Home / Federal Reserve / Geithner Gets a Subpoena: The Fun Will Soon Begin
Print Friendly and PDF

Geithner Gets a Subpoena: The Fun Will Soon Begin

Written by Gary North on February 20, 2012

The bailouts of October 2008 kept some very rich people keep their money. They did not wind up like employees of Lehman Brothers, which was allowed by the Secretary of the Treasury to fail.

The Federal Reserve is now in damage-control mode. Ron Paul has inflicted a lot of damage. This is going to get worse.

Today’s Treasury Secretary was the president of the New York Federal Reserve Bank in October 2008. He was at the center of the crisis.

Unlike the CEO’s of Goldman Sachs and other major players, he has always been salaried. He does not have the money to pay defense attorneys $500 an hour. But he may soon have to do just that.

Lehman Brothers Holdings Inc. (LEHMQ) and its creditors late Thursday said they want to subpoena Treasury Secretary Timothy Geithner to question him under oath over allegations J.P. Morgan Chase & Co., (JPM) illegally siphoned billions of dollars from the collapsing investment bank in the days before it filed for the largest bankruptcy in U.S. history.

In a filing accompanying Lehman’s filing, made in U.S. District Court in Washington, Lehman’s official committee of unsecured creditors said Geithner has thus far refused to comply with an Aug. 9, 2011, subpoena, and it wants a court to force Geithner to give a deposition by a March 16 deadline.

“Despite being a crucial fact witness on these issues, Secretary Geithner has refused to appear at a deposition in accordance with a valid subpoena issued by the Committee,” the committee’s lawyers said in the filing. Geithner was president of the Federal Reserve Bank of New York at the time of the Lehman collapse.


Geithner has a problem. He will not be able to fool lawyers, the way he fooled Congress about his tax returns. He will not be able to blame iu all on TurboTax software.

They will get him on the witness stand at some point. He will be forced to tell the lawyers what the chain of events was in the biggest bailout in history. If he takes the Fifth Amendment, he will find himself unemployed.

In any case, he is now facing legal fees that I would not wish on anyone.

If the lid is ever taken off this can of worms, the public will find out about the nature of crony capitalism. With lawyers involved, and millions of dollars at stake, the lid will be taken off.

Over time, the voters’ trust in the existing system will disappear. Then will come a political day of reckoning. It will take an economic crisis to accomplish this, but that crisis is coming.

Continue Reading on www.zerohedge.com

Print Friendly and PDF

Posting Policy:
We have no tolerance for comments containing violence, racism, vulgarity, profanity, all caps, or discourteous behavior. Thank you for partnering with us to maintain a courteous and useful public environment where we can engage in reasonable discourse. Read more.

41 thoughts on “Geithner Gets a Subpoena: The Fun Will Soon Begin

  1. Geithner along with Bernackie should both be arrested, tried and put in Federal Prison for about 200 years.

  2. Will he ignore the subpoina and get away with it just like Obama did?

  3. If Geithner's ignored a subpoena since Aug. 2011, he's already in contempt of court. Like cops who gun down unarmed civilians and just get a few weeks' paid administrative leave as punishment, the question always remains: WHO is going to compel corrupt government officials to testify and be held to account? (sound of crickets chirping.)

  4. mr bad example says:

    i'd like to see the entire Executive branch hauled in and locked up on this one!

  5. jim28threg. says:

    IF Geithner and his puppeteers are convicted of anything it will be a surprise to me as well as the nation. If his conviction of any criminal act appears inevitable I believe he will disappear or be eliminated before those controlling him are exposed.
    or his own saftey he had better get lost or find some kind of protection and get it all on a record somewhere before they get to him. Wouldn't bother his handlers to destroy his whole house including the crickets under the steps.

  6. Shouldn’t his guilt (or innocence) be proven at the trial?

  7. Glenn Baker says:

    According to an article on June 2, 2010 from "The Australian" newspaper: "Just before 8:30 last Tuesday morning, US Treasury Secretary Timothy Geithner drove into a walled enclave in suburban west Beijing. His destination was the Communist Party's powerful Central Party School which has trained more than 50,000 middle and high ranking Chinese officials in the past 32 years.
    It was not far from where Geithner had spent two years studying at the city's blue chip Beijing University and Beijing Normal University."
    This guy is a COMMUNIST !!!!!!!!

  8. Guns are what freedom is derived from and held onto with. Perhaps it is time.

  9. If I ignored a subpoena, a warrant for my arrest would be issued. A clear double standard with Geithner. It seems that none of the Obama bunch of thugs are made to comply with laws. Does ths mean that our legal system doesn’t apply to Democrats? If so, our country is GONE.

  10. John Stewart says:

    You say; "If the lid is ever taken off this can of worms, the public will find out about the nature of crony capitalism". I would be more inclined to call the whole situation a den of snakes. Geithner especially and other appointees of this administration have idled through most of their positions favoring their "buddies" and should be looked at very closely.

  11. Concerned Citizen says:

    None of thee Obama gang pays attention to subpoenas. They consider themselves above the law. The Secretary of (In)Justice is the second culprit after Obama.

  12. im glad there is a courtroom that all these crooks will one day face which none of their tricks will save them from,

  13. Of course the law doesn't apply to democrats, and they have the media in their hip pocket.

  14. Yes, and if you try to enforce the law, they call you a racist. I'm wondering how much longer it will take for the brainwashed lemmings to wake up.

