It's No Joke: Fed Hires Failed Bank Exec

[sabra]

Source: ABC News

Heckuva Job, Fed?

The Federal Reserve Bank is drawing jeers for hiring a former top executive from the now-defunct investment bank Bear Stearns to help it gauge the health of other banks.

"How's this for sweet irony?" business publication Portfolio.com needled the pick.

Michael Alix was head of risk management for Bear Stearns for two years until the institution imploded this spring, a victim of its (risky) subprime-mortgage related investments.

Last Friday, the Federal Reserve Bank of New York quietly announced it had hired Alix to advise it on bank supervision.

...

"{Alix} was the guy on the mast charged with yelling 'iceberg' just before the Titanic introducted its bow to a floating chunk of ice," wrote financial expert and blogger John Carney on the web site Clusterstock.com, where he flagged the hire.

Read more: http://abcnews.go.com/Blotter/WallStreet/story?id=61802...

[wroberts189]

1. so comforting ......errrr 3 more hours n/t

[Haole Girl]

2. Is the fox guarding the henhouse?

[Hydra]

3. How long before bailout 2.0 gets declared?

And the cheerleaders of DU rise up and tell us how me MUST hand more taxpayer money over the the people who caused the problem in order to fix it?

[whistle]

15. I think it has, I heard something about a trillion dollars more will be needed

[Hydra]

17. *Facepalm*

I hate being right. I REALLY hate being right when it means we're going to get screwed.

[natrat]

22. barney the scumbag frank will start mumbling from his fat mouth

and you will know we will soon be giving away another trillion with no strings ....FUCK YOU FRANK you pos

[Robbien]

4. Paulson only knows and pals around with these loser types

So of course he would pick them to help him funnel the $700B into the wealthy elites' pockets.

[kristopher]

5. Do any of the nay-sayers know the circumstances at Bear-Stearn?

For all you know this guy could have been warning of the problem for years while being over-ruled by higher management listening to the marketing folks singing a siren song of huge profits.

Then again, he may be a jerk and have been hired for cronyism. The point is, I don't think we know.

[barbtries]

6. an old boys' club

cannot express the depth of contempt i feel toward these rich thieves.

[Buenaventura]

7. "introducted"?

[The Backlash Cometh]

8. It's time for those frauds and failures to start their own landscaping business.

[ElboRuum]

9. The "We can smell our own" gambit being played here?

It could work... I... um... guess?

[sakabatou]

10. .

[Blue_Tires]

11. buddy-buddy deal?

[happydreams]

21. Looking into that could turn up something interesting. nt

[benld74]

12. Yur doin a heck of a job Mikey!

[WCGreen]

13. Rubin and Corzinne worked for investment banks...

Just so you know...

But Michael Alix is a particularly ironic choice since he mismanaged risk while he was in charge of that area...

That's like putting a guy who blew up a still while cooking up some moonshine in charge of the Jack Daniels distillery.

[whistle]

14. Quite literally, the foxes are coming into the hen house to steal all of the eggs

...and to eat all of the chickens, new born chicks, rooster, the farmer, the farmer's family, the farmer's customers, the hen house and everything related to poultry. Allegorically speaking that is.

[Oregone]

16. LOL

[bluesmail]

18. More like The Old Boys Club. Works for me.

[razors edge]

19. Going from one

private corporate job to another private corporate job. Where's the conflict?

The Fed is after all a private entity. It's main people are so crooked they have to screw their socks on in the morning, but, we apparently like paying interest for the privilege of printing our own money with a corporate logo.

We could just print our own interest free money like the Constitution says, but cutting out the money changers tends to get Presidents killed.

[AlbertCat]

20. Sing along!

"Failin' on up
To the Fed side....


Apologies to the Jeffersons.

[sarcasmo]

23. Idiots! I swear they want to bankrupt the Government on purpose.