News / USA

US President to Big Banks: 'We Want Our Money Back'

U.S. President Barack Obama is calling on the country's top banks to take responsibility for their role in the global financial crisis and repay the financial industry bailout in full.

The president Thursday said it was unacceptable for American taxpayers to lose any money when many financial firms are now reporting "massive profits" and giving top executives, in his words, "obscene bonuses."

He said many of the firms would not have survived without government help.

Mr. Obama is proposing a "financial crisis responsibility fee" for about 50 of the country's largest banks and financial firms, including some that did not get government help during the crisis.

He said it would raise $90 billion over the next 10 years, and that it would remain in place until all of the bailout money has been paid back.

The United States set up a $700-billion program in late 2008, known as TARP, to assist financial firms in danger of collapsing because of the financial crisis.  While many top U.S. banks have already repaid the government, officials say with the fee, the program could still lose $170 billion.

But some top bank officials are already criticizing the fee.

JPMorgan Chase Chief Executive Jamie Dimon called it "a bad idea," warning that businesses tend to pass additional costs onto their customers.

President Obama criticized complaints from the banking industry, saying their insistence that it was fairer for taxpayers to fund the total cost of the financial industry bailout was "twisted logic."

The proposed fee is being included in President Obama's proposed budget and will have to be approved by lawmakers.

Meanwhile, one day after questioning top bankers, the bipartisan panel created by Congress to investigate the causes of the financial crisis heard from top government regulators.

U.S. Attorney General Eric Holder told the Financial Crisis Inquiry Commission Thursday that he would use every tool at his disposal to crack down on investment fraud.

Federal Deposit Insurance Corporation Chairman Sheila Bair admitted regulators failed to do enough, but also criticized the U.S. central bank for failing to use its powers effectively.

The Federal Reserve Thursday urged key lawmakers not to strip it of its authority to supervise banks.

Chairman Ben Bernanke said in a letter to the U.S. Senate Banking Committee, that reducing its powers would deprive the Fed of information it needs to set monetary policy.
 

Some information for this report was provided by AP, Bloomberg and Reuters.

You May Like

Is Air Travel Safe?

Aviation expert says despite tragic losses of Malaysian Airlines flights 370 and 17, industry experienced lowest fatality rate in recorded history last year More

Multimedia 100 Days Later, Nigerian Girls Still Held

Activists holding rallies in Nigeria and several other countries to mark 100th day of captivity for more than 200 schoolgirls being held by Boko Haram More

Chocolate Too Bitter? Swap Sugar for Mushrooms

US food technology company develops fermentation process using mushrooms to reduce bitterness in cocoa beans, believes it will cut sugar content in candy More

This forum has been closed.
Comments
     
There are no comments in this forum. Be first and add one

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
US Carriers Suspend Travel to Israeli
X
Carolyn Presutti
July 23, 2014 1:21 AM
The United States is prohibiting American carriers from flying to Israel's airport in Tel Aviv for 24 hours, because of rising violence between Israel and Hamas militants. The action was announced on Tuesday, after a rocket fired by Hamas militants in the Gaza Strip landed near the airport. As VOA's Carolyn Presutti tells us, international officials soon may have to determine which combat zones are too dangerous for commercial flights.
Video

Video US Carriers Suspend Travel to Israel

The United States is prohibiting American carriers from flying to Israel's airport in Tel Aviv for 24 hours, because of rising violence between Israel and Hamas militants. The action was announced on Tuesday, after a rocket fired by Hamas militants in the Gaza Strip landed near the airport. As VOA's Carolyn Presutti tells us, international officials soon may have to determine which combat zones are too dangerous for commercial flights.
Video

Video NASA Focuses on Earth-Like Planets

For decades, looking for life elsewhere in the universe meant listening for signals that could be from distant civilizations. But recent breakthroughs in space technology refocused some of that effort toward finding planets that may harbor life, even in its primitive form. VOA’s George Putic reports on a recent panel discussion at NASA’s headquarters, in Washington.
Video

Video IAEA: Iran Turns its Enriched Uranium Into Less Harmful Form

Iran has converted its stockpiles of enriched uranium into a less dangerous form that is more difficult to use for nuclear weapons, according to the United Nations’ Atomic Energy Agency. The move complies with an interim deal reached with Western powers on Iran's nuclear program last year, in exchange for easing of sanctions. Henry Ridgwell reports for VOA from London.
Video

Video Relic of Saint Draws Catholics Worried About Immigration Issue

A Roman Catholic saint who is a figure of devotion for those crossing the border into the United States is attracting believers concerned about the plight of undocumented immigrants. Mike O'Sullivan reports from Los Angeles, where a relic of Saint Toribio has drawn thousands to local churches.
Video

Video US Awards Medal of Honor for Heroics in Bloodiest of Afghan Battles

U.S. combat troops are withdrawing from Afghanistan, on pace to leave the country by the end of this year. But on Monday, U.S. President Barack Obama took time to honor a soldier whose actions while under fire in Afghanistan earned him the Medal of Honor. VOA's Jeff Seldin has more from the Pentagon.
Video

Video Ukraine Rebels Surrender MH17 Black Boxes

After days of negotiations, a senior separatist leader handed over two black boxes from an airliner downed over eastern Ukraine to Malaysian experts early Tuesday. While on Monday, the U.N. Security Council unanimously demanded that armed groups controlling the crash site allow safe and unrestricted access to the wreckage.
Video

Video In Cambodia, HIV Diagnosis Brings Deadly Shame

Although HIV/AIDS is now a treatable condition, a positive diagnosis is still a life altering experience. In Cambodia, people living with HIV are often disowned by friends, family and the community. This humiliation can be unbearable. We bring you one Cambodian woman’s struggle to overcome a life tragedy and her own HIV positive diagnosis.
Video

Video Nature of Space Exploration Enters New Age

Forty-five years ago this month, the first humans walked on the moon. It was during an era of the space race between the United States and the Soviet Union. World politics have changed since then and -- as Elizabeth Lee reports -- so has the nature of space exploration.

AppleAndroid