Sep

Bailout Negotiation Update

Posted by: Curt @ 6:15 pm in Economy, Politics | 0 views

Rich Lowry updates on the bailout from a friend who was privy to the negotiations:

So it looks like a deal is shaping up

Treasury purchases plus mbs insurance (cantor)

Strong oversight/taxpayer protection

Limits on executive comp

No liberal add-ons (acorn, bankruptcy judges, proxy access)

Govt equity stake likely to be scaled back or dropped. No staff-level enthusiam for it.

Limit on amount of first tranche of money (less than $700 billion)

This deal gets 100 house gop votes

UPDATE 09-27-08 1815hrs PST

Rich Lowry with another update….doesn’t look good:

Just talked to a friend who is plugged-in to all this who wants a deal and has tended to think all along that there will be a deal. Now he’s not so sure. He thinks the wheels are coming off. House Republicans want their insurance as a mandatory thing rather than an option, while the House Democratic caucus is imploding and pulling the deal far to the left. It’s getting ugly.

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25 comments so far

Mike's America

I’ll believe it when I see the bill’s language.

They need to post this sucker up on the internet for 24 hours before voting on it and give us all a chance to read it first.

September 27th, 2008 at 2:15 pm

Neo

Video of Democrats in their own words on Fannie Mae, Freddie Mac Scam

September 27th, 2008 at 2:16 pm

Craig

You’ve got to see this great cartoon:
http://www.antagoniste.net/?p=4135

September 27th, 2008 at 2:46 pm

Steve Rowland

When Sen. Barack Obama was given the floor to speak during White House negotiations, according to White House aides, he did so raising concerns about a House Republican alternative to the Paulson/Bernanke $700 billion bailout. But those concerns weren’t necessarily his, as he was not aware of the GOP plan before reviewing notes provided him by Paulson loyalists in Treasury prior to entering the meeting.

According to an Obama campaign source, the notes were passed to Obama via senior aides traveling with him, who had been emailed the document via a current Goldman Sachs employee and Wall Street fundraiser for the Obama campaign. “It was made clear that the memo was from ‘friends’ and was reliable,” says the campaign source.

The memo allowed Obama and his fellow Democrats to box in Republican attendees and essentially took what President Bush had billed as a negotiating meeting off the rails.

“Paulson and his team have not acted in good faith for this President or the administration for which they serve,” says a House Republican leader who was not present at the White House meeting, but who instead is part of the team hammering out the House GOP alternative. “We keep hearing about how Secretary Paulson is working with Democrats on this or that, yet he never seems to consider working with the party that essentially hired him. Perhaps he’s auditioning for a Democratic administration job. Our proposal didn’t just spring forth fully formed; we’ve been working on this for several days, and Treasury staff has known about it.” (American Spectator)

Paulson IS a Democrat, Goldman-Sachs is a major supporter of the Democratic party. This thing that has just broken has been in the stewpot for well over 15 years and is just breaking 5 weeks before a presidential election where the Democrats can bamboozle their idiotic electorate that its all the Republicans fault. Curious. We see the MSM reporting that McCain has lost his edge over Obama because of the current malady. Does it make any difference at all that McCain attempted to rein in this runaway train before it derailed and so did President Bush?

Amazing, just amazing. I can only shake my head in wonderment at the complete lack of brains by those planning on pulling the Democratic lever. They don’t have a clue that someone is already pulling theirs.

September 27th, 2008 at 3:37 pm

Craig

Terrorists have used American airplanes to crash in the WTC. Now, they are trying to use an American friendly candidate (Obama) who is clearly an American enemy, to be President of USA. Terrorists are winning all the way. Smart guys!

September 27th, 2008 at 3:56 pm

Missy

Steve,

Of course he had to be spoon fed the information from a Goldman Sachs employee, he was busy:

http://chicagoagainstobama.wordpress.com/2008/09/26/while-everyone-else-is-working-on-solving-the-financial-crisismy-senator-is-working-on-his-abs/

But if you need him, just call but make sure you tell him what he needs to say and next time, don’t tell who is telling him what to say. Capish?

September 27th, 2008 at 4:03 pm

doug1

Yeah, but where is McCain?

After interrupting his presidential campaign to come back to Washington on Thursday morning to try to push forward a $700 billion bailout deal, Mr. McCain remained in his condominium in Arlington, Va., until 12:30 p.m. Saturday, when he emerged and made a one-minute trip in his motorcade to his campaign headquarters around the corner.

Mr. McCain, who arrived home at 4 a.m. Saturday from the presidential debate in Oxford, Miss, could be seen in his car talking on his cell phone. But there was no word from his campaign on who he was talking to, or the extent of his involvement in ongoing negotiations.
…

http://thecaucus.blogs.nytimes.com/2008/09/27/back-in-town-but-not-on-capitol-hill/

September 27th, 2008 at 5:23 pm

Lisa

Big difference.
JM is calling and making a difference. Doing what the people pay him to do.
BHO is off promoting his career ambitions instead of doing the job he is paid to do.

He won’t give the left more ammo than he has to.

