of Goldman Sachs. Even to help Goldman pay off its TARP debt.

This investigative report from Eric Fry is must reading. It should also be kept in mind that this is separate from the Goldman/AIG antics that Janet Tavakoli has been reporting on :

Recent disclosures from the Federal Reserve reveal that honesty was one of the earliest casualties of the 2008 financial crisis. These disclosures contain a number of juicy tidbits, like the fact that Goldman Sachs received tens of billions of dollars in direct and indirect succor from the Fed.

Thanks to these spectacularly large taxpayer-funded bailouts, Goldman was able to continue “doing God’s Work” – as CEO Lloyd Blankfein infamously remarked – like the work of producing billion-dollar trading profits without ever suffering a single day of losses.

Thanks to the Fed’s massive, undisclosed assistance, Goldman Sachs managed to project an image of financial well-being, even while accessing tens of billions of dollars of direct assistance from the Federal Reserve.

By repaying its TARP loan, for example, Goldman wriggled out from under the nettlesome compensation limits imposed by TARP, while also conveying an image of financial strength. But this “strength” was illusory. Goldman repaid the TARP loans with funds it procured days earlier from the Federal Reserve. Then, over the ensuing months, Goldman recapitalized its balance sheet by selling tens of billions of dollars of mortgage-backed securities to the Fed.

And the public never knew anything about these activities until two weeks ago, when the Fed was forced to reveal them....

Secret bailouts do not merely benefit recipients; they also deceive investors into mistaking fantasy for fact. Such deceptions often punish honest investors, like the honest investors who sold short the shares of insolvent financial institutions early in 2009.

Some of these investors had done enough homework to understand that no private-market remedy could ride to the rescue of certain financial firms. Therefore, these investors sold short the shares of certain ailing institutions and waited for nature to take its course. But the course that nature would take would be shockingly unnatural. We now know why. The Federal Reserve altered the course of nature, and did so without telling anyone.

Read More http://www.economicpolicyjournal.com/2010/12/totally-busted-truth-a...

Views: 32

Comment

You need to be a member of 12160 Social Network to add comments!

Join 12160 Social Network

"Destroying the New World Order"

TOP CONTENT THIS WEEK

THANK YOU FOR SUPPORTING THE SITE!

mobile page

12160.info/m

12160 Administrators

 

Latest Activity

tjdavis posted a blog post
8 hours ago
Doc Vega posted a blog post

Is America on the brink of a Dire Emergency

 You might know if you have remained informed that America has been under asymmetric warfare for…See More
yesterday
tjdavis favorited Burbia's video
Thursday
tjdavis posted videos
Thursday
rlionhearted_3 commented on Sandy's photo
Tuesday
cheeki kea posted a photo
Tuesday
cheeki kea favorited tjdavis's blog post Propaganda,Cognitive Warfare Europes Self Destruction
Tuesday
cheeki kea commented on tjdavis's photo
Thumbnail

Sustenance

"Bacon health to the nation for one and all and stealth for operations elsewhere in the war. Yip a…"
Nov 11
Doc Vega posted a blog post

The Consequence of Loneliness: Another Missing Person Case

Chapter I“Unit 7, Unit 7. Do you read? This is dispatch!”“This is Unit 7, over!” Deputy Patterson…See More
Nov 10
Cora is now a member of 12160 Social Network
Nov 10
tjdavis's 3 blog posts were featured
Nov 10
Doc Vega's 6 blog posts were featured
Nov 10
Sandy posted a photo
Nov 9
Doc Vega posted blog posts
Nov 9
tjdavis posted a video

Devo - Fresh

"Fresh" is from Devo's 2010 album, Something For Everybody. Video producer – Brian Carr/David VotteroVideo director – Gerald Casale & Davy Forcehttps://www.C...
Nov 8
Doc Vega commented on tjdavis's blog post Drones Used In Gaza Surveilling US Cities
"Remember that song by Alan Parsons "Eye in the Sky"?"
Nov 8
Snakedaddy favorited tjdavis's video
Nov 8
Doc Vega posted a blog post
Nov 7
tjdavis posted blog posts
Nov 7
Cora favorited Doc Vega's blog post They Won’t Stop
Nov 6

© 2025   Created by truth.   Powered by

Badges  |  Report an Issue  |  Terms of Service

content and site copyright 12160.info 2007-2019 - all rights reserved. unless otherwise noted