President Obama’s new Chief of Staff, Jack Lew, is a former hedge fund executive from Citibank. He did quite well on mortgage defaults. I don’t think Obama mentioned this when he made the announcement. Not to worry, The Weekly Standard has the scoop.
From 2006-2008, Jack Lew was chief operating officer of Citibank’s alternative investments division. And it was his division that made billions of dollars betting “U.S. homeowners would not be able to make their mortgage payments,” as the Huffington Post reported.
The piece also reported: “Lew made millions at Citi, including a bonus of nearly $950,000 in 2009 just a few months after the bank received billions of dollars in a taxpayer rescue, according to disclosure forms filed with the federal government. The bank is still partly owned by taxpayers.”
Of course, one should not begrudge Lew his personal, professional, and financial successes. But one might wonder what kind of message the president is sending with this appointment. (Read More)
Lew’s recent history is also notable. In August of 2011 he claimed that Porkulus created millions of jobs. Funnier still, in February of 2011 he testified that Obama’s huge budget – if I recall correctly, that budget was rejected by his own party – would not add to the debt.
I guess he’s a perfect fit for this president.