Troubled Asset Relief Program: Status of Efforts to Address Transparency and Accountability Issues

Book excerpt: The Troubled Asset Relief Program (TARP) has the authority to purchase and insure up to $700 billion in troubled assets held by financial institutions. This authority was granted in response to the financial crisis that has threatened the stability of the U.S. banking system and the solvency of numerous financial institutions. This testimony is based on a Jan. 30, 2009 report that covers the actions taken as part of TARP through Jan. 23, 2009. It focuses on: (1) the nature and purpose of activities that have been initiated under TARP as of Jan. 23, 2009; (2) the status of the transition to the new admin. at OFS and its hiring efforts, use of contractors, and dev¿t. of a system of internal control; and (3) preliminary indicators of TARP's performance.