Monday, April 6, 2009

Oops! Be careful when you take government money..

Grown ups protect their money. Whether it's public money or private money they pay close attention. What happens when institutional investors make more time to pay attention?

If I were on a Board of Directors, I would cancel the next couple of conference calls and pay very close attention to protecting the investor's money.

I'm just a blogger, but you have fiduciary responsibility for my retirement account, so I figure I have standing.

Geithner May Oust Executives at Banks Needing ‘Exceptional’ Aid - "April 6 (Bloomberg) -- Treasury Secretary Timothy Geithner said he’s prepared to oust executives and directors at banks that require “exceptional” assistance from the U.S. government.

“If in the future, banks need exceptional assistance in order to get through this, then we will make sure that assistance comes,” while ensuring taxpayers are protected, Geithner said yesterday in an interview on the CBS “Face the Nation” program. “Where that requires a change in management and the board, then we will do that.”"
Here's the interesting part, from Seeking Alpha,
Geithner's comments could be more than just talk, as chief TARP watchdog Elizabeth Warren will issue a report this week calling for the removal of top execs at Citigroup (C), AIG and other institutions, and saying shareholders should be 'wiped out.'

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