Archive for the ‘TARP’ Category

Obama Wants Confidence To Revive the Economy: But Hasn’t Earned Any

March 24, 2009

Am I supposed to have confidence when the president praches “You can have everything: health care and the rest.  Just let me give your kids this debt.”

Seems counter-intuitive….

Am I supposed to trust Turbo Tax Geithner?  YIKES.

Hillary, Rahm Emanuel, Robert Gibbs?

Am I supposed to trust the House of Representatives and Nancy Pelosi?

Pelosi is telling  illegal immigrats the law enforcers are anti-America.

Should I trust the Senate?  Chris Dodd has amnesia and a retirement spot in Ireland, thanks to his government “service.”

I feel like a farm animal who just got “serviced” by one of the bulls…

Has Dodd given back the AIG donations to his campaign —  after he wanted AIG bonuses repaid?

Senator Judd Gregg deadpanned today, “Americans started a revolution because a far off king abused his tax authority….”

HA!  A bit of hope from the Senate!

In the Senate, the buck really has to stop now for conservatives…..

Read Michelle Malkin:
http://michellemalkin.com/2009/03/24
/the-senate-shows-a-little-sense-confi
scatory-republicans-show-no-shame/

********************

With the braying of 328 yahoos — members of the House of Representatives who voted for retroactive and punitive use of the tax code to confiscate the legal earnings of a small, unpopular group — still reverberating, the Obama administration yesterday invited private-sector investors to become business partners with the capricious and increasingly anti-constitutional government. This latest plan to unfreeze the financial system came almost half a year after Congress shoveled $700 billion into the Troubled Assets Relief Program, $325 billion of which has been spent without purchasing any toxic assets.

By George F. Will

TARP funds have, however, semi-purchased, among many other things, two automobile companies (and, last week, some of their parts suppliers), which must amaze Sweden. That unlikely tutor of America regarding capitalist common sense has said, through a Cabinet minister, that the ailing Saab automobile company is on its own: “The Swedish state is not prepared to own car factories.”
.
Another embarrassing auditor of American misgovernment is China, whose premier has rightly noted the unsustainable trajectory of America’s high-consumption, low-savings economy. He has also decorously but clearly expressed sensible fears that his country’s $1 trillion-plus of dollar-denominated assets might be devalued by America choosing, as banana republics have done, to use inflation for partial repudiation of improvidently incurred debts.

From Mexico, America is receiving needed instruction about fundamental rights and the rule of law. A leading Democrat trying to abolish the right of workers to secret ballots in unionization elections is California’s Rep. George Miller who, with 15 other Democrats, in 2001 admonished Mexico: “The secret ballot is absolutely necessary in order to ensure that workers are not intimidated into voting for a union they might not otherwise choose.” Last year, Mexico’s highest court unanimously affirmed for Mexicans the right that Democrats want to strip from Americans.

Congress, with the approval of a president who has waxed censorious about his predecessor’s imperious unilateralism in dealing with other nations, has shredded the North American Free Trade Agreement. Congress used the omnibus spending bill to abolish a program that was created as part of a protracted U.S. stall regarding compliance with its obligation to allow Mexican long-haul trucks on U.S. roads. The program, testing the safety of Mexican trucking, became an embarrassment because it found Mexican trucking at least as safe as U.S. trucking. Mexico has resorted to protectionism — tariffs on many U.S. goods — in retaliation for Democrats’ protection of the Teamsters union.

NAFTA, like all treaties, is the “supreme law of the land.” So says the Constitution. It is, however, a cobweb constraint on a Congress that, ignoring the document’s unambiguous stipulations that the House shall be composed of members chosen “by the people of the several states,” is voting to pretend that the District of Columbia is a state. Hence it supposedly can have a Democratic member of the House and, down the descending road, two Democratic senators. Congress rationalizes this anti-constitutional willfulness by citing the Constitution’s language that each house shall be the judge of the “qualifications” of its members and that Congress can “exercise exclusive legislation” over the District. What, then, prevents Congress from giving House and Senate seats to Yellowstone National Park, over which Congress exercises exclusive legislation? Only Congress’s capacity for embarrassment. So, not much.

