Thread: Time To Indict Geithner For Securities Fraud

Thursday, January 07, 2010

Time To Indict Geithner For Securities Fraud

The web of known parties guilty of fraud, coercion, or securities manipulation keeps getting bigger. Please consider N.Y. Fed Told A.I.G. Not to Disclose Swap Details. http://dealbook.blogs.nytimes.com/2010/ ... k&emc=dlbk

Starting in November 2008, the Federal Reserve Bank of New York under Timothy Geithner began urging American International Group, the huge insurer that the government had bailed out, to limit disclosure on payments made to banks at the height of the financial crisis, e-mail messages obtained by DealBook show.

The e-mail exchange between the bailed-out insurance giant and its regulator portray a strange reversal of roles, with A.I.G. staff arguing for the disclosure of certain details on payments for credit-default swaps to major banks, only to be discouraged by officials at, or representing, the Federal Reserve.

In a draft of one regulatory filing, A.I.G. stated that it had paid banks — including Goldman Sachs Group, Merrill Lynch, Société Générale and Deutsche Bank — the full value of C.D.O.’s, or collateralized debt obligations, that they had bought from the company.

In the response to that draft from the law firm Davis Polk and Wardwell, which represented the New York Fed, that crucial sentence was crossed out, and did not appear in the final version filed on Dec. 24, 2008.

In a March 12 e-mail message whose subject line is “Fw: counterpartiesâ€

Avoiding paying his personal income tax is likely only the tip of the iceberg regarding criminal activity for Geithner! How obama could have appointed this guy as Treasury Secretary is simply astonishing!

August Review article about him:

Trilateral Geithner: Corrupted Regulator? PDF Print E-mail
By Patrick Wood, Editor
January 7, 2010

Timothy Geithner is a rising star within the membership of the Trilateral Commission: He is highly educated, has extensive regulatory experience, and is wiling to bend, break or obscure the rules to favor his global elite bosses.

In November 2008 when Geithner was President of the NY Federal Reserve, just before becoming Obama's Secretary of the Treasury, recently discovered e-mails reveal that Geithner and the NY Fed pressured the bailed-out AIG into keeping it's mouth shut about which banks were receiving taxpayer funds in exchange for toxic assets known as "credit swaps." (This story was made possible by copies of e-mails between Fed and AIG officials that were recently secured by California Representative Darrell Issa (R-CA.))

Furthermore, the NY FED and AIG then conspired to officially hide the event when AIG was required to make a regulatory filing to the SEC on December 24, 2008: The Fed crossed out the reference on its records and AIG excluded the facts on their filing.

In November 2008, the NY Fed was officially in charge of negotiations between AIG and those banks that were "to big to fail." More than a dozen banks, including Goldman Sachs and Societe Generale SA, received payments of $62.1 billion from AIG for worthless mortgage-backed contracts. What a sweetheart deal they got, too: 100 cents on the dollar!

No wonder that Geithner wanted to hide the details.

On behalf of the taxpayer, AIG was supposed to negotiate steep discounts for these worthless contracts. Yet, in October, the NY Fed had ordered AIG to not seek discounts from the banks, which directly dinged taxpayers for at least $13 billion.

Around November 24, 2008, when Geithner learned that Obama intended to nominate him for the top Treasury job, he was officially recused from matters dealing with specific companies. In other words, he ran like a rabbit and insulated himself from any further involvement that might be discovered during his Senate confirmation hearings.

Geithner successfully obscured his still-hidden dealings with AIG and was subsequently confirmed to be the head watchdog and guardian of America's money center.

This level and sophistication of corruption is without parallel in the history of the world. It is calculated, brazen and blatant.

Remember that in September 2008, then-Secretary of the Treasury Henry "Hammerin' Hank" Paulson demanded $700 billion in bailout funds from Congress with no strings attached. Paulson literally extorted the money by claiming that America would completely collapse in days or weeks if he didn't get the money authorized immediately. The fact that Paulson was formerly CEO of Goldman Sachs, a company with heavy representation in the Trilateral Commission, didn't deter his demands nor Congress' total capitulation to them.
U.S. taxpayers should demand that Congress immediately start impeachment proceedings to remove Geithner as Secretary of the Treasury. Perhaps the threat of a publicly-broadcast Senate trial would motivate Obama to fire him before other incriminating evidence could be presented.

From a layman's perspective, criminal charges facing Geithner might start with something like these:

*

Perjury - lying to and withholding information from the U.S. Senate while under oath
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Theft - illegally diverting billions of Treasury funds to selected global banks
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Conspiracy to conceal a criminal act - coercing AIG to file false regulatory statements with the Securities and Exchange Commission (SEC)
* Malfeasance - commission of an unlawful act in the course of an official capacity

The August Review has long pointed out and documented cases where members of the Trilateral Commission have discovered ways to raid the U.S. Treasury for private gain. A few of these articles include:

* America Plundered by the Global Elite - May 18, 2005
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Plundering the Public Purse - March 21, 2008
*

BAILOUT: America's Financial Ruin - October 6, 2008

It should be reiterated that all bankers and corporate executives are not greedy and corrupt. In fact, the vast majority are loyal Americans, law-abiding, family oriented and civic-minded. The small group of internationalists who are members of the Trilateral Commission are the polar opposite of mainstream America and live and operate as if they are above the law and any accountability to the people of the countries where they have business interests. From its founding in 1973 by Zbigniew Brzezinski and David Rockefeller, the Trilateral Commission has never had more than 400 members at any one time; of those members, only about one third are directly connected to banks and global corporations. Since Commission membership is drawn from Europe, Asia and North America, U.S. membership is obviously quite small.

The August Review's 2009 article Obama: Trilateral Commission Endgame was not widely criticized when it reported that about 12 percent of the U.S. membership had been appointed by President Obama to top-level positions in his administration: Timothy Geithner, Susan Rice, Gen James Jones, Thomas Donilon, Paul Volker, Adm. Dennis Blair, Kurt Campbell, James Steinberg, Richard Haas, Dennis Ross and Richard Holbrooke. Another Trilateral member, Robert Hormats was appointed later in 2009.

If America is to survive this pandemic of high-level corruption, then this Trilateral Commission hegemony must first be jetisoned from all positions and departments of our government; merely electing another party in November 2010 will not accomplish this.

http://www.augustreview.com/news_commen ... 100107154/