Bailouts, bullcrap, & Old Bailey

**Hondo** · 8th Oct 08, 11:16

First George W says the bailout has to happen by 4:00pm Friday or the world will end. It didn't. World didn't end Monday either. You would think a world ending crisis would call for a round-the-clock effort but no, these bozos adjorn for a Jewish Holiday. Back to work again and George W is flogging the world is gonna end scenario again if the bailout isn't in place by the end of the week. It has to happen now or the consequences will be dire, immediately. Congressmen and Senators, although admitting their offices are being deluged with calls and emails from constituents against the bailout, vote to pass it anyway. The bailout passes and the world begins to end. Now, it seems, the bailout will require "some time" to take effect.

Meantime, AIG, the receipient of a huge federal bailout loan to save the company, send their top executives off on a $440,000 weekend retreat. I guess they need to rest up before they go begging for their next loan.

Some of these players ought to be put in jail. The rest of them ought to be hung.

**Mark** · 8th Oct 08, 12:10

True, they do live in another world! I think certainly from a UK standpoint the government is looking at taking stakes in banks, they should take controlling stakes and prevent the people running them from taking bonuses until they deserve them.

The banks have been raping their customers for decades, it stops now

**Dave B** · 8th Oct 08, 12:12

Bush's legacy will be a failed war and failed economy.

Rightly or wrongly - and I haven't fully digested the day's events yet - at least the UK is doing something: I woke up this morning as a shareholder of Barclays, LloydsTSB and HSBC.

**Hondo** · 8th Oct 08, 12:24

Barclays bought Lehman out and Lehman owned F1 shares so now you, as a part owner, can pal around with Bernie.

**Mark** · 8th Oct 08, 12:26

Originally Posted by Dave Brockman

I woke up this morning as a shareholder of Barclays, LloydsTSB and HSBC.

As well as Northern Rock of course.

That's how it's supposed to be of course, but you can bet the government will squander it, or sell it back again far too cheaply and a small amount of people will get very rich indeed.

**BDunnell** · 8th Oct 08, 12:51

I hope they don't stop there with the renationalisation. Let's renationalise the railways and remove all private-sector involvement from the health service, all to celebrate the 60th anniversary of 1948.

**veeten** · 8th Oct 08, 12:55

Originally Posted by Fiero 5.7

Meantime, AIG, the receipient of a huge federal bailout loan to save the company, send their top executives off on a $440,000 weekend retreat. I guess they need to rest up before they go begging for their next loan.

Some of these players ought to be put in jail. The rest of them ought to be hung.

not too suprising, Fiero, considering their innate nature.

I present to you, the real AiG.

http://www.dcexaminer.com/opinion/co...overnment.html

**Daniel** · 8th Oct 08, 20:00

http://www.abc.net.au/reslib/200809/r296471_1276465.asx

**veeten** · 8th Oct 08, 20:45

Originally Posted by Daniel

http://www.abc.net.au/reslib/200809/r296471_1276465.asx

... temporarily.

**cdn_grampa** · 8th Oct 08, 21:47

Originally Posted by Daniel

http://www.abc.net.au/reslib/200809/r296471_1276465.asx

Thanks - I needed that - temporarily.

About 2 months ago I was starting to feel pretty stupid about being 50% - 60% in cash for so long - now I don't.

Watching that routine,I am temporarily reminded of the definition of a DoDo bird:

A bird that flies in ever decreasing circles to finally disappear up it's own !!!hole. From which refuge it proceeds to throw little balls of !!!t.

**Daniel** · 8th Oct 08, 22:01

Glad you guys liked Clarke and Dawes

They really are great

**schmenke** · 9th Oct 08, 14:00

Originally Posted by Fiero 5.7

Barclays bought Lehman out ...

I thought that deal fell through

**Hazell B** · 9th Oct 08, 20:17

Originally Posted by Mark

....the government .... should take controlling stakes and prevent the people running them from taking bonuses until they deserve them.

Can't happen, sadly. As far as I can work out (not seen all the news coverage) if the bosses have a bonus scheme in place, it stays in place.

The bit that annoys me most is that as a non-borrower who works, I get to pay for all the borrowers who've helped us get this messy. I know they're not 100% to blame, but they've managed to take take take yet not pay back much, plus I know plenty of people who're now in over their heads with mortgage and loan payments. They're the ones shouting loudest for government help .... but have only themselves to blame if the truth be told. Still, their nice new cars look pretty on the negative equilty drives they can't afford to pay for

**Daniel** · 9th Oct 08, 23:17

You make it sound like all borrowing is bad.......

**Hondo** · 9th Oct 08, 23:28

Originally Posted by Daniel

You make it sound like all borrowing is bad.......

Borrowing isn't bad, extending credit to fools and the worthless is bad.

**Daniel** · 9th Oct 08, 23:43

I agree. My significant other has a modest sized mortgage and now has a fair whack of equity thanks to rising house prices.

You're right that extending credit to fools was bad. But I can speak from experience that in addition to a bank who is stupid enough to lend silly amounts like 125% ltv, a person dumb enough to want a mortgage like that you also need a mortgage advisor greedy enough to want to give people such bad advice just so they can make more money on the proc fee. Not one party is free of guilt in these transactions.

Borrowing makes the economy in round. Borrowing that's not sound just bones the economy like it's doing now.

**Hazell B** · 10th Oct 08, 18:42

Originally Posted by Daniel

You make it sound like all borrowing is bad.......

Only if you didn't read what I said

I actually said exactly the same as you ...

**gloomyDAY** · 26th Oct 08, 17:42

Wait, I thought the money was supposed to allow banks to lend money.

http://www.nytimes.com/2008/10/25/bu...l?ref=business

Guess not! They're actually using the funds for acquisitions.