Tim Geithner former Treasury Secretary how well
often criticized for being a lackey a wall street no
left his position and it was unclear where he was gonna go
for his new job now he's working on a book
which I'm going to be shocked to find out later is very much
pro Tim Geitner and explains how he saved the global economy he's also doing
speaking engagements
now our people mesmerized by what Tim Geithner has a say no
but they would all like to handout little bribes to 10 guide here in KC is
back in office
which is of course what happens often with the revolving door that's Wall
Street and Washington
so he goes and gets paid an extraordinary so money just to show up
and take pictures of people
well now has an official job and you guessed
public school teacher in
inner-city schools IPO pretty big deal with marijuana and gravy
no overall you go to work on Wall Street
now would be a little unseemly to go to work for the top banks these regulated
for over a decade now where there was at the New York Federal
Treasury Secretary so it's good news a little pussy twist on that
he's gonna go to a private equity firm which actually is
even more lucrative it to Warburg Pincus
so I guess he's declaring war Burke I'm your own art
so private equity firm in there actually are private there are some that are
public there that are even more dangerous
because then the executives don't care ago
what happens to those companies at all these wanna make money in the short term
while they have a big say we're coming now at least the Warburg Pincus guys
have a little stake in the company themselves so they don't wanna sink
so okay give them credit for that they've done deals buyout so companies
like Neiman Marcus Bausch & Lomb
and theoretically the idea behind private equity's blind you're supposed
to buy
generally speaking distressed companies turnaround get them better get them
healthier and then
sell them often make a profit that so they generally did
be great right oftentimes we found out of course to be in capital and
you note if you know the industry that's not really how the game is played in the
load up the company with that they'll take some other money output in their
pockets
and when the company crashes and who cares they already got paid
now so there's a good side on the bad side a private equity
what's comical about this is when government officials go to work for
these companies
usually they don't actually do any work they're there to get
official or unofficial bribe minutes
official in the sense that you now work for us and we know later you'll work for
the government
in which case you will happen to look out for us
so iight in this case
look in private equity I mean we had John David Petraeus who want to KKR
you got vice president dan quayle and sector just know who were
servers Capital Management your Carlyle Group that had
almost ever government major government official
a for a long long time the best that I've some others officials they still
have people like james baker
us for the Carlyle Group and the reason they do all this
is not because they think oh my god what is james baker know about banking
and remember ten diner almost in work in private industry at all
a brief state at kissinger consulting and largely is work in the government
know it's a great just sit there and then when they're ready to go back into
government i cooking now we give your
millions of dollars you read to go back and do your job before we are absolutely
sorry absolute
n they help them get their government contracts in some cases for some other
companies that are
owned by the private equity companies and all the different that goodies that
you need from government
I guys like tonight or make a call and say hey give it to them and they usually
get it
what's funny about this announcement is they're pretending the 10 got him do
some
actual work so the human actual title he'll be mapping the firm's strategy
and management and investor inhaling investor relations
and hence he will that be the president and managing director that in reality
when they say Helly investor relations that we see goes the lunches with really
rich people get something that's the company in the car looked Tim Geitner
they go out re okay that you're going to get the government deals going to do
whatever it takes
and in a sign on so there's some real value to the company on that but listen
to what they say
as to whether he's going to be actually doing any work so great this is not true
when they approach me think clearly wanted me to play a substantial role
in helping them manage the firm now if you're above normal high a president and
managing director for a large company
which have to explain in the press release or when the press asks you
no they actually want me to do something to work
ok all said what you do something to work
when you give you a sense of how much you will obvious bribe it is
they have to actually notable I'm actually gonna show up to work
I mean I'm even gonna drive in from home I'm gonna take all my pajamas is gonna
be amazing
okay and now but the coach even executive Charles K backs that up and
says
I love this quote quote you got this right decision will
absolutely be a full-time member or the partnership
he will very much be here every day
the wall is he not merciful
you understand this the whole system is set up on this
unofficial bribery so they don't need them to come into work
they don't give a damn what Tim Geitner think good deals they're gonna make
know any event just sittin there
to get all the government goodies now and in the future
our system is so corrupt that it's unbelievable
it was anyone silly enough to ping but im going to after giving
all those sweet ordeals the bankers
one turnaround work for Wall Street of course he would
and of course he had