Nominated For Your Consideration: Lew Sails Through Senate

In contrast to Chuck Hagel's experience.... 

"the hearing was mostly friendly with few tense moments"

"Treasury nominee echoes Obama on taxes, budget" by Martin Crutsinger  |  Associated Press, February 14, 2013

WASHINGTON — During a three-hour confirmation hearing Wednesday, Jacob Lew, President Obama’s nominee for Treasury secretary, fielded a broad range of questions about how he would handle a number of challenging issues, including Europe’s debt crisis, US-China relations, and the implementation of the 2010 financial regulatory overhaul.

But the sharpest questions focused on his brief tenure at Citibank, where he was a top executive during the height of the financial crisis. Republicans pressed him about his duties and a nearly $1 million bonus he received when the bank was being bailed out by taxpayers.

Related: New Lewter at Treasury

Just business as usual.

Overall, the hearing was mostly friendly with few tense moments. And when it concluded, Senator Orrin Hatch, the panel’s ranking Republican, said he thought Lew had ‘‘done very well.’’

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Several senators wanted to know more about Lew’s three years working for Citi, including a brief period when he was chief operating officer for an investment unit at the bank in 2008. During that time, the bank received the first installment of a $45 billion bailout from the federal government. It has since paid back the money back.

Lew’s unit had been criticized for making risky investments that imploded during the crisis. Lew told the panel that he did not make decisions about investments during that time.

‘‘I was not in the business of making investment decisions,’’ he said. ‘‘I was aware of what was going on, but I wasn’t designing’’ the investment funds. 

This elicited no reaction?

Lew left in early 2009 to join the Obama administration. Shortly before his departure, he was paid a $940,000 bonus. Lawmakers wanted to know why he received such a large bonus when the bank was receiving billions in aid from the government.

‘‘I was compensated for my work,’’ Lew said. ‘‘I’ll leave for others to judge.’’

Senator Charles Grassley, Republican of Iowa, also questioned Lew about an investment of $56,000 he made in an offshore fund registered at a Cayman Islands address. Critics — including Obama — have called the property a tax haven.

Lew sold the investment in 2010 for $54,418, losing money on the investment. He said that he had reported the investment transaction on his tax reforms and had paid all required taxes....

Much of Lew’s testimony reflected the Obama administration’s message....

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"Hagel will lead Defense Dept. as Senate OK’s pick; Contentious process ended in close vote" by Jeremy W. Peters  |  New York Times, February 27, 2013

WASHINGTON — Hours before the final vote on Hagel, the Senate Finance Committee approved the nomination of Jacob J. Lew as Treasury secretary on a 19-5 vote....

Senator Barbara Mikulski, Democrat of Maryland, allowed that Republican colleagues were entitled to questions. “But I understand that Jack Lew had 638 questions that he had to answer from one senator,” she said....

That senator should be given a medal.

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"Senate approves Lew for Treasury post by wide margin" by Martin Crutsinger  |  Associated Press, February 28, 2013

WASHINGTON — The Senate on Wednesday confirmed Jacob Lew to be Treasury secretary, affirming President Obama’s choice of a budget expert at a time when Congress and the White House are at odds over sharp government spending cuts.

The vote was 71 to 26 to support the nomination. A total of 25 Republicans and independent Bernie Sanders of Vermont voted against Lew’s confirmation....

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