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[Ags Nightmare]

Goldman Sachs Got Billions From AIG For Its Own Account, Crisis Panel Finds. “The fact that a significant slice of the proceeds secured by Goldman through the AIG bailout landed in its own account–as opposed to those of its clients or business partners– has not been previously disclosed.” “If these allegations are correct, it appears to have been a direct transfer of wealth from the Treasury to Goldman’s shareholders,” said Joshua Rosner, a bond anal cyst and managing director at independent research consultancy Graham Fisher & Co., after he was read the relevant section of the report. “The AIG counterparty bailout, which was spun as necessary to protect the public, seems to have protected the institution at the expense of the public.” “Goldman and AIG both declined to comment.” “Treasury Secretary Timothy F. Geithner, who led the New York Fed at the time the AIG rescue was crafted, later told Congress that a collapse risked “large and unpredictable global losses with systemic consequences–destabilizing already weakened financial markets, further undermining confidence in the economy, and constricting the flow of credit.” “Both the New York Fed and Treasury declined to comment.” “The details in the commission’s report leave Goldman “naked,” she added. “It [...]

 

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