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Second, Geithner said the still-nascent Federal Reserve program launched last week to restart non-bank commercial lending [i.e., by helping investors buy securities backed by auto loans, credit card debt, etc.] would be expanded to provide funding for investors who want to buy certain kinds of mortgage-backed securities. The government's enthusiasm for the starter plan, known as "TALF," has outstripped market enthusiasm, but there is some life in it. The Federal Reserve has put up over a $1 trillion in potential lending already, though only $9 billion in deals have been done so far. Geithner...

Author: /time Magazine | Title: Geithner's Toxic-Asset Plan: Wall Street Finally Cheers | 3/23/2009 | See Source »

...simply give back the TARP money sooner than they probably should, to avoid losing their best people to foreign banks, boutique firms or hedge funds that can pay bigger bonuses. "The week's events will cause a brain drain of salespeople, rank and file and middle management to non-TARP companies," said Scott Talbott, vice president of the Financial Services Roundtable, which represents Wall Street's interests in Washington. "The loss of these employees will weaken TARP companies." The compensation crackdown already has other private sector players thinking twice about partnering with the Administration to help unload the banks' toxic...

Author: /time Magazine | Title: The AIG Backlash: Has Congress Flipped Out? | 3/20/2009 | See Source »

...bill, which would authorize the Justice Department to sue for the return of bonuses given to employees of companies that have received more than $10 billion from the government. The legislation, if passed, would also allow the Attorney General to restrict future payments to 10 times the average non-management wages at companies receiving TARP funds. "Congress has let expediency override common sense," said Representative Lamar Smith, the top Judiciary Committee Republican. "Congress already has learned the hard way the unintended consequences of rushing to legislate without adequate expert testimony and debate, but that's exactly what we are doing...

Author: /time Magazine | Title: The AIG Backlash: Has Congress Flipped Out? | 3/20/2009 | See Source »

...just as Ho Chi Minh was a Vietnamese nationalist before he was a communist, Sharif probably has a bigger goal than pursuing Islamic extremism for its own sake. He has consistently sought alliances with other non-Islamist leaders. A former teacher, he helped found the ICU to try to restore law and order after one of his students was kidnapped by one of Somalia's marauding militia. And he has broken with al Shabaab, formerly the militant wing of the ICU and the main Islamist force in Somalia. That last prompted more extreme ICU leaders, such as Sheikh Hassan Dahir...

Author: /time Magazine | Title: Somalis Balk at Outsiders — Including Osama Bin Laden | 3/20/2009 | See Source »

...have been avoided. It couldn't. It could have been and should have been lessened. But we should also be clear that the vast majority of the items that were removed were removed long before the war. So the war itself is not the reason the sine qua non of the looting. The looting took place from...

Author: /time Magazine | Title: Stolen-Treasure Hunter Matthew Bogdanos | 3/20/2009 | See Source »

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