  15. Oh, I get it. AG Eric Holder is real busy making Issa and his committee look like idiots. Is Issa actually going to hold Holder in contempt? I doubt it.

    The same with this punk, Geithner! America, these pukes that are running our govt are above the law, not under it. They are in charge now, and if you don't like what they're doing, too damn bad. We make the rules and you'd better kow-tow to our demands or we'll smear you, lie about you, whatever it takes (Saul Alinsky Rules for Radicals — the ends justify the means).

    We have a corrupt, Chicago-style political machine at work here. It goes all the way to the top. Is there one, just one, committee on this planet that will actually indict anybody? They have to prove it to me, before I'll go skipping off and whistling a happy tune.

  16. Yes. But, what planet are you from? Do you not understand how corrupt this entire admin is? Apparently, you read articles on the internet, or you wouldn't be commenting on this site. Here's a real eye-opener for you: The trick in getting these criminals is to actually get them inside of a courtroom with an honest judge. Unlike what we saw going down in Georgia, with Judge Malihi. So, America's biggest problem is actually finding an honest judge, an honest committee, an honest anything, to FORCE (subpoena) these criminals into a courtroom, have a trial, and then let's see where that leads to. Sound good?

  17. Where is that courtroom and whose the honest judge that'll be overseeing the trial?

  18. So agreed! It's always been about the billions of dollars that truly belong to the American people! It's OUR MONEY!! This is our Country and we need to take it back! If the American people would wake the heck up then maybe we could get the Marxist out of the Whitehouse now, before November! IMPEACH NOW!!!

  19. No sh**, Sherlock. Not a surprise to me. Along with the potus and the entire cadre of anti-American fellows throughout this administration.

  20. I will believe it when I see it! Obama is ignoring Supoenas so why do you think Holder or Geitner won't?
    As the article states Geitner has ignore a supoena since August 2011. Somewhere there must be someone of Authority that will enforce the law or are we already under a Dictator?

  21. Marek Voit says:

    50 years ago your "administration " wouldn't even think about censorship— reading my comments and rejecting or approving my thoughts.
    Welcome to totalitarian system I left 40 years ago.
    Marek Voit

  22. Admit it; these Marxists in DC ARE above the law that they are effectively destroying. And they all HATE us!

  23. TheBlackPiper says:

    The entire political structure, not just this administration, is corrupt. There are, no doubt, some individual exceptions. But the system itself is totally corrupt. How many "public servants" leave political office much richer than they entered it. Usually by a very large order of magnitude. The system will continue to be corrupt until I see more politicians declaring bankruptcy than going to jail for corruption related crimes,

  24. Larry Owens says:

    good to see that Maybe some one will have to answer the Tough questions. But most likely Justice will not be done.

  25. Our entire system was based on trust and honesty. The entire nation now seems to have a morals problem. Our system will improve when people of conscience are again in charge.

  26. Don't forget to hammer Paulson. Nothing happened without that crook's knowledge and approval. They should all be tried, convicted, and hung for treason against this Nation and its founding principles.

  27. Most of them are Communist from the lead communist Obama. They should all be tried and put in prison until death.

  28. juana polonski says:

    I think he will that as his master did!

  29. The Secrets of the Federal Reserve – on The Library of Congress Website – Read this.

    Too Big to Fail – See That.

    Watch Fox – Listen to the Facts.


  30. Indeed they are thugs but I doubt anything will be done about it. Washington has become filled with corrupt politicians and government bureaucrats that have become highly skilled at protecting each others backside while they rob honest taxpaying citizens blind. The rule of law hardly exist anymore in this once great country. The jackals have taken over.

  31. Jack D Bear says:

    This goes beyond communism, deception, and crony capitalism – this is pure and simple Treason. Never mind trials and imprisonment for life, treason is punishable by death. We the people need to push the "reset" button on the federal govt in '12

  32. I understand our dilemma, but you can't call someting a trial if the outcome is predetermined. With that kind of "justice" we get American citizens targeted by predator drones and Obama Bin Laden assassinated by the goon squad.

  33. Kookie: If his "boss" (??) gets too worried about what he might say, I guess as a Christian, I should start praying for his soul. However, I think, if HE can't afford the money for the "BIG" ttorneys he WILL need, guess who will pay for it for him.

  34. Richard: I believe Burt may be referring to the HIGHEST COURT… ruled by none other than GOD.

  35. Mary: This is what I have been telling my son and his girl friend. Young ones today seem to think sexual freedom means sleeping with one person after another and another, etc. No moral standards in this way of thinking.

  36. Indict Geitner, Holder, Bernanke, and the Kenyan. If convicted, we can always hang the later.

  37. "Geithner Gets a Subpoena: The Fun Will Soon Begin"

    He should get the electric chair!

  38. "Trust arrives on foot but departs on horseback."

  39. Kevin Beck says:

    Little Timmy will just act like the dummkopf from Hogan's Heroes. The only words that will come from his mouth will be, "I KNOW NOTHING!"

    Just remember the full statement about taking the Fifth Amendment: "I refuse to answer the question on the grounds that the answer MAY TEND TO INCRIMINATE ME." But again, he might be so stupid as to claim executive privilege.

  40. Gary, I think you're naive. My take on this is that the lawyers who want to put Geithner on the witness stand will be approached by some people who will make them an offer they can't refuse, and they will suddenly decide that Geithner's appearance in court isn't really so critical to their case after all. If you really think that this scenario is outlandish, I suggest that you need to understand the reality of what's happening.