BAIL OUTS, TIMING: WHO KNEW WHAT WHEN
By: Devvy
September 29, 2008
© 2008 - NewsWithViews.com
“We're turning risk investment funds into the hands of taxpayers,”
pointing out that since no private investor wants to take responsibility for
“risk investments, we're simply wall papering them on to the taxpayer, and
this is monstrous.” Nobel Prize recipient in Economic Sciences, Joseph
Stiglitz [1]
Fifteen years ago today, my Project on Winning Economic Reform
delivered 1,720,000 signatures to the U.S. Congress to abolish the privately
owned Federal Reserve Banking System and the IRS. During the rally, we
collected just under 24,000 more signatures, which were all delivered to
every member of the House and Senate. Some 4400 Americans gathered to tell
Washington, DC, we the people demand a return to an honest monetary system
and stop the stealing of the fruits of our labor for the benefit of the
powerful banking cartel.
Of course, it didn't matter back then or through all the years since.
On March 6, 2006, I wrote in 'No More Pretense of Representation': "On March
2, 2006, the counterfeit U.S. Senate passed the insidious un-Patriot Act by
a vote of 89-10. This vote flies in the face of a massive outcry from
millions of Americans against the Patriot Act and more than 440 cities and
counties who refuse to enforce it....It no longer matters how strong or
massive opposition is to what's going on in Washington, DC...There is no
longer any pretense these people in Congress represent we the people or even
pretend to uphold the U.S. Constitution. They are far, far beyond that."
We the people have been pounding on Congress for the past two weeks.
Phone calls, faxes and the numbers running so high against these bail outs
(300-1) you would think these members of Congress would listen to their
constituents.
But, those of us who understand the big picture know that no matter
how many slick marketing slogans, i.e., "protect Main Street," the bail outs
were a done deal. Period. Finito. One hundred "conservative republicans"
came out against this massive fraud and rape of Main Street. Where have
these conservative Republicans so outraged now over this grand larceny been
all these years? They controlled Congress for more than a decade. The
Democrats did nothing the past two years they've had power as the storm
gathered steam, now blame the Republicans.
Yesterday's headlines: House GOP leaders back bailout bill, urge
passage. Note the H-bomb is still in the package: "The core of the bill is
based on Treasury Secretary Henry Paulson's request for authority to
purchase troubled assets from financial institutions..." And, hello: "The
ultimate cost to the taxpayer is not expected to be near the amount the
Treasury invests in the program. That's because the government would buy
assets that have underlying value." Not expected to be near the amount? Oh,
please, it's closer to a trillion dollars. Government would buy the assets?
We the people you mean and hundreds of billions of those "assets" are toxic.
Can you hear the big sucking sound from your wallet?
Sadly, too many Americans will overlook the facts and defend their
congress critter's lack of understanding on this issue, like this nonsense
from an emailer: "Right now senior Indiana Congressman Mike Pence ® and
others are at Capitol Hill holding their ground against The Fed, Bush,
Paulson, and Bernanke. Time is of the essence because Bush continues to feed
the message to the media that our world will melt on Monday if they don't
get their $700+ billion bailout regardless of what America's taxpayers
want...Currently, Congressman Pence is wisely calling for a suspension of
the capital gains tax on investments in order to encourage the millions of
Americans without debt to invest in the markets."
If Pence really understood the problem, he would have led the charge
to get H.R. 2755 passed 15 months ago and a bill to abolish the unnecessary
direct taxation against we the people. If you don't have time to read that
piece, you can listen on audio; down load to your IPod or onto a CD to
listen while you drive.
When Ron Paul introduced his bill (H.R. 2755) to abolish the Federal
Reserve in June, 2007, where were these newly outraged Republicans? There's
not a single cosponsor to Dr. Paul's bill. Instead of these
Johnny-come-lately's all indignant about this pillage and plunder of the
people's sweat and blood, why didn't they all come together and say, it
doesn't matter the terms or what it says, we will not vote on this
unconstitutional bail out of private corporations? Instead, just like the
herd they are, the prod has been effective and the people be darned.
