Commodity Futures Trading Commission
Reuben Jeffery spent eighteen years at Goldman, became chairman of the commission from 2005-2007 while derivatives rapidly expanded, setting up the credit meltdown. He was appointed an undersecretary of state in 2007.
Securities and Exchange Commission
Former SEC Chairman Christopher Cox is a no alumni, but not for lack of trying: Bear Sterns and Lehman complained of traders panic-shorting their stock, but got no help. They failed. But when short-sellers turned on Goldman, Cox pushed thru an SEC ban.
Federal Reserve Bank
Chairmen Alan Greenspan, Ben Bernanke and the next likely Fed Chairman Larry Summers are unquestionably tied in with the manipulative games of Wall Street, most noticeably kowtowing to the “Goldman Conspiracy” and its free-market ideology.
Foreign Intelligence Advisory Board
Stephen Friedman spent about three decades with Goldman, was chairman in the 1990s. He headed George W. Bush’s National Economic Council before becoming Chairman of the President’s Foreign Intelligence Advisory Board.
Hank Paulson installed Goldman vice chairman Ed Liddy as AIG’s CEO to protect his old firm’s $20 billion derivatives exposure in AIG. Then Hank and his Fed buddy Bernanke gave AIG another $150 billion to keep AIG out of bankruptcy, and to make sure AIG’s derivative contracts were paid off, including Goldman’s $20 billion.
Bank of America and Merrill Lynch
Before becoming Merrill’s CEO, John Thain headed the NYSE, and earlier was Goldman’s co-president under Paulson, who planted Thain in Merrill Lynch. Paulson later forced Bank of America’s CEO Ken Lewis to buy Merrill, avoiding a Merrill bankruptcy and saving face for his old friend, and himself. Last week, Lewis admitted in Congress that Paulson forced him to make the Merrill deal … and shut up about it.
Robert Rubin spent 26 years at Goldman, a contemporary of Paulson. Rubin rose to co-chairman and left to become Clinton’s Treasury secretary. Obama’s economic adviser Larry Summers succeeded Rubin at Treasury. From 2007 to January 2009 Rubin was chairman of Citigroup, where he made $126 million. Last fall, Citigroup’s stock dropped over 60% in a week. Paulson gave Citi another $20 billion TARP on top of $25 billion previously committed, to help an old Goldman buddy.
Bank of Canada
Former Goldman executive Mark Carney has been at the Bank of Canada since leaving Goldman in 2003. Recently he received a seven-year term as its new Governor.
Bank of Italy
Mario Draghi is an banker and economist who was a partner of Goldman from 2002 to 2006 when he was appointed to a six-year term as governor of the Bank of Italy.
New Jersey Governor John Corzine was with Goldman for 24 years until 1998, serving as CEO and chairman for five years before running for the U.S. Senate.
President’s chief of staff
Joshua Bolten, a former Goldman Sachs executive director in the '90s became director of the Office of Budget and Management, then George W. Bush’s Chief of Staff.
Recently Jon Winkelried, Goldman’s co-COO, resigned after 26 years. He made $67.5 million in 2007 just before the great meltdown. The current CEO, Lloyd Blankfein, also made $68.5 million, earning a total of $210 million during the five-year bull. Back in 2007, the average bonus for the “average Goldman staffer” was an a whopping $600,000, 10 times what the average American makes, while America’s markets lost trillions and taxpayers were saddled with trillions in new debt.
What are they – and many more who lurk in the shadows – all guilty of in the “Goldman Conspiracy?”
Over the years they have passed back and forth between Wall Street and Washington. Many more anonymously support these Trojan Horses from the sidelines, enjoying big bonuses. Goldman’s staff was among the president’s biggest donors. But they are bi-partisan. They bet on winners. No matter which political party or which politicians win, Goldman, a master at hedging, always wins.
So yes, Goldman is the “superpower” running America and the world. Who would indict them? Not Obama, maybe New York Attorney General Andrew Cuomo? Or should we just give up, let them have it, even give them Freedom Medals? A bigger question: Do we really have a choice!?