IG Report Finds Paulsen, Bernanke Misled Public on Bank Rescues - Political News - FOXNews.com

IG Report Finds Paulsen, Bernanke Misled Public on Bank Rescues - Political News - FOXNews.com: "Barofsky said that the fact that Citigroup Inc. and Bank of America Corp. soon required billions in additional assistance highlighted the inaccuracy of that claim and raised questions about the whole effort. In addition, Merrill Lynch, which was also in the original nine, was in the process of being acquired by Bank of America because of its weakening financial position.

'Statements that are less than careful or forthright -- like those made in this case -- may ultimately undermine the public's understanding and support,' the report said. 'This loss of public support could damage the government's credibility and have long-term unintended consequences that actually hamper the government's ability to respond to crises.'"

"But Assistant Treasury Secretary Herbert Allison Jr., who now heads the bailout program for the government, said that any critique of the announcements made a year ago should take into consideration the unprecedented circumstances facing financial regulators at the time."

I guess it is ok to make incorrect statements if the circumstances warrant.