Treasury Sec. Geithner went before Congress again today outlining more regulations that the Obama Administration wants to be able to bring the Masters of the Universe under control. They want broad powers to take over and liquidate any of these bloated parasites that threaten to bring down the banking system. Before 1981 commercial lending was almost exclusively the domain of closely
regulated banks as it had been since the last time the Republicans had nearly destroyed this country under Hoover. Now fully two thirds of this big dollar lending is done completely outside the scope of bank regulators.
Obama wants transparency (at least to the SEC) in the activities of large Hedge Funds, Venture Capitalists and Private Equity Firms who have literally been running amok; they need to all fly the Jolly Roger so that they can be distinguished from the merchant vessels. He wants regulation of Credit Default Swaps and Derivatives but not an outright ban. Restricting them to legal behavior would pretty much be a ban of most of them.
Whether or not this broad agenda of regulation makes it through Congress and is successfully implemented will determine if we are going to get off of the log flume toward the buzz saw of Fascism. As far as Geithner just being just another Wall Street insider greasing the skids (another logging reference), it doesn't seem to be so.
The Obama Administration wouldn't need to work this hard to just hand the country over. Bush was able to do it without spending any time on it at all. The fact that they are having real difficulty staffing the top jobs at Treasury suggests they are serious. The Bush Transition in 2001 literally used lobbyists like Jack Abramoff to handle the hiring of Department and Agency administrators. A busload would come over from K Street, were handed axes and told to go at it. Like Freddie Krueger catering teen slumber parties.