Tuesday, Apr. 28 2009 @ 2:17PM
Hardly anything other than a swine flu pandemic could be as frightening as the graphic the Times ran the other day on whom Tim Geithner regularly met with when he was president of the New York Fed.
The graphic, accompanying a story that parsed Geithner's schedule from those days, is so heavy with Goldman Sachs characters that you have to wonder whether Geithner is any change at all from former Treasury Secretary Hank Paulson.
The polite way of putting it is this, from the Times story:
An examination of Mr. Geithner's five years as president of the New York Fed, an era of unbridled and ultimately disastrous risk-taking by the financial industry, shows that he forged unusually close relationships with executives of Wall Street's giant financial institutions.
His actions, as a regulator and later a bailout king, often aligned with the industry's interests and desires, according to interviews with financiers, regulators and analysts and a review of Federal Reserve records.
Not exactly polite, but more charitable than simply listing the people in the accompanying "Mr. Geithner's World" graphic:
Robert Rubin: ex-exec at Citigroup, which has benefitted from Geithner's actions; Clinton adviser, key foe of Glass-Steagall.
Stephen Friedman: retired chairman of Goldman Sachs, which has benefitted from Geithner's actions; current chair of a private-equity (leveraged buyout) firm.
E. Gerald Corrigan: a managing director at Goldman, which has benefitted from Geithner's actions.
Charles Prince: ex-CEO at Citigroup, which has benefitted from Geithner's actions.
Joshua Steiner: co-founder of Quadrangle Group, the investment firm ensnared in the Hevesi kickback scandal and now banned from making new investments in N.Y. state and city pension funds. Quadrangle co-founder Steven Rattner is head of Obama's auto task force.
Jeff Immelt: CEO of shaky GE, which has benefitted from Geithner's actions.
Sandy Weill: Ex-CEO of Citigroup, which has benefitted from Geithner's actions; pushed for Geithner to become Citi's CEO.
Jerry Speyer: Founding chairman of Tishman Speyer real-estate conglom, whose 2007 deal with Lehmann, backed by Fannie Mae and Freddie Mac, helped lead to Lehmann's demise.
Lloyd Blankfein: Current CEO of Goldman, which has benefitted from Geithner's actions.
Jamie Dimon: CEO of JPMorgan Chase, which bought WaMu and Bear Stearns last fall with the with the Fed's help and got bailout money that it now wants to use to buy toxic assets. Oh, and JPMorgan is now enmeshed in the Madoff scandal even more heavily than other banks. HedgeWeek reports:
JPMorgan Chase has been accused by Florida investors of entering into a conspiracy with Madoff to conceal the truth about his Ponzi scheme after discovering that the investment returns he reported were false. MLSMK Investments, a Palm Beach-based partnership, claims that JPMorgan's actions violated federal racketeering laws.