Government support for financial and housing markets hits $3.7 trillion
The latest report from Neil Barofsky, the special inspector general for the Troubled Asset Relief Program (TARP), said that while TARP is winding down, government support for financial companies and the housing market continues to rise. The total amount is up 23% to around $3.7 trillion from $3 trillion the previous year. Of the $500 billion in TARP funds that has been paid out or committed, around $200 billion has been repaid. In addition, the government has profited around $7 billion from warrants and preferred stock, and $16 billion from interest payments, dividends, and other TARP income. Barofsky criticized the Home Affordable Modification Program, saying it has had minimal effect on the foreclosure epidemic. Barofsky also said that his group has become a “white collar investigative agency,” and is pursuing 104 criminal and civil investigations.
Censky, A. (2010, July 21). Bailout cop: Economy still on government life support. CNNMoney.com.