GEITHNER DOTH PROTEST TOO MUCH: Does Timmy Work for Goldman Sachs?

L. Randall Wray

You cannot make this stuff up. Timmy and his staff have gone into overdrive, denying that he has ever been employed by Goldman Sachs. The damage control began when NYC Mayor Michael Bloomberg said Geithner used to work at Goldman. here.
Look, Bloomberg’s the Mayor of Wall Street, and a guy who knew his way around Wall Street before he became a politician. He ought to know which Treasury Secretaries work for Wall Street’s most powerful bank. To be more specific: Bob, Hank, and Timmy—they are the team from Government Sachs and they are at Treasury to run government in Wall Street’s interests.

Timmy and his staff are trying to carefully parse words: it all depends on what one means when one says that Timmy worked for Goldman. If you mean by work “on Goldman’s payroll”, then technically Timmy’s employment at Goldman is yet to come. It is future tense: Timmy “will work” for Goldman. He’ll take a top management position on Wall Street when and if President Obama ever wakes up to the scandal going on at Treasury.

Until then, Timmy is just carrying water for Goldman, funneling Uncle Sam’s money to the firm in the biggest wheelbarrows he can find. He’s not “working for” Goldman—just watching out for the firm’s interests—since he is not yet technically on the payroll.

Timmy has been fighting the perception that he worked for Goldman since his career in “public service” began, working in the Reagan administration. Most of his career has been in Treasury, where he worked for Treasury Secretary Rubin, and at the NYFed where he worked closely with Treasury Secretary Paulson—both of whom had been on Goldman’s payroll.

Even Rahm Emanuel’s wife remarked at a dinner party that Timmy must look forward to returning to Goldman.

Why does everyone think Timmy worked for Goldman? Because he did, and he does. Like a good CEO, he is taking his pay in deferred compensation. When he retires from “public service”, he will go to Wall Street and he will be richly rewarded for his many years of service.

Look, Timmy, the careful parsing of words just doesn’t work. Ask Bill Clinton, who famously tried this tack, after he had said in reference to Monica “there’s nothing going on between us”:

“It depends on what the meaning of the word ‘is’ is. If the–if he–if ‘is’ means is and never has been, that is not–that is one thing. If it means there is none, that was a completely true statement….Now, if someone had asked me on that day, are you having any kind of sexual relations with Ms. Lewinsky, that is, asked me a question in the present tense, I would have said no. And it would have been completely true.”

So, Timmy, is there anything going on between you and Goldman?

9 responses to “GEITHNER DOTH PROTEST TOO MUCH: Does Timmy Work for Goldman Sachs?

  1. Mr Wray,Even if you know Mr. Geithner on a personal level and call him "Timmy" in that context, it seems totally inappropriate and takes away from your argument to call him such in this article. It seems akin to Mr. Limbaugh calling the "Democratic Party" the "Democrat Party" simply to get a rise. Please don't stoop to that level.

  2. With all the nefarious business dealings between Timmy, AIG, Lehmans, BoA, Citi, et al, shouldn't he suffer the wrath of Bill Black rather than retire to a cushy job on Wall St.?

  3. Followup: Just after I posted the blog, Timmy's office sent the following notice to me. Coincidence? From: U.S. Department of the Treasury [mailto:[email protected]]Sent: Fri 8/20/2010 7:52 AMSubject:Recipient Directives On Foreign PaymentFROM THE OFFICE OF MR. TIMOTHY F. GEITHNERSenior Secretary, Foreign Assets ControlThe U.S. Department of the TreasuryTreasury Annex1500 Pennsylvania Avenue, NWWashington, DC 20220United States of AmericaTel: +1-(202) 622-2000Fax: +1-(202) 478-0979Thursday, August 19, 2010Our Ref: USA/TREAS/898ATCPYour ref: USA/IMF/7890/121 COMMITTEE ON FOREIGN PAYMENT RESOLUTION PANEL ON WITHHELD PAYMENTSWe want to advise you of the status of your fund payment case. Recently there was a court decision that favored you in getting your funds back from international banks that are withholding your funds. Although you are hearing from us for the first time, we have been working very hard for you and making progress on our research on why international banks has failed to completely credit funds to international owners/beneficiaries account.In joint alliance with the HMRC Treasury Europe, the European Financial Service Commission & the International Monetary Fund (IMF) to resolve this issue, we wish to let you know that we have approved to release only the total sum of Seven Million United States Dollars ($7,000,000.00 USD) to enable you start up your own business.In response to this court decision, we got the Legislature to apply backward in time so that you can use the violation of the existing law to get your funds back.You need to apply for your fund payment by sending us your personal information below along with a scanned copy of your international passport or drivers license so that we will forward it for verification and payment.PERSONAL DETAILS;ANSWERS;1. Your Full Name, Nationality & Current Location.2. Your Age & Current Occupation.3. Your Phone & Fax Number.4. Your ID Number (or Attach Identification Documents).Please do not hesitate to provide us the information so that we will know how to help you receive your funds.

  4. Oh come on Abellia. This is America. We call our govt officials by their first names–Jimmy, Billy, Bobby, Hank, Bob, Jack, Ronnie, Hillary. Try googling "Timmy and Goldman". Take a look at Simon Johnson's piece: this ain't no article. It is a blog.He is Timmy. He will always be remembered as Timmy–our favorite since that kid with the dog that kept him out of trouble. Where's Lassie when you need her?LRWray

  5. Perhaps what they meant to say is that Geithner is the ONLY person at Treasury who HASN'T worked at Goldman Sachs?Now that would make more sense, especially given the numerous times Geithner has worked at the Treasury (Geo. H.W. Bush admin., Clinton Admin., etc.), and at the IMF, and at Kissinger Associates, and his most recent position prior to Sec'y of Treasury, the chairman of the FRBNY.Which is interesting, given that recent SIGIR report mentioning that unaccounted for $8.7 billion when Geithner was at FRBNY.Why? Because that money moved between the Fed. Reserve of NY and the Iraq Trade Bank, under management of J.P. Morgan Chase, and their managing director of that contract, one Daniel Zelikow, the Best Friend Forever (BFF) of Timothy Geithner.The coincidences grow curiouser and curiouser…sgt_doom

  6. Mr. Wray,Abellia is correct, you should not refer to him as "Timmy".I believe "Dipstick", "Jackwagon", or "Dipstick Timmy" would significantly aid your argument.Vinz Klortho

  7. OK, Vinz,but we should preserve a bit of sympathy for Geithner. He tries so hard. Indeed, he tries so hard that his coveted CEO on Wall St position might be out of his grasp. Even Goldman might think it a bit too cheeky to now hire him into the fold. He may never reach the pinnacle of his career. Might have to settle for Morgan. Or, heaven forbid, an advisory role for Citibank–big bucks but with no control or prestige. Sgt gloom: pray tell, you got more?LRWray

  8. Oh, I cannot resist–I tried but it is futile.Remember Monica–who "carried water", so to speak, for Bill. All she got out of the whole affair was a stained dress. It is possible that poor Timmy is going to end up with little more than cabfare home–after nearly 4 decades of working for Goldman. Wall St might view him as damaged goods after all the scandals come to light–he might end up with just about as many job prospects as a shunned pagegirl from the Clinton administration.

  9. Ha ha, I love that Times article. It reminded me of the old SNL skit, "Lyle the Effeminate Heterosexual". in the world thinks Timmy's a Goldman boy and he can't understand why!