George's Bottom Line
Reporting and analysis from ABC News Chief Washington Correspondent and "This Week" Host George Stephanopoulos

George Stephanopoulos reports on events in politics, Congress and the White House for ABCNews, on the air and online. He interviews top newsmakers, discusses the events of the week and looks to the week ahead each Sunday on 'This Week.'

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Top Treasury Pick to Withdraw From Consideration

March 05, 2009 6:33 PM

Annette Nazareth, Treasury Secretary Tim Geithner's expected pick to be his top deputy at the Treasury Department has withdrawn from consideration, administration sources confirm.

The withdrawal of Nazareth, a former Securities and Exchange Commissioner, may further complicate Geithner's effort to build his staff amidst the greatest economic crisis the nation has faced in decades.

A Democratic source tells me that Nazareth faced resistance on Capitol Hill for being "too lax a regulator" at the SEC.

Nazareth's withdrawal is the latest blow for the Treasury Department, which has struggled to fill key staffing posts. Last week, Obama administration economics adviser Paul Volcker called the staffing problems "shameful."

"There is an area that I think is, I don't know, shameful is the word," Volcker said at a Joint Economic Committee hearing on Feb. 26.

"The Secretary of the Treasury is sitting there without a deputy, without any undersecretaries, without any, as far as I know, assistant secretaries in substantive areas at a time of very severe crisis. He shouldn't be sitting there alone. Now various things have contributed to this, I guess, including vetting procedures, but it really is an unfortunate situation," Volcker said.

Treasury officials insist all essential work is getting done, but Democrats in Congress are worried that work is falling through the cracks.

Yesterday, Sen. Tom Carper, D-Del., questioned Geithner to see if any progress had been made filling key posts.

"I worry about the administration especially with Treasury the ability to -- to get your team around you," Carper said. "And can you just give us an update on how -- how we're progressing there?  Your deputy secretary and your undersecretaries, assistant -- how are we doing there because you need -- obviously, you need help."

"We're making some progress," Geithner responded, "and we'll -- we hope to come up for the committee soon with a full slate of very strong people.  And we're doing this carefully as you would expect and you know trying to make sure that we have the best talent in the country, frankly."

--George Stephanopoulos

March 5, 2009 in Barack Obama | Permalink | Share | User Comments (25)

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The Borgen Project has some good info on the cost of addressing global poverty.

$30 billion: Annual shortfall to end world hunger.
$550 billion: U.S. Defense budget

Posted by: Abel Tsegga | Mar 5, 2009 7:02:46 PM

taxes? a nannygate ? free stock from citi?

Posted by: Realilty | Mar 5, 2009 7:03:22 PM

Better they quit now than to do so later. You either fit or you don't and we should look for the best, not the fastest. c'est la vie!

Posted by: Karen | Mar 5, 2009 7:09:49 PM

At least it wasn't taxes...

http://www.political-buzz.com/

Posted by: matt | Mar 5, 2009 7:26:40 PM

anther democrat tax cheater maybe

Posted by: scatter | Mar 5, 2009 7:40:30 PM

Great post George.

Posted by: Neil | Mar 5, 2009 7:42:57 PM

Obama sure does know how to pick a cabinet, doesn't he?

HA HA

Obama is incompetent. Go back to community organizing with ACORN!!!

Posted by: Sam Adams | Mar 5, 2009 7:53:48 PM

Yes, we are gonna be as careful to choose a tax cheater as we are careless to tank the stock market.

Posted by: kat | Mar 5, 2009 7:54:23 PM

What did you expect from a junior Senator from Illinois who spent his entire two-year Senatorial career campaigning for President.

The man has never even run a hot dog stand.

What was America thinking?

Oh well, at least EVERYONE IS HAPPY. Or are they?

Long Live Hope and Change

(we hope we can change the President)

Posted by: John Hancock | Mar 5, 2009 7:55:44 PM

George:
At your weekly breakfast meeting with Carville, Begala and Rahm, perhaps you could suggest a coordinated media attack on Republicans for not changing the nanny tax rules, thereby slowing Treasury and boy wonder Geithner down. Who knows? Maybe Olbermann and Matthews will pick it up after another big Dow plunge and blame the GOP for the hemorrhaging equity markets...

Posted by: Winston Smith | Mar 5, 2009 8:44:35 PM

It seems all are jumping from this great ship captained by an incompetent hussein obama. Why all the mutiney at once? Do they as well we all see it see a sinking ship before our eyes. Only 4 more years of this crap. GOP where art thou??

Posted by: patriot629 | Mar 5, 2009 9:26:22 PM

Obama is the great pretender.....

One of his most touted talents was his ability as an orator.....

Now we know he's helpless without a teleprompter....so I guess he's what???a great reader!!
And people had the gall to critique Bobby Jindle....[sp]


It just does'nt stop...just one thing after another....

I knew his charade would be discovered......But I expected it would take longer than this....

Obama parties on....taking full advantage of the perks he has...wednesday night parties at the White House...Michelle trying to be a fashion Queen....Living large while America dies.....

Of course you, George...have lost all credibility...conspiring to play kid pranks on Rush, with that Prancer Rahm...

