AIG meltdown: Pelosi blames Senate, Treasury blames Fed, nutroots blame White House
posted at 4:15 pm on March 19, 2009 by Allahpundit
Variations on a theme of Democratic disarray: Madam Speaker’s miffed at Dodd for exempting the bonuses in the first place, the nutroots are miffed at Emanuel and Axelrod for dismissing the intensity of America’s outrageously outrageous outrage, and Treasury’s miffed at the Federal Reserve for not giving it any lead time to dodge a political freight train.
Federal Reserve officials knew for months about bonuses at American International Group but failed to tell the Obama administration, according to government and company officials, exposing problems in a relationship that is vital to addressing the financial crisis.
As pressure mounted on AIG employees to return the bonuses, new details emerged yesterday about what the Fed, the Treasury Department and the White House knew regarding the payments and when. AIG executives said the Fed was informed three months ago by the company that it would pay $165 million by March 15 to employees working at its most troubled division. The Treasury and White House said they learned of the payments from Fed officials only days before they were due…
The Fed officials did not anticipate the political firestorm that would erupt over the bonuses, a senior government official said. “They clearly underestimated the matter,” the source said.
The downside to this goldmine? The GOP’s obliged, as a simple matter of smart politics, to pile on and demagogue the bonuses too, even though the public’s anger is not only potentially dangerous but might end up being harnessed by the left for counterproductive, wealth-destroying means. It’s a question, I guess, of which side can more effectively exploit their version of the “lesson” here: For Republicans, it’s proof of the folly of bailouts and for Democrats it’s proof that business needs to be more tightly regulated. If ever we needed the party to be on its game message-wise, it’s now.
Blowback
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The 90% tax is unConstitutional because of the retroactive nature of the legislation, as well as the fact that it singles out a group for punishment without a trial.
jgapinoy on March 19, 2009 at 4:18 PM
On Sept. 10, 2001, while we slept peacefully, 19 terrorists had a plan NO ONE ELSE imagined: fly planes into buildings & kill thousands of innocent UNSUSPECTING people…
.
On Sept 12, 2001, everyone wanted to know HOW WE DIDN’T CONNECT THE DOTS.
.
If I wanted to destroy this country from within, here’s a few of the things I would do (in no particular order):
~ Raise taxes to 90% (START w/ BIG BAD BUSINESSES)
~ Ignore the Constitution
~ Severely cut defense spending
~ Bankrupt & demoralize “we the people”
~ Create sense of panic to pass pet projects w/o scrutiny
~ Take over the financial institutions
~ Violate Posse Commatatis (start w/ army training in MD)
~ Take away citizen’s guns
~ Free Gitmo prisoners into U.S.
~ Reduce border security
~ Offer incentives to illegal aliens Soc Sec/Health Care
~ Create barriers to enforcement of immigration laws
~ Take guns away from pilots
~ Demoralize our military
~ Get elected without showing usual credentials/vetting
~ Elevate the status of enemies by inviting them to “talk”
~ Announce to Russia that they can have Poland & Czecholslovakia
~ Create environment of chaos to distract from real crises
~ Insult our longest & most loyal ally with a set of DVDs
~ Pretend to fill cabinet then blame error on”shortstaffing”
~ Fiddle while Rome burns (go on Leno while sh!t hits fan)
~ Create your militia (call it Civilian Military Service)
~ Scrub all negative stories from all media
~ Create enemies list & discuss at 8:30 every morning
~ Propagandize media
~ Squelch free speech
~ Create network of e-z to mobilize organizations
~ Have organizations in place to steal elections
~ Corrupt census for various nefarious purposes
~ Take money from foreign sources without consequences
~ Proclaim yourself a “dual citizen at birth”, then deny it
~ Disrupt normal checks & balances
~ Create false sense of security w/ lots of pretty speeches
~ Hang with, study & admire communists/socialist/Marxists
~ Befriend terrorists & racists
~ Deny everything & call people who question you “RAAAACISTS!”
QUESTION: One day will we look back and wonder how we didn’t connect THESE Macy’s Day Parade balloon size dots?????
NightmareOnKStreet on March 19, 2009 at 4:18 PM
Itsa quagmire! What’s the exit strategy?
