Interim Head of Government Bailouts, Neel Kashkari, Called a "Chump" by One Congressman, While Another Compares Him to Mel Gibson

Paul Kiesel
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Posted by Paul KieselNovember 14, 2008 7:09 PM

Neel Kashkari, the interim head of the Troubled Asset Relief Program (aka the Treasury Department's $700 billion financial rescue plan or TARP), came under heavy fire today at a House Oversight and Government Reform subcommittee hearing, after Maryland Democrat Elijah Cummings got his chance to ask Kashkari questions relating to an expanded $154 billion that was given to American International Group Inc. (AIG) this week, even though AIG still plans on setting aside $503 million in compensation for executives.

Cummings asked Kashkari, "I'm just wondering how you feel about an AIG giving $503 million worth of bonuses on the one hand, and accepting $154 billion from hard-working taxpayers? [And] what really bothers me is all these other people lining up. They say, well, is Kashkari a chump?"

Kashkari responded by telling the panel he was "outraged" that AIG will do this, but he then said he recently learned that AIG has set aside money in order to eliminate an incentive to leave the insurer.

"I'm not defending it," Kashkari said. But, in actuality, he had done just that.

After Cummings prodded Kashkari further, and laid a minor guilt-trip on him, explaining that families, due to the economic situations that many in the country currently face, will "probably be sitting under the Christmas tree with no presents" this year due to his decisions inadvertently determining consumer behavior, Dennis Kucinich, the chairman of this subcommittee, repeatedly interrupted the Treasury official during the more than two-hour session.

Kucinich harshly criticized Treasury Secretary Henry Paulson's decision this week to abandon the TARP's original intent of purchasing toxic mortgage assets from financial firms.

"The secretary just essentially took some scissors and cut it out and threw it away [. . .] Maybe this is some kind of game to some people in the administration," Kucinich said. "They're [Bush's Administration] on their way out of office and they just feel they can do whatever they want."

Is Kashkari a Chump

Kashkari reitterated to the subcommittee that his department isn't in charge of bank oversight, and that financial regulators are more concerned with bank using this capital to increase lending.

The top Republican on the subcommittee, Darell Issa (R-CA), chided Kashkari saying that his efforts have done little to help families stay in their homes. "It's very clear that the Treasury cannot and will not make the effort to keep people in their homes."

After further accusations by some other members of the committee, California Republican Brian Bilbray, with an absurd veneration, compared Kashkari to Mel Gibson's character from Braveheart, "I guess you sort of got a taste of how Mel Gibson felt in the last scenes of 'Braveheart' [. . .] You're probably the best spokesman the administration has [and] you've come across with more credibility than anyone else that I've heard."

2 Comments

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xx
Posted by xx
November 15, 2008 11:31 PM

Rep. Cummings of Baltimore, this guy is criminally uneducated, pandering to emotions rather than scrutinizing the questioner. After the first round of questioning, it became apparent that the whole testimony was nothing but a charade masqueraded by the officials to bluster and appear as if they are caustically fighting for the "average" citizen. They went on and on with specific examples of how their constituents are suffering and sophomorically dallying around trivial matters of financial market while entirely avoiding asking any meaningful question from Kashkari. I watched Kashkari's eyes popping out in disbelief that how these buffoons are not even bothering asking him any pertinent question what so ever only to condescend him with snide array of misplaced rage.

This obsession by our leaders to keep homeowners in their home will mark the end of whatever is left in this country resembling prudence and morality. I support saving all homeowners not just the irresponsible 3 million living in Mcmansions.

Congress and Sheila Bair's obsession with this spend-only bailout rewards the reckless and punishes the prudent. Consider the lesson it imparts to promote bailouts to the reckless. City by city, neighborhood by neighborhood, people who live beneath their means and manage money carefully will see more careless neighbors supported by federal decree. And what about the 30 percent of this nation who were smart enough to rent? Or how about the large percentage of us who gave plenty of warnings to these same people the government now wants to redistribute my taxes to so they can stay in a house twice the size the home I live in. The backlash to the 700 B bailout package was not only because of the bailout of wall street but also the bailout of the reckless homeowners and their relentless ATM / HELOC spending. As it is now these people can live in their home for over a year rent free while they find a home they should have been living in from the start.

We are becoming a nation of people who feel it is not only okay but justified to cheat, lie, and swindle each other and the rest of the population. Personal responsibility is discouraged by the government and the mainstream media. Our nation is eating ourselves from within just to keep a facade of prosperity. Hope is being replaced by anger and desperation. Welcome to the new dawn.

Kabir
Posted by Kabir
November 16, 2008 6:09 PM

I am watching Brahminist-Hindus going ga-ga over their compadre Neil Kashkari getting catapulting to Treasury - just as they were delirious with the appointment of Vikram Pandit as Citigroup CEO. But are Americans aware of the very elitist/fascist caste-ridden social values of these Brahminists and how they have been looting and pillaging India?

Probably not, because they get their information from this same narrow minority of Indians in western countries. The Brahminist establishment has monopolized India’s top educational institutions (IITs) which supply 99% of “Indian” students to U.S. universities (while being less than 5% in Indians) who then join US companies and CEOs. After assuming state power in 1947, Brahminist communities (8% of Hindus: Brahmin, Bania, Lala castes) have done very well in India at the expense of the rest by systematically corrupting, monopolizing and looting all state institutions set up by the British. They are motivated by delusional historical ideologies in which Brahminist-Hindus fancy themselves as some perpetual ruling-class of India (“highest castes”) despite that fact that the objective historical record bears witness to mostly non-Brahminist rule in the subcontinent over the past 2500 years (e.g. Buddhism, Muslim, Sikh) and various new influxes of peoples and cultures such as the Sakas (Indo-Scythians), Huns, Moguls and Pathans. These groups and their descendents created most of the known “Indian” empires, including the three Buddhist empires of the Satraps, Kushanas and Virkas from 300BC-800AD; the Muslim empires of the Ghaznis, Lodhis, Mughals (10-18 century AD); and Sikh, Rajput, Jat and Maratha rule before the British arrival in the 19th century.

Given the degenerate, corrupt and criminalized nature of their beloved Bharat’s legal and administrative system, I do not believe that Americans wish to welcome their Manuite values and contributions here. They have already acquired quite a reach in the U.S. media, university system and wall street.

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