Frightening!!!!!! (Draft Bailout Bill)

Fox News seems to have gotten their hands on a draft of the weekend emergency plan. It reads like something out of a novel. It is the Partiot Act of Financials, giving sweeping powers, that cannot be challenged. Oh My Feaking Gosh!!!!

Please tell me I am not the only one frightened by this.

DRAFT

For example:

(3) designating financial institutions as financial agents of the Government, and they shall perform all such reasonable duties related to this Act as financial agents of the Government as may be required of them;

Does anything in that strike you funny? Wait - it gets better.

Sec. 8. Review.

Decisions by the Secretary pursuant to the authority of this Act are non-reviewable and committed to agency discretion, and may not be reviewed by any court of law or any administrative agency.

Honestly???? Can this really be happening?

Are you ready?

This has all the earmarks of a Communistic power grab. Only fancier and more thought out....I will tell you right now, Bush AND CONGRESS are playing "Good cop, Bad cop" with our brains.

This is no longer a conspiracy theory. They have brought about the illusion that they are helping while at the same time they grab control of everything and bring us all to our knees. Next will come the announcement that due to the financial emergencies elections have been postponed.

Its all unfolding.

I urge the mods to allow us to speak freely about this situation, its a coping tool some of us have, and we need to vent (politely) about this situation. Thank you.

Here is the draft bill in it's entirety according to the New York Times:

LEGISLATIVE PROPOSAL FOR TREASURY AUTHORITY

TO PURCHASE MORTGAGE-RELATED ASSETS

Section 1. Short Title.

This Act may be cited as ____________________.

Sec. 2. Purchases of Mortgage-Related Assets.

(a) Authority to Purchase.--The Secretary is authorized to purchase, and to make and fund commitments to purchase, on such terms and conditions as determined by the Secretary, mortgage-related assets from any financial institution having its headquarters in the United States.

(b) Necessary Actions.--The Secretary is authorized to take such actions as the Secretary deems necessary to carry out the authorities in this Act, including, without limitation:

(1) appointing such employees as may be required to carry out the authorities in this Act and defining their duties;

(2) entering into contracts, including contracts for services authorized by section 3109 of title 5, United States Code, without regard to any other provision of law regarding public contracts;

(3) designating financial institutions as financial agents of the Government, and they shall perform all such reasonable duties related to this Act as financial agents of the Government as may be required of them;

(4) establishing vehicles that are authorized, subject to supervision by the Secretary, to purchase mortgage-related assets and issue obligations; and

(5) issuing such regulations and other guidance as may be necessary or appropriate to define terms or carry out the authorities of this Act.

Sec. 3. Considerations.

In exercising the authorities granted in this Act, the Secretary shall take into consideration means for--

(1) providing stability or preventing disruption to the financial markets or banking system; and

(2) protecting the taxpayer.

Sec. 4. Reports to Congress.

Within three months of the first exercise of the authority granted in section 2(a), and semiannually thereafter, the Secretary shall report to the Committees on the Budget, Financial Services, and Ways and Means of the House of Representatives and the Committees on the Budget, Finance, and Banking, Housing, and Urban Affairs of the Senate with respect to the authorities exercised under this Act and the considerations required by section 3.

Sec. 5. Rights; Management; Sale of Mortgage-Related Assets.

(a) Exercise of Rights.--The Secretary may, at any time, exercise any rights received in connection with mortgage-related assets purchased under this Act.

(b) Management of Mortgage-Related Assets.--The Secretary shall have authority to manage mortgage-related assets purchased under this Act, including revenues and portfolio risks therefrom.

(c) Sale of Mortgage-Related Assets.--The Secretary may, at any time, upon terms and conditions and at prices determined by the Secretary, sell, or enter into securities loans, repurchase transactions or other financial transactions in regard to, any mortgage-related asset purchased under this Act.

(d) Application of Sunset to Mortgage-Related Assets.--The authority of the Secretary to hold any mortgage-related asset purchased under this Act before the termination date in section 9, or to purchase or fund the purchase of a mortgage-related asset under a commitment entered into before the termination date in section 9, is not subject to the provisions of section 9.

Sec. 6. Maximum Amount of Authorized Purchases.

The Secretary’s authority to purchase mortgage-related assets under this Act shall be limited to $700,000,000,000 outstanding at any one time

Sec. 7. Funding.

