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Obama bank plan will 'rob taxpayers,' says expert

March 24, 2009 by  

Obama bank plan will 'rob taxpayers,' says expert The administration unveiled a bank rescue plan yesterday that may cost more than $1 trillion and, according to one expert, ‘rob taxpayers.’

In an attempt to unfreeze the credit markets, the government has proposed using the $700 billion bank bailout to create the Public-Private Investment Program to help purchase ‘toxic’ assets, such as bad real estate loans and asset-backed securities weighing on banks’ balance sheets.

However, by the government’s own admission the program could eventually grow to as much as $1 trillion.

Today, Treasury Secretary Timothy Geithner and Fed Chairman Ben Bernanke appeared before the House Financial Services Committee and asked for greater regulatory authority over the financial system.

In response to the administration’s latest moves the Nobel Prize-winning economist Joseph Stiglitz said the plan will "rob American taxpayers" by exposing them to huge risk and is unlikely to work if the economy remains weak.

The plan is deeply flawed, he told Reuters at a conference in Hong Kong, and offers "perverse incentives" by potentially allowing a small number of private investors to profit while the taxpayers are unlikely to benefit.
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  • Sovereign Citizen

    Folks,
    Citizens demand Impeachment and Trial for Treason.
    The Stimulous package is a TRAP to induce people into ‘using the SS card’ which is a DC Territory or British America ID which in effect says that American Citizens of The 50 States United grants permission to be ‘treated as a DC SUBJECT’
    Accepting the stimulous is falling for the hook. Have SS cards rescinded. Urge your state of residence leaders to refuse federal directives as Texas has done.
    This is STILL One Nation Under GOD…not un, not Socialism, PRAY people. Just because they have taken visual proof od the presence of Almighty and Most High God from schools, Government Buildings and yes even some churches as well does not mean GOD does not exist! He is still Almighty and Most High and we need to Pray for His guidance, His forgiveness for ‘allowing’ these things to happen without challenge and Pray for those you love and for those that have no one to Pray for them or care about them.Seek HIS guidance and direction. HE does not and will not fail.

  • R. Mitchell

    SPENDING BY THE AMERICAN PUBLIC is the fuel needed to jump-start our economic engine and keep it running smoothly. As we have all learned from the past, bailouts will not work. Bailouts are merely efforts which throw borrowed government money at the very people who caused our problems in the first place. And remember, WE must pay back this money with interest. In short, MORE DEBT IS THE LAST THING AMERICA NEEDS RIGHT NOW!! So, pray tell, what are we to do?

    Enact the Fair Tax as proposed by Congressman John Linder of Georgia! This would allow all employees to receive their entire paycheck while providing more money to meet their monthly obligations. And, every taxpayer will have more money to spend in the marketplace. I encourage you to read the two books about the Fair Tax. A national retail sales tax, the central idea put forth, makes more sense than anything else being bantered about by politicians. The Fair Tax will, in fact, give every taxpaying American an immediate pay-raise. To use the most recent popular political vernacular, ‘Main Street America’ will benefit tremendously from implementation of the Fair Tax. And, all businesses will benefit also…

    Ireland has a corporate tax rate of 11%. Is there any wonder why corporations fled our country with a 35% corporate tax rate? If we charge a new corporate tax rate of 0%, Ireland won’t be able to catch its collective breath, as corporations from all over the world will race each other to the USA under the Fair Tax. This means businesses coming home to the USA will create new and better paying jobs for millions of hard working Americans. And all employees will be able to keep their entire paycheck under the Fair Tax. More people employed, with more money to spend… EQUALS ECONOMIC STIMULATION WE CAN BELIEVE IN!

    Government officials HOPED the bailout money would loosen the credit markets and thus put more money in the marketplace… Now hold on… this takes a while – but that’s how politicians love to say things! Take a deep breath aaannd GO! –

    Banks would be encouraged to loan money that was supposed to filter down (through additional loans) to businesses and encourage them to use this borrowed money to expand their businesses and create more jobs thereby providing more money to spend by working taxpayers throughout the nation. BUT… IT SIMPLY HAS NOT HAPPENED!

    Remember, bad home mortgage loans (made in abundance to those who could not afford those homes) created this economic downturn in the first place! So why does it make sense to now insist that more debt – loaned to businesses by the same greedy lenders who led us down the primrose path – will stimulate the economy to rebound and grow? If we are honest with ourselves, we must all conclude that ANY BAILOUT PLAN… MAKES NO SENSE AT ALL!