The Hounds of heck have been unleashed on we the people. Dr. Edwin
Vieira so correctly called it on March 17, 2005:
"In addition, rather than disseminating demands for sound money and
honest banking in order to deal with the crisis, the controlled media will
orchestrate calls for massive increases in the supply of fiat currency and
credit, ostensibly in order to enable common people to pay their debts. Of
course, this will necessitate the maintenance of fractional-reserve central
banking to emit the new currency, as well as the creation of more, more, and
even more debt to serve as "security" for these emissions--thereby
perpetuating the cause of the crisis and ensuring that further crises will
break out later on. In this way, credulous Americans will be duped into
chaining themselves to new debts in order to pay off their old ones,
rendering permanent their financial indentured servitude to the
Establishment."[2]
Sun Tzu's Art of War: Sell your enemy his own death while making him
think it's a good idea. The coup de grâce has been administered and the
masses will quiet down, believing it's their obligation to live a life of
quiet desperation because their "leadership" in Congress, while painful for
"Main Street," has done the right thing.
The biggest question out there: how could this have happened? Those of
us who have studied America's fatal fiat currency and monetary system know
the answer, but average, struggling Americans throughout this country do
not. A huge portion of the blame for that can be placed on corporate media
who control the "news" papers in this country and cable network "news"
channels.[3]
Please pay particular attention to this one important piece of the
puzzle:
How SEC Regulatory Exemptions Helped Lead to Collapse
"The current excess leverage now unwinding was the result of a
purposeful SEC exemption given to five firms. You read that right -- the
events of the past year are not a mere accident, but are the results of a
conscious and willful SEC decision to allow these firms to legally violate
existing net capital rules that, in the past 30 years, had limited broker
dealers debt-to-net capital ratio to 12-to-1. Instead, the 2004 exemption --
given only to 5 firms -- allowed them to lever up 30 and even 40 to 1.
"Who were the five that received this special exemption? You won't be
surprised to learn that they were Goldman, Merrill, Lehman, Bear Stearns,
and Morgan Stanley. As Mr. Pickard points out that "The proof is in the
pudding — three of the five broker-dealers have blown up."
"So while the SEC runs around reinstating short selling rules, and
clueless pension fund managers mindlessly point to the wrong issue, we learn
that it was the SEC who was in large part responsible for the reckless
leverage that led to the current crisis....
"The Securities and Exchange Commission can blame itself for the
current crisis. That is the allegation being made by a former SEC official,
Lee Pickard, who says a rule change in 2004 led to the failure of Lehman
Brothers, Bear Stearns, and Merrill Lynch.
"The SEC allowed five firms — the three that have collapsed plus
Goldman Sachs and Morgan Stanley — to more than double the leverage they
were allowed to keep on their balance sheets and remove discounts that had
been applied to the assets they had been required to keep to protect them
from defaults. Making matters worse, according to Mr. Pickard, who helped
write the original rule in 1975 as director of the SEC's trading and markets
division, is a move by the SEC this month to further erode the restraints on
surviving broker-dealers by withdrawing requirements that they maintain a
certain level of rating from the ratings agencies.
Advertisement
"They constructed a mechanism that simply didn't work," Mr. Pickard
said. "The proof is in the pudding — three of the five broker-dealers have
blown up."
Who knew what and when?
All this brain power on Wall Street and the million regulations pumped
out by Congress after Congress over decades and no one saw this coming? None
of them noticed a pattern of melt down emerging?
Americans very afraid of financial meltdown underway
February 8, 2008. On January 14, 2008 the FDIC web site began posting
the rules for reimbursing depositors in the event of a bank failure.
February 18, 2008. US banks borrow $50bn via new Fed facility
February 21, 2008: Wall Street Bank Run
February 22, 2008: Bank of America circulating confidential proposal
to Congress seeking $739 billion bailout.
February 29, 2008. Risks seen for growing Fannie, Freddie.
March 3, 2008. New recession worry: Bank failures
March 4, 2008. Gulf investors may not save CITIGROUP, Dubai executive
says.
