Treasury Will Allow 10 Banks To Pay Back TARP

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It’s official: The Treasury will allow the winners of the financial crisis to pay back TARP.  This is good news, as forcing everyone to be a “C” student wouldn’t have been good for the economy.  It does probably seal the fate of Citigroup and other crippled institutions that can’t pay it back, however,

Bloomberg: The Treasury is preparing to announce today it will let 10 banks buy back government shares, people familiar with the matter said, signaling confidence some of the largest U.S. lenders won’t again need a taxpayer rescue.

JPMorgan Chase & Co. is among those cleared to repay Troubled Asset Relief Program funds, a person said on condition of anonymity. Goldman Sachs Group Inc., American Express Co. and State Street Corp. are also among those that have sold shares and debt unguaranteed by the government, demonstrating they can raise funds without federal aid.

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No news on the other 6, but it presumably includes Morgan Stanley.

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