Geithner Asks Congress for Broad Power to Seize Firms

peaceandlove · 03-24-2009, 05:52 PM

Geithner Asks Congress for Broad Power to Seize Firms

Goal Is to Limit Risk to Broader Economy

By Binyamin Appelbaum, David Cho and Debbi Wilgoren
Washington Post Staff Writers
Tuesday, March 24, 2009; 10:42 AM

Treasury Secretary Timothy F. Geithner today told Congress the administration will seek unprecedented power to seize non-bank financial companies whose collapse could jeopardize the economy, a move Geithner said would have allowed the government to bail out insurance giant American International Group at a far lower cost to taxpayers.

The government at present has the authority to seize only banks.

Article continues: http://www.campaignforliberty.com/wire.php?view=3620

peaceandlove · 03-24-2009, 05:55 PM

My Plan for Bad Bank Assets

The private sector will set prices. Taxpayers will share in any upside.

March 23, 2009
By TIMOTHY GEITHNER

The American economy and much of the world now face extraordinary challenges, and confronting these challenges will continue to require extraordinary actions.

No crisis like this has a simple or single cause, but as a nation we borrowed too much and let our financial system take on irresponsible levels of risk. Those decisions have caused enormous suffering, and much of the damage has fallen on ordinary Americans and small-business owners who were careful and responsible. This is fundamentally unfair, and Americans are justifiably angry and frustrated.

The depth of public anger and the gravity of this crisis require that every policy we take be held to the most serious test: whether it gets our financial system back to the business of providing credit to working families and viable businesses, and helps prevent future crises.

Over the past six weeks we have put in place a series of financial initiatives, alongside the Recovery and Reinvestment Program, to help lay the financial foundation for economic recovery. We launched a broad program to stabilize the housing market by encouraging lower mortgage rates and making it easier for millions to refinance and avoid foreclosure. We established a new capital program to provide banks with a safeguard against a deeper recession. By providing confidence that banks will have a sufficient level of capital even if the outlook is worse than expected, more credit will be available to the economy at lower interest rates today -- making it less likely that the more negative economy they fear will take place.

Article continues: http://www.campaignforliberty.com/wire.php?view=3585

peaceandlove · 03-24-2009, 06:02 PM

US Treasury Secretary Tim Geithner to announce new trillion dollar rescue plan

Reuters
Last Updated: 11:29AM GMT 23 Mar 2009

US Treasury Secretary Tim Geithner is today expected to announce new trillion-dollar plans for a public-private effort to rid banks of toxic assets at the heart of financial woes that have driven the economy into a deep recession.

Mr Geithner writing in the Wall Street Journal said the plan could soak up as much as $1 trillion (£690bn) of toxic assets, which investors would buy at a discount in hope of selling at a future profit, and in the process help establish a market-driven method for pricing such assets.

"Our judgment is the best way to get through this is if we can work through the markets," Mr Geithner said. "We don't want the government to assume all the risk."

When he first mentioned public-private investment funds in February, the Treasury Secretary laid out the proposal in such scant detail that markets sank on fears there was no clear-cut plan for rescuing a banking system beset by poorly performing mortgage and other assets left over from a housing boom that went bust.

There still is money left in a $700bn bailout fund Congress approved in October to kick off such a program.

Article continues and Video: http://www.telegraph.co.uk/finance/f...scue-plan.html

FEVER I AM commentary and more articles under (more info) section of youtube page:

Don't Panic! Toxic Asset Plan? Another way to rip you off..

Video (11:27): http://www.youtube.com/watch?v=lWjRN...e=channel_page

03-24-2009, 05:52 PM	#1
peaceandlove Avalon Senior Member Join Date: Sep 2008 Location: Turtle Island Posts: 2,776	Geithner Asks Congress for Broad Power to Seize Firms Geithner Asks Congress for Broad Power to Seize Firms Goal Is to Limit Risk to Broader Economy By Binyamin Appelbaum, David Cho and Debbi Wilgoren Washington Post Staff Writers Tuesday, March 24, 2009; 10:42 AM Treasury Secretary Timothy F. Geithner today told Congress the administration will seek unprecedented power to seize non-bank financial companies whose collapse could jeopardize the economy, a move Geithner said would have allowed the government to bail out insurance giant American International Group at a far lower cost to taxpayers. The government at present has the authority to seize only banks. Article continues: http://www.campaignforliberty.com/wire.php?view=3620

03-24-2009, 05:55 PM	#2
peaceandlove Avalon Senior Member Join Date: Sep 2008 Location: Turtle Island Posts: 2,776	My Plan for Bad Bank Assets My Plan for Bad Bank Assets The private sector will set prices. Taxpayers will share in any upside. March 23, 2009 By TIMOTHY GEITHNER The American economy and much of the world now face extraordinary challenges, and confronting these challenges will continue to require extraordinary actions. No crisis like this has a simple or single cause, but as a nation we borrowed too much and let our financial system take on irresponsible levels of risk. Those decisions have caused enormous suffering, and much of the damage has fallen on ordinary Americans and small-business owners who were careful and responsible. This is fundamentally unfair, and Americans are justifiably angry and frustrated. The depth of public anger and the gravity of this crisis require that every policy we take be held to the most serious test: whether it gets our financial system back to the business of providing credit to working families and viable businesses, and helps prevent future crises. Over the past six weeks we have put in place a series of financial initiatives, alongside the Recovery and Reinvestment Program, to help lay the financial foundation for economic recovery. We launched a broad program to stabilize the housing market by encouraging lower mortgage rates and making it easier for millions to refinance and avoid foreclosure. We established a new capital program to provide banks with a safeguard against a deeper recession. By providing confidence that banks will have a sufficient level of capital even if the outlook is worse than expected, more credit will be available to the economy at lower interest rates today -- making it less likely that the more negative economy they fear will take place. Article continues: http://www.campaignforliberty.com/wire.php?view=3585 Last edited by peaceandlove; 03-24-2009 at 09:03 PM.

03-24-2009, 06:02 PM	#3
peaceandlove Avalon Senior Member Join Date: Sep 2008 Location: Turtle Island Posts: 2,776	US Treasury Secretary Tim Geithner to announce new trillion dollar rescue plan US Treasury Secretary Tim Geithner to announce new trillion dollar rescue plan Reuters Last Updated: 11:29AM GMT 23 Mar 2009 US Treasury Secretary Tim Geithner is today expected to announce new trillion-dollar plans for a public-private effort to rid banks of toxic assets at the heart of financial woes that have driven the economy into a deep recession. Mr Geithner writing in the Wall Street Journal said the plan could soak up as much as $1 trillion (£690bn) of toxic assets, which investors would buy at a discount in hope of selling at a future profit, and in the process help establish a market-driven method for pricing such assets. "Our judgment is the best way to get through this is if we can work through the markets," Mr Geithner said. "We don't want the government to assume all the risk." When he first mentioned public-private investment funds in February, the Treasury Secretary laid out the proposal in such scant detail that markets sank on fears there was no clear-cut plan for rescuing a banking system beset by poorly performing mortgage and other assets left over from a housing boom that went bust. There still is money left in a $700bn bailout fund Congress approved in October to kick off such a program. Article continues and Video: http://www.telegraph.co.uk/finance/f...scue-plan.html FEVER I AM commentary and more articles under (more info) section of youtube page: Don't Panic! Toxic Asset Plan? Another way to rip you off.. Video (11:27): http://www.youtube.com/watch?v=lWjRN...e=channel_page Last edited by peaceandlove; 03-24-2009 at 09:02 PM.