BB&T (BBT) Chairman Rips Regulators for Strong-Arming Healthy Banks Into TARP; Receives Standing Ovation

Speaking to the Competitive Enterprise Institute late last night, BB&T's (NYSE: BBT) Chairman, John Allison, unloaded on U.S. federal regulators which he said "strong-armed" healthy banks into participating in the controversial TARP. The exec told the audience that the TARP "was a huge rip-off for us", a comment which caused listeners to jump up in enthusiastic agreement.

As a Dow Jones article highlights, Allison complained that BB&T was forced to pay 9% interest on federal borrowing which it "didn't want in the first place". Further, the BB&T exec blamed the current financial mess on the Fed, which kept interest rates too low for too long, according to Allison. Apparently looking for more blood-boiling comments for government officials to roil over, Allison concluded the speech by saying that "It's a myth that regulators are encouraging banks to make loans". Ouch.

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