Monday, September 29th, 2008 | Author:

“poorly run” companies – and the primary beneficiaries would be Goldman Sachs Group Inc. and Morgan Stanley

So says John Allison, as reported at Bloomberg.com. He continues in a 9/23 letter to Congress:

Treasury “is totally dominated by Wall Street investment bankers” and “cannot be relied on to objectively assess” the impact of government policy on the financial industry.

So who is this Allison, who dares to throw darts at Paulsen (“coincidentally” former chairman and CEO of Goldman Sachs) and his cohorts? He’s the CEO of BB&T, North Carolina’s third- largest bank, and in my view, a much more credible witness.

Under Allison, BB&T avoided the subprime mortgage market, whose collapse led to the credit crisis. BB&T has risen 26 percent this year, the best showing in the 24-company KBW Bank Index.

And isn’t it another amazing “coincidence” that billionaire Warren Buffet, who compared this financial crisis to Pearl Harbor and told congress we faced the biggest financial meltdown in American history if they did not act, recently invested $5 billion in Goldman Sachs?

Hmmm. It seems to me that all those “conspiracy nuts” are sounding more like prophets.

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