This war is lost!
Skandia Recluse on March 19, 2009 at 4:18 PM
Circular firing squad 5. . . 4 . . . 3 . . . 2
Wait, I need more popcorn first.
rbj on March 19, 2009 at 4:19 PM
Pelosi and her brain dead gaggle of compliant politicos have just initiated mob rule. The Republic is gone and chaos is our future.
rplat on March 19, 2009 at 4:19 PM
Hah. Expecting the Republican party to be on its game? Not likely.
If we HAD a decent party, we wouldn’t be in this mess. Instead, we have a few people here and there, but no coordination, not much vision, and too much aversion to risk.
There’s a reason Rush gets lots of playtime: the Republican Party is pretty much discombobulated.
Vanceone on March 19, 2009 at 4:19 PM
*Wiping tears*
This is so beautiful.
Chuck Schick on March 19, 2009 at 4:20 PM
Will all just eat each other. Sure reads like the Donner Party
larvcom on March 19, 2009 at 4:20 PM
Ah, Obambi’s vision of “hope and change” yet with all of the FINGER POINTING going on it looks to me like business as usual within our gubment…so much for the change, lets just hope our republic can survive the obvious incompetence coming from THE ONE in charge!
Liberty or Death on March 19, 2009 at 4:20 PM
Uh-oh…I smell a concensus meeting at the White House in our near future. POTUS, Senate Leader, and Speaker will gather over coffee and Arugula (have you noticed how expensive it is in DC?) tarts to spread the blame around and divide up the buck that POTUS has.
After the meeting, which will be a private affair, the 3 will announce that they have resolved the issue, and it’s time to move on.
BobMbx on March 19, 2009 at 4:20 PM
It ought to be against the law for America’s Mother-In-Law to appear in front of the flag
el rey on March 19, 2009 at 4:21 PM
Hannity just reported that Geithner just admitted to what Dodd said after Dodd first lied about it. The direction to add the okay for bonuses came from him and his staff!
This administration is completely incompetent and they are liars.
bucsox79 on March 19, 2009 at 4:21 PM
Which means we’re in trouble. Unfortunately, the Republican Party hasn’t been on its game since before the election. Boehner et al need to be aggressive and state their case in clear, resounding language so loud and often that the media can’t dismiss it.
This is one of those occasions when it is time to stand up and be counted.
Matt Helm on March 19, 2009 at 4:21 PM
Heard on HANNITY:
TURBO TAX TIMMY ADMITS DODD WAS CORRECT TIMMY WAS THE ONE THAT HAD THE DODD AMMENDMENT PUT IN THE PORKULUS BILL
ordi on March 19, 2009 at 4:22 PM
The Republicans should keep their mouths shut and let the left tear itself apart with full ownership of this mess. They can be hypocrites and lay on the fake outrage. Or they can tell the truth and standby a current moment political loser of an argument. I say shhhhhhhhhhhhhh…
Zetterson on March 19, 2009 at 4:22 PM
They’re all to blame, period.
Will someone PLEASE set the date for the march on DC?
SET.THE.DATE.
Oink on March 19, 2009 at 4:22 PM
When is Obama going to admit either:
1) He lied about not knowing about the AIG bonuses as he put them into the Stimulus
2) He never read the Stimulus
Its 1 or 2.
Chuck Schick on March 19, 2009 at 4:23 PM
Or both.
BobMbx on March 19, 2009 at 4:24 PM
Okay, Dodd caught lying. Obama and staff caught lying.
What more do the CONSERVATIVES need to start making a case?! I swear, they have enough ammunition to win an actual presidential election. They better be keeping track of EVERYTHING and pull out the guns for 2012 and of course, the 2010 elections.
bucsox79 on March 19, 2009 at 4:24 PM
And the unions are already out in force pushing card-check to take advantage of this class warfare outrage.
genso on March 19, 2009 at 4:25 PM
It’s time to call up Newt.
BobMbx on March 19, 2009 at 4:26 PM
Hilarious.
