Man who destroyed AIG an Obama-Dodd man [semi-vanity]

ny times and then some ^ | 9/28/8 | nativenewyorker

[NativeNewYorker]

In the case of A.I.G., the virus exploded from a freewheeling little 377-person unit in London, and flourished in a climate of opulent pay, lax oversight and blind faith in financial risk models. It nearly decimated one of the world’s most admired companies, a seemingly sturdy insurer with a trillion-dollar balance sheet, 116,000 employees and operations in 130 countries.

The insurance giant’s London unit was known as A.I.G. Financial Products, or A.I.G.F.P. It was run with almost complete autonomy, and with an iron hand, by Joseph J. Cassano, according to current and former A.I.G. employees.

[NativeNewYorker]

And via fundrace

Joseph Cassano
Fincial Services Company Execut
AIG Financial Products Corp

Updated
Q1/2008
Barack Obama
$2,300

Updated
Q4/2006
Christopher Dodd
$2,100

http://fundrace.huffingtonpost.com

[samtheman]

I’m beginning to have very dark thoughts about John McCain. Very dark. As dark as I’ve ever had about him.

It’s starting to sink in that he was just in a debate with one of the CAREER CRIMINALS who caused this current financial crises and here’s what John McCain said about that:

Nothing. Absolutely nothing.
Nothing. Absolutely nothing.
Nothing. Absolutely nothing.
Nothing. Absolutely nothing.
Nothing. Absolutely nothing.
Nothing. Absolutely nothing.
Nothing. Absolutely nothing.
Nothing. Absolutely nothing.
Nothing. Absolutely nothing.
Nothing. Absolutely nothing.
Nothing. Absolutely nothing.
Nothing. Absolutely nothing.
Nothing. Absolutely nothing.
Nothing. Absolutely nothing.
Nothing. Absolutely nothing.
Nothing. Absolutely nothing.
Nothing. Absolutely nothing.

[NativeNewYorker]

Tactically, it might be better to hammer the Messiah on this in a domestic policy debate closer to the election. Of course,
the ads on this write themselves.

[yoe]

"...It’s starting to sink in that he was just in a debate with one of the CAREER CRIMINALS who caused this current financial crises..."

NAMES! Please name these people! Thank you.

[EggsAckley]

One question keeps popping into my mind. How does the timing of this debacle link to the coming election? Is it possible that it was set up to have this explode right at this time?

[Diogenesis]

"Sen. Dodd has been rewarded in the 2008 election cycle with $7.65 million in campaign contributions —
he took in $11.7 million in all — from the securities, insurance, real-estate and commercial-banking industries, according to his latest Federal Election Commission filing posted at opensecrets.org.

Sen. Dodd's list of donors reads like a who's who of who's in the stew:
Citigroup, $310,294; SAC Capital Partners, $282,000; United Technologies, $263,400; AIG, $224,678; Bear Stearns, $205,600; St. Paul Travelers, $205,400; Royal Bank of Scotland, $203,750;
Goldman Sachs, $175,600; Morgan Stanley, $155,000; Credit Suisse, $154,550;
Merrill Lynch, $134,950; The Hartford, $94,350; Bank of America, $91,300
JPMorgan Chase, $129,150; USB, $101,900; Hartford Finance Services, $101,500
Lehman Brothers, $128,400; KPMG, $113,100; General Electric, $108,250; Deloitte Touche, $108,000

With $165,400, Sen. Dodd also tops the list of members of Congress who took campaign cash from Fannie Mae and Freddie Mac since 1989.

Sen. Barack Obama, the self-styled agent of change, is a distant second at $126,000 and Sen. John Kerry is third at $111,000.
In the top 20 are Senate Majority Leader Harry Reid, House Speaker Nancy Pelosi and Sen. Hillary Rodham Clinton."

[niteowl77]

Is it possible that it was set up to have this explode right at this time?

I believe Chuck Schumer was told to put it in gear some weeks ago, and he did exactly that.

[what's up]

McCain can't nail Obama on everything in one debate. There would be nothing left for the remaining 2.

McCain hammered Obama REALLY well on several issues that he needed to be hammered on during the foreign policy debate.

It will be interesting to see what he does in the domestic debate.

[kingu]

Cassano’s idiotic actions degraded the company, but what ruined it was his lack of experience. He should never have been chosen to head it. To imagine that his last act was to effectively cause it's demise.

[penelopesire]

Bookmarking excellent post!

[penelopesire]

Thanks for the informative post!

[nclaurel]

Post comments on any forum available and list this name. If McCain won’t we can.

