:00:00. > :00:15.Yesterday he financed superhero movies.
:00:16. > :00:18.Today he's the new US Treasury Secretary,
:00:19. > :00:21.but has Steven Mnuchin got what it takes to balance the books
:00:22. > :00:27.Toshiba shares go into meltdown after the Japanese giant delays
:00:28. > :00:29.revealing its latest numbers following its new clear accounting
:00:30. > :00:57.I know, it is on Friday, it is Tuesday. But I'm stuck here.
:00:58. > :01:01.In a moment the boss of Ryanair, Michael O'Leary, tells us he's
:01:02. > :01:04.worried about the effect Brexit will have on the airline industry.
:01:05. > :01:07.in the last few hours, former banker Steven Mnuchin has
:01:08. > :01:15.been confirmed as the new Treasury Secretary.
:01:16. > :01:17.As jobs go, it's a very important one.
:01:18. > :01:20.Besides serving as the nation's banker, paying its bills,
:01:21. > :01:21.collecting taxes and managing its debt,
:01:22. > :01:24.the secretary is also one of the leading regulators of banks
:01:25. > :01:39.So how well do we think he'll perform in this new role?
:01:40. > :01:46.He's been critised as a Wall Street insider, having spent 17 years
:01:47. > :01:50.working for Goldman Sachs and also setting up and running
:01:51. > :01:56.This has enabled him to finance dozens of high-profile Hollywood
:01:57. > :01:59.films, including titles like Suicide Squad and the Lego Batman
:02:00. > :02:08.Last April he joined the Trump campaign when the organisation's
:02:09. > :02:11.Now he's deeply involved in developing the president's tax
:02:12. > :02:14.proposals, which could deliver as much as $6 trillion in tax
:02:15. > :02:17.Most controversially, he's been accused of profiting
:02:18. > :02:22.In 2009, Mnuchin assembled a group of investors to buy the failed
:02:23. > :02:25.He renamed it OneWest and turned it around,
:02:26. > :02:29.selling it for a large profit in 2014.
:02:30. > :02:31.Housing advocacy groups claim OneWest foreclosed on more
:02:32. > :02:35.than 36,000 homeowners in California.
:02:36. > :02:47.Here's how Steven Mnuchin responded to the criticism.
:02:48. > :02:54.Since I was first nominated to serve as Treasury Secretary, I have been
:02:55. > :02:58.maligned as taking advantage of others' hardship in order to earn
:02:59. > :03:07.eight Park. Nothing could be further from the truth. -- earn a buck.
:03:08. > :03:12.You're in the summer of 2008 I saw the devastation caused by the
:03:13. > :03:16.housing crisis. When I watched people line up to get their savings
:03:17. > :03:20.out of indie Mac bank. It was the middle of the financial crisis and
:03:21. > :03:22.despite the global panic, I saw a way to save the bank.
:03:23. > :03:29.Well, let's stay with the story. Doctor Stephanie is a vertical risk
:03:30. > :03:34.analyst expert. Great to see you again. Thank you for coming in at
:03:35. > :03:41.this horrible a la. He saw a way to save the bank. He made a pretty
:03:42. > :03:45.penny, didn't he? It is estimated he made $380 million from the profit of
:03:46. > :03:49.that sale, personally. Personally, OK. With the 36,000 homes that they
:03:50. > :03:55.foreclose. That is 36,000 families that lost their homes. I know at the
:03:56. > :04:01.beginning of my introduction I sort of said what he does, he balances
:04:02. > :04:04.the books and that. For the uninitiated, what does the Treasury
:04:05. > :04:09.Secretary do? Is he lacked the finance minister? They can impose
:04:10. > :04:14.economic sanctions, they oversee taxes and banking regulations. Hang
:04:15. > :04:17.on. He was a former banker. So you have a banker looking at the
:04:18. > :04:23.regulation, or overseeing the regulation, of rank. Yes. In some
:04:24. > :04:28.way it is setting the poacher to become the gamekeeper, but in the
:04:29. > :04:32.same way, it can be setting a thief to catch a thief. He has been on
:04:33. > :04:36.Wall Street for 17 years, at Goldman Sachs. He is very well-qualified. It
:04:37. > :04:40.is not necessarily a problem. It is just that we did have the President,
:04:41. > :04:43.Donald Trump, say that he was trying to drain the swamp. There is a lot
:04:44. > :04:47.of criticism that many people from Goldman Sachs are in his
:04:48. > :04:52.Administration. This is on P1 more. -- simply one more. In that job he
:04:53. > :04:56.would have to do what all the others have to do with their dealings,
:04:57. > :04:59.their businesses, if he has shares in Goldman Sachs, surely he cannot
:05:00. > :05:03.keep those? During his confirmation hearings he had to admit that he had
:05:04. > :05:08.forgotten to declare $100 million in assets. I see. So in the same way
:05:09. > :05:12.that you might forget you have a ?5 note in your pocket, that happened
:05:13. > :05:16.for him. But it was an oversight, not deliberate. What is interesting,
:05:17. > :05:21.you just touched on the S word, sanctions. Given what we have just
:05:22. > :05:27.seen, also in the last few hours, with Mr Flynn resigning, so the US
:05:28. > :05:33.Treasury... The national security adviser. Yes, he was. The US
:05:34. > :05:37.Treasury Secretary can decide on sanctions, lifting or imposing? That
:05:38. > :05:40.is right. The Treasury is involved in imposing sanctions on countries
:05:41. > :05:45.or individuals. Of course, things are tens between the US and Russia.
