In other words the bank failed in large part, not because of the admittedly poor loan underwriting policies they used, but because they lacked the liquidity to cover the sudden demand for cash cause by Mr. Schumer’s bank run.

Yep, old Microphone Mouth has been at it again. It is very possible that IndyMac might have failed anyway, they were engaged in some very dumb practices like giving “Alt A” loans (loans in which the borrower is not required to provide proof of income), but there can be no doubt that the immediate failure of IndyMac was caused to a very large extent by the despicable actions of a publicity seeking, grandstanding, Liberal jerk, who, like all Liberal politicians, was far more interested in what he might gain politically from the bank’s failure than he was about what the failure might mean to the banks stockholders, employees, and customers.

Senator Schumer’s actions were reckless and inexcusable given his position on the Senate Banking Committee.

As a member of the Senate Banking Committee, Mr. Schumer was well within his rights to call IndyMac’s careless lending procedures to the regulating authorities’ attention, but his had no business and no right to make his concerns public.

Such an action by a Senator in a position of trust cries out for censure and investigation.