Earlier today House representative Edolphus Towns subpoenaed documents related to the so-called “backdoor bailout” of AIG, including documents from Timothy Geithner, the former New York Fed chief and current Treasury secretary. The House Oversight and Government Reform Committee is looking for information on payments made to AIG counterparties, including Goldman Sachs, Morgan Stanley, Barclays, Bank of America, Deutsche Bank, and Societe Generale. The subpoena “specifically requests all documents surrounding the decision to pay AIG’s counterparties 100 cents on the dollar,” according to AFP.
It looks like Towns and his committee may only get part of the story. They will have to wait until 2018 to get the rest.
In May, well before Geithner was on the hot seat, the Securities and Exchange Commission approved a request by AIG to keep secret an exhibit to a year-old regulator
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