Posted on 11/30/2009 6:45:01 AM PST by Vince Ferrer
The US public will be “outraged” by Citibank’s $8 billion loan to Dubai just six weeks after the bank was bailed out, US House of Representatives domestic policy subcommittee chair-man has said. Dennis Kucinich commented on the Dubai loan and other US banking investments as a congressional panel released a report that strongly questioned Citibank’s actions. The report, shown to 7DAYS, cites the Dubai loan as the largest of the “questionable transactions” by banks after the US government bailed them out. It notes that the loan to Dubai’s public sector came on December 14, just six weeks after the US government gave Citibank a $25 billion bail-out.
The report quotes Win Bischoof, then chairman of Citi, as saying the bank agreed to the Dubai loan because “we continue to place the Gulf region among our globally most significant markets”. The report also questions JP Morgan’s $1 billion investment in India and Bank of America’s $7 billion investment in China. “When the American people find that their tax dollars, which were supposed to be used to get us out of this financial crisis, are instead being used to ship jobs and investments overseas, there will be outrage,” Kucinich said. The report notes the loans were not illegal and that it is not known if they were directly funded by bail-out funds. A Citibank official was quoted at the time as saying the $8 billion came from the bank’s own funds and third party sources. The report was released as the committee prepares to question banking chiefs about their use of bail-out funds.
CITI had to be nuts.
We obviously can’t trust anyone. Obama should run everything.
Don’t worry - obama and the dems will blame Bush for this.
Seems like it would be a lot easier to load all the money on a supertanker and sink it in the challenger deep.
Try crooked.
I canceled a credit card with them years ago because though I paid in full each month, they kept adding interest. Scum then, scum now.
And then the taxpayers will pony up to Citi somewhere down the line. But they’ll be able to say we didn’t bail out Dubai.
He and hese “friends” already run nearly everything.
SOROS has probably good “friends” in DUBAI
This iS going to get A LOT UGLIER BEFORE IT GETS PRETTIER..............
Prince Al-Waleed bin Talal bin Abdul Aziz Al Saud has about $1 billion invested in CITI now. He lost $8.6 billion during this global recession. I have no doubt he used some of his influence to loan Dubai money. The Prince also has significant investments in Dubai.
Obviously Citi is run by financial geniuses, and we are too stupid to understand their brilliance....
hh
ITs about the stimulus, dummy,
and redistributing the wealth.
America voted for hope and change to the world, the islamic world,,,, c’mon reach out and hug one today!
There, dont you feel better already?
I don’t know the details of Citi’s portfolio, but strongly suspect this was something they *had* to do to prevent Dubai-linked loans and bonds in their portfolio from defaulting.
Worst part about it (- aside from America not being able to afford this) is Dubai is bailing on their debt, so this cash became skim for some dubai scum at the top of the food chain.
They are outraged? I thought they were running Citi.
Maybe, maybe not. Dubai’s decisions as to *which* of their debt to default on is likely driven by factors such as which debtholders are helping them out. Neither Citi nor the government of Dubai are altruistic organizations.
Either way, the question stands and begs answering.
When the US is suffering , cranking up debt and bailing out banks at the expense of the taxpayer wtf is 8 Billion doing going into Dubai?
Isn’t CITI’s largest shareholder still that Saudi Prince?
Coincidence?
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