Geithner Urges ‘Fundamental Reform’ in Bailout
Posted on Jan 21, 2009
It’s the first full day of Obama’s administration and things are looking a bit different in D.C. Treasury secretary nominee Timothy Geithner called for “fundamental reform” of the $700 billion bailout, claiming the existing bailout package favored big business over struggling families.
The New York Times:
President Obama’s nominee for Treasury secretary, Timothy F. Geithner, called for “fundamental reform” of the government’s $700 billion bailout plan Wednesday, saying it favored big financial institutions over small businesses and struggling families.
In testimony to the Senate Finance Committee, Mr. Geithner, the head of the New York Federal Reserve, said that changes in the bailout fund, the Troubled Asset Relief Program, or TARP, were needed immediately.
“Many people believe the program has allowed too much upside for financial institutions, while doing too little for small business owners, families who are struggling to keep their jobs and make ends meet, and innocent homeowners,” Mr. Geithner said. “We have to fundamentally reform this program to ensure that there is enough credit available to support recovery.”
Timothy Geithner clawed his way through Senate Finance Committee hearings Wednesday.