The Federal Reserve, by long practice rather than law, has been insulated from politics in performing its fundamental function of preserving the currency as a store of value — preventing inflation. Now, however, by undertaking hitherto uncontemplated functions, it has become an appendage of the executive branch. The coming costs, in political manipulation of the money supply, of this forfeiture of independence could be steep.

Jefferson warned that “great innovations should not be forced on slender majorities.” But Democrats, who trace their party’s pedigree to Jefferson, are contemplating using “reconciliation” — a legislative maneuver abused by both parties to severely truncate debate and limit the minority’s right to resist — to impose vast and controversial changes on the 17 percent of the economy that is health care. When the Congressional Budget Office announced that the president’s budget underestimates by $2.3 trillion the likely deficits over the next decade, his budget director, Peter Orszag, said: All long-range budget forecasts are notoriously unreliable — so rely on ours.

This is but a partial list of recent lawlessness, situational constitutionalism and institutional derangement. Such political malfeasance is pertinent to the financial meltdown as the administration, desperately seeking confidence, tries to stabilize the economy by vastly enlarging government’s role in it.

There’s More Room For Rahm In AIG Bonus Abomination

March 23, 2009

With the nation in what the president has called a financial “crisis” and even a “catastrophe,” Obama is moving away from his top financial advisors at least on some issues, and sticking close to the advice of White House Chief of Staff Rahm Emanuel and policy advisor David Axelrod.

“Those guys know politics.  They are listening to the Hill and watching the media and the polls.  That’s driving Obama’s policy right now,” a top political analyst told us.

****************************
From The American Spectator:

Over the past ten days, as the furor over AIG retention plan bonuses has focused on Sen. Chris Dodd and Secretary of the Treasury Timothy Geithner, the White House has undertaken a PR offensive to protect the highest ranking Obama Administration official who was involved in the House and Senate negotiations over the stimulus bill, in which the AIG waiver language was inserted.

“Right now, you get the feeling this is all about protecting [White House Chief of Staff] Rahm Emanuel,” says a former Treasury Department lawyer, who worked in that department’s counsel’s office on the Troubled Asset Relief Program (TARP) before joining a D.C.-based law firm in February. “At the time, we were led to believe there were basically three or four people from the Administration at the table when the final deals were cut and one of them was Emanuel.”

Informal advisers to Geithner are growing increasingly frustrated, they say, that Geithner is being held up as the straw man for the public anger over the bonuses. “Just over the weekend you saw a new guy added to the target list, [White House economics adviser Larry] Summers,” says a longtime Geithner colleague at the New York Fed. “You have Dodd, Geithner, Summers, but there were other, more senior political people involved in this mess, and their names aren’t being mentioned. Why isn’t anyone asking Rahm Emanuel, ‘What meetings were you in?’ ‘What did you and the President know and when did you know it?’ Tim has some culpability, but he’s not the guy who signed off on the Dodd language. He wasn’t that empowered to do something like that.”

Yesterday, Obama supporter and New York Times columnist Frank Rich fingered Summers as a key player in the AIG bonus mess. “Summers is so tone-deaf that he makes Geithner seem like Bobby Kennedy,” Rich wrote.

Summers currently serves as head of the National Economic Council in the White House, and has been mentioned as someone who might be forced to return to the Secretary of the Treasury post he once held in the Clinton Administration should Geithner not survive the political storm he finds himself in.

It isn’t just Rich, though, who has placed Summers in the center of the controversy. Last week, Sen. Ron Wyden, who was led to believe that language he was inserting into the stimulus bill, which would have heavily taxed such payouts as the retention bonuses, told reporters that it was the “Obama economic team” that stripped his and Sen. Olympia Snowe‘s provision from the bill. When he was asked about who he dealt with during the February negotiations over his language, he said, “Secretary Geithner, Larry Summers, and I’ll leave it at that.” He declined to name other names, though he indicated to reporters present that he was aware of others in the negotiations.

Senior Democrat leadership aides in both the House and Senate, however, insist that both Emanuel and Office of Management and Budget Director Peter Orszag were present at the meetings where the decision was made to strip out the bonus taxation language and insert the Dodd waiver.

