Will Geithner Survive The AIG Scandal?

(AP Photo/Ian Barrett)
Treasury Secretary Timothy Geithner is not only struggling to right the reeling economy, he's also fighting for his political life.

Battered by controversy surrounding the $165 million in bonuses doled out by AIG and still reeling from tax problems that jeopardized his nomination last January, Geithner has been assailed this week by Republican leaders over his handling of the financial crisis.

Many speculate that Geithner may soon find himself a victim of the bailout bonus controversy. Odds that Geithner will be ousted by June 30th have doubled to 21 percent over the past two days according to predictions by intrade.com, The Business Insider reports.

A barrage of recent criticism lends credence to the Web site's assessment of the treasury secretary's withering prospects for survival. Here's what some of Geithner's Capital Hill critics are saying:

"Secretary Geithner either didn't know about the bonuses, and was grossly negligent, or he did know and failed to bring this to the President's attention," said Rep. Darrell Issa (R-CA) in a statement yesterday. "Either way, the end result has been a significant waste of taxpayer dollars and he should take immediate responsibility and resign."

"Quite simply, the Timothy Geithner experience has been a disaster," said Rep. Connie Mack (R-Fla.) in a statement calling for Geithner's resignation. "The Treasury Department is in disarray. Taxpayer dollars are being wasted. America's economy hangs in the balance. America needs and deserves a Treasury Secretary who can truly lead us forward."

"As I said yesterday, I think the Treasury Secretary is on thin ice and the sooner we get answers to the questions we've posed, the better off he might be as well," said House Minority Leader John Boehner, R-Ohio, at a news conference today.
  • Brent Lang

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