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The article discusses challenges facing the U.S. government's Public-Private Investment Program (PPIP). Aimed at helping banks sell distressed assets, PPIP has been viewed skeptically by banks who fear they could be forced to sell assets at unduly low prices. Some private investors are also reluctant to participate due to concerns any profitable involvement could attract public criticism from Congress.

The article reports on the extensive contacts made by U.S. Treasury Secretary Timothy Geithner with an exclusive group of Wall Street executives since taking the helm of the Treasury. According to calendars released by the department, more than 80 contacts were made by Geithner with several financial titans including Lloyd Blankfein of Goldman Sachs. Geither has acknowledged that he had kept such executives as bay due to public anger towards banks.

The author explains his plan for bad bank assets aimed at increasing the flow of credit and expand liquidity in the U.S. He describes the three essential design features of the funds established under the Public-Private Investment Program. He emphasizes the need to promote the public trust and utilize taxpayer money to boost the financial system. The author also cites the need to establish an environment wherein it is possible for investors to take risks.

The article reports on the plan of the administration of U.S. President Barack Obama to create multiple investment funds intended to purchase bad loans and other distressed assets affected by the financial crisis. It notes that part of the bailout plan for banks is a partnership with the private sector to buy distressed assets worth $500 billion to $1 trillion. It mentions that a possible final structure for the private-public financing partnership is the creation of separate funds to be operated by private investment managers.

The author comments on the plan of U.S. Treasury Secretary Timothy Geithner to establish private-public partnerships to buy troubled bank assets. He argues that the notion of an aggregator bank may be hard to promote if investors are expected to take minority equity stakes in an entity they can not control. He also mentions the importance of the shadow banking system for credit creation. The author also discusses some problems associated with the economic recovery plan.