FRONTLINE..special report unbelievable.

[CoffeeCat]

42. I've heard this theory before...

...that all of the major bank CEOs who were summoned to that meeting (and I believe it was Hank Paulsen who ran the meeting and issued the threats) were forced to take the money to hide the vulnerable banks. At that point, if only a few troubled banks took billions in bailout funds, this would have signaled which banks were in serious trouble. Their stock prices would have tanked, and they would have sunk as Bear Stearns and Leaman Bros both did. If all major banks took the billions, it hid the rotting banks.

It was always obvious that Wells did not want to take tarp. I remember their CEO being pissy in media interviews about the bailout, but they quickly shut up and caved. Anyone else hear the Wells CEO reveal that Paulsdn threatened to sick Federal regulators on the bank if they refused to take the bailout money? Unbelievable!

The sad truth is that probably two or three really abusive banks, that sold boatloads of subprime loans--were the entire reason for the bailout. What do you want to bet that Bank of America would have been the next domino to topple?