Several points in the AIG scenario which are now sounding like the “weapons of mass destruction”, the lie that lead us into Iraq are beginning to pile up and at this point bear public scrutiny;
(1) For the first time in history, the U.S. Congress consented to the bailout of not simply a U.S. private corporation, but a global one, all at the American taxpayer’s eventual expense;
(2) The AIG reorganization was not only taken from the jurisdiction of the U.S. bankruptcy courts, but also though the provisions of the bank bailout taken from oversight of Congress and placed within the sole control and trusteeship of a member of the Executive Office, the Secretary of the Treasury;
(3) Prior to AIG’s claimed bankruptcy, Goldman Sachs, which was heavily invested in AIG stock also filed for assistance due to it’s financial struggles, and instead was assisted by heavy stock purchases by Warren Buffett, Chairman of Berkshire Hathaway who also so happens to own Geico Insurance Company;
(4) Goldman Sachs is also described on various sources as a part owner of the Federal Reserve, whose Board member recently refused to answer questions with respect to Congressional inquiry into the status of the over 170 billion so far that has been extended to AIG (although I wonder why these Congressman who are NOW objecting left provided for the Treasury Secretary’s oversight to begin with).
(5) Mr. Buffett is and has been a close friend of Mr. Obama’s and invested heavily in his campaign and that of Hillary Clinton, from all reports. In fact, his name was tossed about in one of the debates as a likely candidate for Treasury Secretary in an Obama Administration.
(6) Although in a recent interview Mr. Buffett indicated he was rather “miffed” with Mr. Obama due to his losses now on Wall Street, with the extent of his wealth as the “Oracle of Omaha” clearly those losses are only a drop in the bucket. He did make Forbes’ list as the second wealthiest person in America, after Bill Gates.
(7) According also to reports, within the past several years Mr. Buffett has expressed a desire to enlarge his empire more toward global investments rather than simply U.S. concerns.
(8) Geico Insurance is the largest provider of insurance for government employees in the nation.
A rather interesting quote was published in Reuters with respect to the status of AIG, and possible solutions:
“Seacliff Capital LLC President James Ellman, who manages a financial services hedge fund, said the government could take over the AIG derivatives portfolio. While that would wipe out stockholders and generate losses, the government could then sell off AIG’s healthy insurance businesses to investors.”
With Mr. Geithner then in charge of selling off AIG’s “healthy insurance businesses” to investors, I just wonder what investor(s) would have enough money to purchase AIG’s portfolio of “healthy” insurance in this country (in addition, possibly to then affording foreign investors another entry into buying a piece of America’s rock)?
There are really only two that come to mind: Warren Buffett and Bill Gates.
And also according to reports, it just so happens that some of AIG’s assets are in the health care field and health insurance.
After the sums included for software in order to establish the National Health Care Database of American’s health care records included in the stimulus, and sums provided for grant monies and fellowships for the colleges and universities in order to use and “train” students in this “new tech” field (whether or not American’s Constitutional privacy rights are violated in the process didn’t seem to be an issue with either Mr. Obama nor our Congress again at the break neck speed that bill was sped through Congress with little debate nor disclosure really of this provision), could it be that this AIG bailout is simply nothing more than another “merger” between Geico and AIG for the much touted universal health care plan Mr. Obama has in mind in order to create more publicly administrated and funded government jobs which would then in turn increase Mr. Buffett’s personal wealth again considerably in the process as payback?
Washington is becoming more and more predicable, and less and less accountable.
With the care and consideration that has been shown in the continued risking of American lives now in Iraq, and recently also reported strikes in Pakistan – do the American people really want Washington and Mr. Buffett, a businessman and investor predominantly concerned with the bottom line, to determine who lives and dies in this country – with no “choice” at all in the quality of care available?
I know, Obama has promised that citizens will be able t keep their former coverage. But it isn’t the citizens who are the primary purchasers of health care coverage in this country. It is the large corporate employers. And with cheaper government “universal” care, how many of those employer’s also concerned with the bottom line are going to drop those overages in favor of the cheaper government plans – or simply “supplement” them with the government still with the last word on patient care?
One of Mr. Buffett’s foundations actually funds organizations directed toward zero population growth, and population control.
Is this who you want making the decisions for your family’s future health care needs? As long as there is competition for those premiums, and personal agents involved there is some energy toward keeping those customers and staying out of the courtrooms.
Will that be the case with a government provider whose only “duty” in the event of a malpractice claim would be under the Federal Tort Claim Act which simply provides reimbursement for actual damages (medical costs), not punitive awards.
Time will tell, but the signs certainly aren’t looking good, America.
See more on AIG: http://www.reuters.com/article/ousivMolt/idUSTRE52A0TP20090311