Keyser-Soze on March 19, 2009 at 4:26 PM
everyone take a step back for a minute and imagine AIG had they bled even more employees? this would all have been over a while ago, now, instead, we get treated to this public lynching of PRIVATE CITIZENS. I repeat, PRIVATE CITIZENS.
What a disgrace. Is there any way to take a mulligan on the last election?
gatorboy on March 19, 2009 at 4:26 PM
And, for once, NO ONE IS BLAMING REPUBLICANS!…yet.
outOfElement on March 19, 2009 at 4:26 PM
start revving up the bus for Timmy-boy, he’s about to throw himself under it.
rbj on March 19, 2009 at 4:27 PM
They are freaking nuts!!!!! JUDGE, JURY and EXECUTIONER!!!!
It’s like we are living under a dictatoship, except it is a group effort.
Also, I heard that many of the AIG execs who got bonuses are foreigners and live outside our borders.
bloggless on March 19, 2009 at 4:28 PM
Our enemies watch this, and after they stop celebrating they get busy. We are in extremely serious trouble, people.
dogsoldier on March 19, 2009 at 4:28 PM
Allow them to eat each other. This is better than the FINAL FOUR!
*Ducks*
HornetSting on March 19, 2009 at 4:28 PM
To paraphrase PJ O’Rourke:
Giving money and power to DEMOCRATS is like giving whiskey and car keys to teenage boys.
Norwegian on March 19, 2009 at 4:28 PM
Hey Barry, remember that big show of signing your porkulus in Denver in front of everybody? Bet this makes you wish this was all a “need a moment?” candy bar commercial!
innominatus on March 19, 2009 at 4:29 PM
SHOULDN’T THEY READ THE BILLS?
How about we give this one a recall mulligan and sit down and read it then vote again.
And while we are at the reading thing, how about we have all Congressmen and Senator go to the floor and read the Constitution out load into the Congressional record.
tarpon on March 19, 2009 at 4:29 PM
Hopefully the GOP leadership and Michael Steele are holed-up somewhere filming commercials for 2010. We’ve got enough material to carry us through 2012 right now.
Surely they’re keeping a list.
Oink on March 19, 2009 at 4:29 PM
Does this mean He Who Is Him is gonna preempt American Idol on Wednesday, too?
Why do I have to trade “AMerican Idol” for “AMerican Idiot”?
bloggless on March 19, 2009 at 4:29 PM
It is the Republicans fault.
How are the Collins, Snowe, Specter votes working for us now?
Wade on March 19, 2009 at 4:30 PM
Keen observation. The in-fighting begins.
Oink on March 19, 2009 at 4:30 PM
Something I haven’t heard discussed is this: like it or not, these people (AIG execs) signed contracts where they agreed to be retained for x number of dollars as a bonus. Now the gov’t will take that money away while leaving these same employees legally obgligated (I assume) to stay on – after all AIG met their contractual obgligation with their employees.
What incentive do these folks have to perform?
Nose – face…
pain train on March 19, 2009 at 4:31 PM
There’s a message? Is it that one that Grassley fellow said, about committing suicide? Is that the message?
beatcanvas on March 19, 2009 at 4:31 PM
Move over, GOP. Sarah has already indicated that she’s in a fighting mood about the stimulus money. She should come out and slap the federal govt. for this as well. Look for the real leader for the message control, GOP.
promachus on March 19, 2009 at 4:31 PM
This should make Leno interesting. Yeah, right.
HornetSting on March 19, 2009 at 4:31 PM
Easy, feller, or someone might drop a 90% tax rate on you!!!! my little pretty!!!!!
bloggless on March 19, 2009 at 4:31 PM
Unfortunately, that is probably true.
Count to 10 on March 19, 2009 at 4:31 PM
and rubbers with holes.
Wade on March 19, 2009 at 4:32 PM
Thanks for this laugh of the day. Boy, let the slug turn on the rat to eat their own.
L
letget on March 19, 2009 at 4:32 PM
Well, I am disappointed that Eric Cantor and Paul Ryan voted for the 90% tax. What is up with that? Ever read the Constitution boys?
