Sunday, July 5, 2009

New Fed Extortion Racket?

"Four outside directors with experience in banking or financial oversight joined Bank of America's board Friday, a move aimed at satisfying strong suggestions from federal regulators that the Charlotte, NC lender improve its corporate governance. ... With the four new directors, BofA's board now has 18 members. The new additions are former [Fed] Governor Susan Bies; former [FDIC] Chairman Donald Powell; former Compass Bankshares Inc. CEO D. Paul Jones and former Bank One Corp. executive William Boardman. All are in their 60s", Dan Fitzpatrick and Joann Lublin at the WSJ, 6 June 2009, link:

Are these "former Feds" like Henry Paulson was a "former" Goldman Sachser? This looks like the Fed is creating sinecures for friendly retainers. Apparently the Fed is jealous of the DOJ's ability to take care of its alumni like John Ashcroft, see my 17 May 2009 post:


Anonymous said...

Could be sinecures or the Fedsters could be terrified of Ken Lewis being more of a loose cannon...

It would seem they would want to continuing holding his feet to the fire... "loose lips sink...."

Jr Deputy Accountant said...


Ken Lewis needs an entourage. It's part of the Fed's latest PR campaign.

Bernanke appears on late night TV drinking Pepsi next week. Soon they'll be "internet marketing".


1 million + 2?