{"id":190268,"date":"2009-12-16T13:08:00","date_gmt":"2009-12-16T18:08:00","guid":{"rendered":"https:\/\/www.panix.com\/~msaroff\/40years\/2009\/12\/16\/corruption-update-another-bailout-for-bob-rubins-old-firm\/"},"modified":"2009-12-16T13:08:00","modified_gmt":"2009-12-16T18:08:00","slug":"corruption-update-another-bailout-for-bob-rubins-old-firm","status":"publish","type":"post","link":"https:\/\/www.panix.com\/~msaroff\/40years\/2009\/12\/16\/corruption-update-another-bailout-for-bob-rubins-old-firm\/","title":{"rendered":"Corruption Update: Another Bailout for Bob Rubin’s Old Firm"},"content":{"rendered":"

Seriously. The fact that the IRS, or let’s be clear about, Timothy Geithner’s Department of the Treasury<\/span> is allowing Citi to get an additional $32 billion in tax breaks so that it can repay the TARP more quickly<\/a>:<\/p>\n

The Internal Revenue Service on Friday issued an exception to long-standing tax rules for the benefit of Citigroup and a few other companies partially owned by the government. As a result, Citigroup will be allowed to retain billions of dollars worth of tax breaks that otherwise would decline in value when the government sells its stake to private investors. <\/p><\/blockquote>\n

By way of comparison, the government invested $45 billion in Citi<\/a>, which has, through various means, converted into common stock at above market valuations.<\/p>\n

So, it now appears that we are paying Citi to pay us back the TARP money, $32 billion in tax deductions, so that they can pay back the $20 billion that is still owed as debt, overpay their next CEO.<\/p>\n

With the top corporate tax rate at 35%, this translates to about us paying them $11.2 billion to get back our $20 billion, which was earning us 8%, or $1.6 billion a year……Lovely deal, huh?<\/p>\n

I’m calling corruption on this.<\/p>\n

I’m not sure if anyone in the White House is personally getting rich on this, but, much like the recently deceased Yegor Gaidar<\/a> in Russia, they are creating and maintaining a corrupt system.<\/p>\n

I’m sure, like Gaidar, they see themselves as heroic, but they are looting the United States.<\/p>\n","protected":false},"excerpt":{"rendered":"

Seriously. The fact that the IRS, or let’s be clear about, Timothy Geithner’s Department of the Treasury is allowing Citi to get an additional $32 billion in tax breaks so that it can repay the TARP more quickly: The Internal Revenue Service on Friday issued an exception to long-standing tax rules for the benefit of …<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1142,970,1004,994,985,1173],"tags":[],"class_list":["post-190268","post","type-post","status-publish","format-standard","hentry","category-barack-obama","category-corruption","category-finance","category-obituaries","category-regulation","category-white-house"],"_links":{"self":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/posts\/190268"}],"collection":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/comments?post=190268"}],"version-history":[{"count":0,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/posts\/190268\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/media?parent=190268"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/categories?post=190268"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/tags?post=190268"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}