2 chapters across the catalog
The Wall Street Journal reports that the banking industry is lobbying the FDIC to allow banks to use taxpayer aid to buy back their own toxic assets. The hosts argue this confirms their previous analysis of the Public-Private Investment Program (PPIP) as a scam. They claim the program allows banks to clear their books while the taxpayer assumes 80% of the risk with little upside.
Public-Private Investment Program, Geithner's Toxic Asset Plan, and Congressional Silence
Secretary Geithner's new Public-Private Investment Program (PPIP) is criticized as a "scam" that uses taxpayer funds to guarantee 90-95% of private investments in bad assets. During a hearing, Michelle Bachmann was cut off by the committee chair while asking if the American people would receive a proportional share of the benefits. The hosts argue the plan effectively bankrolls private profits with public risk.