Babino on March 19, 2009 at 4:32 PM
And they all blame BUUUUUUUUSHHHHHHH!!!!!!
bloggless on March 19, 2009 at 4:32 PM
The GOP does not represent the super rich anymore, if it ever did. The more wealthy you are, the more likely you are to be incredibly socially liberal, with few exceptions. So I say soak the rich jerkoffs who vote for the Dims. And don’t let their accountants get them off.
Speedwagon82 on March 19, 2009 at 4:32 PM
More than half of the AIG execs are … robots. Female Japanese robots.
Attila (Pillage Idiot) on March 19, 2009 at 4:32 PM
Yeah, that’ll work. Commercials! Holed-up! Yeah – that’s the ticket… the Republicans never thought of being holed up to make commercials before… awesome grassroots stuff, that.
To 2010 – and beyond!
beatcanvas on March 19, 2009 at 4:33 PM
Let’s all sit and watch the Money-go-round.
Christien on March 19, 2009 at 4:34 PM
Waiting for that, but they’ll allow obama to say THAT!
HornetSting on March 19, 2009 at 4:34 PM
As noted above, circular firing squad.
Unfortunately, the American people are in close proximity when the bullets start flying.
RuhRoh.
cs89 on March 19, 2009 at 4:34 PM
In dead, though I think that the contract period is over, so they are not obligated to stay any longer. Some, in fact, have already left.
This is “outrage” what socialism looks like on the way in.
Count to 10 on March 19, 2009 at 4:34 PM
We need our leader to step up. Where is Megan McCain on this?
Wade on March 19, 2009 at 4:34 PM
I think it’s already been taped; They played some of it on the radio. A bunch of populist BS about a hybrid in every garage and arugula in every pot. You know- whatever it took to appeal to a Ca audience.
anniekc on March 19, 2009 at 4:35 PM
Obama’s teleprompter could not be reached for comment.
lorien1973 on March 19, 2009 at 4:35 PM
The best advice in the case of a circular fire squad is to keep your head down. It doesn’t always work, but it is better than nothing.
Count to 10 on March 19, 2009 at 4:36 PM
I think it’s already been taped; They played some of it on the radio. A bunch of populist BS about a hybrid in every garage and arugula in every pot. You know- whatever it took to appeal to a Ca audience.
anniekc on March 19, 2009 at 4:35 PM
anniekc on March 19, 2009 at 4:36 PM
This should make Leno interesting. Yeah, right.
HornetSting on March 19, 2009 at 4:31 PM
Es no problema, Senora. They’re warming up the Teleprompter right now. And I am sure Jay has already been told by G.E. what he can and can not ask.
kingsjester on March 19, 2009 at 4:37 PM
SORRY- WRONG THREAD. I could never have been that quick!!
NightmareOnKStreet on March 19, 2009 at 4:37 PM
I question the word ‘might’ in that text.
Vashta.Nerada on March 19, 2009 at 4:37 PM
Yeah, they will probably ask him boxers or briefs while the country’s economy slides into the ocean.
HornetSting on March 19, 2009 at 4:38 PM
Does anyone want to get off this ride yet?
upinak on March 19, 2009 at 4:39 PM
And did they all tell you “no”?
bloggless on March 19, 2009 at 4:39 PM
That’s true. Does anyone in California speak English anymore? I hope his teleprompter speaks Espanol.
HornetSting on March 19, 2009 at 4:39 PM
But it does have a website. http://baracksteleprompter.blogspot.com/
Oink on March 19, 2009 at 4:39 PM
How many times will the Precedent use the words: Crisis, inherited and previous administration on Leno this evening?
thomasaur on March 19, 2009 at 4:39 PM
This is all Bush’s fault.
Oh wait a minute, that was supposed to be posted by getalife.
Knucklehead on March 19, 2009 at 4:40 PM
Question one: how much AIG bailout money was sent straight away to Goldman Sachs?
Question two: how much AIG bailout money was used for contractual bonuses?
Question three: why is everybody focusing on question two?
Vashta.Nerada on March 19, 2009 at 4:40 PM
I think Pelosi is lying. I didn’t see her blink.
Seriously, this deserves popcorn and scotch tonight.