September 27th, 2008 at 5:33 pm

Aye Chihuahua

Neo,

I embedded the video so that the readers can watch it from right here:

September 27th, 2008 at 5:39 pm

Mike's America

I like Craig’s cartoon too:

September 27th, 2008 at 7:29 pm

AdrianS

The current economic “crisis” is not a crisis at all. As a matter of fact, it is not systemic, for if it were, J.P. Morgan would not be buying Washington Mutual, Bank of America would not have bought Countrywide, Warren Buffet would not have bought into Goldman Sachs and Barclays would not have purchased Lehman Brothers. Could it be that there are some level headed business heads in the world? Shall we reward failure? No.

Is this scare, with threats of “no credit available” if they don’t get the money, a real threat? And, if it is, could it be that the threat is to the Yale and Harvard graduates that have failed miserably in predicting the future of their investments? Is there punitive action available for those who seem to have engaged in illegal activities? Can we have Enron style of law enforcement of the culprits?

I have contacted my representatives and Senator to object in the most serious manner to any kind of bailout for the misguided businesses that have run their own investments into the ground. Or, at least they say they have. Has their been independent verification of it?

Realize this. Committing $700 Billion to One trillion dollars of money that does NOT exist is folly and will produce only three things: 1) a serious matter of inflation; 2) economic enslavement of the masses, and 3) a more robust public trough for grabs. That’s right.

And, what is the interest on this kind of money if these special deals go south? The government will tell us ONLY the rosy imaginary side of the prospect, but will not tell what will happen if this plan does not produce the desired result?

Best thing for a free economy, for capitalism, for our independence is to drop the insanity of giving one person, one entity control of so much money. The irony of it all is that this is tantamount to a crowning. In America we don’t have kings. But give this amount of control over this much money to one individual or one organization and you have essentially crowed them king, or kings.

The government that gets in bed with business is a Fascist government — or Socialist. If it walks like a duck and quacks like a duck … guess what? This is bad precedence for our free-market style of enterprise business. The businesses that have gone bad are no better than the Montgomery Wards, Comp USA, or other business that have gone by the wayside. Others will grow to take the business from those that fail. That’s evolution in the business world — only the strong (and intelligent) survive.

Fidel Castro, in his death bed, and Hugo Chavez, is singing the praises to Communism and laughing at us. They are poking fun at the workings of Democracy and Capitalism. Let’s not disappoint them and work to keep Capitalism the great driving force engine of America. He who laughs last laughs best.

Say no to any bailout. Don’t subscribe to your and your progeny’s economic enslavement. For this is, if left to fester, a precedence that government will use again and again to gain more and more control of American businesses. This is not a Chrysler loan. This is a power grab of very large proportions. This is bare naked greed on steroids. Making the innocent pay for the errors of those entrusted to lead in America’s businesses and our government is shameful and will have serious repercussions.

The current bailout proposal is no better than a classy liberal bank heist. “Give us the money, or else?”

PS: Let’s not underestimate John McCain’s resolve to do for the country that which is right. He has the track record. I’m voting for McCain because he truly is a maverick and a reformer - he’s an independent thinker. He has what is takes to be our Commander-in-Chief.

September 27th, 2008 at 7:35 pm

Craig

AdrianS,

I couldn’t agree more with you. Let this financial crisis be fix by people who knows: The Economists. Leave politicians out of it. Let it be. It will self-heal. Just give it a bit of time… and please don’t make it worse with this dumb bail out.

September 27th, 2008 at 7:52 pm

Theresa C.

RE:
Neo
Video of Democrats in their own words on Fannie Mae, Freddie Mac Scam

This is a great arguement for “experience” isn’t it? Feh..
How could Governor Palin or even some bum off the street do any worse than what has been done already?

No bailout!

T.C.

September 27th, 2008 at 8:40 pm

Craig

See this video:

BAILOUTCONTROVERSY
“ACORN” ACCUSED OF “SYSTEMIC” VOTER REGISTRATION FRAUD
http://www.foxnews.com/video2/video08.html?maven_referralObject=3116095&maven_referralPlaylistId=&sRevUrl=http://www.foxnews.com/

September 27th, 2008 at 9:18 pm

yonason

“…Paulson IS a Democrat…”

That’s not the only foolish thing Bush has done in his misquided attempts at evenhandedness. There’s also the appointment, and RE-appointment, of treasonous ICE princess.
http://www.debbieschlussel.com/archives/2007/01/the_ice_princes_1.html
____________________________________________

And what about Acorn?

