BACHUS: Was there any discussion over a haircut or 95%, taking 95% or 90% as full payment?
GEITHNER: We explored at that time every possible means to reduce the drain on their resources, including what you referred to.
FRANK: (bangs gavel)
GEITHNER: But again, because we have no legal mechanism in place for dealing with this like we deal with the bank, we did not have the ability to selectively impose losses on their counterparts without —
FRANK: (bangs gavel)
BACHUS: You’re a 80% owner.
FRANK: (banging gavel) N-no, I’m sorry! The gentleman has now exceeded the five minutes. As I said before the last person speaking during the five minutes will, uhh, complete a sentence and we will move on. Mr. Geithner, uhh, you want to complete the sentence?
GEITHNER: I forgot where I was in my sentence, but (nervous chuckle)
FRANK: Well, that’s all right. Then we will now go to Mr. Kanjorski. There are too many members here for those of us in the top row to abuse the five-minute privilege.
RUSH: Now, what was happening here, we didn’t… It’s a long bite. What was happening here, is Spencer Bachus was about to nail Geithner not on the bonuses, but on the $170 billion in bailout money that $93 to a $100 billion of was sent to other banks, along with Goldman Sachs, Deutsche Bank, and others, and he had set that all up and that’s why the conversation on haircuts and 80% ownership and so forth. Barney Frank knows where Bachus is going with all this, and so Barney Frank once again shut down the entire conversation as it was about to nail Geithner on the real, real problem with these bailouts, and that is the laundering of money to other banks.