For the purpose of the authorities granted in this Act, and for the costs of administering those authorities, the Secretary may use the proceeds of the sale of any securities issued under chapter 31 of title 31, United States Code, and the purposes for which securities may be issued under chapter 31 of title 31, United States Code, are extended to include actions authorized by this Act, including the payment of administrative expenses. Any funds expended for actions authorized by this Act, including the payment of administrative expenses, shall be deemed appropriated at the time of such expenditure.

Sec. 8. Review.

Decisions by the Secretary pursuant to the authority of this Act are non-reviewable and committed to agency discretion, and may not be reviewed by any court of law or any administrative agency.

Sec. 9. Termination of Authority.

The authorities under this Act, with the exception of authorities granted in sections 2(b)(5), 5 and 7, shall terminate two years from the date of enactment of this Act.

Sec. 10. Increase in Statutory Limit on the Public Debt.

Subsection (b) of section 3101 of title 31, United States Code, is amended by striking out the dollar limitation contained in such subsection and inserting in lieu thereof $11,315,000,000,000.

Sec. 11. Credit Reform.

The costs of purchases of mortgage-related assets made under section 2(a) of this Act shall be determined as provided under the Federal Credit Reform Act of 1990, as applicable.

Sec. 12. Definitions.

For purposes of this section, the following definitions shall apply:

(1) Mortgage-Related Assets.--The term “mortgage-related assets” means residential or commercial mortgages and any securities, obligations, or other instruments that are based on or related to such mortgages, that in each case was originated or issued on or before September 17, 2008.

(2) Secretary.--The term “Secretary” means the Secretary of the Treasury.

(3) United States.--The term “United States” means the States, territories, and possessions of the United States and the District of Columbia.

Weep For The Unites States of America


Notice that they "limit" their authority to 700 billion but at the same time they raise the federal debt limit to 11.3 Trillion. Wasn't it 9.4 trillion that last time it was revised? That's nearly a two trillion dollar jump.

The banning of short selling for about 800 stocks (financials mostly) is also a very dangerous move. (see my signature)

I'm still trying to wrap my head around all of the events of the last two weeks... :shk:

Things have gone completely crazy.
.

edit: link fixed

[edit on 9/20/2008 by Gools]

Come on people - there's more. I can't quote the whole thing.

Never mind - I guess Gools can

THANKS!



[edit on 9/20/2008 by Relentless]

Well, I read it but all that legal talk makes no sense to me. So much legal jargon put in bills nowadays. Even the above average intelligent person cant figure out what it all breaks down to for us, the citizen. Could someone please break it down for us non legal savvy people? It sounds like something bad. But i want to know what it REALLY means.






: Edit to add :

[edit on 20-9-2008 by Hakii]

Originally posted by Relentless
Come on people - there's more. I can't quote the whole thing.

Never mind - I guess Gools can

It's legislation - no copyright attached to it.



You know what this is right?

Freddie and Fannie are already under government control which includes just over 50% of all mortgages in the US.

This plan is for the rest.
.

No court may review their decisions? Does that not circumvent the checks and balances of the Constitution?

In a nutshell, it would give such power over financial matters in this country, without limitation, and without recourse (no actions may be questioned or challenged) that for all intents and purposes....

We will be living in an economic police state, with no say moving forward. It's over folks! This is no longer America, I'm not even sure what it is at this point if they adopt this.

They started changing the rules last week, and now they seem to be throwing out everything (with consideration of the taxpayer, my tush!).

Our forefathers warned about this type of thing, saying it should never happen. (Many of you have the quotes in your signatures). Well, they're about to do it anyway.

If this gets adopted like that, the world as you know it changes forever.

reply to post by Gools


It appears as though the government is going to nationalize a major part of the American monetary system. I don't think so, I'll tell you why.

While the actions are not cool from the point of view of a conspiracy theorist, the bailout was necessary in order to prevent a worldwide meltdown. The corporations involved are so big and have such interwoven business dealings both in the States and beyond, it would have been a disaster for everyone if they had been allowed to fail.

Had the US government waited to act after the collapse, that could be construed as proof of a conspiracy to control the worlds' money supply.

Were things bad this week - Yup.
Should we be worried about the government buying our mortgage - Nope.
No more so than any other borrower.

reply to post by Mainer


What constitution?

The one that allowed the Supreme Court to interfere in an election? The one protecting you against unlawful search and seizure? The one guaranteeing you due process? The one under which you have "free speech zones"? I could go on...

