Watchdogs Chide Treasury on Bailout (WSJ)
Just posted to the WSJ site:
By MICHAEL R. CRITTENDEN | DECEMBER 10, 2008, 4:45 P.M. ET
WASHINGTON — U.S. Treasury Department assurances that the $700 billion financial rescue plan is helping to stabilize markets aren’t enough for a program that has been implemented with few internal controls, a pair of government watchdogs said Wednesday.
In separate testimony, the Government Accountability Office and a congressional oversight panel said Treasury has doled out billions of dollars to banks with no way to ensure they comply with government-mandated restrictions, or they are using the money to help increase the availability of credit to consumers.
The four-person oversight panel, in its first report to Congress, said it found Treasury has “administrated the [Troubled Asset Relief Program] without seeking to monitor the use of funds provided to specific financial institutions.”
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