The FBI began investigating AIG back in March: "Federal investigators
have been scrutinizing American International Group since March, focusing on
whether the insurance giant knowingly concealed mammoth losses that helped
lead to the company's $85 billion federal bailout this month."
March 13, 2008. Latest Trouble Spot for Banks: Souring Home-Equity
Loans. "Other types of consumer loans also are souring, including credit
cards and auto loans. But delinquent home-equity loans are rising faster,
representing 12.5% of all delinquent loans in the fourth quarter at Bank of
America Corp., the largest U.S. bank in stock-market value. That was up from
9.4% in last year's first quarter, according to research firm SNL
Financial."
September 23, 2008, while the tempest was building, an important
admission came from White House Deputy Press Secretary Tony Fratto: "Fratto
insisted that the plan was not slapped together and had been drawn up as a
contingency over previous months and weeks by administration officials. He
acknowledged lawmakers were getting only days to peruse it, but he said this
should be enough."
A few days to "peruse" 2,300 pages of save the banking cartel
trillions? This scheme was drawn up months before and adjusted over the
weeks as these immoral vultures waited until just the right time to spring
the trap. The Bush Administration, Paulson, Bernanke and other key players
KNEW this whole mess was going to blow up in their faces. The staggering
numbers simply could not hold back the flood gates. How very convenient that
it all just happens to come to a head ten days before Congress is about to
adjourn for the year. The new mantra becomes "We have to do something now!"
and "The world will come to an end tomorrow!"
Something else was going on in March, 2008: "While New York Governor
Eliot Spitzer was paying an ‘escort’ $4,300 in a hotel room in Washington,
just down the road, George Bush's new Federal Reserve Board Chairman, Ben
Bernanke, was secretly handing over $200 billion in a tryst with mortgage
bank industry speculators....Who are they kidding? Spitzer’s lynching and
the bankers’ enriching are intimately tied...How? Follow the money."
June 20, 2008. Brokers threatened by run on shadow bank system. A $10
trillion shadow.
Ultimately greed is the biggest factor for why "no one saw this
coming"
"The report, "Ask Yourself Why ... They Didn't See This Coming," also
spotlights the story of the nation's two largest housing lenders, Fannie Mae
and Freddie Mac, their lobbying and campaign activities, and how the
government bailout contrasts with how legislators approached the crisis for
average people.
"The story of the housing bubble and meltdown that now threatens the
homes and communities of literally millions of Americans is largely about
political power. The financial services industry focuses its lobbying
efforts around its immediate desires, and for more than the past decade,
this focus has been on relaxing regulation of the mortgage lending and
securitization market," the report says.
"At the national level, the top five spenders among mortgage brokers
and bankers paid more than $31 million in lobbying fees and in political
contributions since the beginning of last year. The two largest home-loan
companies that have been bailed out by Congress, Fannie Mae and Freddie Mac,
spent roughly $180 million on lobbying and campaign contributions since the
2000 election cycle.
"Across the country, an estimated 20,000 families are losing their
home every week. Estimates of total foreclosures run about 3 million during
2007 and 2008. There are about 2.3 million vacant homes on the market - the
highest rate ever recorded. Most of these figures have not been seen since
the Great Depression. Most troubling, analysts predict a second wave of
foreclosures still coming."
Now, we have a scramble unseen in our life times that will only make
the situation worse. Former Fed Governor William Poole: "These are grand
ideas that cannot be executed."
Sept. 25 (Bloomberg) -- "More than 150 prominent U.S. economists,
including three Nobel Prize winners, urged Congress to hold off on passing a
$700 billion financial market rescue plan until it can be studied more
closely."
Before the ink is even dry, the big lie is that $700 billion borrowed
dollars is old news:
Bank Borrowing From Fed Already Exceeded Bailout Total in Last Week
September 26, 2008
"U.S. banks borrowed $188 billion per day on average in the latest
week from the Federal Reserve, meaning that the Fed loaned out more money
than the Treasury's proposed bailout in just one week, still barely managing
to keep the economy afloat. Federal Reserve data showed on Thursday the
total amount banks borrowed nearly quadrupled the previous record of $47.97
billion per day notched just the week before, Reuters reports."
