Congressman Paul Hodes’ Statement on New TARP Report

October 6, 2009 -- Washington, DC -- Congressman Paul Hodes issued the following statement after the release of a new report that shows that the Treasury Department misled the public in statements on the TARP program. Special Inspector General Neil M. Barofsky’s report charges that Treasury officials made inaccurate statements regarding the financial health of some of the nation’s biggest banks while they were receiving billions of dollars in aid from taxpayers.

"The details of this report are troubling," said Congressman Hodes. "Treasury officials must be accountable to American taxpayers, especially when taxpayers are being asked to pay for the mistakes and greed of Wall Street. Granite Staters have a right to know exactly how their tax dollars are being spent.

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I opposed TARP because it did not address the cause of the economic crisis, and did not provide sufficient oversight of taxpayer funds. This report is further proof that the TARP program was flawed from the beginning. I will continue to stand up for Main Street and fight to end the TARP program. Rather than spending billions to provide bonuses for failed executives on Wall Street, we should focus on creating good-paying jobs for working families and helping Main Street."

The Inspector General’s report claims that Treasury Department officials misled the public in claiming that several of the banks that were receiving TARP aid were healthy, despite Treasury’s knowledge that the banks were in financial trouble. The report also describes irregularities in the amount of TARP assistance that Bank of America was awarded.

Source: Congressman Paul Hodes