Bailout bill oversight within sight

Although weeks have past since the Program was approved and $290 billion of the first $350 billion has already been pledged, the President has announced his nomination: Neil Barofsky, Assistant United States Attorney in the Souther District of New York. Appearing before the Senate Finance Committee, Barofsky outlined his professional background and explained how he would utilize his position to bring about proper oversight.

“This past summer, our United States Attorney asked me to supervise a newly created Mortgage Fraud Group to respond to the havoc that mortgage fraud has caused to countless homeowners and lenders in our district…we attacked at the roots of those who have contribute significantly to the current housing and financial crisis through wholesale fraud of homeowners, lenders, and investors,” said Barofsky.

“‘[It] has given me the tools to identify the markers of fraud throughout the financial industry, the necessary expertise in investigating such frauds, and the experience of establishing a plan of attack on those committing these fraud.”

Committee member Senator Charles Schumer (D-N.Y.) elaborated on Barofsky’s previous experiences.

“Mr Barofsky demonstrated great personal bravery when he investigated the Revolutionary Armed Forces of Columbia, FARC, the narco-terrorist group that controls more than half the world’s annual cocaine production. He successfully indicted the FARC’s top 50 leaders at great risk to his own personal safety,” said Schumer.

Following Congress’s initial rejection of the Troubled Assets Relief Program, the bailout bill was subjected to numerous alterations. One important change was the addition of an inspector general to provide the program with oversight.

Barofsky described how he would bring his investigative experience to the position, stating “We will need to establish an investigative arm, which I can assure this committee will tirelessly investigate and refer for prosecution any individual or entity that tries to criminally profit from the Program.

Senator Jay Rockefeller (D-W.V.) warned that banks and those high up in financial institutions have ways of “slipping things by” and essentially asked if Barofsky would be a tough enough inspector general to provide proper oversight to which Barofsky responded, “I won’t give you empty words. Instead I’ll just point to my record and what I’ve done as a prosecutor in the Southern district of New York. Whether it was attacking the FARC in the jungles of Columbia or Refco on Wall Street, all I’ve done is to go after those who violated the law. And I will take that exact same tenacity and dedication to this job as I’ve done with every prosecution I’ve worked on.”