Jack Lew | Obama’s Office of Management and Budget Pick Oversaw Citigroup Unit That Shorted Housing Market

Jack Lew: Obama’s OMB Pick Oversaw Citigroup Unit That Shorted Housing Market

President Barack Obama’s choice to lead the White House budget office oversaw a Citigroup unit that profited off the housing collapse and financial crisis by investing in a hedge fund king who correctly predicted the eventual subprime meltdown and now finds himself involved in the center of the U.S. government’s fraud case against Goldman Sachs.

Jacob Lew, named Tuesday as Obama’s nominee to lead the Office of Management and Budget to replace departing OMB chief Peter Orszag, served as chief operating officer of Citigroup Alternative Investments in 2008. He has served as a top aide to Secretary of State Hillary Clinton since the administration came into office.

Though Lew is a longtime public servant who’s spent nearly 30 years in various positions throughout government, it is his few years at Citi — in particular the one year he spent at its then-$54 billion proprietary trading, hedge fund and private equity unit — that’s likely to raise the most eyebrows in the coming weeks as Lew faces a Senate confirmation hearing.

Especially his unit’s investments in a hedge fund that bet on the housing market to collapse — a reality suffered by millions of American homeowners.

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5 Responses to “Jack Lew | Obama’s Office of Management and Budget Pick Oversaw Citigroup Unit That Shorted Housing Market”
  1. lvent says:

    yes..and the media reported last week that Cordray appointed a Citibank minion to help him investigate financial crimes……the CFP bureau is just another protection racket for the FEDERAL RESERVE…..Obama is the joker in the flesh..

  2. Pamela Edwards says:

    I agree put them down and what will be will be!!!!

  3. Sally Hander says:

    The press confirms, on occasion, the stunning corruption of the administration, not necessarily stunning when compared to any other administration, but this time the malignancy of a Bankster controlled
    pirate ship is making millions of little people walk the plank with a sword at their back.
    Wonder why Obama has let the foreclosures continue as a matter of policy? He’s a Bankster, all of his cohorts are Banksters, from Emmanuel to Summers to Geithner. Don’t get too excited about voting, there are cronies as far as the eye can see whichever Bankster party wins. REVOLUTION NOW!!!!

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