    Recently, some politicians have mentioned the idea that a suspension of the payroll taxes, for a specified period of time, would allow all workers to keep more of their hard-earned pay. The idea is simple – with this newfound money, people would have more money to spend in the marketplace thereby stimulating our economy. A pretty good idea but, the Fair Tax proposal gives the tax payer the whole enchilada… with no income tax and no payroll taxes withheld, the Fair Tax will give every working person an immediate pay raise! From now on! And simply stated, most – if not all – Americans would go out and do what the government experts say we should do – SPEND OUR OWN (NOT BORROWED) MONEY TO STIMULATE THE ECONOMY!

    Please research the Fair Tax proposed by Congressman John Linder of Georgia. Enacting the Fair Tax will turn our economy around much faster than anything else being considered. If you want to stimulate the economy – freeing up credit (so more banks, businesses and people can go further into debt) is not the answer. Let the folks keep their entire paychecks (as proposed by the Fair Tax) and they will spend it. Increased spending will stimulate the economy.

    We cannot afford to keep giving bailout money to those who have been greedy and irresponsible… THEY ARE THE ONES WHO HAVE CAUSED OUR ECONOMY TO CRASH AND BURN!

    Allowing all American workers to keep their entire paycheck is only one reason the Fair Tax is what our nation needs to put or economy back on track. There are many other compelling reasons we should expect passage of the Fair Tax. But, it would be best if you would take the time to read the two books about the fair tax and reach your own conclusions. I DID!

    INFORMATION MAY BE FOUND at: http://www.fairtax.org/site/PageServer

    I am hopeful that after you have thoroughly digested the wealth of information in these books and on the website, you will support the Fair Tax and promote its passage. The Fair Tax will right our floundering economic ship and put us back on course leading the world with the strongest national economy on planet earth.

    R. Mitchell

  • Kevin

    Remember Joe the Plumber! One of my personal Favorites..lol… Ron Paul may don’t be the Best pick but I feel he’s got the country’s best interests at heart. We need to figure this out before it’s to late but the America our fore father’s lived in was a much smaller place. One if by Land… two if by sea… Folks the time is coming, maybe abit to fast.

  • Kevin

    I sure agree that we need a Leader to step up, but to find an HONEST one? maybe a Lie detector might come in handy. Next time it’s time for our candidate’s want to run plug them in and see what they REALLY mean…
    This has got me to thinking and it’s time to start watching over our backs do you really think Obama might have this web site monitored?

  • Manny

    Can we start a Petition for Impeachment against Obama, Pelossi, Franks and Dodd?
    In my opinion these folks are Traitors, they are determined by their actions to destroy America, “the land of the free”. What say yee?

  • Betty

    The people must unite because individually we can do nothing against this well-oiled machine. We need to put aside a lot of the nit-picking differences we have and focus on the most important thing and that is stopping them from turning our country into a socialist state. I am finding that there are hundreds of groups on the internet with this focus but it’s all disjointed. Somehow, we must unite to have the numbers that will make a difference when we have demonstrations, etc. I don’t know how this will happen but I hope some leader emerges that can unite the people.

  • john js

    *Has anyone or any group ever been able to prove that Obama is a natural born citizen

    and is actualy “legal” to be President ???? I’d sure like to see it proved one way or

    another…….But then again I don’t think the DUMMYCRATS would ever let that can of

    worms be opened…..

    • Joyce Duke

      Those Dummycrats you speak of should change their logo to the 3D’s:
      Daft (they can’t be thinking clearly), Deaf (must be because they seem to be unable to listen to anyone but themselves), and dumb (apparently they’ll fall for anything). If you disagree, review what has been done by this administration since Obama’s inauguration.

      Therefore the 3D’s apparently aren’t smart enough or rich enough to cover the tracks of the candidate as has been done before the question was publicly asked. Why are they spending so much money and time to seal all his records from birth to the Senate if he is legitimate. The answer is probably that he is not native born and is also a dual citizen, both of which makes him ineligible. Otherwise why such a rush to get everything done so quickly. The must be afraid of his Achilles heel which means they are afraid they have failed to cover everything in his background. It would be interesting to know what nationality he claimed on his passports. Wonder if this could be the Achilles heel? But if some method isn’t found to legally tie his hands, they might destroy this Nation before we can find the proof. So back to the question of how to legally relieve this man of presidential duties until his legitimacy is proved, and by pass Biden and Pelosi to fill in for him, until they can prove they weren’t in on the great hoax and plan to destroy us from within, if he isn’t native born or is a dual citizen!!!!!!

    • ChuckL

      No, John, but he has been proven to be offspring of a Kenyan father, which makes him at least a British citizen. There is a question about the age of his mother at birth being enough to also confer U.S. citizenship which would make him a dual citizen. Dual citizens are NOT natural born in either country.

