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thunderdownunder
08-02-09, 05:33 PM
The "unintended" consequences of TARP (trouble asset relief Fund)

http://www.bloomberg.com/apps/news?pid=20601109&sid=amp5wXx35fkc

You guys are a barrel of laughs and just keep coming up with more side splitters :D
I'm not an economist but I know that if the bucket of US citizens Tax dollars is leaking offshore this bad you need to act urgently to stem the flow.
"Free Booze anyone, Uncle Sam is paying"

Taxpayers Fund Distillery

“What happened is we sent taxpayer money to effectively build a distillery in the Virgin Islands that will benefit Diageo, one of the world’s largest conglomerates,” Ellis says,

The Diageo deal started shortly after deJongh took office in 2007. The governor says the company contacted him to say it planned to leave Puerto Rico after having decided the U.S.V.I. might be a better location to produce Captain Morgan.

He negotiated with the company for 18 months before cementing the arrangement in June 2008.

Diageo bought Captain Morgan from Seagram Co. in 2001 and was making plans to move from Puerto Rico in any circumstance, says Diageo executive Dan Kirby, who’s in charge of what the company has dubbed “Project Island.”

It wanted a long-term supply of rum and direct control of production. So it decided not to renew its contract with the current maker of its base rum, family-owned Destileria Serralles Inc. in Ponce, Puerto Rico.

In the deal, the U.S.V.I. agreed to build a distillery for Diageo, using $250 million in public bonds that will be repaid with federal excise taxes from the U.S.

Who are "They" ?????
answer!
“They snuck these things in a bill that was focused on other things.”

Congress inserted the tax benefits for companies other than banks in a fog of confusion and panic after the House of Representatives rejected the first attempt to fund the bank support effort urged by then President George W. Bush and Treasury Secretary Henry Paulson.