U.S. aims to help firms sidestep bailout rules

[notesdev]

U.S. aims to help firms sidestep bailout rules
Obama administration seeks to avoid restrictions, including limits on pay


The Obama administration is engineering its new bailout initiatives in a way that it believes will allow firms benefiting from the programs to avoid restrictions imposed by Congress, including limits on lavish executive pay, according to government officials.

Administration officials have concluded that this approach is vital for persuading firms to participate in programs funded by the $700 billion financial rescue package.

The administration believes it can sidestep the rules because, in many cases, it has decided not to provide federal aid directly to financial companies, the sources said. Instead, the government has set up special entities that act as middlemen, channeling the bailout funds to the firms and, via this two-step process, stripping away the requirement that the restrictions be imposed, according to officials.

...(snip!)...

the whole story here:
http://www.msnbc.msn.com/id/30040075

All I got to say is:

"no man can serve two masters"

[MercutioATC]

1. This plan will be a clusterfuck.

It's going to be more expensive than if we realistically valued the bad assets and just bought them outright.

[corpseratemedia]

2. one set of rules for the people, another set (eh, can take or leave) for the CEOs