Taxpayers losing money with TARP..

[GeezerMan]

78? only 78 convictions related to the banking bailout? How many hundreds of convictions resulted from the much smaller savings and loan bailout of the 1980s?


http://www.sigtarp.gov/reports/congress/2012/April_25_2012_Report_to_Congress.pdf


Report from the Office of the Special Inspector General for the Trouble Asset Relief Program says:

It is a widely held misconception that TARP will make a profit. The most recent cost estimate for TARP is a loss of $60 billion. Taxpayers are still owed $118.5 billion (including $14 billion written off or otherwise lost).

A significant legacy of TARP is increased moral hazard and potentially disastrous consequences associated with institutions deemed “too big to fail.” TARP’s legacy also includes the impact on consumers and homeowners from the large banks’ failure to lend TARP funds. TARP continues to be subject to criticism that TARP helped large banks but not homeowners.​

In addition, after 3½ years, community banks have an uphill battle to exit TARP because they cannot find new capital to replace TARP funds. Finally, TARP’s legacy includes whitecollar crime that SIGTARP is uncovering and stopping."​

SIGTARP investigations have resulted in criminal charges against 78 individuals.​

Fifty of those individuals have been convicted

You might want to check out my thread on the lack of reforms:
http://forums.anandtech.com/showthread.php?t=2241729

 

[nehalem256]

Its a shame America does not having canings like Singapore. Then we could just have all of the banking executives summarily caned.

Given the salaries/bonuses they were paid their is no excuse for needing a bailout. If you want to be compensated like a god, then you should be held to a godlike standard.

 

[GeezerMan]

Finding the Culprits of the Crisis

Derivatives expert Janet Tavakoli takes a hard look at what — and who — caused the financial crisis.

http://www.advisorone.com/2012/04/25/finding-the-culprits-of-the-crisis



The Government Accountability Office continues its subtle war on the talking point used by Treasury that “TARP made money " Here’s the GAO, with a report ....

As of January 31, 2012, 341 institutions had exited CPP, almost half by repaying CPP with funds from other federal programs. Institutions continue to exit CPP, but the number of institutions missing scheduled dividend or interest payments has increased.
​

http://www.nakedcapitalism.com/2012...t-with-money-from-other-federal-programs.html

 

[Ausm]

I think there were over 2500 conviction over the Savings and loan scandal but in regard to this latest meltdown I doubt if we will see any convictions for the following reasons:

1)Our Politicians are paid off by Wall Street

2) The main reason for this Financial crisis was due to inept Politicians deregulating and they don't want the Public to see how utterly idiotic they truly are.

3)The government watchdogs who are suppose to Supervise this Industry obviously dropped the ball and no clue what complex derivatives are.

4)The Dodd-Frank Act was watered down to never address TBTF,Transparency of Complex derivatives and high frequency trading.

We WILL see another crash in the Financial system it's just a matter of time and I hope I'm all in cash when it happens this time.

 

[rudder]

A significant legacy of TARP is increased moral hazard and potentially disastrous consequences associated with institutions deemed “too big to fail.” TARP’s legacy also includes the impact on consumers and homeowners from the large banks’ failure to lend TARP funds. TARP continues to be subject to criticism that TARP helped large banks but not homeowners.

Those banks that were too big to fail before TARP are now even bigger, thanks to mergers and acquisitions.... the 5 biggest held $6.1 trillion is assets in 2008... now the same banks hold $8.5 trillion.

 

[bfdd]

Those banks that were too big to fail before TARP are now even bigger, thanks to mergers and acquisitions.... the 5 biggest held $6.1 trillion is assets in 2008... now the same banks hold $8.5 trillion.

yay! great planning! the only thing I can come up with why someone would want to do what they did is they either think everything is going to fall a part long term because there's no way you could infinitely hold up that which is to big to fail or they wanted to create even bigger institutions. idiots the lot of them.

 

[Fern]

Those banks that were too big to fail before TARP are now even bigger, thanks to mergers and acquisitions.... the 5 biggest held $6.1 trillion is assets in 2008... now the same banks hold $8.5 trillion.

Dodd Frank is driving the mergers.

Fern

 

[senseamp]

We are going to have another crisis before anything is done about this. The time to do something was when AIG was bailed out. There should have been conditions to getting a taxpayer bailout of these banks bad bets on AIG's ability to pay.

 

[Jhhnn]

Dodd Frank is driving the mergers.

Fern

How so?

 

[Incorruptible]

The banks never should have been bailed out in the first place, it only made things worse and the banks will do it again, the situation will get much worse