Sunday, August 16, 2009

$2.98 Trillion blown on bailouts

Says WSJ quoting the government Tarp cop.

"The $2.98 trillion figure given by Mr. Barofsky reflects spending on the TARP as well as funding for certain programs from the Federal Reserve Board and the Federal Deposit Insurance Corp. It doesn't include costs for working-capital loans to General Motors Corp. and Chrysler LLC or a new government auto-warranty-guarantee program unveiled Monday."

The economic value was lost anyway, we simply transferred the loss to the tax payer because of a panic. It is no wonder voters are pissed off.

"Such a large commitment of funds in such a short time "will inevitably attract those seeking to profit criminally," Mr. Barofsky said. "If, by percentage terms, some of the estimates of fraud in recent government programs apply to the TARP programs, we are looking at the potential exposure of hundreds of billions of dollars in taxpayer money lost to fraud," he told lawmakers."

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