GAO: Bailed-out Banks Paying Dividends

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On Tuesday, the Government Accountability Office released its latest report on the Troubled Asset Relief Program. Like everything the GAO puts out, the report is long and wonky, but to summarize, the GAO thinks the Treasury is a bit disorganized: It hasn’t hired asset managers to oversee bailout repayment agreements and needs a better communication strategy “should it need additional funding” for TARP.

This is hardly surprising considering it was just last week that President Obama moved to fill the high-level vacancies at the Treasury. But it’s hard to see why the Treasury wasn’t on top of filling those spots sooner: the pool of available asset managers certainly hasn’t run dry.

The most interesting nugget of information comes later in the report, where the GAO notes TARP recipients have paid the Treasury $2.9 billion in dividends through March 30. Around $2.5 billion of that was paid by banks that gave the government preferred stock in exchange for bailout funds—the exchange otherwise known as the Capital Purchase Program. The Treasury has paid out $199 billion in CPP funds so far, so the government has recouped 1.25 percent of its money in the last six months.

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SIX TRUTHS

Reclaiming power from those who abuse it often starts with telling the truth. And in "This Is How Authoritarians Get Defeated," MoJo's Monika Bauerlein unpacks six truths to remember during the homestretch of an election where democracy, truth, and decency are on the line.

Truth #1: The chaos is the point.

Truth #2: Team Reality is bigger than it seems.

Truth #3: Facebook owns this.

Truth #4: When we go to work, we're in the fight.

Truth #5: It's about minority rule.

Truth #6: The only thing that can save us is…us.

Please take a moment to see how all these truths add up, because what happens in the weeks and months ahead will reverberate for at least a generation and we better be prepared.

And if you think journalism like Mother Jones'—that calls it like it is, that will never acquiesce to power, that looks where others don't—can help guide us through this historic, high-stakes moment, and you're able to right now, please help us reach our $350,000 goal by October 31 with a donation today. It's all hands on deck for democracy.

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