Read the rest:
http://spectator.org/archives/2009/0
3/23/plenty-of-rahm-at-the-aig-tabl

Visit Michelle Malkin:
http://michellemalkin.com/2009/03
/23/tarp-taxpayers-accounts-recycle
d-to-politicians/

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Politicians Who Took AIG Money Should Give It Back

Two-out-of-three Americans (67%) believe that politicians who received campaign contributions from American International Group (AIG) should return the money. The latest Rasmussen Reports national telephone survey found that just 21% disagree and 13% are not sure.

The belief that the politicians should give back the money is shared by a solid majority of every measured demographic group except one – America’s Political Class. In that elite group, just 29% think the contributions should be returned while 63% reject that idea.

Among America’s Populists, 77% believe the campaign cash should be returned, and only 14% disagree. Most Americans have Populist attitudes. and their perspective can reasonably be considered the perspective of Mainstream America.

http://www.rasmussenreports.com/public_conte
nt/politics/general_politics/67_say_politician
s_should_give_back_aig_contributions_polit
ical_class_disagrees

Senate Banking Committee Chairman Sen. Christopher Dodd, D-Conn. ...
Dodd took more AIG money than anyone.  Obama was second. 

Obama threw Dodd under the bus:
http://nobamablog.wordpress.com/200
9/03/23/obama-sells-out-a-friend-fro
m-connecticut/

Related:
Did Obama White House Fuel AIG Bonus Mess To Enact Tougher Rules With Public Support, “Outrage”?

Financial Advice, Recovery, Trumped by Obama, Congress, Media, Polls

A Democrat Did Something Good Today: John Lewis Says 13 Companies Took Bailout Money, Owe Taxes

March 19, 2009

Another nail in Geithner’s coffin.

Good going John Lewis!

***********************

By STEPHEN OHLEMACHER, Associated Press

At least 13 firms receiving billions of dollars in bailout money owe a total of more than $220 million in unpaid federal taxes, a key lawmaker said Thursday.

Rep. John Lewis, D-Ga., chairman of a House subcommittee overseeing the federal bailout, said two firms owe more than $100 million apiece.

“This is shameful. It is a disgrace,” said Lewis. “We are going to get to the bottom of what is going on here.”

The House Ways and Means subcommittee on oversight discovered the unpaid taxes in a review of tax records from 23 of the firms receiving the most money, Lewis said as he opened a hearing on the issue.

The committee said it could not legally release the names of the companies owing taxes. It said one recipient had almost $113 million in unpaid federal income taxes from 2005 and 2006. A second recipient owed almost $102 million dating to before 2004. Another was behind $1.1 million in federal income taxes and $223,000 in federal employment taxes.

“If we looked at all 470 recipients, how much would they owe?” Lewis asked.

Lewis said the panel plans to review tax records from other firms receiving federal money, but he was unsure if it would look at every firm.

“We’re not done,” he said.

Banks and other firms receiving federal money were required to sign contracts stating they had no unpaid taxes, Lewis said. But he said the Treasury Department did not ask them to turn over their tax records.

Read the rest:
http://news.yahoo.com/s/ap/20
090319/ap_on_go_co/bailou
t_delinquent_taxes

http://michellemalkin.com/2009/0
3/19/ugh-gop-minn-gov-pawlenty
-studying-mileage-tax-satellite-b
ased-tracking/

Pelosi, Rangel rushing to tax AIG and other bonuses 90%; This caused a revolution once…

AIG Bonus Caper Demonstrates Obama Administration Weak Thinking

March 17, 2009

President Obama’s apparent inability to block executive bonuses at insurance giant AIG has dealt a sharp blow to his young administration and is threatening to derail both public and congressional support for his ambitious political agenda.

By Michael D. Shear and Paul Kane
The Washington Post
Politicians in both parties flocked to express outrage over $165 million in bonuses paid out to executives at the company, demanding answers from the president and swamping yesterday’s rollout of his efforts to spark lending to small businesses.

The populist anger at the executives who ran their firms into the ground is increasingly blowing back on Obama, whom aides yesterday described as having little recourse in the face of legal contracts that guaranteed those bonuses.

White House press secretary Robert Gibbs, peppered with questions about why the president had not done more to block the bonuses at a company that has received $170 billion in taxpayer funds, struggled for an answer yesterday afternoon. He explained that government lawyers are “looking through contracts to see what can be done to wrest these bonuses from their recipients.”