  • Gabby G

    It is obvious to me now that I was correct in the beginning. The obama agenda is liken to a pied piper leading the rats to drown.
    His stimulus package is nothing more than paybacks for campaign contributions & support, i.e. making the taxpayers pay for his campaign. The bail-out packages are nothing more than a camouflage to distribute our hard earned tax money to the undeserving. His budget even exceeds the ridiculous Roosevelt and Carter catastrophes. I believe him to be a marxist, and there is no room in this country for socialism. Now, it appears we’re headed toward communism Perhaps I should close with ‘sig heil’.

  • Dave

    Somewhere between the tick of the printing presses and the silence of Mainstream, you will find Rage .As the Troops march into town, Martial law is imposed the Patriots dream is the cold steel that burns.As the guns are rounded up ,like so many times before the defiant wind howls.The NWO world order arrives on the backbone of the American Tax payer,there is not enough military in America to hold back the ebb of the tide. For they reside in 150 bases around the world, Your guns will be taken at 4 am in your home they will come .Do not resist ,the dawning of the age of Aquarius is Here !

    • Joyce Duke

      Heavens,

      I seem to be surrounded by 2 kinds of American citizens:
      1) get a gun & resist
      2) don’t resist or fight it because the age of Aquarius is upon us
      and the New World Order is upon us
      Well, this Aquarian is still in hope that some of our legal minds can
      come up with a way to relieve Obama of all duty (our Senate & House
      has the authority to veto what the president does, if they could just
      find the backbone to do it), give him exactly l week to produce authentic proof that he is native born and not a dual citizen. If proof is not forthcoming within that time, then arrest the man, bring him to trial for trying to usurp command of this Nation. Then it might flush out the people who have been grooming Obama for 47 or 52 years to be their trained monkey & destroy us from within. The reason for the variance in his age comes from recently reading that Obama officially has a posting on line wherein he now claims to be 52 years old. Makes one wonder if they are trying to continue & prolong the stalling tactics by throwing in several possible birth sites but also multiple possible birthdates. If so, that gives me hope that they are afraid we can still foil them, if given more time and the way
      to find out is to put them on the defense, while we work on regaining
      our government ruled according to our Constitution which has worked well for a couple of centuries, without having to resort to Thomas Jefferson’s “watering our tree of liberty with the blood of our patriots”, or even the blood of any non-patriots or enemies. Legal recourse may even let us sue Obama and his groomers to regain the money they have wasted since his inauguration.

      While you are writing your Washington elected representatives, insist that they veto or repeal the $20 million pork attachment Obama attached to the stimulus bill in February to bring Hamas immigrants to America. Just what we need when our economy is already so bad, is bringing in more immigrants to compete for the jobs that our own native born patriots are finding almost nonexistent, and probably end up on medicaid, SSI, and welfare which we are told is already on the
      verge of financial collapse. Which brings up another question – If it is found that Obama is not native born or is a dual citizen, thus not legally eligible for the position, does all the money paid to the people he and his wife have added to the federal payroll have to be returned by Obama and wife or by the ones who received the money or by the ones backing Obama, or maybe all of them?

      I have recently read that Obama already has a bunch of lawyers for ways to rewrite our Constitution without going the regular route and long wait for a majority of states to ratify any changes. We need that proof of his legitimacy, before he succeeds in doing this rush
      Constitutional session whereby he can rewrite it before we even know about it being done, practically overnight. From the action I have seen from the House and Senate since Obama’s inauguration, they have stood for nothing for so long, that now they will fall for anything.
      When we have Senators and Congressmen voting for bills that most admit
      they don’t know what is in them, or wouldn’t understand them without at least 2 lawyers to tell them what is in them, and how willing they are to listen to their constituents when they protest any part of the bill, they think all of us are ready to fall for anything. If so they
      are in for a rude awakening, Americans are finally waking up, and this adminisitration to date has at least shown us one better way to vote, if we get to have any more elections, is to vote any incumbent out, but first make sure that the new ones running are eligible to run for the position they are seeking. I think they will be paying more attention to WND has to say over what the propaganda spreaders that used to be called our media says. I hope we have all learned the lesson well that it takes more than being a good speaker, a beaming smile (which looks more and more like a smirk these days) to make a leader. Obama’s gaffe about our having 57 states should have
      told us how little he knew about the United States of America and that
      he wasn’t raised in America!!!!!!

      If anyone figures out how to do the above, let’s get started before they shut down the net to keep us from knowing what is going on. My
      thanks to WND for digging up the backgrounds for some of Obama’s czars, they won one round for us on Van Jones. Does anyone ever wonder who is handpicking these czars for his appointing???? Back to the question of who is backing him with money and political clout???

