Top Bank Lawyer’s E-Mails Show Washington’s Inside Game

Even Bloomberg proves the point of the segmented spiderweb.

Translating Washington

Officials routinely leave federal agencies, Congress and the White House to work for the industries they once supervised. While that path is well-trod and legal -- with some time restrictions -- it still provokes handwringing in Washington. Nazareth’s communications provide an inside look at what happens when the revolving door spins.

Nazareth, 56, declined to discuss specific e-mails. She said that people like herself who have worked for both sides are valuable because they can “better translate to their clients” what the SEC is trying to achieve.

“It’s unfortunate where we are in an environment now where everybody thinks that is nefarious,” Nazareth said.

Fed Created Conflicts in Improvising $3.3 Trillion Financial System Rescue

http://www.bloomberg.com/news/2010-12-03/fed-created-conflicts-in-improvising-3-3-trillion-financial-system-rescue.html

But, but but, they had no choice.
Bullshit, if they had tried using generic instead of name brand there wouldn't have been any unintended consequences.

No Choice

“That’s the way the system works,” said David Castillo, senior managing director at Further Lane Securities in San Francisco. “It’s problematic that they’re customers, but that shouldn’t limit their ability to participate in this process. Quite frankly, we don’t have a choice. They have the expertise.”

In compliance with the Dodd-Frank financial overhaul law, the Fed on Dec. 1 identified the institutions that used $3.3 trillion of improvised rescue programs. The 21,000 transactions in 11 initiatives included the money-market plan Cunningham helped devise, known as the AMLF, short for its 10-word formal name, the Asset-Backed Commercial Paper Money Market Mutual Fund Liquidity Facility.

In its scramble to keep the economy from collapsing, the Fed also created the Commercial Paper Funding Facility, or CPFF, which tried to ensure that banks and industrial companies had the short-term loans they needed to fund everyday operations. General Electric Co., then the biggest issuer of commercial paper, met with Treasury and Fed officials in the days before they created the CPFF.

‘Unintended Consequences’