The Fed created 3 LLCs under the title Maiden Lanes Transactions to administer Stimulus's. Is this the governments job?
Maiden Lane Transactions refers to three limited liability companies created by the Federal Reserve Bank of New York in 2008 as a financial vehicle to facilitate transactions involving three entities: the former Bear Stearns company as the first entity, the lending division of the former American International Group (AIG) as the second, and the former AIG's credit default swap division as the third.
Maiden Lane was organized as Delaware Limited Liability Company on April 29, 2008, and registered to do business as a foreign limited liability company in the state of New York on June 26, 2008. The registered agent of Maiden Lane LLC is the CT Corporation.
The U.S. Federal Government's total investment in the AIG bailout, including both Maiden Lane II and III and actions by the U.S. Treasury, was $182 billion.
Maiden Lane II used billions in bailout money to purchase toxic assets, and that AIG used billions to pay other banks, including foreign banks--France's Societe Generale at $11.9 billion, Germany's Deutsche Bank at $11.8 billion, and Britain's Barclays PLC at $8.5 billion. AIG, through this fund also funneled significant bailout money to U.S. banks that had already been bailed out under Troubled Asset Relief Program. As AIG counterparties, Goldman Sachs got $12.9 billion, Bank of America got $5.2 billion, and Citigroup got $2.3 billion all at 100% on the dollar.
In short these dealings go to corporations and never reach the consumer level and are therefore not helping the economy. The fed now owns 53% of AIG and over 40% of GM as well as much, much more.
Is this the job of the government?