Geithner's stature and influence at the White House increase

After recovering from a rocky start, the Treasury secretary is credited with a string of policy successes. But he continues to be a lightning rod for criticism.

By Jim Puzzanghera,
Los Angeles Times
October 8, 2010

Reporting from Washington

In the early weeks of the Obama administration, Treasury Secretary Timothy F. Geithner seemed like the ultimate short-timer.

There was the rocky confirmation stemming from his failure to pay some personal income taxes. Then after taking office, Geithner's first major speech on the financial crisis was an unmitigated disaster. The markets shuddered at the dearth of details about his plans to stabilize the financial system, and the Dow Jones industrial average plunged 382 points.

Washington was abuzz with talk that he soon would be on his way out. But today, high-level administration officials say the still-controversial Geithner isn't going anywhere. If anything, Geithner's stature and influence at the White House have risen after a string of policy successes.

He's credited with helping to revive the banking sector, cut projected losses from the $700-billion bailout fund to about $50 billion and push through the most sweeping overhaul of financial rules since the Great Depression. That legislation significantly enhances his powers as Treasury secretary.

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