Some very sharp people are also suggesting the rush to ram this
disaster down our throats is because the FDIC has known for some time that
banks were going to start collapsing like dominos and there isn't enough in
the current pool to bail out depositors. This is a mathematical fact. We
know that the FDIC fund has about $50 billion to "insure" about $1 trillion
in assets at the nation's financial institutions. A run on banks would cause
another nightmare for the robber banker barons.
WaMu filed for bankruptcy while part of their operations were
purchased by JP Morgan Chase. Wachovia is likely running on fumes, but some
analysts are optimistic they aren't just rearranging their deck chairs. As
U.S. home sales decline, more of the nation's top builders are going to be
in deep trouble: "NEW YORK, September 26, 2008 -- KB Homes on Friday
reported a third-quarter loss of $144.7 million...compared with a loss of
$35.6 million... in the year-ago period."
There is a massive out cry against this thievery about to be finalized
(which may be the case by the time this is published) with the battle cry to
throw out the entire Congress in November. Save Ron Paul, what a fabulous
idea. A dear friend has suggested everyone send a tube of cheap lipstick to
their congress critter and counterfeit U.S. Senator. Hear, hear! Send a deep
red like hookers wear as they ply their wares on the street corner and send
it to their district offices since Congress should adjourn for the year
(nice vacation) later this week. Let them return to their district offices
to tens of thousands of tubes of red lipstick.
Reality has come to Main Street. The political shenanigans by members
of CON-gress during this "negotiation" of another bail out package has been
shameful. People are demanding a RICO action be brought against these
lenders and conglomerates. A grand jury is now looking at Countrywide and
the Federal Department of Justice should also investigate Senators Dodd and
others; see here.
A combination of factors eventually led to this blow up. The icing on
the cake is from bird brain, Nancy Pelosi, who is proposing (as has Obama)
yet another "economic stimulus package." Bush's economic stimulus packages,
kissed and blessed by both parties, didn't work in 2001 or 2008. But, Nancy,
not realizing there's no money in the people's treasury (OUR checkbook
thanks to these crooks is overdrawn $9.8 TRILLION dollars) wants to add more
debt to the funeral pyre: Pelosi Vows to Push Forward With Second Economic
Stimulus.
By yesterday afternoon, due to the massive resistance by the American
people, Pelosi has declared this is not a bail out, it's a "rescue plan." A
rescue plan sells better; see here. "Protect jobs and home owners" she said
in a late day press conference. BULL. This is a rescue job for the big money
interests while we the people get the shaft and the money magnates knew it
was coming.
Footnotes:
1 - Joseph Stiglitz: Bailout Scam “Monstrous”
2 - Monetary and Banking Crisis Coming
3 - A Real Newspaper
Important Links:
1 - Must watch one minute video
2 - Poison-Pill Proposal Would Ask Taxpayers to Bankroll Group Accused
of Voter Fraud Nationwide
3 - VoteNoBailout.org
4 - Ron Paul: Greenspan, Bernanke Should Be Criminally Charged
5 - Indictment Federal Reserve
© 2008 - NewsWithViews.com - All Rights Reserved
E-mail This Page
Sign Up For Free E-Mail Alerts
E-Mails are used strictly for NWVs alerts, not for sale
--------------------------------------------------------------------------
Devvy Kidd authored the booklets, Why A Bankrupt America and Blind
Loyalty; 2 million copies sold. Devvy appears on radio shows all over the
country, ran for Congress and is a highly sought after public speaker. Devvy
belongs to no organization.
She left the Republican Party in 1996 and has been an independent
voter ever since. Devvy isn't left, right or in the middle; she is a
constitutionalist who believes in the supreme law of the land, not some
political party. Her web site (www.devvy.com) contains a tremendous amount
of information, solutions and a vast Reading Room.
Devvy's website: www.devvy.com
Before you send Devvy e-mail, please take the time to check the FAQ
section on her web site. It is filled with answers to frequently asked
questions and links to reliable research sources.
