Report: Obama Bank Bailout Could Cost $24 Trillion

Monday, July 20, 2009 2:11 PM

WASHINGTON -- The watchdog overseeing the federal government financial bailout says the government's maximum exposure to financial institutions since 2007 could total nearly $24 trillion, or about $80,000 for every American.

The whopping amount compiled by the inspector general for the $700 billion Troubled Asset Relief Program takes into account about 50 initiatives and programs set up by the Bush and Obama administrations as well as by the Federal Reserve.

Many of the programs are backed by collateral and the $23.7 trillion represents the gross, not net, exposure that the government could face. No one has suggested that the full amount, in fact, will be used.

Neil Barofsky , the inspector general for the Troubled Asset Relief Program, says in a report to Congress that Treasury's inaction means taxpayers have not been told what the financial institutions that have received assistance are doing with the money.

Barofsky's conclusion is contained in testimony he is prepared to give Tuesday to the House Oversight and Government Reform Committee.

2009 Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed

I thought it was closer to 30 plus Trillion when I read up on the CDS(Derivatives) which AIG created that was the big bomb we had/have out there.


Warren Buffet called these CDS contracts "Weapons of Mass Economic Destruction" for a reason

(07-20-2009 09:52 PM)SumOfAllFears Wrote:  Report: Obama Bank Bailout Could Cost $24 Trillion

Monday, July 20, 2009 2:11 PM

WASHINGTON -- The watchdog overseeing the federal government financial bailout says the government's maximum exposure to financial institutions since 2007 could total nearly $24 trillion, or about $80,000 for every American.

The whopping amount compiled by the inspector general for the $700 billion Troubled Asset Relief Program takes into account about 50 initiatives and programs set up by the Bush and Obama administrations as well as by the Federal Reserve.

Many of the programs are backed by collateral and the $23.7 trillion represents the gross, not net, exposure that the government could face. No one has suggested that the full amount, in fact, will be used.

Neil Barofsky , the inspector general for the Troubled Asset Relief Program, says in a report to Congress that Treasury's inaction means taxpayers have not been told what the financial institutions that have received assistance are doing with the money.

Barofsky's conclusion is contained in testimony he is prepared to give Tuesday to the House Oversight and Government Reform Committee.

2009 Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed

Gee. Could they spin the headline any more than they did?

(07-21-2009 01:23 AM)RobertN Wrote:  

(07-20-2009 09:52 PM)SumOfAllFears Wrote:  Report: Obama Bank Bailout Could Cost $24 Trillion

Monday, July 20, 2009 2:11 PM

WASHINGTON -- The watchdog overseeing the federal government financial bailout says the government's maximum exposure to financial institutions since 2007 could total nearly $24 trillion, or about $80,000 for every American.

The whopping amount compiled by the inspector general for the $700 billion Troubled Asset Relief Program takes into account about 50 initiatives and programs set up by the Bush and Obama administrations as well as by the Federal Reserve.

Many of the programs are backed by collateral and the $23.7 trillion represents the gross, not net, exposure that the government could face. No one has suggested that the full amount, in fact, will be used.

Neil Barofsky , the inspector general for the Troubled Asset Relief Program, says in a report to Congress that Treasury's inaction means taxpayers have not been told what the financial institutions that have received assistance are doing with the money.

Barofsky's conclusion is contained in testimony he is prepared to give Tuesday to the House Oversight and Government Reform Committee.

2009 Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed

Gee. Could they spin the headline any more than they did?

You know, you are correct......there are alot more folks involved than just OBama. However, on the flip side, I was looking in a local newspaper online earlier today, and one of the sidebar advertisements was headed, " Obama will give you $2500 for college". So I guess it works both ways.

Obama bank bailout?

Ahem - that's the Bush-Obama bailout. Privatize profits, socialize losses - the mantra of both parties lately.

This board is so full of partisan spin, it's pathetic.

Alright Orifice,
My title to this article has spin, exactly where? "The board is so full of partisan spin", I'm sure you direct that toward me. Other than the title it's an Associated Press article. Pissed because the MSM maybe turning on the man you so slobber over?

Orifice you are the pathetic loser troll. If it wasn't for that no one would ever respond to your stupid idiocy. Troll on.

Before the bailout, did the adv. person know that they as taxpayers were on the hook for Freedie Mack, Fannie May, AIG, Goldman Sacks, GM, Chrysler, All the Banks, All the porkulas, and every fuckingMistake the Federal Reserve ever made. No.

(07-21-2009 09:09 AM)Artifice Wrote:  Obama bank bailout?
Ahem - that's the Bush-Obama bailout. Privatize profits, socialize losses - the mantra of both parties lately.
This board is so full of partisan spin, it's pathetic.

This is the Obama-Bush bailout, or the Bush-Obama bailout. Either way, both parties are to blame.

That doesn't make it right for Obama to continue it.

(07-21-2009 09:09 AM)Artifice Wrote:  Obama bank bailout?

Ahem - that's the Bush-Obama bailout. Privatize profits, socialize losses - the mantra of both parties lately.

This board is so full of partisan spin, it's pathetic.

It's almost as though you had never read a post on this board. That's not to say there isn't any partisan spin, you being one of the largest offenders.

(07-21-2009 02:44 PM)Owl 69/70/75 Wrote:  

(07-21-2009 09:09 AM)Artifice Wrote:  Obama bank bailout?
Ahem - that's the Bush-Obama bailout. Privatize profits, socialize losses - the mantra of both parties lately.
This board is so full of partisan spin, it's pathetic.

This is the Obama-Bush bailout, or the Bush-Obama bailout. Either way, both parties are to blame.

That doesn't make it right for Obama to continue it.

It's possible that the Govt. is in a position where it has to spend money to keep the banking system from collapse. I don't know if anyone knows for sure.

With that said & if it's true, anyone that did illegal stuff should be prosecuted and those within the government that aided the shenanigans should be thrown out of office. None of this is really being investigated much that I know of. It's being swept under the rug I think due to those in Washington being involved.

What also strikes me as absurd is with all this crap in the banking system, is that we're also going to go & spend another trillion we don't have on government health care. Quite frankly, if they had tried the health care stuff a couple of years ago when everything appeared rosy, it might not seem as crazy as it does now.