The Continued Takeover of the Banking System by Obama Continues
By Daniel at 13 May, 2009, 10:16 am
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This may be the greatest step to date that the United States has ever taken towards socialism. President Obama wants to change the way bank executives are compensated–all bank executives not just those who took government bailout money.
WSJ reports:
The Obama administration has begun serious talks about how it can change compensation practices across the financial-services industry, including at companies that did not receive federal bailout money, according to people familiar with the matter.
The initiative, which is in its early stages, is part of an ambitious and likely controversial effort to broadly address the way financial companies pay employees and executives, including an attempt to more closely align pay with long-term performance.
Administration and regulatory officials are looking at various options, including using the Federal Reserve’s supervisory powers, the power of the Securities and Exchange Commission and moral suasion. Officials are also looking at what could be done legislatively.
Among ideas being discussed are Fed rules that would curb banks’ ability to pay employees in a way that would threaten the “safety and soundness” of the bank — such as paying loan officers for the volume of business they do, not the quality. The administration is also discussing issuing “best practices” to guide firms in structuring pay.
“Quality” loans and “best practices” are code words for getting money into the hands of Obama’s favored groups.
Bottom line: An attempt is being made to takeober the American banking system by the President of the United States.
Where is the outrage?
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