Just The Facts

Did the FDIC Sabotage WaMu's Management and Erode Investor Confidence?

I agree. The courts will overturn this "seizure". It violates the 5th Amendment.


I also found it interesting that the bailout bill has language saying that banks cannot sell their troubled assets to the taxpayers at a profit, but makes an exception for assets received through a merger or buyout (meaning that JPM will be allowed to sell WAMU's assets to the Treasury for a nice profit, AFTER the FDIC basically gave the assets to JPM for nothing). It simply boggles the mind. The government seizes private property, gives it to a corporate friend, and then buys it back from said friend at a higher price. Wow!