January 29, 2009

SENATOR COLLINS COMMENTS ON NEW TREASURY DEPARTMENT POLICY TO INCREASE TRANSPARENCY IN FINANCIAL STABILITY PROGRAM

U.S. Senator Susan Collins today lauded the Treasury Department's announcement of a new policy to post information related to the implementation of the Troubled Asset Relief Program (TARP) to the Department's website.

Senator Collins has been calling for increased transparency of TARP funding since its creation late last year. Earlier this month, Senator Collins joined with Senator Carl Levin (D-MI) to subpoena information related to the very contracts that the Treasury Department will now release online.

"This is a strong first step that promotes transparency in the TARP program," said Senator Collins. "The lack of transparency and accountability in the use of TARP funds continues to be troubling. Like millions of other Americans, I was astonished and outraged to learn that 21 banking organizations that received at least $1 billion each in TARP funds were unwilling or unable to provide a public accounting of the use of those public funds. I believe this new policy brings a positive change of direction to the Treasury Department."

Investment contacts for future completed transactions related to TARP will be posted to the Department's website within five to ten business days.

For contracts already completed, documents will be posted on a rolling basis, beginning today with the first nine contracts completed under the Capital Purchase Program (CPP), as well as contracts for transactions closed under the Systemically Significant Failing Institutions (SSFI) program, the Targeted Investment Program (TIP) and the Automotive Industry Financing Program (AIFP). Treasury will work in the coming weeks to make public all copies of existing investment agreements.