Jim Cramer added Bob Steel, president and CEO of Wachovia (WB) to his infamous “Wall of Shame” list. He mentioned that Steel told Mad Money fans two weeks ago that out of $500 billion in loans on the banks’ balance sheet, ony 10 billion were bad. However, reports have now shown that the bank has $42 billion in bad loans. “We got bagged,” said Cramer, “and I let you down.” Cramer said he doesn’t think that Steel lied on the show. He explained that Steel went off of the company’s financials which showed very few bad loans. Also, Steel had bought $16 million worth of WB stock and wasn’t hedged with options. Cramer said he was more mad at himself for letting his viewrs down. He put trust in Steel who he says he ’s know as a successful financier for 25 years. “I let you down,” Cramer said. Since the bailout plan was a failure, Cramer explained that Wachovia had no choice but to sell its bad assets. With Washington Mutual’s bad loans valued by JP Morgan (JPM) lower than Wachovia’s loans, “Wachovia was toast,” he said. Join the fastest growing community of small cap investors at Stockhideout.com