BOND TAKES ADMINISTRATION TO TASK FOR HANDLING OF MAIN STREET RESCUE PLAN
Senator: No More Money Until Treasury Accounts for Use of Taxpayer Dollars, Answers Questions
U.S. Senator Kit Bond today criticized the Administration for their handling of the Main Street Rescue plan following the release of a revealing report.
“Before Treasury asks Congress for more money, they must account for the $350 billion they have already been provided, make the case this action has aided our economic recovery efforts, and answer the serious questions raised by this report. Taxpayers were promised transparency and deserve answers,” said Bond.
The Senator made his criticisms following the release of the first independent review of the Main Street Rescue plan, known as the Treasury Department’s Troubled Asset Relief Program – or TARP. The review was conducted by Congressional auditors at the Government Accountability Office (GAO). The GAO uncovered a number of management and oversight deficiencies that raises serious questions about the program’s integrity, accountability, and transparency and effectiveness.
Bond called the GAO’s findings very troubling and pointed to the Treasury Department’s inadequate staffing, failure to establish a mechanism to track the billions in taxpayer funds provided to the banks, and failure to establish a system on how it would monitor compliance with executive compensation limitations required by the legislation. In other words, the Treasury is unable to tell taxpayers how their funds are being spent and whether the money is being spent in a responsible and effective manner.
The GAO also uncovered other troubling findings, like Treasury’s lack of action to address the foreclosure crisis. Bond criticized this failure to address a crisis has already cost many families their homes and has devastated communities across the nation.
Bond called the GAO findings unacceptable and charged Treasury to provide taxpayers with the answers they deserve and the transparency required by the law. Bond warned the Administration not to delay action and stressed the need for progress before the Congressional Oversight Board's report is finished on December 10th.