"By KATE KELLY and JON HILSENRATH
The Federal Reserve Bank of New York shaped Washington's response to the financial crisis late last year, which buoyed Goldman Sachs Group Inc. and other Wall Street firms.
Goldman received speedy approval to become a bank holding company in September and a $10 billion capital injection soon after.
During that time, the New York Fed's chairman, Stephen Friedman, sat on Goldman's board and had a large holding in Goldman stock, which because of Goldman's new status as a bank holding company was a violation of Federal Reserve policy.The New York Fed asked for a waiver, which, after about 2˝ months, the Fed granted. While it was weighing the request,
Mr. Friedman bought 37,300 more Goldman shares in December. They've since risen $1.7 million in value.Mr. Friedman also was overseeing the search for a new president of the New York Fed, an officer who has a critical role in setting monetary policy at the Federal Reserve. The choice was a former Goldman executive."
http://online.wsj.com/article/SB124139546243981801.htmlConflict of interest in plain sight, ladies and gentlemen! Crony capitalism
at the highest levels of American economic plutocracy in plain sight! The American people will continue to watch reality TV shows and be scared by swine flu while the harlot of crony capitalism comes out from behind the curtain and struts her stuff!
This country is f**ked.
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Mr. Friedman must: (1) Sell his Goldman stock immediately. (2) Voluntarily donate to charity the millions he made from Goldman stock's appreciation since he became NY Fed Chair.