      • ChuckL

        Joyce, one of our former presidents was ask what were the grounds for impeachment. His response was “Whatever the House of representatives determines it to be.”.

        There are grounds from violation of oath of office, through traitor by supporting, aiding, and abetting our enemies, by the destruction of our ability to defend ourselves effectively.

        The problem is that the Congress is also aiding and abetting in this action. They will never impeach until we replace them this November which we MUST do.

  • Kevin

    Obama doesn’t know what he’s doing, but the crooks behind him do and he’s listening to them.
    And he’s big headed enough not to tell them “NO” or he’s in it too.
    I believe a new world order is coming and we better be ready to fight it with what ever we have.
    get a gun or what ever you can while you can people because it won’t be long before you can’t.

    • JANE

      Obama is a salesman, and he will finish us off. The ones behind him are the ones who are masterminding; he carries out their commands.

      These things were put in place, so when the Democrats took over congress and the Whitehouse, they would be able to implement their plans.

      Now it is the right time for them to implement their plans. They made messes in the pass, so now they can get more of your tax dollars. Have you heard the words, “BAILOUT” before?

    • http://personallibertydigest steve

      thank-you sir for you comments here. I have tried several times to warn people of obama and mostly they just laughed at me. I see this new world order coming and fast. I can’t see how much longer the tax payers will torerate all his excessive spending without a real big rebellion. He has spent in 2 months what Bush did in 8 years for what I have been told by a good reliable source. Obama is going to wipe this country of anything we have and now is the time to prepare. Yr right on target get a gun or whatever you need to do because it won’t be long before he takes all our freedoms away completely so get ready because here is comes. thanks for standing against his lefist agenda.

  • Patricia korz

    strong textI think Obama has lot his mind ! He said he would hit the ground running , it looks to me like he is not ready to be president ! it is a hard job and I think he dose not know what he is doing . He is going to bankrupt our country . Where I live people are out of work and I know because my husband and me are 2 of them .

    • Joyce Duke

      Patricia, from where I sit, it looks to me like Obama and the mirror images of himself that he keeps surrounding himself with as his adivsors or his CZARS, all know exactly what they are doing and are doing an excellent job of totally bankrupting and destroying this Nation.

      Now they have figured out how to bankrupt each individual even faster by going after more regulation of the banks so they can force them to make more bad loans (as in the case of Freddie Mac & Fannie Mae) which the Democrats started and refused to remedy when much maligned
      George W. and his financial advisors tried to point out the problems. After all, they have already told us that the federal system is bankrupt, and the bank accounts are insured by Federal Reserve, which by the way is not owned by our Federal Government, so maybe now is the time to get some smart lawyers working to identify the actual owners of the Federal Reserve Bank so we can sue them directly to retrieve our funds that they had guaranteed.

      Even nicer would be to notify our elected Senators and Congressmen that it is past time for them to stand up and do the job they were elected for which is to keep an eye on the each other to make sure
      they keep governing by our Constitution. They do have the power to veto these destructive plans of his, and should relieve him of all duties (even if we have to bring George W. back to fill in the interim) until he proves that he can legally hold the Presidential position. Common sense tells us that if he was really native born and
      not a dual citizen, he and his backers would not have spent so much time and money already covering tracks to make his records (birth, school, college, senate, etc. records unobtainable by sealing them.
      The speed at which they are moving says they are afraid of failing at
      destroying us unless they can stall legal action for at least the first year or two – after totally destroying us, I guess they figure
      we’ll never recover enough to do anything about it because we are probably soon going to hear that Swine flu has reached pandemic level and martial law has been declared and we are under rule of United Nations and World Health Organization. Some states have already found
      what that means: mandatory vaccinations (only God knows what else) and
      quarantining or incarcerating anyone who declines their wishes, up to
      $l000 per day fines, etc. To learn more about some of the mishaps that have already occurred in Europe with vaccinations recommended by
      the UN & WHO, go do some reading on line, such as to Natural Solutions
      Foundation, which is headed by a retired major general who used to be head of our military intelligence. The fact that he seems to be pulling for the and me and our well-being does give me comfort during this administrations fiascos at management, but one person cannot do it alone. So make your voices heard in Washington, soon and continuously. Maybe we can recall or fire the whole lot of them if they can’t do their job and quit working against us.

      • ChuckL

        Joyce,

        Excellent summary.

        Article 2, Section 2, says in part, “: but the Congress may by law vest the Appointment of such inferior Officers, as they think proper, in the President alone, in the Courts of Law, or in the Heads of Departments.”

