September 23, 2008

"We were close to bank lines in this country". Yup. Gee. Imagine that. Oh, no, we didn't see that coming.

And guess what?

Bank lines we shall have.

55 comments:

Agent #777 said...

Yeah, sad, sad. I guess when I go to get in one, I will leave the tinfoil hat at home.

rotten fish said...

All I've heard is the exact same party line: Disaster was imminent.
Do we just have to believe what they tell us? Not one spec of evidence, just do it now! Don't wait, don't think, just pass it NOW! No TIME expose on the deconstruction of the supposed imminent crisis. No proof, just yelling, "PASS IT NOW OR IT'S THE END OF THE WORLD!"

I smell rotten fish, history will show this to be a giant fraud.

consultant said...

The talking heads of TV and the print media.

I was one of those who read a couple of newspapers everyday in college and from that point on. Watched serious news shows when I could. Kept up with the days events and tried to put them in perspective.

TV news started to lose credibility in the late 70s and by the 90s became what we see today.

Newspapers held on to their credibility a while longer, until mergers and ruthless staff cuts turned them into nothing more than the public relations division of their corporate sponsors.

I quit subscribing to newspapers 15 years ago and I quit buying them 10 years ago. I quit cable 4 years ago. They don't tell me what I need to know.

The media knew about the problems in housing and mortgages but refused to write stories about it or warn the public. The ONLY business sector explicity protected in the Constitution, and they have been gutless cowards throughout this epic Ponzi scheme.

Anonymous said...

Serious ...You have to ask where the billions went that were extended in short term loans to Banks ,based on any paper they put up in the last 12 months . If you can answer that question ,than you might figure out what is happening .

fresh tasty kool-aid said...

I hope you all realize they ALL are drinking the Kool Aid, I mean every single person I once respected and those I didn't.

Shiller---drank the Kool-Aid, agrees with the bailout.

Batapaglia---drank the whole pitcher of Kool-Aid, says PASS IT NOW ALREADY!

Roubini---drank the Kool-Aid, says recession has now been cut from 5yrs to 18mos. Approves bailout.

It's like f-ing Invasion of the Body Snatchers.

Pack up, go home it's all over, head for the fallout shelter, close the iron door, it's done.

ForWhomTheTollBuilds said...

Just remember that these guys are suddenly taking disaster because it suits them.

Two weeks ago Bernanke and Paulson were assuring us that the banking system was sound.

Now they are telling us that we are the brink of annihilation because they want to ram through a huge bailout for themselves and their friends without any time for reflection.

Goldman Sachs has strapped 500 lbs of dynamite to its chest and is threatening to blow us all sky-high if we don't meet its demands.

Anonymous said...

Let ' em blow sky high.

Agent 99 said...

This is why our parents and grandparents so despised debt.

Rotten fish has given me an idea. Let's all mail a fish to our elected officials. Let's time it so it's nice and ripe by the time they return from vacation.

satan said...

There is something wrong in a country when a movie villain (Dr. Evil) appears less of an extortionist than the treasury secretary (Hank Paulson)

Here is the youtube clip

Austin Powers - 100 billion dollars (http://tinyurl.com/2b5e7c)

Anonymous said...

some funny stuff:



From: Ethan Ackerman

Date: Tue, Sep 23, 2008 at 1:18 PM

Subject: URGENT BUSINESS RELATIONSHIP

DEAR AMERICAN:

I NEED TO ASK YOU TO SUPPORT AN URGENT SECRET BUSINESS RELATIONSHIP WITH A TRANSFER OF FUNDS OF GREAT MAGNITUDE.

I AM MINISTRY OF THE TREASURY OF THE REPUBLIC OF AMERICA. MY COUNTRY HAS HAD CRISIS THAT HAS CAUSED THE NEED FOR LARGE TRANSFER OF FUNDS OF 800 BILLION DOLLARS US. IF YOU WOULD ASSIST ME IN THIS TRANSFER, IT WOULD BE MOST PROFITABLE TO YOU.

