You Can't Say You Didn't See This Coming!!

Here is the first paragraph from the Business section of today's (8/11/10)Los Angeles Times.

"As Wall Street scrambles to find the most profitable way to operate under the new financial reform law, Goldman Sachs Group, Inc.--the firm that was expected to suffer the most under the legislation--could emerge practically unscathed."

So let's re-trace our steps for people who are new to the party.

*In the 00's, Goldman takes wild chances using a whole lot of new "innovations", e.g. novel ways to separate investors from their money.
*When Lehman Bros. and Morgan Stanley go broke, Goldman is exposed to billions of lost dollars.
*Goldman is particularly exposed in a much of deals made with AIG.
*Hank Paulson, of late a Goldman chairman, creates TARP to keep Goldman from bankruptcy (and don't let anyone tell you differently).
*Tim Geithner, then President of the New York Fed, and Paulson arrange for AIG to get paid off for its full exposure, e.g., dollar for dollar, when most people thought it should be somewhere around $.20 on the dollar.
*AIG took the TARP money and completely paid off its debt to Goldman Sachs, its number one creditor.
*Goldman Sachs now owns the U.S. Treasury Department. If you need more evidence, see www.scribd.com/doc/16864582/The-Great-Recession-Conspiracy (also a Kindle book) and/or Simon Johnson's 13 Bankers (an excellent book).
*So of course Goldman Sachs lobbying money and influential friends shaped Christopher Dodd's financial bill. Old honest Chris Dodd's number one campaign contributer is Guess Who?

And by the way, Henry Blodgett still has a count down clock running on how long it will take Tim Geithner to take a million dollar job at Guess Where?