We knew this was coming. Charlie Gasparino is reporting that Spencer Bachus is ready to call for a Congressional investigation into political pressure on big banks to rescue the failing lender Shorebank Corp.
Shorebank, a Chicago institution with close ties to the Obama Administration, was rescued with a $125 million bailout from Goldman Sachs, JPMorgan, GE Capital, Citigroup and other big banks. Bachus believes there was some pressure by the administration to bail out the lender, even though several banks had stepped away from the deal over the weekend. Not surprisingly, Obama's peeps have denied they were involved.
“The congressional republicans are now going to call for an investigation into the bailout of Shorebank. As you know all these private sector banks came in at the last minute and threw in about $150 million. GE Capital, not exactly a bank, gave $20 million as well. Mr. Bachus thinks it’s suspicious so he is calling for an investigation.”