I AM WORKING WITH MR. PHIL GRAM, LOBBYIST FOR UBS, WHO WILL BE MY REPLACEMENT AS MINISTRY OF THE TREASURY IN JANUARY. AS A SENATOR, YOU MAY KNOW HIM AS THE LEADER OF THE AMERICAN BANKING DEREGULATION MOVEMENT IN THE 1990S. THIS TRANSACTIN IS 100% SAFE.

THIS IS A MATTER OF GREAT URGENCY. WE NEED A BLANK CHECK. WE NEED THE FUNDS AS QUICKLY AS POSSIBLE. WE CANNOT DIRECTLY TRANSFER THESE FUNDS IN THE NAMES OF OUR CLOSE FRIENDS BECAUSE WE ARE CONSTANTLY UNDER SURVEILLANCE. MY FAMILY LAWYER ADVISED ME THAT I SHOULD LOOK FOR A RELIABLE AND TRUSTWORTHY PERSON WHO WILL ACT AS A NEXT OF KIN SO THE FUNDS CAN BE TRANSFERRED.

PLEASE REPLY WITH ALL OF YOUR BANK ACCOUNT, IRA AND COLLEGE FUND ACCOUNT NUMBERS AND THOSE OF YOUR CHILDREN AND GRANDCHILDREN TO WALLSTREETBAILOUT@TREASURY.GOV SO THAT WE MAY TRANSFER YOUR COMMISSION FOR THIS TRANSACTION. AFTER I RECEIVE THAT INFORMATION, I WILL RESPOND WITH DETAILED INFORMATION ABOUT SAFEGUARDS THAT WILL BE USED TO PROTECT THE FUNDS.

YOURS FAITHFULLY MINISTER OF TREASURY PAULSON

Lost Cause said...

Who ever got rich off of a bank? I have given up too much money for nothing to banks. The less I have to do with a bank, the better off I will be.

I can't wait until all of these robbers go broke. I bet we all will be farther ahead. As it is, I feel better using a local bank, rather than a nationwide, Wall Street supported cash extractor.

Anonymous said...

Nice vid over at americapanic

I"m scared

Cheated American said...

Yes, let them BLOW SKY HIGH.

BLOW SKY HIGH!
BLOW SKY HIGH!
BLOW SKY HIGH!

Chant it from the roof tops!!

satan said...

Paulson as Dr. Evil

(http://tinyurl.com/4aqsx5)

Anonymous said...

"...I AM WORKING WITH MR. FILL GRAM...MY FAMILY LAWYER ADVISED ME THAT I SHOULD LOOK FOR A RELIABLE AND TRUSTWORTHY PERSON..."

Pure. Comedy. Gold.

Anonymous said...

fresh tasty kool-aid said...

"I hope you all realize they ALL are drinking the Kool Aid, I mean every single person I once respected and those I didn't.

"Shiller---drank the Kool-Aid, agrees with the bailout...."

Possibly Wrong. Shiller, I believe (I thought I recognized the face), was on television last night BLASTING the bailout and saying it would make the situation much, much worse. Roubini was on the same show, promoting it as a necessary evil.

Remember, all these experts are operating on the same information we have--which is simply Paulsen's vague word. All the rest, including the working details, is guesswork and imagination. Since there is no bailout yet, and no details have been decided, how can anybody know anything about it or how it's supposed to work?

I note with interest that the world has not ended, though Paulsen last week indicated it would if a bill weren't passed by Monday. Since all of his other pronouncement and predictions have been 100% wrong, I don't see any reason to spin on my head over the latest. Maybe he could go to work for the NAR calling imaginary bottoms and posting imaginary sales increases ("pending" sales) every month, then adjusting the number latter downward every six or seven weeks later.

Anonymous said...

Look, you know damn well in those hearings Paulson was not convincing about why he had to do this immediately . He already used the "I need a big gun BS " the last time he got a wad of money and blind authority .

Ever fiber of your being is telling you something smells here, because it does.

Crammer today is now saying that the problem is because people are walking on their loans .
Crammer told people to walk on their loans not so many months ago .He has also been yelling fire lately . Now just who do you think he is working for ?