Dr.Cwac.Cwac on March 19, 2009 at 4:41 PM
With overwhelming corruption in this administration,..nothing good will come until they do right…the way things are going now-i it’s up to us to vote them out, some dogs just refuse to learn.
christene on March 19, 2009 at 4:41 PM
Thomas Gober, a former Mississippi state insurance examiner who has tracked fraud in the industry for 23 years and served previously as a consultant to the FBI and the Department of Justice, says he believes AIG’s supposedly solvent insurance business may be at least as troubled as its reckless financial-products unit. Far from being “healthy,” as state insurance regulators, ratings agencies and other experts have repeatedly described the insurance side, Gober calls it “a house of cards.” Citing numerous documents he has obtained from state insurance regulators and obscure data buried in AIG’s own 300-page annual reports, Gober argues that AIG’s 71 interlocking domestic U.S. insurance subsidiaries are in hock to each other to an astonishing degree.
Most of this as-yet-undiscovered problem, Gober says, lies in the area of reinsurance, whereby one insurance company insures the liabilities of another so that the latter doesn’t have to carry all the risk on its books. Most major insurance companies use outside firms to reinsure, but the vast majority of AIG’s reinsurance contracts are negotiated internally among its affiliates, Gober says, and these internal balance sheets don’t add up. The annual report of one major AIG subsidiary, American Home Assurance, shows that it owes $25 billion to another AIG affiliate, National Union Fire, Gober maintains. But American has only $22 billion of total invested assets on its balance sheet, he says, and it has issued another $22 billion in guarantees to the other companies. “The American Home assets and liquidity raise serious questions about their ability to make good on their promise to National Union Fire,” says Gober, who has a consulting business devoted to protecting policyholders. Gober says there are numerous other examples of “cooked books” between AIG subsidiaries. Based on the state insurance regulators’ own reports detailing unanswered questions, the tally in losses could be hundreds of billions of dollars more than AIG is now acknowledging.
- Newsweek
MB4 on March 19, 2009 at 4:41 PM
Dodd lied
Bonuses died
jgapinoy on March 19, 2009 at 4:42 PM
I can see the democratic attack ads for 2010 are writing themselves.
Vashta.Nerada on March 19, 2009 at 4:42 PM
Politics as usual.
Meanwhile, the President is out selling his budget and agenda.
getalife on March 19, 2009 at 4:43 PM
bingo
gatorboy on March 19, 2009 at 4:44 PM
And look no teleprompter.
getalife on March 19, 2009 at 4:44 PM
inability to say “no” and inability to read are not a budget nor an agenda….
sven10077 on March 19, 2009 at 4:45 PM
Should be interesting after his last “look ma, no teleprompter!” moment, which involved comparing AIG to suicide bombers.
teke184 on March 19, 2009 at 4:46 PM
Fixed
Knucklehead on March 19, 2009 at 4:47 PM
Please pass the popcorn, make mine the white cheddar kind.
What fun!!!!
Ricki on March 19, 2009 at 4:48 PM
Circular Firing Squad! WHEEEE!
chunderroad on March 19, 2009 at 4:48 PM
You could make a great cartoon about this….
drjohn on March 19, 2009 at 4:48 PM
CBO will report tomorrow Obama’s budget is a lie as well.
Chuck Schick on March 19, 2009 at 4:48 PM
Demagogue? That’s getting a little carried away now.
What is potentially dangerious is if the public is just told to shut up.
So the scofflaws at AIG have to be defended or we will be enabling the left to wealth-destroy? Don’t they already want to do that? Defending AIG bonuses to scofflaws is what would enable them, Big Time.
MB4 on March 19, 2009 at 4:50 PM
did he thank himself again ?
runner on March 19, 2009 at 4:50 PM
And the child-Democrats thought they were going to secure their political stronghold for the next 40 years. And by their own hand, they will reduce it to only four years. And at their rate they are self-destructing, maybe two.
sherry on March 19, 2009 at 4:52 PM
I am no defender of AIG, their behavior in the muni-bond scandal is criminal enough, but they should have voted against this tax.
rob verdi on March 19, 2009 at 4:52 PM
Dodd giveth and Dodd taketh away.
I hear that Bahnee Fwank pitched an unGodly rant and I saw that Chuckie Schumah wasn’t half bad in his serious Kabuki remonstrations. It was Oscar material.
