While Ackman and Loeb battle it out over HLF, the other potentially firework-prone battle has died an ignominious death. The WSJ reports that AIG has generously decided not to bit the Treasury hand that fed it just a few short years ago:
Disorganization across the federal government has led to billions of wasted tax dollars spent on redundant federal programs, from $30 million worth of catfish inspections performed by two separate agencies, to $66 million in contracts awarded by two different arms of the Department of Homeland Security unknowingly research the exact same thing.
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What kind of thanks does AIG owe the government that bailed it out to the tune of $182 billion? How about a $25 billion lawsuit?
Elliott R. Morss submits:CapitalismThe capitalist system is supposed to generate value. Let’s go through the latest Goldman (GS) activity resulting in the SEC complaint. Someone named Paulson pays Goldman Sachs $15 million to develop and market a financial instrument that Paulson wants to fail. Goldman gets ACA (we will soon hear more about ACA) to make Paulson’s package more marketable. Goldman sells it, knowing it was designed to fail.