:05:46. > :05:49.That happened for a while, both due to sessions over Ukraine, and then
:05:50. > :05:51.sanctions that the Obama Administration impose just before
:05:52. > :05:55.President Obama left office in December. Those are the sanctions
:05:56. > :06:01.that have really caused a scandal that has forced the NSA director,
:06:02. > :06:05.sorry, the national security adviser, Michael Flynn, this
:06:06. > :06:07.morning. He supposedly misled the vice president of these
:06:08. > :06:10.conversations he supposedly had with his Kremlin counterparts over
:06:11. > :06:13.whether those December sanctions, not the Ukraine sanctions, but the
:06:14. > :06:18.December sessions would be lifted. I am being told we have to wrap this
:06:19. > :06:22.up. But he does have the skill set to do a job like this, doesn't he?
:06:23. > :06:25.He has the skill set. He has a big challenge on his hands, and he has
:06:26. > :06:29.vast powers. Doctor Stephanie, always a pleasure. Thank you.
:06:30. > :06:32.The boss of Ryanair says he worries Brexit negotiations will be
:06:33. > :06:34.a disaster, triggering chaos for travellers across Europe.
:06:35. > :06:37.As a part of our series on the challenges facing the global
:06:38. > :06:40.airline industry, we've been speaking with Michael O'Leary,
:06:41. > :06:42.chief executive of Ryanair, the biggest airline in Europe
:06:43. > :06:47.He's told the BBC's Theo Leggett that that he thinks it will be very
:06:48. > :07:03.difficult for the UK to remain part of the EU's single aviation.
:07:04. > :07:09.I fear there will be a disaster. And I hope, I suspect and hope that
:07:10. > :07:12.within two years the British people will realise that they were misled
:07:13. > :07:15.into voting for Brexit, and that leaving the single market will be
:07:16. > :07:19.very damaging for Britain and that they will change their minds. The
:07:20. > :07:22.problem is that remaining in the open skies probably involves the UK
:07:23. > :07:27.recognising the jurisdiction of the European court of justice, and
:07:28. > :07:32.probably recognising the free movement of people, which is a red
:07:33. > :07:36.light issue. From a consumer point of view, if the negotiations to go
:07:37. > :07:41.badly, what is the worst that could happen? It is not beyond the bounds
:07:42. > :07:45.of possibility. It is unlikely, but it is not beyond the bounds of
:07:46. > :07:49.possibility that there could be no flights between the UK and Europe if
:07:50. > :07:53.the UK walks off a cliff in March 20 19. If the UK leads the open skies
:07:54. > :08:00.agreement, I do not believe there will be transitional arrangements,
:08:01. > :08:04.because they have to be approved by 27 different apartments. There will
:08:05. > :08:07.be chaos for weeks and months. I am not sure they will not be chaos. It
:08:08. > :08:10.is really only when the British people and the British government
:08:11. > :08:15.recognise there is going to be chaos that maybe you'll get some kind of
:08:16. > :08:16.common sense prevailing. The big boss, Michael O'Leary, we
:08:17. > :08:17.had to cut him short. Toshiba shares fell by 9%
:08:18. > :08:20.after the company announced that it was delaying news
:08:21. > :08:23.of its latest earnings. The company had been expected
:08:24. > :08:25.to write off around nearly $6 billion and admit
:08:26. > :08:28.the threat to its future. Toshiba had bet on the future
:08:29. > :08:31.of nuclear energy but problems at its US subsidiary, Westinghouse,
:08:32. > :08:33.and the Fukushima nuclear disaster Rupert Wingfield-Hayes
:08:34. > :08:58.is in Tokyo for us. Good to see you. Corporate scandals
:08:59. > :09:02.in Japan, they come and go, but as far as they go, this one is a bit of
:09:03. > :09:09.a doozy. This one is potentially huge. I was told by an analyst this
:09:10. > :09:13.morning that this is a disaster of perhaps the biggest corporate
:09:14. > :09:17.disaster in recent years, certainly bigger than Sharp, which had to be
:09:18. > :09:22.sold off to a Taiwanese company a couple of years back. So, yes, the
:09:23. > :09:26.markets have reacted, because they do not like the news that is coming,
:09:27. > :09:29.and they do not like the fact that Toshiba appears unable to produce
:09:30. > :09:35.its numbers on time. That lovely spells very bad news. Rupert, if you
:09:36. > :09:39.can come in about 30 or 40 seconds, for those who have not kept up with
:09:40. > :09:46.the story, what has gone on with the whole sort of nuclear US thing with
:09:47. > :09:50.Toshiba? In 2006 Toshiba bet on a nuclear render songs of power in the
:09:51. > :09:55.United States by buying Westinghouse. -- renaissance of
:09:56. > :09:59.power. Then they started buying up four reactors with a new design in
:10:00. > :10:02.the southern United States. Those have gone massively over time and
:10:03. > :10:06.over cost. That is why they will have to write down about $6 billion
:10:07. > :10:10.of losses in the United States. But the losses are so large they are
:10:11. > :10:15.putting the future, the finances of the whole company in jeopardy. It
:10:16. > :10:20.means that their losses, their debts, could exceed their market
:10:21. > :10:23.capitalisation. That means they may be delisted from the Tokyo stock
:10:24. > :10:28.exchange. Fantastic stuff, Rupert. We will talk to you again soon. I
:10:29. > :10:37.will be back to take a look at the papers with you shortly.
:10:38. > :10:40.Local authorities in England have paid out more than 35 million pounds
:10:41. > :10:44.in compensation and legal fees to tenants who are living
:10:45. > :10:49.A BBC investigation found that around 11,000 claims have been