Felix Salmon
notes an unseemly epilogue to the story of Neel Kashkari, the
Hank Paulson-picked TARP supervisor dubbed "The $700 Billion Man"
for his oversight of the bailout funds prior to his
spectacular DC burnout.
Having spent months recuperating from the stress of financial
crisis-era government work with a retreat to a remote cabin in
California, Kashkari is now set to return to business. He is
going to work for the investment giant Pimco -- a firm
significantly affected by Kashkari's previous work at the
Treasury Department.
Salmon highlights the coinciding interests:
Remember too what
Kashkari’s job was at Treasury, before Hank Paulson came
out with the Plan B of simply buying equity stakes in the
banks: he was meant to be putting in place a mechanism to value
precisely the kind of complex debt instruments that Pimco
considers itself an expert in. In doing so, he doubtless spent
a great deal of time with very senior Pimco officials who were
probably flattering him daily in an attempt to bring him round
to their way of thinking on the matter. It hardly matters
whether or not they explicitly said at the time that they’d be
interested in hiring him when he left government — Kashkari’s a
smart guy, and he knows how the revolving door works.
Whatever Pimco's planning on paying Kashkari, it's probably worth
it. The only thing more valuable right now than knowing how the
revolving door works is knowing how the federal government works.
I'd think Kashkari has a pretty good idea.
racking| 1.7.10 @ 12:46AM
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