Sheila Bair Joins Geithner-Bashing Party on Libor Rigging Coverup
July 21, 2012 • 10:51PM

In an interview with CNBC on Friday, former FDIC chair Sheila Blair blasted Tim Geithner for failing to act on the Libor rigging when he knew about it as President of the New York Fed. Referring to documents released by the New York Fed and the Bank of England, Bair told CNBC, "Looking at those e-mails, it looks like they had pretty explicit notification of some very bad behavior, and I don't understand why they didn't investigate. They did have authority to do that." Of course, in his 2009 confirmation hearings as Treasury Secretary, Geithner explicitly claimed that he never had any regulatory authorities or experience while at the New York Fed. Asked about her own knowledge of the Libor rigging when she was head of the FDIC, Bair said she had "no idea" there was "really overt rate fixing"—adding that "I don't think anybody did, except apparently the New York Fed."

Tim Geithner will be on Capitol Hill this coming week, testifying at both the House and Senate on Wednesday and Thursday.