Saturday, January 9, 2010

Geithner is asked to testify to Congress about AIG's payouts

WASHINGTON — A House of Representatives committee chairman has invited Treasury Secretary Timothy Geithner to testify why, immediately after he was nominated, federal regulators decided not to reveal the generous terms of $62 billion in taxpayer-financed payouts to major banks.

The White House, responding to the release of internal e-mails drawing Geithner into yet another controversy over the government's handling of the nation's financial crisis, reiterated President Barack Obama's support for his treasury secretary. Asked whether Geithner still has Obama's full confidence, presidential Press Secretary Robert Gibbs said, "Of course."

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