Business

Hawaii Sen. Gets His Bank Federal Aid

Judicial Watch
A failing Hawaiian bank that didn't qualify for a federal bailout still got a $135 million government infusion thanks to the intervention of an eight-term United States Senator who has the bulk of his personal wealth invested in the folding institution he also founded. The bank (Central Pacific Financial) did not meet the criteria for a Treasury Department bailout designed to help healthier financial institutions because its losses were depleting its capital reserves and it was already in the hands of the Federal Deposit Insurance Corporation (FDIC). But a powerful veteran Democratic lawmaker, who happens to chair the Senate Appropriations Committee, has a huge financial stake in the bank and he used his influence to assure it didn’t go under. Senator Daniel Inouye, who brags about being the senate’s third most-senior member and a World War II combat veteran, pressured federal regulators into bailing out his precious bank.
Click Here For The Full Story......

Posted by Editor at July 2, 2009 08:32 AM