        As they answer directly to Obama, I do not consider these CZARS to be within the limitation of “inferior Officers” but to rather be heads of departments.

        In my opinion this makes the Senate guilty of collaboration with Obama to destroy this country because they did not demand that these CZARS be subjected to Senatorial confirmation. The argument that some previous presidents appointed CZAR does not hold water as these previous CZARS had limited duties; the current ones have effectively replaced the congress.

  • Sword Axe

    When a counterfeiter prints money he is called a criminal, isn’t this the same thing the goverment is doing , because there is nothing to back this money up. This is so unconstitutional that it drives me mad. Get back to capitalism and let people fail. Whether it’s the stimulas or the buget this is not only robbing the inocent but also the furture and a thief is called a criminal.

    • ChuckL

      And don’t forget the new form of Counterfeit money invented by obama. It is called a “Carbon Credit”. Its purpose is to increase energy costs.

  • Dr. J

    Toxic loans? I want a receipt showing Citibank got TARP money that paid my Truck note !!!! This won’t do anything for increasing a bank’s willingness or ability to loan more money. Are you guys in Washington smarter than a 5th grader ?????

  • http://n/a empty pockets

    The one thing we can count on is who will benefit and it won’t be U.S. For politicians (either in office or planning on being in office and lobbying in the meantime), the people are “cannon fodder”. Both houses of Congress are populated by Misrepresentatives. And now the White House’s resident has a true statist agenda. Dubya started it (with, I believe reasonably good intentions) by increasing the tilt toward socialism. The Wizard of Ob(fuscation), Obama, knows exactly what he’s doing. He has no intention of leaving America a world power or leaving its citizens with any choices—or money to call their own. And just to complete the picture, our language is being stolen and bastardized (a la “1984″) so even while we have limited free speech, we can’t accurately communicate. It’s very, very bad, boys and girls.

    • ChuckL

      Dear Empty

      Wilson started it. Franklin D. Roosevelt enhanced it and passed it on. And politicians have been adding to the costs ever since for their own benefit. Carter, Clinton, and Obama have followed the same unaffordable path. Each of them have made things worse.

  • US Citizen

    This is not a republican/democratic issue……it is about common sense. If you are running a household and are in debt….do you actually think the way out is to spend more? You can’t get anymore basic than that Patsy. America needs to open their eyes and realize that the majority of you voted in someone with NO experience and nothing but a big grin and lots of Hope. Well smiles and hope don’t work in the real world. Only common sense does.

    • Manny

      You are so right on US Citizen, now all we need is that everyone in Congress and the Administration see it the same way.

  • Patsy Lynch

    Was this determined by a Republican?

  • Harry

    Will `expert` economist Joseph Stiglitz also criticize the government run Ponzi scheme, Socialist Insecurity, that robs FICA taxpayers, if they don`t live to collect any benefits, or have no eligible survivors? Stay tuned.

    • ChuckL

      Harry,

      You made a great argument for privatizing Social Security. That way , you would own your own account and could pass it on to your heirs.

      It is really easy and safe for all now stuck on this wealth theft plan.

      1.— means test it.
      2.— set the maximum payment equal to minimum wage.
      3. freeze it.
      4.— fix the errors now i the rules for IRAs.

      DONE.

  • John

    I feel like Obama is intentionally trying to stick the screws to our country. He is the worst thing to happen to this country EVER. He may have inherited a bunch of problems from Bush, but at least G.W. Bush was able to keep it together for almost 8 years and HE started with a recession too.

    This is insane, when they finally figure out that throwing money at the problem does not fix it but is only making it worse it will be too late. The separation of the classes has begun and watch out for Social & Class war. The rich will still be rich and more middle class people will be joining the poor as Obama forces people into servitude.

    • Shirley

      BEFORE you people elected Obama as our “leader”, it was written that America
      woud be taken down from the inside out. You got him! and he is doing a great
      (and fast) job of just what was predicted.

    • ChuckL

      John,
      Why do you think that “they” will ever “get it”.

      I consider that is is more likely that “they” are deliberately trying to destroy this country.

  • wb frank

    BTW PC stands for Political Correctness the newspeek that has and is poisoning our culture.

  • wb frank

    … and what was the deficit BEFORE W signed the first crappy bill?? Look it up and re-read 1984 by George Orwell; it has already started…

    see: http://www.discoverthenetworks.org/printgroupProfile.asp?grpid=6967

    also: newspeakdictionary.com

    it started with PC

    • Mqrylin Clark

      Obama has spent more than President Bush, did in the months he has been in office.

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