Besides, the US has been under an official State of Emergency since 9-11 and it keeps getting renewed - I saw a thread on that just a few weeks ago.
.

reply to post by Mainer


Apparently the Constitution is of no concern. They will probably throw that in at the last minute. (The Constitution has been repealed to protect the people). *cries*

Sec. 8. Review.

Decisions by the Secretary pursuant to the authority of this Act are non-reviewable and committed to agency discretion, and may not be reviewed by any court of law or any administrative agency.

Well, I dont know what to say really. Obviously I am incredibly uncomfortable with any language that sets someone up to act with 700 Billion dollars of the taxpayers money with NO possibility of review in a court of law or by an administrative agency.

I am as uncomfortable with that as I am with the Bush administration writing in language that precludes their ever being tried for war crimes.

However it pretty much speaks for itself. There isnt much I can add except to say I am very worried, and have been for quite a while, about what is happening to my country which I truly love.










[edit on 20-9-2008 by Illusionsaregrander]

reply to post by Cynic


I'm sorry Cynic, but I disagree. You are saying exactly what they want you to beleive.

The Corporations & financial institutions they are bailing out should have been taken to task years ago for what they did to cause this mess. They will get paid for screwing up and we will lose everything.

Do you have children? Grandchildren? They will still be paying for this mess.

Someone find any Country that has ever done anything like this and survived and I will calm down. Till then I am going to freak and scream about this bastardization of a bill they are trying to shove down our throats as what will save us. It's the greatest fraud and conspiracy ever perpetrated on the American people, and it's being done in plain sight because they have everyone placated into believing we HAD to do this.

I am just sick.

I beleive this is a problem for ALL Americans, and the world. I also beleive that they know that there's going to be an upheaval.

Stan Deyo said if we knew what really was going on, our front lawns would be vegetable patches. He called an emergency meeting, BEFORE this bailout event- i can just imagine what he has to say now.

I am not laughing today.

Okay. I get everything its saying, and I think its insane.. The whole thing. But I have a question

"(3) designating financial institutions as financial agents of the Government, and they shall perform all such reasonable duties related to this Act as financial agents of the Government as may be required of them."

Does that mean that if you owe lets say a bank for a credit card you haven't paid, that they can come after you as hard as the IRS would if you owed taxes???? I'm a little confused about that one. Can someone clear that up for me??

This is bad. Real bad. I am speechless.

I'm worried about Monday. Any ideas of what to expect?

FYI (at risk of panicking people - but please try not to do that!) - I just came from the grocery store and they have lowered the cash back limit to $50 dollars max from one hundred.

Yeah, I'd say that, as a country, we have a liquidity problem - it's not just private investment banks.

Originally posted by Relentless
reply to post by Cynic

 

I'm sorry Cynic, but I disagree. You are saying exactly what they want you to beleive.

.....

Do you have children? Grandchildren? They will still be paying for this mess.


I am just sick.

we will all be paying for this, not merely something that can/ will be pushed off on our kids/ grand kids


The US dollar is world reserve currency. that allows us to spend spend spend on what ever we want and other country's go along with it. We give them pieces of paper, they give us tangible stuff, this is the current world order. IT IS UNRAVELING. This continuing bailout which now merges the reputation / "credit score" of INSOLVENT wall street with the U.S gov't looks to be the nail in the coffin for the current world order w/ the U.S at the perch. This will be a process but the most destrubing changes in the process will likely occur in the next 5 years, perhaps much less.

the sand surrounding most of the sheeple heads will be blown away due to the overpowering winds from wall street corruption and U.S gov't collusion

reply to post by KaginD



Basically, the way this thing is written there are no limits as to what the implications could be, and your concern is certainly a possibility.

The Financial Institutions become Agents of the Government !

Excuse me but, let's not also forget that these are the entities which spit in the face of regulations, causing this entire mess to begin with.

reply to post by cpdaman


Yes cpdaman, I should have said they will still be paying for it. It definately starts right now.

SAY NO TO THE EMERGING TOTALITARIAN POWERS OF THE FED

They still can perform whatever trickery they are planning without the totalitarian powers they seek.

Say not people call congressman, senators anybody just inundate Washington with e-mails and stop our for the people government take over by the corrupted powers behind the fed.

I can see that anything that can not be challenged by a court in behave of the tax payer, citizens and our constitution should never be allow to be.

Say no!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!