AIG, Lehman Bros, and Merril Lynch all went down in mid September, the same time as the supposed money market manipulation. I wonder if that might be related.
Hmm, mid September was also when they imposed the ban on shorting bank stocks. There was a lot of talk at the time that big money was going in all short on some of the weaker banks, specifically to move the prices down. Those reduced prices contributed to their collapses. That would constitute market manipulation, and that's probably what the President was referring to when he said manipulators would be prosecuted, not any supposed manipulation of money markets.
That was a nasty coupla days in the markets. A lot of crazy stuff happened, but it probably wasn't a grand conspiracy by Soros or China or whomever.