Other Things That Make You Go Umm…….

Posted By on August 22, 2011

Morgan Stanley, at the brink of collapse in 2008, got $107 B, yes, B as in Billion from the Fed. They’ve  got’ta be kidding!  Nope, not kidding.  Soon after that, record bonuses came flowing faster then you could flick a bic! Every Fed official should be ashamed of this BS… yes the same stuff that gets stepped in. Oh we know the alternative was a depression, but let’s be realistic, we may have one anyway because of an even bigger mess bestowed on us now. The next few years will be tough ones.  This is yet another warning.  Are you prepared?

From Bloomberg: August 22, 2011

As markets convulsed in September 2008, Morgan Stanley (MS) Treasurer David Wong briefed the Federal Reserve on a “dark” scenario in which the U.S. firm would need at least $10 billion of emergency loans from the central bank.

It got 10 times darker by month’s end. Morgan Stanley borrowed $107.3 billion, the most of any bank, according to data compiled by Bloomberg News using information released in response to Freedom of Information Act requests, related court orders and an act of Congress.

Morgan Stanley’s borrowing was more than twice the amount all banks got from the Fed in the market squeeze that followed the Sept. 11 terrorist attacks.

Morgan Stanley’s Fed loans which were tallied in a Bloomberg News database and assembled from government records of more than 21,000 transactions and 29,346 pages, opens a window on Wall Street’s secretive, lucrative and risky dealings with hedge funds.

At the peak of Morgan Stanley’s Fed borrowings, on Sept. 29, 2008, the firm reported that liquidity was “strong,” without mentioning how dependent its cash stores had become on the government lifeline. Liquidity refers to the daily funds a bank needs to operate, including cash to cover withdrawals.

More at: http://www.bloomberg.com/news/2011-08-22/morgan-stanley-at-brink-of-collapse-got-107b-from-fed.html

About the author


Leave a Reply

You must be logged in to post a comment.

Copyright © 2021 The Stated Truth