Obama himself sought to channel the public’s sense of disbelief yesterday. “How do they justify this outrage to the taxpayers who are keeping the company afloat?” he said, declaring the bonuses an “outrage” that violate “fundamental values.”
White House aides grasped for actions that could soothe sentiment on Main Street and in the halls of Congress, where the fate of the new president’s sweeping agendas on health care, climate change and education will be decided. They suggested that the government will use its latest pledged installment of $30 billion for the ailing company to recover the millions in bonuses paid Friday.

But the damage control did not seem to satisfy incredulous lawmakers in both parties, who said the image of financial executives taking huge bonuses from a taxpayer-funded rescue puts the president in a politically impossible position.

“I warned them this would be met with an unprecedented level of outrage,”  Sen. Christopher J. Dodd (D-Conn.), the chairman of the banking committee and part of a group of senators who pressed Treasury Secretary Timothy F. Geithner to stop the bonuses, said yesterday.

House  Minority Leader John A. Boehner (R-Ohio) said the bonus issue added to his belief that there will be almost no Republican support for any expansion of a bank-bailout program that passed Congress last fall with broad bipartisan support.

“What is the government’s exit strategy from this sweeping involvement in private business?” he asked in a statement, adding that “taxpayers are not receiving an adequate accounting from either the Treasury or the management of the companies that received taxpayer funds. Unfortunately, we have not yet seen such a plan.”

The rhetoric grew so heated yesterday that  Sen. Charles E. Grassley (R-Iowa) suggested in a radio interview that AIG executives ought to “follow the Japanese model . . . resign, or go commit suicide.” An aide later explained he does not actually want executives to kill themselves.

More than 80 House Democrats signed a letter demanding that the money used to pay the bonuses be recouped from AIG. New York Attorney General Andrew M. Cuomo announced that he will subpoena the Manhattan-based company, seeking data documenting who received the bonuses and the justification for them.

Read the rest:
http://www.washingtonpost.com/wp-dyn/cont
ent/article/2009/03/16/AR200903160064
0.html?hpid=topnews

Related:
Why Taxpayers Should Pay the AIG Bonuses; Obama is Dead Wrong On This

In Conservative Alaska, Banks Aren’t Full of “Toxic Assets”

March 16, 2009

Most major banks and credit unions in Alaska seem to be in good health, despite the worsening news about the economy and the recent bailout of troubled national banks.

By Elizabeth Bluemink
Anchorage Daily News

One positive sign is that many of the state’s largest banks and credit unions grew in local profits, revenue, loan activity or deposits last year.

What will happen this year is a different question. Last year, many local financial institutions benefited from high oil prices and fatter-than-normal Permanent Fund dividends. This year, oil and mineral prices are down, tourism is expected to suffer and some of the state’s largest employers are laying off workers.

But because most banks in Alaska avoided risky loans, and because economists aren’t predicting severe job losses in Alaska this year, Anchorage financial executives don’t expect the sort of meltdown and loss of shareholder confidence that has pummeled their colleagues in the Lower 48.

“There’s a dislocation between what people are seeing on the national news and what’s happening here,” said Jason Roth, chief financial officer at First National Bank Alaska.

According to regulatory filings at the end of last year, all of the state’s major banks exceeded federal regulators’ threshold for maintaining enough financial backing to cover the risk of failed loans. And that includes the three banks — Wells Fargo, Key Bank and Alaska Pacific Bancshares — that accepted money from the U.S. Treasury as part of its Troubled Asset Relief Program, otherwise known as the national bank bailout or TARP.

Credit unions also seem to be doing OK, though they say they are affected by the financial woes of their customers.

“Most credit unions in Alaska are well capitalized but these are tough times,” said James Wileman, president of the Alaska Credit Union League.

Members of his Sitka credit union, for example, are hurting due to troubles in the community’s tourism- and fishing-dependent economy, he said.

Like Alaska’s banks, the credit unions recently had to begin paying a higher premium into a national fund that protects customer deposits if financial institutions fail.

