Judicial Watch has gotten its hands on some key documents from the original Bank/Treasury Department meetings. Some of the revelations are stunning. For example, the segment of the one of the documents shown above, confirms that former Treasury Secretary Hank Paulson abused his power by threatening to have regulators go after the CEOs’ nine major banks should they refuse participate. They had no choice but to allow the government to take equity stakes in their institutions. The documents also show Obama Treasury Secretary Tim Geithner, FDIC Chairman Shelia Blair, and Fed Chairman Ben Bernanke co-hosted the meeting with Paulson.
These documents point to the fact that the US march toward government control of banking stared with President Bush, Obama simply broadened and accelerated the process.
Other things included in the Judicial Watch Reports include:
- “CEO Talking Points” used by former Treasury Secretary Hank Paulson confirming that the nine bank CEOs present at the October 13 meeting had no choice but to accede to the government’s demands for equity stakes and the resulting government control. The talking points emphasize that “if a capital infusion is not appealing, you should be aware your regulator will require it in any circumstance.” Suggested edits of the “talking points” by Tim Geithner, then-New York Fed President, were withheld by the Obama Treasury Department.
- “Major Financial Institution Participation Commitments” signed by the nine bankers on October 13. The CEOs not only hand wrote their institution’s names but also hand wrote multi-billion dollar amounts of “preferred shares” to be issued to the government.
- Email documenting that, on the very day of the meeting, the Chief of Staff to the Treasury Secretary and other top Treasury staff did not know the names of any of the banks that would be in attendance.
- Email showing Treasury officials wanted to use the Secret Service to help keep the press away from the CEOs arriving at the meeting.
- Email showing a public relations effort, run in part out of the Bush White House, to tamp down public concerns about “nationalizing the banks.”
- Email showing that Paulson was able to brief Barack Obama about the bankers meeting almost immediately, but could not reach Senator John McCain.
“These documents show our government exercising unrestrained power over the private sector. Despite promises of transparency, the Obama administration tried to cover up the very existence of these smoking-gun documents. And the cover-up continues, as the Obama administration protects Timothy Geithner by withholding a key document about his role in this infamous bankers meeting,” stated Judicial Watch President Tom Fitton.
Go to Judicial watch and see this entire report…click here.. Its a MUST read.