The Way It Is, Like It Or Not...
Yet again, another internet graphic lies and people repost it because Google isn’t working.
Bloomberg, WaPo, and a few others have already debunked this one, but screw it. Let’s do it here too for people who can’t search the internet.
Let’s go with Bloomberg’s debunking since it was the simplest and most straightforward.
The Claim: Vice President Joe Biden said Mitt Romney “cost the government and American taxpayers $10 million” when he negotiated with the Federal Deposit Insurance Corp. to reduce an outstanding loan from a failed bank to Bain & Co.
The Background: Biden was quoting an article in Rolling Stone magazine with the headline, “The Federal Bailout That Saved Mitt Romney.” The article detailed Romney’s efforts in 1990 to save Bain, a consulting firm from which his Bain Capital LLC was a spinoff. He succeeded in getting the FDIC to cut a $38 million loan by $10 million.
The Facts: Biden’s charge that the restructured loan cost the government and taxpayers is wrong. Although Rolling Stone referred repeatedly to a “bailout,” the article made clear that “taxpayers did not finance” it. While the FDIC is backed by the full faith and credit of the U.S. government, it is funded by assessments from the banks it insures. No federal money was involved in covering losses from a reduced Bain loan. The article said that the FDIC would have passed losses along in the form of higher bank assessments. Biden spokeswoman Amy Dudley said Bain got “a bailout from an agency ultimately backed up by American taxpayers.” The point, though, is that taxpayers didn’t foot the bill.