Cramer’s Outrage: Citigroup
Cramer wants to know why Citigroup never used the stock market’s big gains at the beginning of the week to issue equity. He said he’s always looking to get behind the bank on up days, but Citi never follows through.
Meanwhile, Wells Fargo is probably going to use an offering to pay off the U.S. government’s stake in the company. Wells doesn’t want Washington’s hands in the bank’s business.
“Citigroup is the ultimate free rider in this system,” Cramer said.
One of the government’s stipulations for aid, the $25 billion all participating institutions received, was that a bank had to be qualified. Given Citi’s situation, that hardly seems to be the case. Cramer wants the government to demand that Citigroup break itself up and raise capital.
“When does the favoritism end?” Cramer asked. “I guess maybe we have to give them another $25 billion after this.”
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