Showing posts with label bailout. Show all posts
Showing posts with label bailout. Show all posts

Tuesday, December 06, 2011

I'll bet they stomp puppies, too

I don't believe in torture. I am willing, however, to consider an exception to this for certain multinational bankers after watching the above WSB-TV report.

Others well to my right, though, might think the real problem down in Georgia is that Fulton County sheriff's deputies are a bunch of squishy-soft socialists. For refusing to throw a 103-year-old woman and her 83-year-old daughter out of their house and onto the street after Deutsche Bank AG and JPMorgan Chase foreclosed on them, with the blessing of a local judge.

Chase, which services the loan for Deutsche Bank, took $25 billion in TARP money from the American taxpayer after investment bankers blew up the U.S. economy. And those who received much financial mercy from the American government and people showed none to two little old ladies in the dead of winter.

That is, until the TV cameras showed up, and the cops discovered that sometimes the law is no fit thing for a just man to enforce.

THERE'S EVEN a scripture for this. Let us turn to Matthew, Chapter 18:
21 Then Peter approaching asked him, “Lord, if my brother sins against me, how often must I forgive him? As many as seven times?”

Jesus answered, “I say to you, not seven times but seventy-seven times.

That is why the kingdom of heaven may be likened to a king who decided to settle accounts with his servants.

When he began the accounting, a debtor was brought before him who owed him a huge amount.

Since he had no way of paying it back, his master ordered him to be sold, along with his wife, his children, and all his property, in payment of the debt.

At that, the servant fell down, did him homage, and said, ‘Be patient with me, and I will pay you back in full.’

Moved with compassion the master of that servant let him go and forgave him the loan.

When that servant had left, he found one of his fellow servants who owed him a much smaller amount. He seized him and started to choke him, demanding, ‘Pay back what you owe.’

29 Falling to his knees, his fellow servant begged him, ‘Be patient with me, and I will pay you back.’

But he refused. Instead, he had him put in prison until he paid back the debt.

Now when his fellow servants saw what had happened, they were deeply disturbed, and went to their master and reported the whole affair.

His master summoned him and said to him, ‘You wicked servant! I forgave you your entire debt because you begged me to.

Should you not have had pity on your fellow servant, as I had pity on you?’

34 Then in anger his master handed him over to the torturers until he should pay back the whole debt.

35 So will my heavenly Father do to you, unless each of you forgives his brother from his heart.”
WATERBOARDING: It's not just for Muslim "enemy combatants."

I wonder whether the present crop of publicly God-fearing Republican presidential candidates -- some of whom are chomping at the bit to torture somebody . . .
anybody -- are willing to go there with the very folks the Bible says have it coming. Their pals the bankers.

Something tells me the answer is no.

Monday, March 30, 2009

Shutting Detroit Down

Sometimes, it takes a songwriter to distill into digestible form what's been happening to a people.

For a generation in this country, we've seen the rich get richer and the poor and working class get the shaft. By and large, we have been too distracted with bread and circuses to notice what's been happening in Novus Rome.

But the bubble has burst. The fit has hit the shan. We notice.

And now, as country singer John Rich notes, we're bailing out the bankers while we're
shutting Detroit down. And throwing the working man under the limousine.

If, as many fear, the worst is yet to come -- and if Americans have any civic-mindedness and fundamental concern for justice left -- there's going to be a revolution in this country.

You can take that to the zombie bank.

Wednesday, March 05, 2008

Every bank collapse has a silver lining

Yes, Citibank may go down the tubes, sucking God knows what else down with it, with this Associated Press story reporting that a Persian Gulf bailout may not be enough to offset a subprime-sized hole in the bow.
Citigroup shares sank about 6 percent to their lowest level in more than nine years, as stockholders recoiled at forecasts of more losses at the troubled bank and comments from a Middle East fund executive that Citi must raise more cash to stay in business.

Samir al-Ansari, chief executive of the $13 billion government-owned investment firm Dubai International Capital, said Tuesday at a private equity conference that it will take more than the combined efforts of the Gulf’s wealthiest investors — the Abu Dhabi Investment Authority, the Kuwait Investment Authority and Saudi Prince Alwaleed bin Talal — to save Citigroup.

Back in January, Citi raised $12.5 billion from a group of investors including the Kuwait Investment Authority, the Government of Singapore Investment Corp. and Prince Alwaleed. And last year, Citi nabbed $7.6 billion from the Abu Dhabi Investment Authority, a sovereign wealth fund owned by the ruling elite of the United Arab Emirates, the world’s fourth-largest oil exporter, in return for a 4.9 percent stake.


Citigroup shares — which have shed about 50 percent since the credit markets froze up last summer — dropped another 5.6 percent to $21.80 in early afternoon trading Tuesday on the New York Stock Exchange.

In January, Citigroup reported losses of almost $10 billion in the fourth quarter, spurred by $18 billion in write-downs. In addition to capital injections from sovereign wealth funds, the bank has been raising cash through small asset sales of nonessential assets and nearly halving its dividend in January.

“Not only do they need to raise more money, but they should’ve suspended their dividend six months ago,” said Christopher Whalen, managing director of consulting firm Institutional Risk Analytics. “They’re trying to do this in bite-size pieces. But everyone’s still waiting for the other shoe to drop.”

Citi Chief Financial Officer Gary Crittenden said in January the $12.5 billion stake, along with a $2 billion stock sale the bank completed soon afterward, was enough to address “potential capital shortfall under multiple scenarios.”

“They’re saying it’s enough — it’s not enough,” Whalen said, noting that further losses from consumer debt will draw down Citi’s cash levels.
THAT would be bad.

On the other hand, if Citi goes bust, we'll all get a lot less junk mail hawking credit cards we don't want and can't afford to have.

Many trees, alas, could be saved -- living another day to suck greenhouse gases out of the atmosphere. You have to like that, at least.