Swinging to new lows
BofA and Citi sell-offs send banking shares to 17-year low. (FT) FBI serves billionaire in Virginia; SEC investigates whether firm was Ponzi. (WaPo) Treasury and Fed plan to subsidize shadow
Unsafe havens
In tax scam settlement, Swiss bank UBS agrees to turn over names of 250 wealthy American tax dodgers; Kurer remains committed to secrecy. (Bloomberg) Criminal trial of WR Grace execs
There will be fraud
SEC charges Texas tycoon with $8 billion fraud; influential Democratic lobbyist, millions in contributions to Party, Charlie, Greg, Bill, Pete, & co helped him gain clout in Capitol. (WSJ) Chrysler
Creditors due
California senate in budget stalemate; governor to terminate 10,000 employees. (LA Times) Holder-led Justice defends withholding of Bush administration secrets related to wiretapping, telecom lobbying, traveler screening, FBI data warehouse.
Presidents’ Day Dilemmas
Plans for car czar dropped, Geithner and Summers to head auto panel; Levin questions delay as GM and Chrysler ready plans. (Detroit Free Press) Obama faces test on whether to
Who is Michael Froman?
The dominant analysis of Obama’s historic fundraising effort is that small donors carried the day. His campaign certainly inspired record-smashing levels of small donor support, but the feel-good story of
Today’s headlines
Continental Flight 3407 crashes into house near Buffalo, killing 49 people aboard and one on ground; NTSB investigates. (Buffalo News)* Heeding Roubini, Times points to insolvency of banking system; Wall
Confusing rewards
Capuano breaks news to Stumpf et al: “America doesn’t trust you any more.” (AP) Reid rolls Pelosi in stimulus negotiations? (Politico) Sage confesses bafflement over mortgage market, justifies Fed‘s inaction
Crisis and opportunity
The FBI raids the lobbying firm of a former top Murtha aide; influence peddlers scramble for the exits. (WaPo) Geithner plan draws sharp criticism, Dow plunges; supportive friend identified. (Bloomberg,WSJ)
Ex-cerpt of the day
Obama has proven himself a genius when it comes to negotiating elite social networks and cultivating strategic relationships. Recent miscalculations aside, his political career has benefitted from some very fancy