“All the credit unions (and banks) in the country had to pay in,” Wileman said, noting that because it was a one-time event, his company does not plan to pass along that cost to its customers.

 

HEAVEY LOSSES

Several banks in Alaska have benefitted from the national bailout.

Juneau-based Alaska Pacific received $4.8 million from TARP this year — the only Alaska-based bank to do so. The Juneau bank suffered financial losses last year due to delinquent loans. Over half those loans were in the Lower 48 and involved troubled real estate projects. As a result, the bank suspended its dividends to investors in the final part of 2008.

Key Bank suffered a $1.5 billion national loss in 2008, in part because it needed to reserve a large part of its income for delinquent loans, according to its most recent financial statement. In November, Key Bank accepted a $2.5 billion loan from the Treasury’s TARP fund.

But Key Bank says its business grew in Alaska last year: lending increased 16 percent last year.

In October, Wells Fargo Bank accepted a $25 billion loan from the TARP that it says it didn’t want or need, and only took at the insistence of federal officials.

The bank reported a $2.6 billion profit last year and its business in Alaska was the best it’s ever been, said the bank’s regional president Richard Strutz.

In Alaska, Wells Fargo’s revenue and deposits grew more than 9 percent last year, and its loan activity increased more than 4 percent.

Strutz said he doesn’t expect this year to go as well. “We haven’t escaped the issues in the Lower 48,” he said, noting lower commodity prices and the predicted downturn in tourism.

 

PROSPERING BANKS

How did Alaska’s prospering banks avoid the troubles of others that have generated cringe-inducing headlines in recent months?

Last year’s strong economy and high oil prices certainly played a role. But local banks also claim they were more conservative than some of their larger colleagues.

“You don’t see community banks putting people in loans that aren’t appropriate and you don’t see them with toxic assets,” said Roth, of First National.

His bank and Anchorage-based Northrim BanCorp both decided not to participate in the TARP program. Both banks were profitable last year.

First National’s annual profit last year increased about 13 percent to $42.9 million and the value of its assets was about $2.4 billion.

Northrim reported a $6.1 million profit last year and assets of $1 billion.

Obama Spending $1 Billion an Hour of Borrowed Money in First 50 Days

March 11, 2009

“In just 50 days, Congress has voted to spend about $1.2 trillion between the Stimulus and the Omnibus,” Senate Minority Leader Mitch McConnell (R-Ky.) said. “To put that in perspective, that’s about $24 billion a day, or about $1 billion an hour—most of it borrowed. There’s simply no question: government spending has spun out of control.”

And, sadly, the economy has not shown new signs of life…..

On Obama:

“No one wants him to fail,” McConnell, 67, said in an interview. “But saying ‘no’ to bad policy is not saying ‘no’ to everything.”

*****************

Senate Minority Leader Mitch McConnell (R-Ky.) has come up with a vivid new way to express his contention that the nation is spending way too much money it doesn’t have.

McConnell includes the tweaks in his opening remarks on the Senate floor on the 51st day that President Obama has been in office.

“In just 50 days, Congress has voted to spend about $1.2 trillion between the Stimulus and the Omnibus,” McConnell says. “To put that in perspective, that’s about $24 billion a day, or about $1 billion an hour—most of it borrowed. There’s simply no question: government spending has spun out of control.”

From Politico:
http://www.politico.com/new
s/stories/0309/19884.html

and
http://news.yahoo.com/s/bloom
berg/20090311/pl_bloomberg
/a9ygbyjyi4dq

And where has the Bank Bailout (TARP) money gone?
.
Ask Cleveland Democratic Rep. Dennis Kucinich.

Kucinich staffers questioned the propriety of an $8 billion Citigroup Inc. loan to Dubai, a $7 billion Bank of America investment in China Construction Bank Corp., and a $1 billion investment in India by J.P. Morgan. The three financial institutions got a total of $120 billion in tax dollars through the bailout program.

Although the transactions are not illegal,  Kucinich questioned the wisdom of directing money to foreign governments rather than the domestic economy.

“How does a multibillion financing deal to Dubai ease the liquidity crisis in the United States of America?” Kucinich asked at the subcommittee hearing. “What about other kinds of uses of funds: corporate spending on lavish parties, the continuation of contractual agreements to pay for naming rights on professional sports stadiums, corporate sporting event sponsorships?”

