Geithner’s Aides Made Millions Working for Banks and Hedge Funds

Saturday, October 17, 2009
Timothy Geithner

Change has not come to the Treasury Department which, like previous Washington administrations, is filled with former Wall Street high flyers. Treasury Secretary Timothy Geithner’s inner circle includes Gene Sperling, who earned more than $1 million last year between working for Goldman Sachs and giving speeches to financial companies. Others include: Lee Sachs, who made more than $3 million from hedge fund Mariner Investment Group; Lewis Alexander, the former chief economist at Citigroup; chief of staff Mark Patterson, who was a lobbyist at Goldman Sachs; and Matthew Kabaker, who worked at private equity firm Blackstone Group LP.

 
Sperling and Sachs are key players at Treasury, overseeing the $700 billion banking rescue and craft executive pay rules. “These people are incredibly smart, they’re incredibly talented and they bring knowledge,” Bill Brown, a visiting professor at Duke University School of Law and former managing director at Morgan Stanley, told Bloomberg News. “The risk is they will further exacerbate the problem of our regulators identifying with Wall Street.”
-Noel Brinkerhoff
 

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