"How to Improve the Geithner Plan"

here

This seeems very sensible.
Readers Digest version:

First, to fix the price discovery problem we should ask the bank managers to lend their own money, alongside the FDIC and the Fed, for the acquisition of the toxic assets.

Second, to reduce the risk for the public, the banks should put their earnings as collateral for the loans. Also, compensations for employees in excess of a certain threshold should be put as collateral.

Hat Tip: Mark Thoma