Posts Tagged ‘Treasury Secretary’

It is the politics of the unusual in Washington these days as evidenced by the Senate confirmation hearings of Secretary of the Treasury nominee, Timothy Geithner. The Obama nominee to head the treasury department, apologized today for mistakes made on previous tax returns, where he failed to pay $35,000. of self employment taxes, while employed by the International Monetary Fund. There is little doubt though that his appointment will be confirmed.

Geithner’s tax issues, have been well publicized and under any previous administration his nomination would have been withdrawn, for the Senate, would surely reject the nomination of an individual responsible for oversight of the Internal Revenue Service, who had filed questionable tax returns and failed to pay the taxes due, until nominated for his new post.

However, we are in the midst of a severe financial and credit crisis of which Mister Geithner is intimately familiar with in his role as President of the Federal Reserve Bank of New York. He along with Federal Reserve Chairman Ben Bernanke and former Treasury Secretary Hank Paulson have been the architects of the various financial bail outs of the last several months.

Geithner’s nomination was well received by Wall Street and Capitol Hill at the time it was announced given his involvement in the financial crisis to date. Failure to confirm his appointment would only result in additional turmoil in the market. We must take Mister Geithner at his word that his tax issues, were an oversight that won’t be repeated and that he will be as gifted, in his role as Treasury Secretary, as the political establishment believes him to be.

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