The memo also cited “significant shortcomings” in Treasury Department oversight over money dispersed through TARP, and claimed the department hasn’t questioned any TARP recipient about its use of the money.

Nancy Pelosi is already saying the nation will need another stimulus bill before we get out of this recession….

The $787 billion economic-stimulus plan was followed by today’s omnibus for $410 billion….

The interest payment on the debt from the stimulus and the omnibus will be about $500 billion…..

Elect me after I promised to end earmarks and “business as usual.”  Priceless?  Hardly.  Hypocracy.  Much of the price will be paid by your children and grandchildren.  John McCain calls that “generational theft.”  Not “priceless.”

Related:
President may Ask For “Global Bailout”
Obama, Geithner: recession requires global action 

Even Democrats Showing Signs Of Economic Despair, Worry at White House Inertia

http://michellemalkin.com/2009/03/1
1/earmark-zilla-futuregen-boondoggle-
grows-even-bigger/

http://giovanniworld.wordpress.com
/2009/03/11/howard-fineman-grows-up/

Hypocracy President Signs Omnibus, 9,000 Earmarks, Claims “Honest Budget”

“Banking Spanking”: Barney Franks Unleashed

February 11, 2009

Rep. Barney Frank (D-Mass.), chairman of the House Financial Services Committee, has decided today to engineer a public flogging of top bankers: call it the “banking Spanking.”

But Franks also wants the bad guys to cooperate and behave.

Related:
“Republicans Rape Truth,” and The “Over the Top”

“I urge you going forward to be ungrudgingly cooperative.  There has to be a sense of the American people that you understand their anger … and that you’re willing to make some sacrifices to get this working, ” Franks said.

Franks also said he was angry that the TARP wasn’t executed better by the bankers.

But wasn’t he there in the Financial Services Committee, crafting the provisions of the TARP?

Franks also said the administration was taking “too much time” developing a foreclosure plan and called on companies that hold or service mortgages to suspend foreclosure proceedings until it is released.

He took shots at Treasury Secretary Tim Geithner’s bank bailout plan along the way.

Franks has criticism for everyone all around but hasn’t taken any responsibility himself….

John E. Carey
Wakefield Chapel, Virginia

Related from the AP:
http://news.yahoo.com/s/ap/2009021
1/ap_on_go_co/bailout_banks

http://michellemalkin.com/2009/02
/11/the-sanctimony-of-morons/

Bankers Vow To Work Toward Financial Reform
http://news.yahoo.com/s/ap/20090211/a
p_on_go_co/bailout_banks

Barney Frank
Photo: AP

Geithner Announces Bank Moves; Wall Street Sells Off

February 10, 2009

Wall Street considers this a sell out.  So they are selling off.

Treasury Secretary Timothy Geithner says the new administration will wage an aggressive two-front battle against the worst financial crisis in seven decades, while the Federal Reserve expands a key lending program to up to $1 trillion.

“Instead of catalyzing recovery, the financial system is working against recovery, and that’s the dangerous dynamic we need to change,” The Treasury Secretary said today.

The TARP will be renamed but all the details are sketchy.

But sketchy is good enough for a very wary Wall Street…..

Stocks are down as we approach 1 PM.

“Our challenge is much greater today because the American people have lost faith in the leaders of our financial institutions, and are skeptical that their government has — to this point — used taxpayers’ money in ways that will benefit them,” Geithner said.

From CNBC:

US stocks fell sharply Tuesday in a broad-based decline as the government announced details of its latest bailout plan.

The Dow Jones Industrial Average was down about 70 points, then lost another 100 in a matter of minutes — before even any official government announcement.

Stocks continued to slide as Treasury Secretary Tim Geither revealed details of the bank-bailout plan, after a one-day delay. CNBC will interview Geithner after his speech, at noon. Then he’s on to Capitol Hill, where he will testify before a House panel.

The “Financial Stability Plan,” as it’s now called, consists of four main components:

1) It will set up a public-private fund to mop up $500 billion of spoiled bank assets.

2) It will set up a consumer-lending facility that will “leverage up to $1 trillion.”

3) It will devote $50 billion to stem home foreclosures.