I don't know why you can't handle a conservative voice on the radio...when on your own TV Network you have 'The View' never missing an opportunity to shout down any form of an opposing 'view'....other than pro Obama....

They had Ann Coulter on...for no other reason than to attack her...on national TV....We never got to hear her 'views'....just like we never get to hear Lizabeth....the others just start talking over her...and they get downright ugly.

Its a bit disingenuos to hear Obama cry about bipartinship...when ya'll are so publicly hateful to Republicans..

I'm so hoping enough people in the private sector begin to refuse to put up with this...or that enough of the Democrats in congress start to realize they just can't stomach this anymore...and start to put America first....

America is not going to stand for this 'railroading' of our futures for much longer...


Posted by: J Moore | Mar 6, 2009 2:38:47 AM

Annette Nazareth's husband had his own problem with missing a derivatives mess at his former position and that might have been an embarrassment.

Posted by: Searching | Mar 6, 2009 6:52:55 AM

Wow! All this (and similar stories) says a lot about our people in Washington! I would guess that incompetence and/or corruption is far more prevalent than anyone thought. People are afraid to accept nominations because they have so much to hide! If they do accept nomination, then their hordes of skeletons go marching on the Capitol.

Posted by: Terrence O'Day | Mar 6, 2009 8:29:20 AM

Look George, you're clearly partisan towards democrats. As long as all conversations and newscasts with you, Begala, Carville, etc. have that as a disclaimer in the screen captions, you can promote Obama and the democrats 24/7/365 on ABC News programs under guise of legitimate, ethical news reporting, but please stop calling your programs a free press offering. It isn't a free press when the media permits just one viewpoint 90% of the time to be heard "respectfully".

Posted by: Rob | Mar 6, 2009 8:48:47 AM

It's official:

The Bush recession is now the Obama DEPRESSION!

David Gergen is 1000% correct, Dr. Obama wants to repeatedly operate (TRILLION dollar reform after TRILLION dollar reform) on a patient which is hemmoraging. Stupid headstrong idiot. Stabilize the patient first before you attempt to operate.

I originally predicted Obama would be the black Jimmy Carter. Now I know: He's the black George W. Bush: Headstrong and stupid.

I'm a liberal, but also a PRAGMATIST who knows full well the soaring cost of health care plays a key role in the ongoing devastation of America's manufacturing base. Radical health care reform is needed. This operation of the patient is needed.

But for God's sake, stabilize the patient first, i.e. IT'S THE ECONOMY STUPID! Then you can operate later. This is not a minor recession. This is more likely a full blown DEPRESSION, as many economists are already saying. When surgery can be reasonably postponed, only a quack would operate on a hemmoraging patient.

Dr. Feel Good Obama is Hell bent on killing the patient.

Both Bush and Obama are Harvard educated coke-heads. And Obama is looking more and more like Bush everyday.

Posted by: ObamaNo | Mar 6, 2009 9:17:09 AM

Itis more likely that this person realized what a complete disaster Tim Geithner really is!

She is smart enough to know better than to jump ONTO a sinking ship!

Posted by: Mike_C | Mar 6, 2009 10:39:30 AM

Would you want to serve under someone who blamed Turbo Tax for tax problems?

Posted by: buckaroobonsai | Mar 6, 2009 12:21:45 PM

Would you want to serve under someone who blamed Turbo Tax for his tax problems?

Posted by: buckaroobonsai | Mar 6, 2009 12:22:52 PM

Come on, what did you expect. You give someone the highest United States political office to get his, "on the job training".
Give me a break, you cut George W. as if he did this. His first issue in office was to deal with the biggest attack on US soil in history. There is always expansion and contraction in the economy. Give the former president credit for what he did, and don't try to blame a recession on him.
But if the economy is ill, and it was really sick, you don't triple the work load and say you are helping. If people can't afford their own houses, how is it that they can afford to pay for everyone elses?
It is time that people wake up. There is no change, just a party switch. The problems are ten fold, but it is better because of a shift in the wing. There is no bipartisanship, it is "this is what I want, and this is what we are doing, regardless of what it cost". That is not democracy, that is dictatorshop. Think about it.

Posted by: mikenoliketoo | Mar 6, 2009 1:48:35 PM

It took a few years for Americans to realize that the Bush administration was a joke. But Obama is making it very clear that his is no better in just his first couple of months in office.

Posted by: Dave | Mar 6, 2009 2:40:51 PM


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Posted by: Sarah | Mar 7, 2009 8:20:56 AM


WE should all give the secretary of tresury Tim Geithner a chance to sort the mess which was created the last eight years, do not expect the economy to recover overnight just because Obama is the President.

Posted by: deus899 | Mar 7, 2009 8:50:43 AM

Obama spin doctors abound. And for those who arent swayed by the Obama spin doctors, his youth brigade(gestapo)will be coming to a town near you to help you see the light.

but seriously, a known TAX CHEAT for Treasury Secretary.Mind boggling.

That's CHANGE alright

Posted by: Badger | Mar 8, 2009 8:46:44 AM

And elsewhere the Obamabots are furious that George asked Shelby about that missing birth certificate of Obama's .

Oh my--the drama.

Posted by: morninmist | Mar 8, 2009 1:41:07 PM

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