Monday, October 13, 2008

Plan B: Government Bails Out Failing Banks as More People Lose Homes

As part of the US government bailout,the US Treasury plans to buy up more than $125 Billion in stock of nine poorly performing oligopolistic US banks. Three of the enterprises, Goldman Sachs, Merrill Lynch, and Morgan Stanley were, until recently, investment banks who gambled billions in credit default swaps. Another $125 Billion will go to other banks and thrifts. While politicians have made assurances that something will be done to reduce mortgage foreclosures, hundreds of thousands of working-class people still face losing their homes and their futures. Measures to ensure corporate transparency and accountability have also largely been ignored.

Citigroup $25 Billion
J.P. Morgan $25 Billion
Wells Fargo $25 Billion
Bank of America $12.5 Billion
Merrill Lynch $12.5 Billion
Goldman Sachs $10 Billion
Morgan Stanley $10 Billion
State Street Bank $3 Billion
Bank of New York $3 Billion

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