“Why No Bailout For Lehman Bros?”

In all the Fed’s bailouts of Wall Street firms, I became curious why didn’t Ben Bernanke and Henry Paulson bail out Lehman Bros and allow the 158 year old financial institution to go bankrupt? The key seems to be the Lehman Bros CEO, Richard Fuld. The record clearly shows that greed and very poor business judgments, particularly in the sub-prime and Alt-A housing loans, made by Richard Fuld, caused the collapse of Lehman Bros. However, what the media seems to be downplaying, is the fact that Richard Fuld is also on the Federal Reserve Board. I repeat, the longtime CEO and architect of that investment bank’s rise and fall, was and is a prominent member of the Federal Reserve Banks! As I see it, if the Fed had bailed out Lehman Bros, the public would have seen the ugly conflict of interest. The public would have seen that the primary cause of the housing crisis was the abundant and easy credit the Fed gave to these Wall Street firms, to finance all the bad real estate loans and securities, deals which the Fed has been very much aware of. I pray to Heaven that American Congressmen and citizens will wake up to the theft of taxpayers money in the bailouts of Wall Street investment banks. Like Lehman Bros, let the Bankruptcy Courts liquidate these companies instead of taxpayers buying out these bad debts. No More Bailouts! (Barack Obama and John McCain, are you listening?)

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