Paulson’s Goldmen
Critics of Henry Paulson's effort to put together a financial bailout worry that the Treasury secretary is getting too much of his advice from aides who were his colleagues at Goldman Sachs, where he was the CEO before joining the Bush administration in 2006. Paulson has recruited three former Goldman execs—Ken Wilson, Ed Forst and Dan Jester—in recent weeks to help him create and execute a bailout plan. A fourth, retiree Steven Shafran, is one of Paulson's "senior advisers." Treasury spokeswoman Michele Davis said Wilson and Jester joined Treasury as advisers in August; Forst, who left Goldman this summer to become a senior administrator at Harvard, joined Paulson's crisis squad in September. "This is a time when the American people need all the experts at Treasury that they can get," Davis said, adding that the ex-Goldmen are getting paid "de minimis" as "contractors."
Administration critics expressed concern that Paulson's team is heavy with Wall Street expertise but short on Main Street perspective. A senior commercial banker, who asked for anonymity discussing bailout politics, said that the relationship between the investment business, which will be a major beneficiary of any bailout, and the Treasury team is "very incestuous." A GOP congressional adviser, who also asked for anonymity, said Paulson's Goldman-heavy kitchen cabinet "narrow[s] their window of input." Democrats also have close ties to Goldman. Ex-Treasury secretary Robert Rubin, a top adviser to Barack Obama, was the investment firm's co-chairman until 1993. According to OpenSecrets.org, the Obama campaign has received about $690,000 from Goldman-affiliated donors. The Obama campaign says it "receives advice from a wide range of economic experts."
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Mark Hosenball joined Newsweek as an investigative correspondent in November 1993, covering a range of issues for the National Affairs department. Most recently, he has written and reported numerous stories on terrorism and the Sept. 11 attacks on America. He has also covered campaign finance, the Monica Lewinsky controversy, the death of Princess Diana, Whitewater, the crashes of EgyptAir flight 990 and TWA flight 800, as well as related air safety issues.
Hosenball came to Newsweek from "Dateline NBC," where he worked as an investigative producer. He also worked extensively as a print journalist, writing for a number of British and American publications, including the London Sunday Times, the London Evening Standard, Time Out, The Washington Post, The Wall Street Journal, and The New Republic. In addition, he has done commentaries for American Public Radio.
Hosenball has been honored with a number of prestigious awards. Most recently, along with a team of Newsweek correspondents, he was awarded the Overseas Press Club's most prestigious honor, the 2002 Ed Cunningham Memorial Award for best magazine reporting from abroad for Newsweek's coverage of the war on terror. His reporting and that of his colleagues earned Newsweek the prestigious National Magazine Award for General Excellence in 2002 for its coverage of September 11 and its aftermath. And a story he co-authored was highlighted in a citation Newsweek received by the White House Correspondents' Association when it awarded the magazine the 2002 Edgar A. Poe Award for "excellence on a story of national or regional importance. "Newsweek's September 11 coverage started long before the attacks. An article in the magazine's February 19, 2001 issue warned with chilling accuracy: 'The threat posed by (Osama) bin Laden is growing -- and coming ever closer to home."
Hosenball was a contributor to the CANAL + TV documentary, "L'Argent de la Drogue" (Drug Money), which was awarded the "Sept D'Or," the French equivalent of an Emmy. He also contributed to NBC News' coverage of the BCCI scandal, which earned a 1991 Peabody Award.
He attended the University of Pennsylvania and Trinity College in Dublin. He lives in the Washington, D.C. area with his wife and son.
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