Inquiring minds are nodding in agreement while reading Eric Fry’s article “Totally Busted: The Truth About Goldman’s Bailout…” bringing to light Goldman Sach’s all too cozy relationship with the Federal Reserve:
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.
But the best, most shocking point brought to the light of day is this:
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….
This is just a disgusting revelation and is at least as bad as any individual conducting insider trading. This is just another example of why we should not bail out the banks, should audit the Federal Reserve, and begin prosecuting these banksters to the full extent of the law. The country is circling the drain and these traitors are selling the country out for a few pieces of gold.
Please read the entire article. It is well worth the time.
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