E-mail is: [email protected]
By: Devvy
September 29, 2008
© 2008 - NewsWithViews.com
“We're turning risk investment funds into the hands of taxpayers,”
pointing out that since no private investor wants to take responsibility for
“risk investments, we're simply wall papering them on to the taxpayer, and
this is monstrous.” Nobel Prize recipient in Economic Sciences, Joseph
Stiglitz [1]
Fifteen years ago today, my Project on Winning Economic Reform
delivered 1,720,000 signatures to the U.S. Congress to abolish the privately
owned Federal Reserve Banking System and the IRS. During the rally, we
collected just under 24,000 more signatures, which were all delivered to
every member of the House and Senate. Some 4400 Americans gathered to tell
Washington, DC, we the people demand a return to an honest monetary system
and stop the stealing of the fruits of our labor for the benefit of the
powerful banking cartel.
Of course, it didn't matter back then or through all the years since.
On March 6, 2006, I wrote in 'No More Pretense of Representation': "On March
2, 2006, the counterfeit U.S. Senate passed the insidious un-Patriot Act by
a vote of 89-10. This vote flies in the face of a massive outcry from
millions of Americans against the Patriot Act and more than 440 cities and
counties who refuse to enforce it....It no longer matters how strong or
massive opposition is to what's going on in Washington, DC...There is no
longer any pretense these people in Congress represent we the people or even
pretend to uphold the U.S. Constitution. They are far, far beyond that."
We the people have been pounding on Congress for the past two weeks.
Phone calls, faxes and the numbers running so high against these bail outs
(300-1) you would think these members of Congress would listen to their
constituents.
But, those of us who understand the big picture know that no matter
how many slick marketing slogans, i.e., "protect Main Street," the bail outs
were a done deal. Period. Finito. One hundred "conservative republicans"
came out against this massive fraud and rape of Main Street. Where have
these conservative Republicans so outraged now over this grand larceny been
all these years? They controlled Congress for more than a decade. The
Democrats did nothing the past two years they've had power as the storm
gathered steam, now blame the Republicans.
Yesterday's headlines: House GOP leaders back bailout bill, urge
passage. Note the H-bomb is still in the package: "The core of the bill is
based on Treasury Secretary Henry Paulson's request for authority to
purchase troubled assets from financial institutions..." And, hello: "The
ultimate cost to the taxpayer is not expected to be near the amount the
Treasury invests in the program. That's because the government would buy
assets that have underlying value." Not expected to be near the amount? Oh,
please, it's closer to a trillion dollars. Government would buy the assets?
We the people you mean and hundreds of billions of those "assets" are toxic.
Can you hear the big sucking sound from your wallet?
Sadly, too many Americans will overlook the facts and defend their
congress critter's lack of understanding on this issue, like this nonsense
from an emailer: "Right now senior Indiana Congressman Mike Pence ® and
others are at Capitol Hill holding their ground against The Fed, Bush,
Paulson, and Bernanke. Time is of the essence because Bush continues to feed
the message to the media that our world will melt on Monday if they don't
get their $700+ billion bailout regardless of what America's taxpayers
want...Currently, Congressman Pence is wisely calling for a suspension of
the capital gains tax on investments in order to encourage the millions of
Americans without debt to invest in the markets."
If Pence really understood the problem, he would have led the charge
to get H.R. 2755 passed 15 months ago and a bill to abolish the unnecessary
direct taxation against we the people. If you don't have time to read that
piece, you can listen on audio; down load to your IPod or onto a CD to
listen while you drive.
When Ron Paul introduced his bill (H.R. 2755) to abolish the Federal
Reserve in June, 2007, where were these newly outraged Republicans? There's
not a single cosponsor to Dr. Paul's bill. Instead of these
Johnny-come-lately's all indignant about this pillage and plunder of the
people's sweat and blood, why didn't they all come together and say, it
doesn't matter the terms or what it says, we will not vote on this
unconstitutional bail out of private corporations? Instead, just like the
herd they are, the prod has been effective and the people be darned.