I contend ,and I have always contended ,that the whole game all along has been how to transfer the toxic junk to the taxpayers .

Anonymous said...

Agent 99 right on. I have decided I cannot vote. There is no hope with either party. The hearings are a farce - both parties will prop up the price of houses and keep the irresponsible in them at our expense and to the gain of those with the offshore accounts. I am completely disgusted. This whole episode, and this blog, have given me an education. I never realized how corrupt our country is. Unbelievable.

Anonymous said...

Funny how a country that produces things and sells them to the rest of the world (a creditor nation) doesn't run into problems like this. Only deadbeats start running out of credit and use one card to cover the other. We are truly screwed.

Anonymous said...

Rotten Fish said:"I smell rotten fish, history will show this to be a giant fraud."


I second it.

Mammoth said...

All these posts here are right on.

But, who here has also written/emailed their congressional representative about this?

I did - today.

Have you?

-Mammoth

Anonymous said...

How can Paulson say he wants to liberate the credit markets? For who's benefit?

Isnt banks tighening credit? Who will take advantage of more credit and loans from banks if most of tax payers are up to their eyeballs in debt already? Whats stranger...why would banks borrow from each other even when all the credit swaps are swept under the carpet? How will this help them?

Are the credit card companies going to start issuing new/extend credit to deadbeats or what?

Does Paulson want credit available so banks can loan money to each other?? Why so they can leverage it all over again?

How can banks ever loan out money at the rate they did before the credit markets imploded last August?

The credit game IMO is dead. I think its all a scam to get the tax payers to rain dollars over the entire banking system.

Anonymous said...

Financial Times article today from London. (Many traders including Cramer on CNBC tonight said buy Goldman Sachs. They have probably already bought. The deck is stacked against us, guys.)
Big names join queue for toxic assets auction
Many of the biggest names in US asset management –Black Rock, Pimco,Goldman Sachs and TRowePrice among others – are lined up to bid for the contract to manage the toxic assets that will go into Hank Paulson’s Troubled Asset Relief Program.
But details of the US Treasury’s $700bn fund being set up to buy residential and commercial mortgage-related assets from ailing banks remain vague.
The US Treasury so far says simply that the assets will be managed by private asset managers and it will have discretion to sell the assets or hold them to maturity. “Cash received from liquidating assets, including additional returns, will be returned to the Treasury’s general fund for the benefit of American taxpayers,” it says.
But asset managers say that the Treasury has been sounding them out on how the assets might be priced, what fees it might have to pay to outsource the management of distressed assets and whether to give the management contract to one or several groups.
They widely expect more information by the end of the week and the mandate will be put out to competitive tender.
Bill Gross, the chief investment officer of Pimco, has indicated that Pimco would be interested in managing some of the pool.
A spokesman for T Rowe Price said that it would be interested in “looking at the opportunity” to manage some of the money as well.
BlackRock, which has already established itself as a lead manager of illiquid mortgage assets, is expected to bid. The Federal Reserve hired it to manage $29bn of similar assets of Bear Stearns, which was bought by JPMorgan earlier this year.
Private equity and distress hedge fund managers, such as Lonestar, are also likely to join the lists.
Private equity firms played a big part in a previous government rescue vehicle – the Resolution Trust Corporation – set up in 1989 to manage the impaired assets of failed savings and loans institutions.
The first RTC contracted out most of its professional property and legal work and employed thousands to manage the portfolios.
But it also set up “private equity partnerships” with firms to help it sell assets, paying a share of the returns to RTC.
Copyright The Financial Times Limited 2008

VIVA LA RESISTANCE said...

KEITH! You have to see this picture from drudge report........pretty much sums it up!

http://tinyurl.com/3ge9n8

http://preview.tinyurl.com/3ge9n8

http://d.yimg.com/us.yimg.com/p/afp/20080923/capt.cps.nrj65.230908203126.photo02.photo.default-512x341.jpg?x=400&y=266&q=85&sig=QbUdzz9dLQBmO1a1vtPr_Q--

Anonymous said...

