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IMO ANY bank or financial institution that receives bailout funds from the government

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Bandit Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Mar-14-09 09:48 AM
Original message
IMO ANY bank or financial institution that receives bailout funds from the government
Edited on Sat Mar-14-09 09:48 AM by Bandit
should not be allowed to trade stock for a period of time, at least a year, to prevent insiders from gaining extreme wealth at our expense. It sure seems amazing that banks after receiving billions of tax payer money suddenly begin showinbg Profit and their stocks begin soaring and their officers make a killing.. They should be preventied from trading stocks until a period of time has passed and the results of the "bailout" can be properly assessed. If after a year has passed and they show profitability then trading could resume..Right now only a month after the bailout, is it any wonder why on paper they show profits? How have they demonstrated they have actually changed the way they manage?
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RB TexLa Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Mar-14-09 09:50 AM
Response to Original message
1. Are you suggesting the financial institutions or officers of them not be allowed to
buy and sell stocks?
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Bandit Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Mar-14-09 09:56 AM
Response to Reply #1
2. Only the stocks of those companies that accept bailout funds.
There was a story in LBN of officers of Citibank that just made millions after buying Citi Stock at bottom. Their stock ONLY went up because of bailout funding. It did not go up because they suddenly starting managing in a differnet manner.
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RB TexLa Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Mar-14-09 10:15 AM
Response to Reply #2
4. Hardly any advantage in determining to buy Citi when the government gives it money
everyone has that opportunity. I've bought C at times during the bailouts, as well as the stock of the financial institution my wife works at who received bailout money. There isn't any advantage to them by being employed by Citi.

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SheilaT Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Mar-14-09 10:12 AM
Response to Original message
3. What about an ordinary small
investor who may own stock in the company? You're punishing them also.
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