Treasury Short On Bailout Answers

(CBS)  As President-elect Obama continues urging Congress to spend hundreds of billions to put Americans back to work, he's also and promising strict oversight of where the money goes. Just months ago, the government spent hundreds of billions to rescue financial institutions. What's become of that money? That's what a congressional oversight committee's trying to find out.

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Even with the backing of Congress, the oversight panel didn't have any better luck than CBS News did getting answers from the Treasury Department about how banks are spending $187 billion dollars in taxpayer funds, CBS News investigative correspondent Sharyl Attkisson reports.

"I was very surprised at the number of questions that we put to Treasury for which we received no response at all," said Elizabeth Warren of the Congressional Oversight Panel. She said she was "deeply surprised."

Elizabeth Warren's Congressional Oversight Panel asked the Treasury Department 45 questions. But says Treasury "did not provide complete answers" and "failed to address a number of questions at all."

Therefore, more than three months into the bailout, the panel "still does not know what the banks are doing with taxpayer money."

Called TARP for short (for the Troubled Asset Relief Program, the largest part of what was known as the $700 billion bailout package), was supposed to buy failed mortgage assets morphed into an entirely different approach - invest the funds in big banks.

The oversight panel said their initial concerns have grown due to Treasury's "shifting explanations."

Today a Treasury spokesman said they are trying to track the funds but that there will be no shift in strategy to make banks more accountable.

"It's a really tough, um, challenge, because of course you know there are many factors at work," said Assistant Treasury Secretary Phillip Swagel.

Warren said: "We will get this information and, let's be clear, Treasury may not tell us everything, but we're making our own independent investigations. They're not the only ones who understand how the pieces of this work."

The bailout was supposed to bolster faith in the economy, but the oversight panel says for the treasury to have given the funds without more transparency erodes the very confidence they seek to restore.

[missingamerica]

There was a time when the media had courage.

Posted by Valykre at 08:27 PM : Jan 12, 2009

Ummm...there was a time when the media typically was not a small division of a much larger corporate entity with a vested interest in gaining absolute control over the government of the United States of America, too.

[billcholee]

we had a revolution to free this country from british rule.now it seems that a revolution is again needed to flush out the bast***ds that own our country. because it is still our country.OUR COUNTRY. It is becoming more and more evident that something drastic must be done. just what that is can not be said here. if i want to remain a free american. paranoia? you bet your ***. something must be done, and soon. we are all in this together, us AGAINST them. FIGHT THE POWER. GOD BLESS AMERICA. MY COUNTRY AND YOURS.

[valykre]

For the last eight years, I have watched the BBC News. I lost faith in the American media to accurately post the news. Currently, Without a doubt the media is as corrupt as the political masters they serve in Washington D.C. Their failure to protect democracy through investigative reporting makes them as responsible as those in power for the economy, mortgage, Wall Street, Big Three and Madoff scandols.The public entrusts journalists to accurately report unbiased news, not present entertainment tonight.

There was a time when the media had courage. They even brought down a corrupt presidency and changed the course of a war in Southeast Asia. Last night while watching Steven Spielburg acceptance speak on the Golden Globe''s I was inspired. I haven''t heard inspiration like that since Regean''s demand for Mr. Gorbachev to "Tear down this Wall." Maybe it''s not all your fault. Maybe Americans are just to distracted by American Idol, Celebrity Dancing and Sports.

This report is your first attempt at legitimate investigative journalism in years. Stay on top of it. It will be a long road to rebuild what the last eight years have taken from some many hard working Americans.

Seems these actions by Mortgage, Wall Street and Madoff scoundrels are against the people of the United States. Since the United States is a government of the people, by the people for the people, don''t their acts constitute treason punishable by death? Did I miss something in Constitutional Law?

[daytrader6]

They knew about it. They minipulated it and when they
knew their party was not going to be re-elected(and they knew as far back as Jan 08)they dumped it
on us and set the economic progress of our country
back 50yrs.The list is too long to put down here but when they get to hell rest assured I will be waiting
with a blow torch. Why am I angry?? Because I''ve just seen my grand childrens future go up in smoke.Its the
worst case of social engineering since just before the french revolution!!!!!Just how bad does it hav to get before you eat the dog???????? daytrader6

[daytrader6]

not smart enough to be president...BUT
when these criminals arwe going to be brought up on charges?? daytrader6........

[daytrader6]

I''m not smart enough to be president........
BUT!
I knew that the american economy was being propped
up with bogas loans and the bundling of them and the
selling of them as investment inities as long as six
years years ago. I knew that it wasn''t a matter of IF but WHEN the bubble would burst. If a man like my self with a 10th grade education could figure it out;
surely the members of congress and Senate as well as over site New what was going on. And I consider everyone from Chris Dod on down as complisit in a criminal conspirisy.What I want to know is when

[tritiumae]

A great deal of Paulson''s Investments are in China, being used to loan the Federal Government money to continue the war? Figure how much money the banks made manipulating gas prices. The banks were all Insolvent, that''s why they buy up other banks, to help cook the books.

Also, there needs to be a direct investigation of the Smithsonian Institute and Chris Dodd.

[brianbwb-2009]

Since the "bailout" obviously did not work, and was, like the Iraq pitch, based on lies, then Paulson and Bush, who made the original pitch, are responsible for the money. Hold them liable up to the last cent of their family fortunes, then prison for the remaining amount, then I think we will begin to get answers as to where the money went.

As far as the recipient banks, we should treat them as they treat us, if there is no repayment within a specified time, we foreclose on their property, declare them bankrupt, then sell off their assets, or keep them as part of the national asset.

If the money was not considered a loan, then it is income, and tax auditing will show where it went, if not, then prison for tax fraud is in order for upper management.

[wardoglrs]

Folks, it''s simple.

1. Bernie Madoff starts a pyramid scheme which succeeds in generating vast sums of profit for its early investors for almost 15 years.

2. Many of Madoff''s investors are pro-Israel foundations and PACs, or individuals who donate to pro-Israel foundations and PACs.

3. The pro-Israel foundations and PACs donate heavily to the campaigns of those candidates willing to sell their souls to Israel for campaign cash.

4. THEREFORE, those pro-Israel politicians in Congress won their seats in part using stolen money.

5. THEREFORE, the Madoff pyramid, until it collapsed, was a major funding mechanism that allowed the Israeli lobby to buy the US Government for the benefit of Israel and to the detriment of the American people.

[wardoglrs]

Folks, it''s simple.

1. Bernie Madoff starts a pyramid scheme which succeeds in generating vast sums of profit for its early investors for almost 15 years.

2. Many of Madoff''s investors are pro-Israel foundations and PACs, or individuals who donate to pro-Israel foundations and PACs.

3. The pro-Israel foundations and PACs donate heavily to the campaigns of those candidates willing to sell their souls to Israel for campaign cash.

4. THEREFORE, those pro-Israel politicians in Congress won their seats in part using stolen money.

5. THEREFORE, the Madoff pyramid, until it collapsed, was a major funding mechanism that allowed the Israeli lobby to buy the US Government for the benefit of Israel and to the detriment of the American people.