The Hounds of heck have been unleashed on we the people. Dr. Edwin
Vieira so correctly called it on March 17, 2005:
"In addition, rather than disseminating demands for sound money and
honest banking in order to deal with the crisis, the controlled media will
orchestrate calls for massive increases in the supply of fiat currency and
credit, ostensibly in order to enable common people to pay their debts. Of
course, this will necessitate the maintenance of fractional-reserve central
banking to emit the new currency, as well as the creation of more, more, and
even more debt to serve as "security" for these emissions--thereby
perpetuating the cause of the crisis and ensuring that further crises will
break out later on. In this way, credulous Americans will be duped into
chaining themselves to new debts in order to pay off their old ones,
rendering permanent their financial indentured servitude to the
Establishment."[2]
Sun Tzu's Art of War: Sell your enemy his own death while making him
think it's a good idea. The coup de grâce has been administered and the
masses will quiet down, believing it's their obligation to live a life of
quiet desperation because their "leadership" in Congress, while painful for
"Main Street," has done the right thing.
The biggest question out there: how could this have happened? Those of
us who have studied America's fatal fiat currency and monetary system know
the answer, but average, struggling Americans throughout this country do
not. A huge portion of the blame for that can be placed on corporate media
who control the "news" papers in this country and cable network "news"
channels.[3]
Please pay particular attention to this one important piece of the
puzzle:
How SEC Regulatory Exemptions Helped Lead to Collapse
"The current excess leverage now unwinding was the result of a
purposeful SEC exemption given to five firms. You read that right -- the
events of the past year are not a mere accident, but are the results of a
conscious and willful SEC decision to allow these firms to legally violate
existing net capital rules that, in the past 30 years, had limited broker
dealers debt-to-net capital ratio to 12-to-1. Instead, the 2004 exemption --
given only to 5 firms -- allowed them to lever up 30 and even 40 to 1.
"Who were the five that received this special exemption? You won't be
surprised to learn that they were Goldman, Merrill, Lehman, Bear Stearns,
and Morgan Stanley. As Mr. Pickard points out that "The proof is in the
pudding — three of the five broker-dealers have blown up."
"So while the SEC runs around reinstating short selling rules, and
clueless pension fund managers mindlessly point to the wrong issue, we learn
that it was the SEC who was in large part responsible for the reckless
leverage that led to the current crisis....
"The Securities and Exchange Commission can blame itself for the
current crisis. That is the allegation being made by a former SEC official,
Lee Pickard, who says a rule change in 2004 led to the failure of Lehman
Brothers, Bear Stearns, and Merrill Lynch.
"The SEC allowed five firms — the three that have collapsed plus
Goldman Sachs and Morgan Stanley — to more than double the leverage they
were allowed to keep on their balance sheets and remove discounts that had
been applied to the assets they had been required to keep to protect them
from defaults. Making matters worse, according to Mr. Pickard, who helped
write the original rule in 1975 as director of the SEC's trading and markets
division, is a move by the SEC this month to further erode the restraints on
surviving broker-dealers by withdrawing requirements that they maintain a
certain level of rating from the ratings agencies.
Advertisement
"They constructed a mechanism that simply didn't work," Mr. Pickard
said. "The proof is in the pudding — three of the five broker-dealers have
blown up."
Who knew what and when?
All this brain power on Wall Street and the million regulations pumped
out by Congress after Congress over decades and no one saw this coming? None
of them noticed a pattern of melt down emerging?
Americans very afraid of financial meltdown underway
February 8, 2008. On January 14, 2008 the FDIC web site began posting
the rules for reimbursing depositors in the event of a bank failure.
February 18, 2008. US banks borrow $50bn via new Fed facility
February 21, 2008: Wall Street Bank Run
February 22, 2008: Bank of America circulating confidential proposal
to Congress seeking $739 billion bailout.
February 29, 2008. Risks seen for growing Fannie, Freddie.
March 3, 2008. New recession worry: Bank failures
March 4, 2008. Gulf investors may not save CITIGROUP, Dubai executive
says.
