Just lipstick on a pig...rearranging the deck chairs on the Titanic... etc etc
www.fedupusa.org
Call/email/fax your Reps and Senators.
Posted on 09/28/2008 10:22:50 AM PDT by Thane_Banquo
Republican leadership is also sending this around:
Following is myth/fact document regarding the current draft of the economic rescue legislation.
Myth: Windfall for ACORN.
Fact: The Frank-Dodd proposal created an affordable housing slush fund and directed 20 percent of net benefits from the program to be directed to ACORN-type organizations. The proposed compromise does not include any affordable housing slush fund and directs all net benefits back to the Treasury to pay down the national debt.
Myth: Tax increase on financial industry.
Fact: The proposed compromise imposes NO tax on the financial services industry. The proposed compromise simply requires a proposal from the Administration to recoup any losses after five years.
Fact: The proposed compromise includes tax cuts for struggling community banks.
Myth: Blank check for $700 billion with little accountability.
Fact: In general, the Treasury Secretary is limited to purchasing up to $250 billion outstanding at any one time. If the Treasury needs to use another $100 billion, the President must certify this action and report to Congress. Further spending requires Congressional action.
Myth: Treasury plan is the only option available.
Fact: Treasury is given multiple options to deal with the current economic crisis, including insurance, public/private auctions, loan guarantees, and direct support to financial institutions.
Fact: Further, Treasury is MANDATED to create an insurance program (Section 102) that protects the taxpayers and requires companies that wish to participate in this program to have some skin in the game by paying risk-based premiums.
Myth: The taxpayer is not adequately protected.
Fact: The proposed compromise includes strong taxpayer protections. Treasury’s proposal had minimal oversight to protect taxpayer dollars. The proposed compromise enhanced the oversight structure by creating a Financial Stability Oversight Board, a Special Inspector General, and a Congressional Oversight Panel.
All AIG-type deals require mandatory equity interest in order to provide taxpayers with potential future benefits. All auctions require a percentage of equity interest based on participation in the program.
Requires the Secretary to develop regulations/guidelines necessary to prohibit or, in specific cases, manage any conflicts of interest with respect to contractors, advisors, and asset managers.
Myth: The taxpayer does not benefit from Treasury bailouts.
Fact: The proposed compromise (Section 113) requires mandatory equity interest in scenarios like AIG. The proposed compromise also allows Treasury to take an equity interest in the program generally.
Myth: Treasury will never use the insurance option.
Fact: Treasury is mandated (Section 102) to establish an insurance program and set risk-based premiums. This will protect taxpayers by requiring the beneficiaries of the insurance program to pay risk-based premiums. Treasury further shall collect premiums
mandatory equity interest in scenarios like AIG. The proposed compromise also allows Treasury to take an equity interest in the program generally.
Myth: Windfall for ACORN.
Fact: The Frank-Dodd proposal created an affordable housing slush fund and directed 20 percent of net benefits from the program to be directed to ACORN-type organizations. The proposed compromise does not include any affordable housing slush fund and directs all net benefits back to the Treasury for debt reduction.
Myth: Tax increase on financial industry.
Fact: The proposed compromise imposes no tax on the financial services industry. Republicans forced Democrats agreed to requiring a proposal from the Administration to recoup any losses after five years.
Myth: Blank check for $700 billion with little accountability.
Fact: In general, the Treasury Secretary is limited to purchasing up to $250 billion outstanding at any one time. If the Treasury needs to use another $100 billion, the President must certify this action and report to Congress. Further action requires Congressional approval.
Myth: Treasury plan to purchase troubled assets is the only option.
Fact: Treasury is mandated to create an insurance program (Section 102) that protects the taxpayers and requires companies that wish to participate in this program to have some skin in the game by paying risk-based premiums.
Myth: The taxpayer is not adequately protected.
Fact: The proposed compromise includes strong taxpayer protections. Treasury’s proposal had minimal oversight to protect taxpayer dollars. The proposed compromise enhanced the oversight structure by creating a Financial Stability Oversight Board, a Special Inspector General, and a Congressional Oversight Panel. [CONFLICTS OF INTEREST]
Myth: The taxpayer does not benefit from Treasury bailouts.
Fact: The proposed compromise (Section 113) requires mandatory equity interest in scenarios like AIG. The proposed compromise also allows Treasury to take an equity interest in the program generally.
09/28 12:49 PM
The blank check is still there.
Everything else is a diversion.
Learn just HOW we got in this mess (it started w/ Carter) from this 10 minute video here: http://tammybruce.com/
Why the Market Is Crashing—the Definitive Video
More spin, Rally around Socialism.
it will pass, the market will go up, nobody will be worried anymore and hopefully the campaign will be back on track again
Dunno. McCotter sure sounded like all Hell was gonna break lose in the House tomorrow...
Okay, you have any better ideas?
It doesn’t look like a blank check to me. Obviously, there has to be flexibility in using it, but there will be oversight and accountability goals. None of this was in the bill before the McCain and the GOP worked on it.
Just lipstick on a pig...rearranging the deck chairs on the Titanic... etc etc
www.fedupusa.org
Call/email/fax your Reps and Senators.
as if we never had it. we bailed out the wreck from the S&L’s...we’ll get over this.
yep
Republicans always willing to bend over and take it.
We didn’t “get” a damned thing. What we “get” is raped. You go right ahead and thank the rapist but the rest of us haven’t folded like a house of cards.
And our journey to socialism will have taken a giant leap forward without firing a shot...
The blank check is cut in half, from $700 bln to $350 bln. Second, there is a lot more oversight, and Treasury has to behave itself to get Congress to allocate another $350 bln. If the system improves, the $350 bln may not even be necessary. This is a lot better. We were never going to get what we really wanted. This was the best we could in my opinion.
Here’s my idea. You go to a bank, apply for a loan. If approved, the government backs the loan at whatever interest rate. Instead of bailing out, government is stimulating economy by offering loans to those worthy. Dont know if it would work, but sounds better than buying a bunch of crap.
i like the public/private auction, loan, insurance, AIG style investment or warren buffet style investmen, reduce capital gain tax, reduce corporate tax
replacing the tax bailout
i like the public/private auction, loan, insurance, AIG style investment or warren buffet style investmen, reduce capital gain tax, reduce corporate tax
replacing the tax bailout
Bwahaha!
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