"We were close to Bank Lines... "

Hate to tell you this cheerleaders for emergency bailouts ,
we have already had bank lines this year and it was orderly and no big deal . Why are you guys trying to scare the public into giving you 700 billion . We should be talking about the 700 billion the Banking industry is going to give the public in damages for their crimes.

Thanks again Bushco & Cheneyburton said...

Shock Doctrine.

Anonymous said...

The big investment banks should stop trying to hide under the skirts of regional banks.

They should take their medicine and go under. Nothing but cowards- every last one of them, who will cry like scared babies.

Investment banks have been exposed for what they really are... snake oil salesmen, peddling nothing but garbage.

Let the hammer come down on every last one of them.

Paul E. Math said...

ForWhomTheTollBuilds has a very good point.

Clearly, these guys were lying, weeks, months and years ago as they claimed the economy was fundamentally strong, that subprime problems were contained, that the bazooka wouldn't be needed.

Why would we trust them now? Why would we trust that they are telling the truth? Why would we trust that they know what the truth is?

Say no to this mother of all bailouts.

Owner Earnings said...

I just watched Senator Bernie Sanders rip Kudlow a new one. Someone please put this on youtube.

Also check out Sanders site where he has an open pretest to the bailout.

http://sanders.senate.gov/

Anonymous said...

"I hope you all realize they ALL are drinking the Kool Aid, I mean every single person I once respected and those I didn't.

Shiller---drank the Kool-Aid, agrees with the bailout.

Batapaglia---drank the whole pitcher of Kool-Aid, says PASS IT NOW ALREADY!

Roubini---drank the Kool-Aid, says recession has now been cut from 5yrs to 18mos. Approves bailout.

It's like f-ing Invasion of the Body Snatchers.

Pack up, go home it's all over, head for the fallout shelter, close the iron door, it's done."

The reason for this is simple. These guys know when to say uncle. Listen, I see the mistakes made as well as they did. However to put the whole world in recession to prove a point is stupid. The difference between Schiller and Roubini and you HP'ers is they make their decsions based on facts, not rants and raves about perception and conspiracy. You guys are mostly lower educated nutjobs, speaking on subjects that you know little about. Thank god the nuts on this website have zero say on anything, because the world would be in big trouble if you tin foilers were allowed to lead. And as for Ron Paul, he is the king of nut jobs.....

Anonymous said...

No fucking Bail out. I refuse to pay these fucking bastards one more dime, as a matter of fact I do not have a dime to spare. Thanks so the gas prices, outsourcing of my job, high high food prices, credit cards who never want me to see the light, high interest rates, I could go on. Fuck that, I refuse what do they want my first born.
No Bail out.........
Let one politician vote for this and I will make it my mission to vote them out of office.
Boy I sound like a fucking Sean Hannity fan.
I need a beer.

Anonymous said...

The fucking fish is a brilliant idea, I am so in. Keith you have to coordinate this. We should all send a fish to our senators. I am totally in...
Lets get this rolling.

Anonymous said...

Fuck the Rothschilds and the other families who have stolen our country from us. Fuck them I won't pay a dime. I like the fish idea.

barak america said...

Barak America says most Americans are too stupid to realize Franklin Raines is going to fix all of dis when I'm all presidential an sheeit.

Redbeard said...

To Anonymous @ September 23, 2008 11:20 PM
It wasn't Shiller with Roubini, that was Schiff, Peter. He, Mish, and Michael Panzer are my top 3, and they have all strongly condemned it so far. I was disappointed to hear Roubini get soft on it, too, Kool-Aid.

Anonymous said...

What is amazing is how many people don't understand the seriousness of this problem. And, that no bail-out will be big enough to fix the problem. It is a global problem and noone can pay everybody back for all the mortgage debt on assets that have declining values.

It seems these are like the members of the band playing on the deck of the Titanic. Amazing Grace!

Carl Denninger ROCKS!!! said...

Congratulations to Carl Denninger!!!