The FBI began investigating AIG back in March: "Federal investigators
have been scrutinizing American International Group since March, focusing on
whether the insurance giant knowingly concealed mammoth losses that helped
lead to the company's $85 billion federal bailout this month."
March 13, 2008. Latest Trouble Spot for Banks: Souring Home-Equity
Loans. "Other types of consumer loans also are souring, including credit
cards and auto loans. But delinquent home-equity loans are rising faster,
representing 12.5% of all delinquent loans in the fourth quarter at Bank of
America Corp., the largest U.S. bank in stock-market value. That was up from
9.4% in last year's first quarter, according to research firm SNL
Financial."
September 23, 2008, while the tempest was building, an important
admission came from White House Deputy Press Secretary Tony Fratto: "Fratto
insisted that the plan was not slapped together and had been drawn up as a
contingency over previous months and weeks by administration officials. He
acknowledged lawmakers were getting only days to peruse it, but he said this
should be enough."
A few days to "peruse" 2,300 pages of save the banking cartel
trillions? This scheme was drawn up months before and adjusted over the
weeks as these immoral vultures waited until just the right time to spring
the trap. The Bush Administration, Paulson, Bernanke and other key players
KNEW this whole mess was going to blow up in their faces. The staggering
numbers simply could not hold back the flood gates. How very convenient that
it all just happens to come to a head ten days before Congress is about to
adjourn for the year. The new mantra becomes "We have to do something now!"
and "The world will come to an end tomorrow!"
Something else was going on in March, 2008: "While New York Governor
Eliot Spitzer was paying an ‘escort’ $4,300 in a hotel room in Washington,
just down the road, George Bush's new Federal Reserve Board Chairman, Ben
Bernanke, was secretly handing over $200 billion in a tryst with mortgage
bank industry speculators....Who are they kidding? Spitzer’s lynching and
the bankers’ enriching are intimately tied...How? Follow the money."
June 20, 2008. Brokers threatened by run on shadow bank system. A $10
trillion shadow.
Ultimately greed is the biggest factor for why "no one saw this
coming"
"The report, "Ask Yourself Why ... They Didn't See This Coming," also
spotlights the story of the nation's two largest housing lenders, Fannie Mae
and Freddie Mac, their lobbying and campaign activities, and how the
government bailout contrasts with how legislators approached the crisis for
average people.
"The story of the housing bubble and meltdown that now threatens the
homes and communities of literally millions of Americans is largely about
political power. The financial services industry focuses its lobbying
efforts around its immediate desires, and for more than the past decade,
this focus has been on relaxing regulation of the mortgage lending and
securitization market," the report says.
"At the national level, the top five spenders among mortgage brokers
and bankers paid more than $31 million in lobbying fees and in political
contributions since the beginning of last year. The two largest home-loan
companies that have been bailed out by Congress, Fannie Mae and Freddie Mac,
spent roughly $180 million on lobbying and campaign contributions since the
2000 election cycle.
"Across the country, an estimated 20,000 families are losing their
home every week. Estimates of total foreclosures run about 3 million during
2007 and 2008. There are about 2.3 million vacant homes on the market - the
highest rate ever recorded. Most of these figures have not been seen since
the Great Depression. Most troubling, analysts predict a second wave of
foreclosures still coming."
Now, we have a scramble unseen in our life times that will only make
the situation worse. Former Fed Governor William Poole: "These are grand
ideas that cannot be executed."
Sept. 25 (Bloomberg) -- "More than 150 prominent U.S. economists,
including three Nobel Prize winners, urged Congress to hold off on passing a
$700 billion financial market rescue plan until it can be studied more
closely."
Before the ink is even dry, the big lie is that $700 billion borrowed
dollars is old news:
Bank Borrowing From Fed Already Exceeded Bailout Total in Last Week
September 26, 2008
"U.S. banks borrowed $188 billion per day on average in the latest
week from the Federal Reserve, meaning that the Fed loaned out more money
than the Treasury's proposed bailout in just one week, still barely managing
to keep the economy afloat. Federal Reserve data showed on Thursday the
total amount banks borrowed nearly quadrupled the previous record of $47.97
billion per day notched just the week before, Reuters reports."
