Oh Look At The Worm! (Geithner)



There seems to be a pattern for those who were so-called “public servants”; they go on to some private outfit, usually in a firm that they allegedly regulated in some form or fashion (but nearly-always tangentially so nobody raises the alarm at the obvious hand-jobs that were being given out years previous) and then, once a bit of time has passed, they write a book filled with masturbatory fantasies.

Geithner has followed that shop-worn recipe.

Let’s leave aside the “after” part of the 08 blowup and focus on what he either knew or should have known.  Like, for example, the documented fact that Citibank knew Lehman was insolvent well before it blew up because they refused a repo transaction due to the firm not having any collateral that they judged to have value.  Since both were regulated entities that traded with the NY Fed and a tri-party repo involves the NY Fed directly it is inconceivable that the NY Fed did not know directly and factually that Lehman was insolvent weeks before it blew up.

Yet there was no regulatory action taken, no clampdown, and, quite-clearly, no monitoring of the firm’s capital and leverage prior to it detonating.

Geithner was in charge of the NY Fed at the time.

The same situation existed with Bear Stearns.

I need go no further.  Self-declared Supermen are not amusing nor worth your money when they write self-congratulatory “memoirs” that are full of delusional crap from top to bottom.  What such persons should face is prison time, and lots of it.

You are, of course, free to believe whatever you’d like and to waste your money in any fashion you choose.  But I, for one, will not be reading Geithner’s spooge, as even if it was available for a penny it would be overpriced.

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