Posted on 10/03/2008 9:32:23 AM PDT by NormsRevenge
In all of American history, it is likely that no government official besides a wartime president has ever been given as much power over taxpayer money as Treasury Secretary Henry M. Paulson Jr. would receive under the $700 billion financial rescue plan.
If the House passes the bill Friday, the Treasury secretary will acquire broad authority to buy and then dispose of hundreds of billions of dollars in mortgages and mortgage-backed securities at his sole discretion.
"They're appointing a financial dictator," said Ryan Ellis, tax policy director at Americans for Tax Reform. "Congress is giving a member of the executive branch virtually unlimited power for the entire economy."
Historical precedent for a Treasury secretary this powerful is hard to find: Alexander Hamilton enforced taxes by leading an army to suppress the whiskey rebellion; William G. McAdoo shut down the New York Stock Exchange during World War I; Salmon P. Chase issued currency during the Civil War that he later ruled unconstitutional as a Supreme Court justice; and Robert Morris personally guaranteed promissory notes during the days after the Revolutionary War, when the nation had virtually no credit.
Mr. Paulson's authority in the bill, as written Thursday, is likely to surpass all of those.
"Since this country started, since the Constitution in 1787 ... this country has never done anything like this, given this much power to one person," said Rep. Louie Gohmert of Texas. "It's just wrong to our principles of American democracy to give one person this kind of power."
(Excerpt) Read more at washingtontimes.com ...
He won’t be just a Treasury Secretary andymore, he’ll be more like the Chancellor of the Exchequer.
13. Warren Buffett owns 9% of Wells Fargo. After the bailout was signed, Wells Fargo jumped in and took away a deal from Citigroup to purchase Wachovia - after Wachovia signed an exclusive agreement with Citigroup. Wells Fargo backed out of a similar deal to buy Wachovia Sunday before the bailout was put into law, so Citigroup and the FDIC put a purchase agreement in place.
Hmmmm.... I wonder how Buffett keep showing up at the financial feeding tough and is able to cut in line for the best morsels?
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