Pelosi signals willingness to add to TARP funds
Reuters
House Speaker Nancy Pelosi said on Sunday the federal government may need to pump more taxpayer funds into the faltering banking system and that taxpayers should receive equity as compensation.
Pelosi told ABC’s “This Week” program that “some increased investment” might be needed beyond the $700 billion approved last year under the Troubled Asset Relief Program, or TARP, to stabilize the nation’s banks and get them to resume making loans.
Congress would require more oversight of any further bank bailout, the California Democrat said.
“Change has to happen in terms of what is done, what the transparency of it is, what the accountability of it is. Only then would we be able to pass any additional funding,” Pelosi said.
President Barack Obama’s pick for treasury secretary, Timothy Geithner, said last week the Treasury had no current plans to request more bailout money beyond the $700 billion already authorized, but that the situation was “dynamic.”
“We have to be prepared to act flexibly and with speed if conditions worsen appreciably, to devote more resources if that is necessary to secure our objectives,” he wrote last week in reply to written questions during his confirmation hearing.
Billions of dollars in auto and credit card debt held by banks are expected to default in 2009, after the billions in mortgage-backed debt that initiated the financial crisis.
The first $350 billion in TARP funds has been committed and lawmakers agreed last week to release the second half.
Pelosi said the government should take an equity stake in banks that receive funds so taxpayers could share in any upside as banks return to health.
“If we are strengthening (the banks), then the American people should get some of the upside of that strengthening,” she said. “Some people call that nationalization. I’m not talking about total ownership.”
The government has obtained preferred shares for the capital it pumped into ailing institutions as part of the first half of the TARP program.
Geithner said on Wednesday the Obama administration in coming weeks would unveil a multi-pronged effort to stabilize the housing market, strengthen core banks and support consumer credit to help foster economic recovery.
One idea calls for the establishment of a “bad bank” that would take distressed assets off banks’ balance sheets to free them up to resume lending.
Geithner won Senate Finance Committee backing on Thursday, and the chamber’s majority leader said he expected the full Senate to confirm him.
Wild Thing’s comment……….
Sure just keep digging us deeper and deeper into the hole. GRRRRRR
I honestly don’t know how to respond except to feel such anger. They want us all broke, owned by big brother and dependent on these wackos, that don’t have one ounce of love for America in their blood.
….Thank you Mark for sending this to me.
Mark
3rd Mar.Div. 1st Battalion 9th Marine Regiment
1/9 Marines aka The Walking Dead
VN 66-67
Notice they keep pounding out the buzzwords. That was so key in his election. “Eight more years of George Bush’s failed economic policies.” Pelosi still can’t let that one go.
“Honest” mistake when you don’t pay your taxes is just wrong. Especially when you quarterly get a statement what you owe along with a check for the money to do so…but only bother to pay them when you are caught or that pesky vetting committee comes snooping around. The biggest joke of all is that he’ll be in charge of IRS when he says he can’t even figure out Turbo Tax. Only it’s not really funny in reality.
I pray Repubs stand up and say something about this tonight (voting at 6) not that it will make any difference. Accountablity, honesty indeed. And Nancy keeps saying that crap, along with the other Dem talking heads.
Oh right! Let’s listen to a Senator from CA! That state is in such good shape, isn’t it.
Dishonest Republicans become Felons; Democrats have “hiccups”. (it’s all that kool-aid they drink…)
And it is so disgusting to watch the Repubs twisting in the wind doing everything possible NOT to stand up to the Dems.
Another step toward pure socialism. The nationalization of America’s banks under the auspices of “taxpayer equity”. Government regulations caused the crisis. Now the Dems want to use my money to buy the banks I use so they can control whatever financial assets I have left after taxes.
I look for the Feds to find excuses to also control the commodities and stock markets.
Can’t just blame the Dems on this one, we don’t have a GOP to defend our beliefs and represent us, they’ve joined at the hip with the Democrats. McCain made a verbal slip on Fox when he stated that the Dems were cooperating with Republicans in the discussion, when he said ‘We’ are being bypartison’ in the talks. Clearly, Mr. My Friends, was talking from the Democrat side of his mouth and brain and was defending his Comrades. Sorry but I don’t believe we have any representation in either house any more.
Pelosi can as many of these to the TARP as she wants.
http://i80.photobucket.com/albums/j186/DonaldDouglas/Americaneocon/toon080408.gif
Jeff Sessions (R) Alabama, is voting against this fraud, he, along with a handful of layal Repbulicans. There seem to be very few who have the guts to stand up to B.Hussein.
As Geithner says, this was an honest mistake, Isn’t ignorance of the law no excuse. Then he should serve some jail time before he takes over the IRS. Then that would be perfect, another convicted felon serving in the obama administration.
If Blago had not been caught I wonder what job in the administration he would have gotten ?
Eden, I pray so too. Boehner has been doing good speaking up and a few others. But for how long. I left Boehner a message at his Facebook page thanking him and telling them we all supported his speaking out and to keep it up.
Yankeemom, I agree, we need more then one of two of them to really play hardball with the dems. I know we are in the minority but what the heck why can’t all the Republicans we do have start yelling about this.
Tom, I had a dream last night, hahaha I walked into our Bank of America and asked to know the salaries of the bank manager etc. I told them since I was one of the owners of the bank I had a right to know how much of my money they were spending.
Then I woke up.
hahahaha
Jack very true, well let’s see the only one I actually have heard and read that has really been speaking out this time has been Boehner.But how long will he do it if no one else joins him.
Les haha good one.
Mark, oh wow thank you. Sessions , that is great.