[Lloyd227]

Face it folks,  the people pushing this bill, both Republicans and Democrats are lying to you.  Read the language and you'll see this is for the purchase of "mortgage related assets" not mortgages.  This is a bailout for European and other non-US investment banks and will remain so until the money is restricted to the purchase of ONLY US based mortgages. 

This bill is still a sham and the minor modifications we've achieved so far are nothing but throw-away items.  This bill remains a travesty.

I believe the US markets can survive the apocalypse they claim is coming, but Europe's may not

A side-by-side comparison between the original and the one now being considered is available here from Roy Blount's office and I'll just summarize the key missing points below (as I see them)

• Why does this bill not drop the capital gains tax altogether  (2 years is a start, but I'd like to be rid of it completely)

• Why does this bill not dictate that this money be used ONLY for the purchase of mortgages,  not "mortgage related securities"

• Why does this bill not dictate that this money be used ONLY for the purchase of mortgages FROM US Institutions (no foreign investment banks)

• And why has John McCain not grown the gonads to stand up and publicly describe in detail how we got here and how our "affordable housing" initiatives actually caused this and name names.  I want to see Barney Franks, Chuck Schumer, Nancy Pelosi, Harry Reid and Barry Obama named specifically and the real information on how this happened made public.

Why is this money not restricted to buying actual mortgages? 

Why is this money not restricted to assisting American companies? 

Ask your representative and push them to answer!

[Republic]

THIS IS HORRIFIC !

I am so upset about this that I'm gonna go get a beer and join hubby to watch our dog swim in the creek---that fatuous CREEP DODD and his buddies MAKE ME SICK!

Can we get this to Hannity and Ingraham and O'Reilly and most importantly....Brit Hume?

People DESERVE to know these UGLY FACTS! Especially regarding the creep who was one of those responsible for the failure to exercise oversight!

[DaveTesla]

Joseph Cassano Contribution List in 2008
Name & Location Employer/Occupation Dollar
Amount Date Primary/
General Contibuted To
Cassano, Joseph
WESTPORT, CT

06880 AIG Financial Products Corp/Fincial $2,300 01/10/2008 P OBAMA FOR AMERICA - Democrat
CASSANO, JOSEPH
WESTPORT, CT

06880 AIG/PRESIDENT $2,000 03/16/2007 P FRIENDS OF MAX BAUCUS - Democrat
Cassano, Joseph
WESTPORT, CT

06880 AIG Financial $2,100 11/22/2006 P CHRIS DODD FOR PRESIDENT INC - Democrat

http://www.campaignmoney.com/political/contributions/joseph-cassano.asp?cycle=08

[Free State Four]

Very interesting bump.

[TenthAmendmentChampion]

From Conde Nast:

A.I.G.'s House of Cards

By the early 1990s, Greenberg, who ruled the company with an iron fist, had grown so concerned about the unit's derivatives dealings that he formed a secret "shadow team" of traders to mimic A.I.G. Financial Product's trades, according to a former company executive.

Greenberg "was uncomfortable with the results," this executive said. "He thought they were taking too many risks."

The C.E.O. ordered Sosin to dial it back, but Sosin refused. He left the company in mid-1993 and sued A.I.G. He later received a payout of over $180 million from A.I.G.

"Under Hank, F.P. was always on its toes," Kau, the former Financial Products executive said. Greenberg "didn't have a derivatives background, but he was always vigilant about reading the reports."

In 2005, Greenberg left the company he had built and ran for 40 years following scrutiny by regulators over its accounting practices.

Recently, the usually reclusive Sosin posted a "mortgage rescue plan" on the Anderson Cooper 360 website that subtly pointed the finger at Cassano for A.I.G.'s woes.

Sosin wrote that when he ran A.I.G. Financial Products, "there were large profits, no material losses, and no credit default swaps or other credit derivatives (the primary source of A.I.G.'s recent failing)."

In the late 1990s, under Cassano, A.I.G. Financial Products ramped up its business of selling credit default swaps, which are insurance-like contracts for big investors with debt obligations—and which lie at the heart of its recent woes. Its main clients were European banks.

"The nature of the program changed," said a person close to Greenberg, adding that over six months in mid-2005, A.I.G. Financial Products expanded dramatically into writing swaps to cover debt that was backed by mortgages.

Credit default swaps are insurance-like contracts that insulate a customer against the chances that the debt obligations they cover might not be paid. The unit typically sold the swaps to big institutional investors that issued or held collateralized debt obligations. Many C.D.O.'s were backed by mortgages. Through its swaps, A.I.G. guaranteed some $440 billion in obligations.

Thanks Eliot Spitzer, for forcing out a good man and helping the banking system to fail!!

[dennisw]

bttt