SHOCKER: Former Goldman Sachs President Receiving Nearly $300 Million Golden Parachute Into Trump Administration
“President Trump Should Give Candidate Trump a Call Before He Offers Another Job to Another Goldman Sachs Executive.” – Karl Frisch, Allied Progress
WASHINGTON, D.C. – Today, following news that Gary Cohn secured a $284 million golden parachute into the Trump administration by Goldman Sachs as he prepares to serve as Director of the National Economic Council, Allied Progress released a new report outlining the president’s key economic advisors’ ties to Goldman Sachs. Cohn, Steven Mnuchin, Steve Bannon, Jay Clayton, and Dina Powell all have deep ties to a company accused of ripping off investors and profiting from millions of distressed homeowners.
On the campaign trail, candidate Donald Trump relentlessly attacked Goldman Sachs, claiming the bank had gained “total, total control” over his political opponents. But now Goldman Sachs alumni have been handed “total control” over key economic posts in President Donald Trump’s administration. From Treasury Secretary, National Economic Council Chair, and Chief Strategist, to SEC Chair and more, President Trump has surrounded himself with the same Wall Street insiders that he derided during the campaign and that have profited off the financial devastation of millions of Americans.
“President Trump should give Candidate Trump a call before he brings any other Goldman Sachs executives into the White House,” said Allied Progress Executive Director Karl Frisch. He continued, “By handing over our economy to Goldman Sachs, President Trump has again betrayed working class Americans who took him at his word when he promised to ‘drain the swamp’ and rid Washington of the influence of powerful special interests.”
Trump had good reason to criticize Goldman Sachs as it was instrumental in causing the Great Recession and was ultimately forced to pay the SEC an historic $5 billion settlement for “serious misconduct.” During the investigation, Goldman Sachs also admitted that it had “misled investors” by not telling them that it knew their mortgage-backed securities “were indeed riskier than what [it] had” revealed.
Allied Progress also released a new research profile on Cohn and his troubling record in the financial sector. The research clearly demonstrates that Cohn is a danger to the future of our country’s economy and its people.
“Gary Cohn is getting a $284 million golden parachute into the Trump administration where the policies he pursues will have an enormous impact on Goldman Sachs — the very company that just cut him this giant check. The whole thing reeks of a conflict of interest and represents the worst of the Wall Street-Beltway revolving door racket,” Frisch asserted. “Cohn’s recklessness helped cause the Great Recession. He even lied to Congress about Goldman’s use of government funds. Now Trump has put him in the driver’s seat of our economy. Trump didn’t drain the swamp–he’s just filling it with sharks.”
Among other things, Cohn’s profile shows that the SEC described him as a “driving force” behind Goldman Sachs’ $550 million settlement resulting from their case which accused Goldman of duping clients and “fraudulently marketing securities linked to subprime mortgages” during the 2008 housing market crash. But Cohn’s lack of ethics and regard for financial and criminal law doesn’t end there: he also misled Congress about his company’s use of emergency government funds
Last month, Allied Progress launched Trump Transparency Project, an initiative aimed at holding the incoming administration accountable for its economic appointments and policies that betray America’s middle class. You can read the project’s profile on Gary Cohn here.
For more information, visit TrumpTransparency.org
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Allied Progress is a nationwide, progressive advocacy organization that uses hard-hitting research and creative campaigns to hold Wall Street and powerful special interests accountable. Since launching in 2015, the organization has led high-profile campaigns on several issues including reforming the payday lending industry and exposing the those working to cripple the Consumer Financial Protection Bureau (CFPB).
To speak with Allied Progress about this release, please contact Mike Czin, 202-286-7654.