Saturday, November 22, 2008

Carlyle's Quarles Votes for Geithner

Randall Quarles gave two thumbs up for President elect Obama's Treasury nominee, Tim Geithner. Quarles is an ex-UnderSecretary of Treasury and heads up The Carlyle Group's financial portfolio. He recently landed $153 million from Hank Paulson's TARP for Boston Private Financial Holdings. The On Wall Street reported:

"He's a very strong choice for some very specific reasons," said Randal Quarles, managing partner of Carlyle Group and a former Treasury undersecretary in the Bush administration. "He has a wealth of experience at the Treasury and Federal Reserve. He's been intimately involved in dealing with the financial crisis. And before the financial crisis he was very thoughtful and involved in trying to reduce some specific risks in the system."

How will Quarles' kind words translate into future capital injections? Will Tim prop up any past deals with taxpayer recapitalization? Will Geithner put up Treasury funds in joint venture deals with Carlyle, sold to the public as "private matching funds"? Stay tuned...