This has all the components of a spoiled brat ‘taking back’ the toys that were yours’ to begin with…’Spoiled brat’ being anyone who is pretending that they are, (as Nancy said) ‘serving the national interest’ by signing into law(?) this farce, this unconstitutional scat.
If this doesn’t grow cajones on the Repubs, nothing will. Whatever…bottom line: WE have to take this country back by voting out everyone who doesn’t know that THEY WORK FOR US.
Christine on March 19, 2009 at 4:53 PM
but we know that SNL and Letterman etc. will only make fun of Dodd, Biden, Geithner, Bella Pelosi, because they are all afraid to make fun of the one.
But I think the tides will turn soon.
Make that popcorn and a martini, a dry martini
Ricki on March 19, 2009 at 4:53 PM
I’ll give you this much credit, getalife-
You are certainly persistent.
A Balrog of Morgoth on March 19, 2009 at 4:53 PM
Hatred (A Duet)
If you keep on putting me down
Rub my name into the ground
I’ll drag the dirt all over town about you
And if you spread the filth on me
I’ll only have one remedy
I’ll spill the beans, you’ll see I’ve got a mouth, too
Christien on March 19, 2009 at 4:54 PM
Getawife”politics as ususal”
Naw, this is a beautiful thing. Cheap at 160 million. Thank you Lord.
Lincoln Cadillac on March 19, 2009 at 4:54 PM
May they fight to the death.
CP on March 19, 2009 at 4:56 PM
drjohn on March 19, 2009 at 4:48 PM
Not a bad idea, how about all of them standing in line wearing t-shirts that say “I’m with stupid” and arrows pointing in both directions?
milwife88 on March 19, 2009 at 4:56 PM
TOTUS will have cue cards tonight.
INC on March 19, 2009 at 4:57 PM
Hey, but at least the Obamans were able to point out what a divisive figure Rush Limbaugh supposedly is.
And Obama got his March Madness picks in on time, something I cant say.
Mike D. on March 19, 2009 at 4:58 PM
It’s not Senate, White House language.
It’s Senate, White House and House language.
A bill cannot be sent to the President unless it has both a Senate and House approval vote. The language of the House Bill and the Senate bill have to match.
The House and Senate send reps to a conference on each bill to hash out the initial differences. Obviously the the House acquiesced to this provision.
Nancy is in charge of all that as Speaker. Did someone not tell her? Did some House Dem in charge not understand the politics of this provision?
What did Nancy not know and when did she not know it?
You own a percentage of this cluster, Pelosi.
Dusty on March 19, 2009 at 5:01 PM
Obama admitted into rehab facility to overcome his teleprompter addiction
TA Steps
1. We admitted we were powerless over the teleprompter – that our lives had become unmanageable.
2. Came to believe that I am a Power greater than
ourselvesmere citizens and could restoreusmyself to sanity.3. Made a decision to turn our will and our lives over to the care of
Godmyself as we understood Him.4. Made a searching and fearless moral inventory of ourselves.
5. Admitted to
Godmyself, to ourselvesand to another human being the exact nature of our wrongs.6. Were entirely ready to have
Godmyself remove all these defects of character.7. Humbly asked
Himmyself to remove our shortcomings.8. Made a list of all persons
we hadwho had harmed me, and became willing to makeamends tothem all.pay dearly.9. Made direct amends to such people wherever possible, except when to do so would injure
them or othersmyself.10. Continued to take personal inventory and when
weothers were wrong promptlyadmittedpointed it out for political gain.11. Sought through prayer and meditation to improve our conscious contact with
Godmyself as we understoodHimmyself, praying only for knowledge ofHismy will for us and the power to carry that out.12. Having had a spiritual awakening as the result of these steps, we tried to carry this message to
alcoholicsteleprompter addicts and to practice these principles in all our sordid political affairs.gatorboy on March 19, 2009 at 5:01 PM
And no brains, either.
HornetSting on March 19, 2009 at 5:01 PM
I swear if this brings up another Meghan McCain thread I’m giving Getalife your home phone number!
anniekc on March 19, 2009 at 5:02 PM
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