First published 2012
Neil Barofsky chronicles the $700 billion TARP bailout and his role as special inspector general overseeing the funds. A former federal prosecutor who had convicted drug kingpins and Wall Street executives, Barofsky left his position during the 2008 financial crisis to protect taxpayer money from fraud. He immediately faced hostility from Treasury officials who prioritized banking interests over public accountability. Treasury Secretary Timothy Geithner and his team collaborated with Wall Street executives to design programs funneling taxpayer money to their firms with minimal risk or oversight. Barofsky's investigations revealed mismanagement of the AIG bailout and Geithner's approval of millions in executive bonuses. Meanwhile, homeowner relief programs failed catastrophically. Treasury rejected fraud protections that Barofsky recommended, leading to widespread mortgage provider abuses and unnecessary foreclosures. Only $1.4 billion of the $50 billion allocated for homeowners was spent, while $4.7 trillion propped up financial institutions. As Barofsky raised alarms, the White House and Treasury waged an aggressive campaign against his oversight efforts. The account reveals how completely Wall Street has captured the political system.
Genres: business, politics, economics, non-fiction, 21st-century, finance
Vibes: intimate, suspenseful, thought-provoking
Tropes: corruption, whistleblower
Setting: United States
Period: 2008 Financial Crisis
288 pages · Hardcover · Free Press/Simon & Schuster, Inc. (NYC)