Paulson To Hire Private Companies to Manage 700Billion

Truthed · 10-05-2008, 08:08 PM

Quote:

U.S. Treasury to Hire Up to 10 Asset Management Firms (Update1)
By Rebecca Christie and Robert Schmidt

Oct. 3 (Bloomberg) -- The U.S. plans to hire five to 10 asset-management firms as Secretary Henry Paulson establishes the government's new office for handling the financial bailout, a Treasury official said.
The department will also add about two dozen new employees, a mix of bankers, lawyers, accountants and others, the official said today on condition of anonymity. The Treasury's first attempt to hold an auction to buy troubled assets from financial firms will take at least four weeks to set up, said the official.
``We've been doing a lot of work getting ready for this,'' Paulson told reporters after Congress passed the Bush administration's $700 billion rescue package for financial institutions. ``Once the legislation is signed, we're going to be going out and lining up advisers from the private sector.''
Some of the Treasury's new employees will be on the government payroll, while others will be contractors, the official said. In selecting the asset-management firms, the Treasury plans to look at the cost and scope of services offered by the competing companies.
The Treasury is still considering guidelines on compensation and conflict-of-interest policy, the official said.

SOURCE

kidflash2008 · 10-06-2008, 07:25 AM

The news outlets are already stating that it is too little too late. At least there is a little oversight on how the money will be spent. I did not like the bill at all, but President Bush would of enacted an Executive Order for it had Congress not passed it.

WhiteDemon51 · 10-11-2008, 06:13 AM

This is yet another example of how big buisness runs this country and not the Government. When will the people of this country open up their eyes and minds and realize that the Government is no longer afraid of us but of losing their soft money and "donations" from corporations that are a major wrecking ball to not only our economy but our future.

kidflash2008 · 10-11-2008, 08:07 AM

I also wonder what percent of it these companies will charge. 10% is $70 billion, not bad at all.

10-11-2008, 06:13 AM	#3
WhiteDemon51 Junior Investigator Join Date: Oct 2008 Location: Virginia Posts: 1	This is yet another example of how big buisness runs this country and not the Government. When will the people of this country open up their eyes and minds and realize that the Government is no longer afraid of us but of losing their soft money and "donations" from corporations that are a major wrecking ball to not only our economy but our future. Last edited by WhiteDemon51; 10-11-2008 at 06:21 AM.

Thread Tools
Show Printable Version Email this Page
Display Modes
Linear Mode Switch to Hybrid Mode Switch to Threaded Mode

10-06-2008, 07:25 AM	#2
kidflash2008 Senior Investigator Join Date: Sep 2008 Posts: 1,699	The news outlets are already stating that it is too little too late. At least there is a little oversight on how the money will be spent. I did not like the bill at all, but President Bush would of enacted an Executive Order for it had Congress not passed it.

10-11-2008, 08:07 AM	#4
kidflash2008 Senior Investigator Join Date: Sep 2008 Posts: 1,699	I also wonder what percent of it these companies will charge. 10% is $70 billion, not bad at all.