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Politics | 03/06/2009 1:20 pm

Geithner Loses Top Candidates for the Treasury

After recent gaffs, the White House’s strict vetting process makes it harder to staff key agencies.
By The Staff at wowOwow.com
© Getty Images

As the economy sinks ever deeper, a tougher vetting process has the Treasury Department struggling to find acceptable staff, leaving Treasury Secretary Timothy Geithner all but alone at an agency that’s integral to the government’s battle against the recession.

It was revealed this week that two more candidates have withdrawn from key posts in President Barack Obama’s administration, The Wall Street Journal reports.      

Annette Nazareth, who was vying for deputy Treasury secretary, withdrew her name several days ago, according to the paper, while Caroline Atkinson, a candidate for the agency’s international affairs chief, called it quits last month.

Both women blamed the tougher vetting process imposed by the White House after it was forced to reverse a series of high-profile appointments over unpaid taxes.

Geithner’s own nomination was nearly scuttled by questions about his taxes. Last month, tax issues put the kibosh on Sen. Tom Daschle’s bid for secretary of Health. Other agencies losing top nominees include energy and transportation.

At the Treasury, Geithner is so far the only nominee to be confirmed. An agency spokesperson says the Treasury Department is "following the normal vetting process" and already has more than 50 political appointees hard at work.

Of course, it may be for the best. Nazareth’s previous job was at the Securities and Exchange Commission, where she headed a division charged with oversight of the financial markets.

20 Reader Comments (so far…) Sign In or Register to comment

S.J. Morgan
Evidently experts do not want to be associated with the mess and are not convinced his plan will worker either……………..
By S.J. Morgan on 03/06/2009 1:33 pm
S.J. Morgan
or more afraid of what they might find in their vetting!!! 
By S.J. Morgan on 03/06/2009 1:34 pm
Libra Lady

SJ…let’s be patriotic and pay those (back) taxes!!!

By Libra Lady on 03/06/2009 1:37 pm
Steve Douglass
Isn’t it amazing that on a daily basis, this administration displays it’s utter stupidity. The next four years would prove to be very entertaining, if it weren’t so sad.
By Steve Douglass on 03/07/2009 4:35 am
Belinda Joy
It speaks volumes that so many people are wary of the vetting process and the information that could/would be revealed about them that could be damming. It again addresses the fact that those who are at the top in terms of money management and policy, are the ones who have the most to hide. Madoff was and is not a fluke. As cynical as I may sound, I believe most men and women on Wall Street, including those who scream and shout on cable news financial programs, have closets bulging with skeletons. Washington D.C. and Wall Street are chock full of hipocrites.
By Belinda Joy on 03/06/2009 2:23 pm
f p
Joe, I bet when the time comers you’ll turn in your relatives, kids and wife to the FBI when your paranoia surfaces dramatically..as it appears to be doing at present.
By f p on 03/07/2009 12:17 pm
Mary Quite-Contrary
I agree. Not only do the those at the top in finance and policy know how to play the system for their benefit, they know how to play their “defense” always a nameless, faceless sacrificial CPA who “overlooked” something. Or in Geithner’s case even Turbo Tax “let him down.” People who sell Amway or Avon on the side, as a second job, have to keep better records than “the smartest people in the room.”. Doesn’t Wharton teach the basics…or is it that it is pretty self-fulfilling to retain that extra 35k a year (Geithner); on live rent free in really cool DC digs (Emmanuel); or hire that Guatamalan nanny (too many to list) that will your kids 24/7 for $3 an hour. Hypcrocy breeds in DC (on both sides of the aisle)…and in the well heeled suburbs as well. The class envy (look at those auto executives in their private jets) also equates to look who doesn’t pay their taxes.
By Mary Quite-Contrary on 03/08/2009 12:46 pm
Ms. Dee

Goodness!  Is the IRS paying the White House a commission on all these funds Obama’s vetting process is sending their way?  What a delightfully unexpected consequence!  

Ah well, surely there’s somebody out there to fill these auspicious positions.  Haste makes waste.  Good these two ladies stepped down.

By Ms. Dee on 03/06/2009 3:38 pm
Green Tears
Ms. Dee, Howie Carr said in a column this week that Barack Obama missed his true calling: as an IRS fraud investigator!
By Green Tears on 03/06/2009 4:18 pm
Ms. Dee
Geithner paid the 35K in back taxes, and the penalites…the minute it was brought to his attention.
By Ms. Dee on 03/07/2009 3:20 pm
S.J. Morgan

That is not true…… He was notified by his employer more than once that he owed taxes on the money.  He ONLY paid it when push came to shove!

Do you realize how much a person has to receive to have that kind of liability???..must be nice to have that kind of pocket change laying around to pay it once he became "aware" ( ya right).  As a professional in finance he worked the system and the odds that he would be audited untile he went through the vetting process !..and also only paid what he was legally not morally expected to pay if caught.

Now he is the same guy in charge of the IRS who is holding up the finalization of tax form 1045 ( Tenative refund for previous losses incurred ) that is holding up refunds on millions of struggling small business owners today ( including mine) .

Our tax returns cannot be filed until the final revisions of this form is complete..the excptected release time has changed every week since Jan 1, 2009.  Delaying the refund on Thousands of dollars that have already been paid that would help people like us to survive.

As the leader of the IRS he is now putting every stumbling block in place he can  for help through the very tax code that is a light at the end of the tunnel helping us stay in business to hang on to that money as long as they can.

 

 

By S.J. Morgan on 03/08/2009 11:46 am
caj p
Geithner needs help in that dept, but I’m sure the vetting process is going to be more stringent so there is no reason for folks to have to decline later down the road.
By caj p on 03/08/2009 7:56 am
Myr Nielsen

How can we trust anyone in office after this fiasco. Geithner looks and sounds like a sniveler and cannot make a decent speech. Even  W had

more thrust in his voice.  They gave him to much hype. He looks like

the little engine that could….. 

H

 

 

By Myr Nielsen on 03/09/2009 1:52 pm