Can anyone say "The Largest Transfer of Wealth in the History of the Planet"
Today on C-span the Comm. of Banking, Housing, and Urban Affairs led by senator Dodd had the VP of the Federal Reserve, Donald Kohn, as a witness on the Financial Bailout of AIG. I have never seen so much waffling and intentional complication of simple concepts in my life. It seems the TARP and the Federal Reserve have been loaning our tax dollars to pay off Counter Parties...
That's why none of the banks would say how they were using the TARP funds.
What this means below the fold....
Our tax dollars have been going to pay off COUNTER PARTIES on a dollar to dollar basis for their risky bets on derivatives so that these Counter Parties would still bet on the system and not throw the whole financial market into turmoil, according to Donald Kohn, vp of the fed.
Senator Bob Corker stated "these counter parties have made out like bandits." Every time Senator Mark Warner asked who these counter parties were, Kohn would say "forget about the counter parties" we did this to decrease systemic risk. He must have said "forget about the counter parties" 7 or 8 times. He really doesn't want us to know who they are. He kept saying the IMPORTANT part is decreasing the risk of the system failing. Senator Corker said "he didn't really even understand what systemic risk was there.." in september 2008.
It was like watching a episode of the twilight zone.
It seems that after 6 months Congress STILL does not know WHO those Counter Parties are. We have essentially been paying them a dollar on a dollar..(Billions and Trillions of dollars) on a risky bet that is probably worth $0. So, why at this late date, doesn't anyone know who these counter parties are? And why are we paying them a dollar of real money for a dollar of risky bet?
Who are the counter parties???
The Bush Family? Cheney? Murdock?
China? Russia? WHO??
AIG is no more solvent after 170 billion dollars as they were in September. BUT.. The counter parties who have been paid a dollar of tax money for a piece of shit not worth the paper it was printed on..have according to Cocker "make out like bandits". What is REALLY going on here? Is this why no-one has yet even attempted to price these trillions of dollars of bullshit floating around in the worlds ecomomy?
Simply because the TRANSFER of OUR MONEY to the counter parties wasn't as yet complete?
Who are these counter parties?
Do any of you know?
*******Update*******
Counter parties are "banks and investment banks, pension funds, endowments, foundations, insurance companies, hedge funds, money managers, high-net-worth individuals, municipalities and sovereigns and supranationals." thanks to Jules Beaujolais in the comments ...(from TPMmuckraker -- Who are the AIG counterparties
******Update 2******
Thanks again Jules...
from globalresearch.ca
..."Bernanke said the counterparties made "legal, legitimate, financial transactions" with AIG and presumed at the time that the contracts would remain private. "That is a consideration we have to take into account," he added.
So who exactly is the FED protecting.. I ask again.. did the bush family have anything at all to do with this?
are they a Counter Party.