4) It will provide new funding to banks after a stress test to determine if the bank is healthy.

Some market watchers remain skeptical over the benefits of the plan and legendary investor Jim Rogers told CNBC it could even make things worse. The bailout will plunge the US further into debt and it is designed by the same people who failed to forecast the crisis in the first place, Rogers said.

CNBC:
http://www.cnbc.com/id/29119665

********************************

Geithnner Speech Highlights

WASHINGTON (Reuters) – The following are excerpts from a speech U.S. Treasury Secretary Timothy Geithner will deliver on financial stability at 11 a.m. EST.

“As President Obama said in his inaugural address, our economic strength is derived from ‘the doers, the makers of things.’

“The innovators who create and expand enterprises.

“The workers who provide life to companies and, with their earnings, support families and invest in their future… This is what drives economic growth.

“The financial system is central to this process, transforming the earnings and savings of American workers into the loans that finance a first home, a new car or a college education, the credit necessary to build a company around a new idea.

“Without credit, economies cannot grow, and right now, critical parts of our financial system are damaged.

…..

“Instead of catalyzing recovery, the financial system is working against recovery, and that’s the dangerous dynamic we need to change.

“It is essential for every American to understand that the battle for economic recovery must be fought on two fronts. We have to both jump-start job creation and private investment, and we must get credit flowing again to businesses and families.

Raed the rest:
http://www.reuters.com/article/ou
siv/idUSTRE5194C920090210?sp=true

Related:

Federal Government Takes Over American Life

http://michellemalkin.com/2009/02/10/b
ohica-here-comes-2-trillion-tarp-ii/

Timothy Geithner
Photo: AP

U.S. Banks Getting Bailout Money Sought Foreign Workers

February 1, 2009

Banks collecting billions of dollars in federal bailout money sought government permission to bring thousands of foreign workers to the U.S. for high-paying jobs, according to an Associated Press review of visa applications.

By FRANK BASS and RITA BEAMISH, Associated Press Writers

The dozen banks receiving the biggest rescue packages, totaling more than $150 billion, requested visas for more than 21,800 foreign workers over the past six years for positions that included senior vice presidents, corporate lawyers, junior investment analysts and human resources specialists. The average annual salary for those jobs was $90,721, nearly twice the median income for all American households.

The figures are significant because they show that the bailed-out banks, being kept afloat with U.S. taxpayer money, actively sought to hire foreign workers instead of American workers. As the economic collapse worsened last year — with huge numbers of bank employees laid off — the numbers of visas sought by the dozen banks in AP’s analysis increased by nearly one-third, from 3,258 in fiscal 2007 to 4,163 in fiscal 2008.

The AP reviewed visa applications the banks filed with the Labor Department under the H-1B visa program, which allows temporary employment of foreign workers in specialized-skill and advanced-degree positions.

Read the rest:
http://news.yahoo.com/s/ap/2009020
1/ap_on_bi_ge/bailout_foreign_workers

Stimulus Throws Around So Much Money, Some Lawmakers, Families, Executives Get Rich

January 29, 2009

With something like $800 billion in the stimulus bill passed yesterday in the House of Representatives and maybe several trillion more to be decided later for bank bailouts (not to mention the TARP and other bailouts), who will get rich?

If history is any guide, lawmakers, their families and top executives across the country will get rich with your tax money….

*******

By Stephen Dinan and S. A. Miller
The Washington Times

A top House Republican is demanding an investigation into whether the more than $2 billion for national parks in the House stimulus package is proper in light of the fact that the chief lobbyist for the National Parks Conservation Association is the son of House Appropriations Committee Chairman David R. Obey.

NPCA is a major player in advocating for national parks funding, and its senior vice president for government affairs is Craig Obey, son of the Wisconsin Democrat who has long been his party’s top Appropriations Committee member.

The money included in the stimulus bill that passed Mr. Obey’s committee – $2.25 billion – was about equal to the National Park Service’s total yearly budget, and would be a staggering increase and almost three times the $802 million that the Senate Appropriations Committee approved for park spending in its stimulus bill.

Read the rest:
http://www.washingtontimes.com/news/200
9/jan/29/stimulus-includes-plum-lawmaker
s-son/