Agree Now, Or Your Regulator Will Make You Agree Laterby Brad Warbiany
Interesting notes that Judicial Watch has gotten hold of from Paulson/Bernanke’s offer they can’t refuse back in October. It’s the talking points from the meeting… “Strongarm” would be an understatement:
We plan to announce the program tomorrow–and–that your nine firms will be the initial participants….
This is a combined program (bank liability guarantee and capital purchase). Your firms need to agree to both.
- We don’t believe it is tenable to opt out because doing so would leave you vulnerable and exposed.
- If a capital infusion is not appealing, you should be aware that your regulator will require it in any circumstance.
I’m left wondering how it could have possibly been worse, but then I came up with a scenario.
Bush could have given the banks to the UAW. At least he didn’t do that!
Hat Tip: Reason