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The Moral Hazard of Having a Fed Mole at Treasury.

In February of 2004 Greenspan advocated the purchase of adjustable mortgages. The Fed actively promoted ponzi loans and looked the other way in regulating the underwriting.

Geithner was president of the most powerful Fed, the NY Fed. He was part of the look-the-other-way team. Now he is treasury secretary and he bailed out AIG and gave full compensation to the guys on the other side of the AIG trade, Goldman Sachs.

Goldman Sachs is the most hated company in the history of the world. Geithner didn't  even  get a cut for the taxpayers in bailing them. The treasury was raided in bailing out failed CIT. Taxpayers lost billions there. Banks are bailed out while seniors can't live on the bond returns they worked decades to expect.

There is moral hazard in putting a blood sucking Fed official, of the private Fed bank, into the position of guarding the taxpayer treasury. A Fox in a hen house is moral hazard. And the guy had so little respect for the treasury of the United States that he cheated on his taxes.

This moral hazard is not a Republican versus Democrat issue. It is a banker cartel versus mainstreet issue. 

This cabal is robbing you by low interest rate returns, and is robbing you by artificially high assets brought on by a deliberate decline of the dollar. This cabal wants China to bail us out by selling credit cards from Wall Street to the Chinese. But the proven consumer, the US consumer is left to drift in the wind.

Geithner should be fired. Obama needs Geithner and Larry Summers to go and he should appoint a clawback team to clawback every dime that is possible to clawback.

Obama needs to wage war against the Fed or he will be a one term president. The guy to start with is Geithner.