Some very sharp people are also suggesting the rush to ram this
disaster down our throats is because the FDIC has known for some time that
banks were going to start collapsing like dominos and there isn't enough in
the current pool to bail out depositors. This is a mathematical fact. We
know that the FDIC fund has about $50 billion to "insure" about $1 trillion
in assets at the nation's financial institutions. A run on banks would cause
another nightmare for the robber banker barons.
WaMu filed for bankruptcy while part of their operations were
purchased by JP Morgan Chase. Wachovia is likely running on fumes, but some
analysts are optimistic they aren't just rearranging their deck chairs. As
U.S. home sales decline, more of the nation's top builders are going to be
in deep trouble: "NEW YORK, September 26, 2008 -- KB Homes on Friday
reported a third-quarter loss of $144.7 million...compared with a loss of
$35.6 million... in the year-ago period."
There is a massive out cry against this thievery about to be finalized
(which may be the case by the time this is published) with the battle cry to
throw out the entire Congress in November. Save Ron Paul, what a fabulous
idea. A dear friend has suggested everyone send a tube of cheap lipstick to
their congress critter and counterfeit U.S. Senator. Hear, hear! Send a deep
red like hookers wear as they ply their wares on the street corner and send
it to their district offices since Congress should adjourn for the year
(nice vacation) later this week. Let them return to their district offices
to tens of thousands of tubes of red lipstick.
Reality has come to Main Street. The political shenanigans by members
of CON-gress during this "negotiation" of another bail out package has been
shameful. People are demanding a RICO action be brought against these
lenders and conglomerates. A grand jury is now looking at Countrywide and
the Federal Department of Justice should also investigate Senators Dodd and
others; see here.
A combination of factors eventually led to this blow up. The icing on
the cake is from bird brain, Nancy Pelosi, who is proposing (as has Obama)
yet another "economic stimulus package." Bush's economic stimulus packages,
kissed and blessed by both parties, didn't work in 2001 or 2008. But, Nancy,
not realizing there's no money in the people's treasury (OUR checkbook
thanks to these crooks is overdrawn $9.8 TRILLION dollars) wants to add more
debt to the funeral pyre: Pelosi Vows to Push Forward With Second Economic
Stimulus.
By yesterday afternoon, due to the massive resistance by the American
people, Pelosi has declared this is not a bail out, it's a "rescue plan." A
rescue plan sells better; see here. "Protect jobs and home owners" she said
in a late day press conference. BULL. This is a rescue job for the big money
interests while we the people get the shaft and the money magnates knew it
was coming.
Footnotes:
1 - Joseph Stiglitz: Bailout Scam “Monstrous”
2 - Monetary and Banking Crisis Coming
3 - A Real Newspaper
Important Links:
1 - Must watch one minute video
2 - Poison-Pill Proposal Would Ask Taxpayers to Bankroll Group Accused
of Voter Fraud Nationwide
3 - VoteNoBailout.org
4 - Ron Paul: Greenspan, Bernanke Should Be Criminally Charged
5 - Indictment Federal Reserve
© 2008 - NewsWithViews.com - All Rights Reserved
E-mail This Page
Sign Up For Free E-Mail Alerts
E-Mails are used strictly for NWVs alerts, not for sale
--------------------------------------------------------------------------
Devvy Kidd authored the booklets, Why A Bankrupt America and Blind
Loyalty; 2 million copies sold. Devvy appears on radio shows all over the
country, ran for Congress and is a highly sought after public speaker. Devvy
belongs to no organization.
She left the Republican Party in 1996 and has been an independent
voter ever since. Devvy isn't left, right or in the middle; she is a
constitutionalist who believes in the supreme law of the land, not some
political party. Her web site (www.devvy.com) contains a tremendous amount
of information, solutions and a vast Reading Room.
Devvy's website: www.devvy.com
Before you send Devvy e-mail, please take the time to check the FAQ
section on her web site. It is filled with answers to frequently asked
questions and links to reliable research sources.
E-mail is: [email protected]