U.S. Treasury dips into pension funds to avoid debt limit

[dipsydoodle]

(Reuters) - The U.S. Treasury on Tuesday started dipping into federal pension funds in order to give the Obama administration more credit to pay government bills.

"I will be unable to invest fully" the federal employees retirement system fund beginning Tuesday, Treasury Secretary Timothy Geithner said in a letter to Democratic and Republican leaders in Congress.

The U.S. House of Representatives is expected to vote on Wednesday on the Obama administration's request to raise the country's legal debt limit to $16.394 trillion.

However, unless the lower chamber and the Senate are able to shore up enough votes to block the White House request, the debt limit will be increased by $1.2 trillion next Friday and a repeat of last year's debt ceiling debacle will be averted.

Reuters : http://in.reuters.com/article/2012/01/17/usa-debt-treasury-idINDEE80G0MI20120117?type=economicNews

Bit more on this link : http://news.yahoo.com/treasury-dips-pension-funds-avoid-debt-limit-202850021.html

[MichiganVote]

1. The government and the rich just keep picking our pockets. No respect. None.