Update: 10/23: Bank of America now faces another credit downgrade. As i said, they’re going down, but they’ve moved their worst assets onto the taxpayer with the help of the Feds.
Original Story 10/21: The too big to fail Bank of America is failing so what do they do? They dump billions in worthless assets onto the American taxpayer.
After we bailed out this bank to the tune of $45 billion, we are going to be on the hook for its most troubled assets as BAC moves these assets from the holding company to the Bank that is insured by taxpayers.
Did you really believe the Dodd-Frank bill was going to protect you? Did you think the regulators were going to now protect U.S. taxpayers? Did you believe that Obama wasn’t part of the corrupt Washington-Wall Street machine that feeds off the taxpayer? Well, you’re wrong.
“Bank of America Corp. (BAC), hit by a credit downgrade last month, has moved derivatives from its Merrill Lynch unit to a subsidiary flush with insured deposits, according to people with direct knowledge of the situation,” Bloomberg news reports. Furthermore, they say, “The Fed has signaled that it favors moving the derivatives to give relief to the bank holding company, while the FDIC, which would have to pay off depositors in the event of a bank failure, is objecting, said the people.”
Bank of America doesn’t believe regulatory approval is needed. I guess the fix is in with the Feds. The Feds don’t do anything without Obama’s okay, so Obama is supporting this move.
Bank of America has engaged in risky ventures and we have to pay for it. The investors are protected in this sleazy deal. We will never get out of this recession if we don’t stop this endless payoff to the elite.
While the OWS fascists pretend they are protesting this very thing, they are predominantly Obama supporters. Fascism is enshrined with this government and its supporters who bail out the “too big to fail” at all costs and without taxpayer approval.