Can I tell you how DAMNNN GREAT it was to see your mug on NBC evening news with Brian Williams, as they talked about your tireless mission to expose Paulson and his cronies for the LIARS they are??

http://www.fedupusa.org/

Thanks for all you do Carl to try to educate people before they are simply robbed blind, and it is too late to do anything~~ My glass is raised to you, Buddy!!

Anonymous said...

Just call or e-mail your Senators and tell them your voting them out of office if
they past this bill because you will know they are corrupt if they vote for it .

The responses from Paulson in the hearings were absurd ,unconvincing ,
unsupported by facts and reeks of
this is for your own good BS to the taxpayers .

This dog and phony show is a insult .

Lately the feds started giving short term loans on bad debt regarding credit cards and school and car loans . Isn't it interesting how now those sort of loans are included in the ask no question bail out agenda ?

The people are now being victimized by a big show here that has no regard for the taxpayers is taking place . They are selling you down a river ,just like they sold you down the river when they unleashed the banks to have you for supper with their lack of regulation .

Oh big emergency ,the lenders want their bail out and they want it now .

If its a issue of the main street needing credit ,the Feds could extend credit for a couple of months while the Bill is hashed
out . That is what they have been doing for over a year now with the banks ,but the banks have just not been extending credit and hording the money . You see Paulson never explains why credit hasn't been extended .

People are getting real estate loans,they just aren't getting fraudulent real estate loans right now .People got their credit cards and credit lines cut back,so what, they didn't deserve that high of credit lines to begin with.

You guys ,you know this bill even reeks of malice toward the public. Tell them they are out of office if they would pass such a corrupt bill by King Paulson and his lap dog the Fed Chairman.

Anonymous said...

Berkshire Hathaway invests 5B in Goldman Sachs today. Getting in on that taxpayer Goldpot.

Star said...

CRamer says all is well, I'd love to see people counter argument to this!

http://www.cnbc.com/id/26857498

Anonymous said...

This is all very absurd you guys.
Call your Senators and Congressman and tell them you want them to demand that Paulson steps down for conflict of interest NOW.

Paulson sold CDO's and was involved with gains regarding the loans in question for the bail outs . Further Paulson still has a stake in stocks at Goldmans .

He proposes a plan that asks no questions and he gives no details.
He proposes a plan in which he insists that it's not punitive (because he might end up in jail himself ).
Paulson proposes a blank check ,ask no questions ,trust me ,and grant me immunity on anything I do

I can't believe that lawyers across the land are not demanding
for him to step down NOW,before he does more damage .

We really have been wondering for a long time why these crazy bail-outs have been happening right in front of our faces ,one by one ,with always the promise that this is the last one .

King Paulson is fighting for himself . If anybody was convinced by his answers in those hearings than a whole lot of our representative are either dimwits or bribed and paid for . Demand that the madness stops .

ok said...

WASHINGTON (AP) - The FBI is investigating four major U.S. financial institutions whose collapse helped trigger a $700 billion bailout plan by the Bush administration, The Associated Press has learned.

http://tinyurl.com/5y854z

Lost Cause said...

Here is a bone thrown to distract from the real theft being negotiated in Congress.

FBI investigating companies at heart of meltdown

By LARA JAKES JORDAN, Associated Press Writer

WASHINGTON - The FBI is investigating four major U.S. financial institutions whose collapse helped trigger a $700 billion bailout plan by the Bush administration, The Associated Press has learned.

Two law enforcement officials said Tuesday the FBI is looking at potential fraud by mortgage finance giants Fannie Mae and Freddie Mac, and insurer American International Group Inc. Additionally, a senior law enforcement official said Lehman Brothers Holdings Inc. also is under investigation.

One Congressman Calls It DEAD NUTS! said...

From the Portland Housing Blog:

Tuesday, September 23, 2008
DeFazio Rebukes Administration's Rescue Plan

From US News & World Reports:

House Democrat Peter DeFazio of Oregon had harsh words for the rescue plan from the House floor, raising the specter of the 2002 election-eve vote on use of military force, which gave congressional approval for the war in Iraq. Talking about the unprecedented bailout, he called it "sort of an immediate authorization for use of financial force."