Overall
http://www.marketwatch.com/news/story/crl-testimony-acorns-voter-fraud/story.aspx?guid=%7B573B31D0-6AB7-4353-B8E7-91300F4DFF81%7D&dist=hppr

Michigan
http://www.stoptheaclu.com/archives/2008/09/15/more-acorn-vote-fraud-attempts/

Missouri
http://www.kmbc.com/politics/10214492/detail.html

Washington
http://seattletimes.nwsource.com/html/localnews/2003806904_webvotefraud26m.html

Wisconson
http://www.weeklystandard.com/weblogs/TWSFP/2008/09/more_acorn_voter_fraud_in_wisc.asp

WEBSITE DEDICATED TO TRACKING THEIR CRIMES
http://rottenacorn.com/activityMap.html

Democrat involvement
http://www.powerlineblog.com/archives/011255.php

…JUST FOR STARTERS.
_______________________________________
And, as we try to escape one trap, another is set…

OBAMA HAS HIGH PLACED “BROWNSHIRTS” TO ADVANCE HIS FASCIST AGENDA.
http://gatewaypundit.blogspot.com/2008/09/breaking-gov-matt-blunt-releases.html

Bush has done some good, but in his misplaced idealism he’s done a lot of bad. I don’t blame him, because I think he’s basically a good person trying his best. But based on the results of his performance, it is clear to me he is a fool. Obama, on the other hand, is completely and maliciously self-serving. I have no respect for him or other prominent democrats, who care nothing for how much damage they cause in their quest for ever more power. None whatever.

September 27th, 2008 at 10:25 pm

Craig

Yonason,

I’ve checked all your links… wow! Acorn and Democrats are really crooks. They should be both wiped out of the map. I’m in shock, so much corruption from the leftists, incredible! I wonder why they were complaining in the past election about the vote being thight in Florida… they were talking like it was a Republican’s fraud. What a bunch of assholes! THEY ARE the corrupted ones. I’m totally disgusted.

P.S.: The worse case is: … the goon squads in Missouri. Ouch!

September 27th, 2008 at 11:00 pm

yonason

Craig

That’s just the tip of the iceberg. And that’s why ~~I’m~~ so many conservatives are so angry with Bush and Reps for allowing it to go on for so long. While the Dems have been screaming about nothing and subverting everything, the Reps have been going along with business as usual and not fighting back. Well, there’s a time to fight back, and it was at the very least 8 years ago.

Unfortuantely, I’ve seen a lot of foolish people saying they want to get the Reps they are mad at out of office, even though that would replace them with Dems who are so much worse there is no comparison. We are in some very dangerous times, and we all need to do what we can not only to keep Obama out, but to take a new direction away from where the Left will take us if we do nothing.

ps - thanks for the excellent links you provide.

September 27th, 2008 at 11:15 pm

Craig

Too bad Yonason, I don’t live in the States. I would go out there, door to door and give people the right information. I would try to get a hudge group doing the same thing all over the country, till the 4th of november. You are right, something must be done. Now, I understand McCain better for wanting to put his campaign aside to go to DC… he was probably afraid that the crooked Dems, would screw up the bailout and give all the money to their friends.

September 27th, 2008 at 11:46 pm

Missy

No, it doesn’t look good. I agree with Lowry, especially after reading this over at the American Thinker, it’s a must read:

Barack Obama and the Strategy of Manufactured Crisis

http://www.americanthinker.com/2008/09/barack_obama_and_the_strategy.html

September 28th, 2008 at 6:52 am

Missy

Will someone please dig my post out of spam? Thanks.

September 28th, 2008 at 6:53 am

mndsher

Must read commentary: http://www.twincities.com/business/ci_10575710

September 28th, 2008 at 8:45 am

Rovin

Congratulations go out to our “new direction” congress that has managed to put their collective fingers in the whole of a dam while the sides are falling in around them. While the politicians can now go home, (and attempt to explain how this bailout is a “good thing” for middle America), regular working taxpayers have to be scratching their heads over what just occurred. Two weeks ago Pelosi and Reid “took a pass”, (failed on a fourth and one for you football fans), on passing any energy legislation that could have opened up a resurgence of an industry that has been buried in environmental and special interest litigation for thirty years. Seventy percent of the folks in this nation were in favor of opening up offshore drilling and the “all of the above” inclusion of alternative energy ideas to get us off of the 700 billion a year dependence on foreign supply. Where was the outrage in the mainstream media? They were too busy wondering if Sarah Palin is not elite enough to fit their warped view of a new socialist America. With the prices at the gas pumps still sucking the hard earned dollars out of our pocket books, our government, (yes, from Bush all the way down to the last staff member in both houses) shoves another 700 billion dollar tax bill down the throats of the electorate. And now they’re coming home to ask for your vote. The “restructuring” of the financial markets should be preceded by an over-all restructuring of the mentality in Washington that has returned us to the welfare status of the Carter years. And to think it only took two years of Democrat control to get us into a condition of relying on the government for our every need. (Conservatives also have contributed to this run-away spending in the name of social equality that has put the fiscal burden on the backs of the taxpayers.) When does it end? Maybe a financial breakdown on Wall Street would be a healthy way for all of these big spenders to get back to where they can live within the means of real capital without the governments “extension of credit” / BAILOUT. When your legislators come home, let them know that you’re not very proud of any “accomplishments” they plan to brag about——there aren’t any.

September 28th, 2008 at 9:12 am

Craig

Missy (Comment #19),

This article of the American thinker, was fabulous… thanks.

Mndsher (Comment #21)

So was your your link… thanks.

September 28th, 2008 at 12:06 pm