Continue My Bail Out Reaserch

Continuing my research on the topic, "Bail out for banks", I was able to find interesting articles related to my topic. The information that I had gathered made me really focus and pay attention to what is going on. One of the first articles that I was able to find was in titled, "Northern Trust Pledges to Quickly Repay Bailout Money, Following Criticism Over Parties." at, <http://www.foxnews.com/politics/2009/03/02/northern-trust-pledges-quickly-repay-bailout-money-following-criticism-parties/>.

This articles speaks on how the U.S. Rep. Barney Frank criticized Northern Trust after they had report last week that basically instead of the banks spending their money wisely, they felt that, "The bank threw lavish parties and dinners for clients and employees in Los Angeles." Northern Trust bank has stated that they plan to pay back the $1.6 billion in federal bailout money that they had received as soon as they can because of the criticism of how they were claimed to have been spending the bail-out money. CEO Frederick Waddell had written a letter sending it to the members of the House Financial Services Committee stating that, "The company takes its responsibility "seriously" and remains "committed to doing the right thing for all constituencies."

When Waddell responded to the criticism, this is what he had to say, "Northern Trust has engaged our regulators with the goal of repaying (the government loan) as quickly as prudently possible." I feel that if Waddell is so quick to repay the money that means that his company is taking resonsibility for what they had did. Was their any wrong doing. I and if there was should the money be repaid? I think so because the money that was given to then was not only the government's money, it belonged to all the tax payers.


Although Waddell had claimed that the company did not use any of the bailout money for the parties one party imparticular, as a sponsorship for a PGA event, and defended it as an charitable aspects of the sponsorship raising more than $50 million for charity. Financial Services Committee Chairman Barney Frank, and other members, wrote Waddell, "demanding the company "immediately return" to the government the equivalent of what they "frittered away on these lavish events."" "Federal taxpayers should not and will not stand for such abuses, and we will insist that any future Treasury support for Northern Trust be conditioned on a thorough reform of your company's policies and practices," they wrote." The taxpayers are not responsible for giving money to companies that does not spend it wisely. Also I feel like we (the taxpayers) are being abuse and taken advantage of. The money should be given back to the American people where it belongs.

In a related article,

"American International Group Inc.examines the economic apocalypse that would follow if A.I.G. failed."