$700b is for FOREIGN INVESTORS

You have been told repeatedly by George Bush and Henry Paulson that this bill is about a "rescue" of Main Street, not Wall Street.

You have been lied to repeatedly.

The bill The Senate intends to try to ramrod down your throat is neither about Main Street or really even about Wall Street.

You are going to get VERY angry. Sit down before you read further.

""Hundreds of billions of dollars are going to bail out FOREIGN INVESTORS. They know it, they demanded it, and the bill has been carefully written to make sure that can happen." - Brad Sherman , D-California"

That's right folks. You are going to have $700 billion - about 25% of the total federal budget - put on your personal credit card (via taxes forever) in order to bail out foreign investors.

Oh, and the best part of it is that the underlying assets involved do not even have to be in the United States!

Here is the definition of a "troubled asset", right from the bill:

"(9) TROUBLED ASSETS.—The term ‘‘troubled assets’’ means— (A) 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 March 14, 2008, the purchase of which the Secretary determines promotes financial market stability;

and (B) any other financial instrument that the Secretary, after consultation with the Chairman of the Board of Governors of the Federal Reserve System, determines the purchase of which is necessary to promote financial market stability, but only upon transmittal of such determination, in writing, to the appropriate committees of Congress."

Notice that conspicuously missing from the definition is the requirement that the asset's underlying thing (that is, the property that was mortgaged, etc) lies within the United States. Also note that Treasury must tell Congress if they add "new types" of debt, but that Congress has no right of review or censure.

That is, it is perfectly legitimate under the bill for a foreign bank to sell or swap any "crap sandwich" it may hold (irrespective of how or where it originated, so long as a mortgage is the basis for it somewhere) with a bank domiciled in the United States, and said bank may then "PUT" it into the TARP.

Note also that Representative Sherman said on Kudlow last night that when this was raised with Secretary Paulson he was told that if Congress tried to restrict the ability of the Secretary to purchase assets "laundered" in this fashion from foreigners, that the bill would be vetoed.

Here 'ya go folks.

You better make this viral and spread it to everyone you know.

Right here, right now.

You better get on the phone to your Congressfolk at www.house.gov... and www.senate.gov... and make clear that you will not stand for this bill being passed.

IF THIS BILL PASSES YOU WILL WIND UP EATING $700 BILLION OR MORE - REMEMBER, THIS IS A REVOLVING CREDIT LINE, NOT A MAXIMUM AMOUNT - OF FOREIGN BAD DEBT FROM THE CHINESE AND ELSEWHERE.

THAT'S RIGHT - THE PURPOSE OF THIS BILL IS TO SCREW YOU, THE AMERICAN TAXPAYER, BY OFFLOADING ALL OF THE TROUBLED DEBT AROUND THE WORLD ONTO YOUR HEADS!

ARE YOU GOING TO LET CONGRESS GET AWAY WITH THIS?

YOU HAVE LESS THAN 48 HOURS TO STOP IT.

NOW YOU KNOW WHY IT WAS SUCH A "RUSH JOB" - THE AMERICAN PEOPLE WERE BEING CONNED OUTRIGHT BY BOTH PAULSON AND BUSH.

PERIOD.

"Sept. 29 (Bloomberg) -- The Federal Reserve will pump an additional $630 billion into the global financial system, flooding banks with cash to alleviate the worst banking crisis since the Great Depression.

The Fed increased its existing currency swaps with foreign central banks by $330 billion to $620 billion to make more dollars available worldwide. The Term Auction Facility, the Fed's emergency loan program, will expand by $300 billion to $450 billion. The European Central Bank, the Bank of England and the Bank of Japan are among the participating authorities.

The Fed's expansion of liquidity, the biggest since credit markets seized up last year, came hours before the U.S. House of Representatives rejected a $700 billion bailout for the financial industry. The crisis is reverberating through the global economy, causing stocks to plunge and forcing European governments to rescue four banks over the past two days alone."

Now let's think about this folks.

The Fed threw $630 billion into the market before the vote, and yet the S&P 500 was down 40 handles anyway, and in fact tanked after the vote.

Note carefully - Paulson's plan was $700 billion, and Bernanke spent $630 billion - almost the entire amount proposed - but failed to fix the problem.

