In spite of the fact that he had major tax difficulties and would be leading the IRS if confirmed, Kay Hagan in fact voted to confirm Timothy Geithner for U.S Treasury Secretary.
Much excitement has been expressed locally regarding Hagan's ascension to the U.S. Senate. Is North Carolina proud today of how she voted?
"I have said that it is too important in these tenuous economic times to hold up this critical appointment for a serious, but honest, mistake. I am disappointed that Mr. Geithner made this mistake, but he has taken responsibility for it, paid his back taxes, and with overwhelming support from the Finance Committee, and the U.S. Senate, I am pleased that this evening, he became our country’s new Treasury Secretary."
Does this mean that Tim Geithner is too big to fail? If we need someone who knows a lot about TARP and such, then why not just keep Hank Paulson. He is equally egregious, but at least, it hasn't been revealed that he cheated on his taxes.
But, we knew that Kay Hagan would take such courageous and principled stands before she went to D.C., didn't we? I'm surprised that she didn't lecture Geithner like she did Obama before voting for him.
Heck, whether you like or her or not, you have to admit that she is one gutsy freshman senator. Always walking on th edge of controversy.
Posted by: Stormy | January 27, 2009 at 04:30 PM
I can't wait to read the rationale for her vote to confirm Eric Holder as AG.
Posted by: bubba | January 27, 2009 at 04:46 PM
Stormy and Bubba, this vote was very disappointing. She was presented to us by the local press as the best thing since Jiffy Pop. They told us what a conscientious, hard-working legislator she is. And of course, she is progressive just to the right degree, according to the local opinion-makers.
How do they defend this vote? It is very questionable whether Geithner is guided by the right principles. But the fact that he did not pay his taxes when he was supposed to is a huge warning signal.
And it was a signal that Hagan refused to heed. She wanted to be a team player, to the detriment of the interests of her constituents.
Posted by: Joe Guarino | January 27, 2009 at 04:56 PM
I've begun watching Glenn Beck on Fox News at 5:00 pm. Based on his first week, he is the best thing on television. He not only has a great sense of humor, but he is taking on people of all stripes. Tonight, he dismantled Blago and Orrin Hatch. This guy has no problem speaking truth to power. Boy, I wish he could get out courageous senator on the show. I'd pay good money to watch that.
Posted by: Stormy | January 27, 2009 at 07:16 PM
Joe - I would agree with much of what was said, and I was glad to see 30+ Republicans vote against him, if for nothing else that a brief return to principle - if Geithner had been a Republican appointee, he wouldn't have stood a chance...
I agree with Bubba though, that Holder is much much worse...at least Geithner is competant in his job...Holder was a ridiculous choice, and I'll predict that there is a good chance he will go down....Marc Rich is a big deal, and now it appears Holder lied under oath. I think Republicans will stand their ground on him, and Dems may throw him overboard....
I would disagree a bit on Paulson though - no one understands how to manage this process, and I think his about face on the TARP, i.e. putting that money directly into banks, was the exact thing he should have done, for a lot of reasons...
The guy who should be fired is Ken Lewis, CEO of BofA. I don't care what's "patriotic" (what he said about buying Merrill Lynch)...he's not paid to be patriotic, he's paid to maximize shareholder value...period...
Hagan is a joke, on so many levels...
And how about that early bipartisan spirit in Congress...? It's really a great plan by the Dems - Obama talks a lot about reaching across the aisle, goes to Congress, meets Republicans, etc...while Pelosi/Reid shove bill and bill down the throat of the American people...there's that change I can beleive in again...!
Posted by: Everest | January 27, 2009 at 09:15 PM
Everest, I agree for the most part(except perhaps the part about Paulson). And yes, Holder is worse.
But I find it disconcerting that there was not more opposition to Geithner. There is an enormous inherent public trust with respect to the management of the US Treasury and the IRS. Are we to believe that there is not a single competent person in the whole country capable of doing this job who had obeyed all the tax laws?
Posted by: Joe Guarino | January 27, 2009 at 09:32 PM
There are probably other people out there, but few who had the confidence of the market...that's what this vote was about. If he's not confirmed the market is down 1000 points...not saying that's a reason to vote Yea, but I think that's why...
You have to really give him a lot of rope to believe this was a "mistake"...don't buy it personally, although I think he's probably who McCain would have picked as well - and in my opinion he's really been worse than Paulson. He convinced the government to save AIG (Mistake) and then saved Bear but not Lehman (another mistake)...not a great track record.
I think Paulson did the right thing with banks...only the banks can leverage the money he distributed the way it needs to be - and I don't mean 35-1, but 8 or 9 to one like most safe banks do. He knew that was the best way to get the most "bang for the buck" and he was right...that's a difficult explanation at cocktail parties, but it's the right one....If I was a bank though, I never would have taken TARP. Now you've got the government in your business, looking at things that happened pre-TARP (Thain's office), and telling you what/when/how and who to lend to...and they can change the rules, at any time, retroactively...why would any reasonable CEO agree to that...? Nuts!
Posted by: Everest | January 27, 2009 at 09:58 PM
Everest,
The biggest banks were TOLD that they had to take TARP. Essentially, they were threatened by the government. And, from what I understand, the smaller banks were leaned on pretty hard as well. Even if the market went down 1,000 points, we should have bitten the bullet. We've got to take out medicine sometimes, if we are going to get over the toxic asset flu that Barney Fife, er Frank, leased upon us. And, to imagine that clown is still sitting there wrecking havoc on the American taxpayers. He should have been taken out behind the wood shed and received a severe beating.
Come to think about it, there isn't a person inside the beltway that isn't a clown, not one. I think that Paulson and Geithner were both creators of this financial disaster as well. And, now, the Democrat Congress, enabled by the timid Republicans, are about to ruin the futures of our children for decades to come.
Posted by: Stormy | January 27, 2009 at 10:27 PM
Stormy -you're right on the big banks, but small banks had a clear choice. Most needed the money for issues on the horizon, but I don't think thought thru the long-term...which is what helped them get in trouble in the first place...
I don't know that I disagree with you on Geithner, but it's difficult to argue that you wreck the market to prove a point...that's a tougher call to make...
I don't see he and Paulson as helping create this mess, as you can trace almost all of it back to Congress. I think this is one of those rare events, when NOBODY knew what to do...clearly they made some huge mistakes, but look at what they're dealing with to help resolve it...Congress...good luck with that...
Posted by: Everest | January 28, 2009 at 06:31 AM