October 25, 2008
As Douglas A. McIntyre wrote back in September, most dictator’s get to wear general’s uniforms, so Hank Paulson had better call his tailor.
|According to Bush mouthpiece Dan Perino, Bush will trust Paulson and the bankers to implement the Emergency Economic Stabilization Act of 2008.|
The banker takeover bill passed by the Senate and signed into law on October 3 makes Paulson a virtual economic dictator. Paulson is now authorized to purchase mortgage-related assets from any financial institution headquartered in the United States. “The power of the Judicial Branch as an element of the Constitution’s mandate for ‘checks and balances’ has been suspended, undercutting a critical principle established by the Founding Fathers,” writes McIntyre. In almost all ways, the bill places the Treasury Secretary outside the law and above Congress and the American people.
On Thursday, White House Press Secretary Dana Perino said Bush “is trusting his team at the Treasury Department to design this program, and he believes they are doing it the right way,” according to CNSNews. “I don’t have details for you on it. So, we’ll let them — we’ll just trust our treasury secretary and those he’s tasked with to implement the program.” In other words, the bankers, not Congress or the American people, will implement the the Emergency Economic Stabilization Act of 2008.
When Paulson picked Neel Kashkari to act as director of the so-called bailout plan, it became obvious the bankers are in control of the Treasury. Both Paulson and Kashkari are Goldman Sachs alumni. In addition, Paulson depends on Goldman Sachs executives Dan Jester and Ken Wilson, both financial institutions bankers, and Steve Shafran, who focused on corporate restructuring while at Goldman. Shafran joined the department in February 2008, while Paulson brought Jester and Wilson on board in July and August, respectively, as the credit crisis worsened, according to the Associated Press.
- A d v e r t i s e m e n t
In the 1830s, president Martin Van Buren proposed that an independent treasury be set up and isolated from all banks. In 1844, the Democrats inaugurated measures to restore the Independent Treasury System in response to the banker engineered speculative crash of 1837. However, the bankers undermined the Independent Treasury System and the separation of the Treasury from the banking system was never completed. Finally, after the engineered Panic of 1907 and the establishment of the privately owned Federal Reserve in 1913, and act of Congress brought the Independent Treasury System to an end.
“I believe that banking institutions are more dangerous to our liberties than standing armies,” wrote Thomas Jefferson. “Already they have raised up a monied aristocracy that has set the government at defiance. The issuing power (of money) should be taken away from the banks and restored to the people to whom it properly belongs.”
The mislabeled Emergency Economic Stabilization Act of 2008 is a final coup de grâce to the idea of a Treasury separated from the “monied aristocracy” Jefferson warned about. In essence, Perino is telling us the bankers will decide how their takeover bill will be implemented and the American people will have no say in the process. Goldman Sachs controls the Treasury, the purse of the American people, and a former Goldman Sachs chief executive has a virtual carte blanche to do the bidding of the bankers behind closed doors.
Bush trusts the banksters to do the right thing, that is to say the right thing according to “a den of vipers and thieves,” as Andrew Jackson called the bankers in 1832.