Got it?

Good.


We were about to piss $700 billion into a tornado and lose it forever.

Fortunately sane people prevailed in The House of Representatives and voted NO.

If they hadn't, we'd have had our proof but the money would be on its way into the vortex and you the taxpayer would have been utterly screwed.

IF we are truly facing an economic catastrophe you have just seen proof that Paulson's $700 billion will do nothing. It is my contention that to actually arrest this mess we'd need up to $5-7 trillion, and taking on that sort of debt would essentially destroy the value of our currency, cutting it in half (which means your cost of living doubles); that is, "fixing" this mess will be worse than doing nothing at all!

IF we are indeed facing a deep recession (or worse) then we will need that $700 billion to feed and house the displaced Americans here in our nation, and cannot afford to hand it to a bunch of rich (and pissed-off) bankers around the world who made bad bets and now are screaming with their hand out like a 2-year old who wants another candy bar.

Ok so noone has any thoughts

reply to post by James23


I've been calling my scumbag representative telling him he better not vote for this, that if he does, that I'll make it my life's mission to see to it that he never holds a public office again.

[edit on 1-10-2008 by Gateway]

And here I thought, from MSM that the $630B was the fiscal measure passed just before the "give-away" vote.

That's good ol' capitalist globalisation for you. After years of buying up US debt, the foreign banks all want something to show for it - and for the money they used to buy the support of well placed people in the political and banking world.

There is no such thing as a national financial system anymore, they are all intertwined and their higher echelons all have their snouts in the same big global troughs.

Star and flagged...

Saw it in the news.. and posted my own tidbit.. and also read somewhere here that those foreign banks bought bundled AAA bonds that contained worthless mortgages along with good ones.. and their value just dived.

I'm guessing those bonds originated from the US.

So the cash infusion is to make those useless pieces of paper worth something until theres a market for it again.. making the US taxpayer accountable for the interest rates until its paid off....

My question is why are they not holding those who sold those packages accountable.. oh ya.. they are by giving them funds..

This is fn sick.. and the sad part is.. they won't come out and say why this # is happening.. their saying that the average Joe is going to lose out if this does not pass..

I call BS

reply to post by Britguy
I've got a garage full of things to give the Globalists. I've got an old bike a couple of mismatched shoes and an old stove. Americans have plenty of things in our attics ,bathrooms, and garages we can give them instead of monopoly money to replace worthless ill conceived loans they bought.

That is not enough 700 billion is nothing but peanuts when the foreign banks along with the hidden debt no yet exposed can add to 7 trillion dollars.

And that is what the corrupted Federal Reserve (aka shadow government) wants the tax payer to pay for.

[edit on 1-10-2008 by marg6043]

According to BBC News 24, France have asked for the European Union for a 300 billion Euro bail out of the European banks but Germany have opposed it.

It's reported as breaking news from AFP but unconfirmed.

I can't find anything on the BBC News 24 website about it but here's the link as it will probably be up soon.

news.bbc.co.uk...

RE: "The Truth About the Bailout"

market-ticker.denninger.net...


the old House bill HR3997 must have contained the toxic wording...
because just quickly scanning over the new Senate 'Emergency Stabilization Act of 2008' the same toxic wording is there too.


what is the toxic trap? that Secretary Paulson will determine any and all securities that can be purchased with the Gov't supplied money...

and If there are any modifications to the proposed bill that take away this perogitive by Sec. Paulson... then GW Bush will Veto the Bill....
even if both houses of Congress pass the bill with any ammendments
limiting Paulson's total control of the funds available.


So, that means, the troika of Bush, Paulson, Bernanke... don't give a hoot if the stock market collapses if the TARP bill fails...
because they are ready to Veto the bill if it is changed...
They are engineering a guaranteed revolving fund of $700bn to use as these 3 rulers see fit, imho

reply to post by St Udio


And that Udio is what the entire scam is for, more powers to the federal reserve and the treasury department that is what the plan has been for quite some time, more corrupted power to do as the fat rats wants with the hard working American tax payer.

For those that thinks that taxes will never get higher, get ready for the surprise of your lives because the money to pay for all this corrupted missued of funds will have to come from somebody, and it is not from the ruling and wealthy upper class.