They “Gambled With The 700 Billion Bailout” and Lost…

Taxpayers are paying those “ZOMBIES” to work for the good of the American people. And what did they do?
They have gambled in the stock market, again, in a “LasVegas Gambling Style”. Without the taxpayers knowledge, or approval; The Zombies ran to the gambling table and have lost at least half of the 700 bailout money so far. In fact, it is reported that some stock they bought at a higher 25% cost than it was worth at the time, have been a bad bet to date. Of the 53 bets they made, only 2 have supposedly been good bets, and they were small companies that gave a return, unlike the large conglomerate bets that lost bailout money at the gambling table.

“…Treasury Secretary Henry M. Paulson Jr. describes the cash infusion as “an investment, not an expenditure.”

So far, however, only two of the 53 banks can be considered a good investment.

The AP’s analysis found that only HF Financial Corp. of Sioux Falls, S.D., and First Niagara Financial Group of Lockport, N.Y., would make money for taxpayers if the common stock options were exercised today. According to records filed with the Securities and Exchange Commission, both are small banks, far removed from the wheeling and dealing of federally insured giants that ravaged the global economy by making bad bets on subprime mortgages.

The South Dakota bank, for example, has a market value of $54 million, a tiny fraction of the size of JPMorgan Chase, the nation’s largest. The Treasury Department gave $25 million to HF Financial on Nov. 21 in exchange for 25,000 shares of preferred stock and warrants that allow taxpayers to buy 302,000 shares at $12.40 within the next decade. For now, it’s a good deal; the bank’s stock is trading around $13. If the government exercised its option to buy HF stock today, taxpayers would collect $63,500.

More companies would be in the black, but the government used a 20-day stock price average to set the warrant price, meaning it willingly negotiated to pay roughly 25 percent more than the stock was worth on the day it signed the deals on behalf of taxpayers.

Nara Bancorp, created in 1989 to serve Southern California’s growing Korean-American community, borrowed $67 million from taxpayers on Nov. 21, when its stock was trading at $7.50 per share. But the government negotiated the option to buy 1 million shares of Nara common stock at $9.64, higher than its stock is currently trading.

“It’s a complete mistake to think this is a good investment for us,” said Paola Sapienza, a finance associate professor at Northwestern University’s Kellogg School of Management, who spearheaded a September protest of the bailout by more than 200 of the nation’s leading economists. “It’s a gamble. It’s like going to Las Vegas.”
© 2008 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed…”

In all likelihood, it was a planned out strategic game played at the taxpayers expense. That is what the
700 Billion bailout was all about. It just may not have been realized by the past and present day corrupt culprits that it would have the domino effect that is being experienced as we speak.

The American people need to form their groups, and with prepared grievances and accountability demands; the taxpayers need to email their expectations to Obama. Within these stated group grievances and accountability demands, the people must ask for accountability. Those responsible MUST be flushed out and held legally accountable.

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