DeFazio took a shot at Treasury Secretary Henry Paulson, the former chairman and CEO of Goldman Sachs. "He is of, by, for, and about Wall Street," the lawmaker said. DeFazio said in a single year, Wall Street bonuses exceeded $60 billion and added: "These people are out of control. They don't understand the real world. For them to talk about Main Street, and that they care about Main Street and student loans and homeowners' equity, is a bunch of B.S."

"We are the last bulwark here, the House of Representatives and the Senate," he concluded. "If this bill were to pass as proposed, we'll do an incredible disservice to the American people."

.

DeFazzzzzzzzz said...

DeFazio voted against the repeal of the Glass-Segal Act in 1999.

The whole country isn't nuts, just most of it. Good luck to you & yours. Maybe I'll see you all on the other side folks. Fight like hell!

Billy From The Hills

Anonymous said...

all I can say is about Fing time


http://tinyurl.com/4n397r

Anonymous said...

OMG Clay Aiken is gay! it is all over the news wires!

I bet bushco planned Clay's announcement in order to distract us from this bailout fiasco.

Anonymous said...

Nice vid over at americapanic

I"m scared

----------------------------

yea, did you hear the part where they talk the government taking their toys? funny stuff.

Anonymous said...

These are the same guys who told us we needed to hand over foreign policy to them, right away, or something really bad was going to happen. We stand in lines at the airport. Why not the bank?

How do we know our leaders are competent? Because otherwise they would not be in charge. How did they get to be in charge. We decided they were competent.

Benji Franklin said...

When faced with a crisis (that our government told us WASN'T a crisis, up to about a month ago!), it pays to look to prior examples of similar crises.

Take Sweden, for example. They apparently dealt with a real-estate-induced bubble collapse about 10 years ago, and their crisis ALSO threatened to bring down their financial institutions. Unlike the Japanese (who chose to prolong the effects by denying the problem, resulting in their "lost decade") the Swedish apparently took their tough medicine and made it work.

See the following article from today's N.Y. Times; this is absolutely REQUIRED reading for anyone who's interested in what's going on, as well as a better approach than giving Paulson a (or should I say, another?) 'bazooka'

http://tinyurl.com/4rs383

Anonymous said...

Well his name is Liesman.

Anonymous said...

if goldman sacks went under as it might have paulson would maybe only have his govt salary left and might have lost , billions?

Anonymous said...

not exactly 125,000 and unregulasted leverage, but close???????????????????????????????????????

Anonymous said...

To Anonymous @ September 23, 2008 11:20 PM

"It wasn't Shiller with Roubini, that was Schiff, Peter. He, Mish, and Michael Panzer are my top 3, and they have all strongly condemned it so far. I was disappointed to hear Roubini get soft on it, too, Kool-Aid."

Yes, thank you. I realized my mistake after I posted.

Anonymous said...

On some news program today (CNN or CNBC), it was reported that a secret closed-door meeting was held in Capitol Hill this morning with Bernanke, Paulsen, and the Senate and House members, after which opposition to the bailout dramatically diminished. The implication was that Bernanke and Paulson revealed something so shocking, even the skeptics were shaken.

Meanwhile, Bernanke wants the government to buy up mortage-related junk at ABOVE MARKET prices to keep real estate prices from dropping further (or more correctly, to reinflate them). Since HE bought his house in Virginia at the top of the bubble, could it be his own ass he's trying to save?

There are too many real and apparent conflicts-of-interest in all of this. More than fifty representatives and senators have financial investments in the firms being bailed out, and many politicians in both the House and Senate, and many of their staffers, got sweetheart loans from Countrywide and other discredited companies. All of these people (including Christopher Dodd) should have to remove themselves from the proceedings. And since Obamessiah got a sweetheart loan from Countrywide, he should be required to keep his mouth shut on the subject till after the election.

If those voting on the bailout could not in some way profit from it, it might not seem so dubious to the rest of the world.