Naked Capitalism: No Stomach for Bank Snatching, Treasury Seeks OK to Seize Non-Banks

Apparently Citi and B of A have been too large to swallow, so Treasury may content itself with other fish.

This just in from Naked Capitalism:  "The Washington Post reports that Treasury will seek the power to take over insurers, hedge funds, and investment firms. Given the Treasury's reluctance to assume control over clearly insolvent banks (Citi assuredly, probably Bank of America), it seems curious indeed that it is asking to extend authority that it is patently reluctant to exercise."

Read the story in Naked Capitalism here.

The opening Washington Post graph:  "The Obama administration is considering asking Congress to give the Treasury secretary unprecedented powers to initiate the seizure of non-bank financial companies, such as large insurers, investment firms and hedge funds, whose collapse would damage the broader economy, according to an administration document."

Read the entire story here.

Comments

[Robi]

Very usefull post, many thanks