Unelected Bernanke And Paulson Sieze Power In COUP

[Ghost Dog]

September 20, 2008 Elaine Meinel Supkis

The Democratic Republic of America is dead. It was taken over last night in a private coup by the former Wall Street money man, Paulson and the lunatic economics professor, Herr Bernanke. Between themselves, they have seized the reins of power and are now the unelected rulers of the USA. The Supreme Court ruled in 2000 that we don't get to vote for President. Now this! Both Congress and the barely-elected President who should be impeached and arrested for both war crimes and refusing to protect America on 9/11, both of these entities are TRAITORS. They should either arrest the financial conspirators or resign from office. Next: a military coup.

Federal Reserve Chairman, Martin, speaking in 1954:

There is one other fundamental thing that again is right at the heart of it . Monetary policy in my judgment should never be used to restore the purchasing power of the dollar. Once it is gone, it is gone. Production and productivity are the only ways we will restore the purchasing power of the dollar.

We will read more of this ancient speech from the old times when we still had a democracy of sorts. We just won WWII and were entering the Cold War when Mc C. Martin made this long speech explaining what the Federal Reserve was and how it was supposed to operate. NOT ONE THING HE TALKED ABOUT IS WORKING TODAY. Instead, the US systematically stripped itself of all the original systems set up to fund and control the Federal Reserve!

Now, after totally blasting away all the support systems, the restrictions and the balances of the original banking system, we now have a TOTAL collapse of the ENTIRE US banking system. And what is being done to fix this mess?

The very authors who enabled and pushed for all the worst aspects of the system are now running amok, fixing the system by systematically taking over all the financial systems of the US itself. I got an alarming email from Kevin, a reader, which said that the legislation being handed over the the flaccid fish in Congress has this shocking proviso: Sec. 8. Review. Decisions by the Secretary pursuant to the authority of this Act are non-reviewable and committed to agency discretion, and may not be reviewed by any court of law or any administrative agency.

WHAT THE HELL WAS THAT???? Back in 2000, I was very heavily involved in the garbage that came spewing out of that failed election. I went to DC and visited most of the Senators and ordered all of them to carefully support the counting of ALL the votes no matter how long that took. Instead, the Supreme Court ruled at 12am, midnight, on 12/12/2000, a magic number day and hour, they ruled that votes were NOT to be counted because so many goofy voting systems were used.

I had my 'Uniform voting act' bill written and ready. A reporter called me from the corner phone that night to tell me excitedly that I could now sue to have uniform voting standards. But then he read the last line of the Supreme Court ruling: this ruling was UNIQUE and could NOT be used in court as precedent! I blew up and began swearing. 'THIS IS A COUP!' I yelled.

But then Gore surrendered to the coup.

Now we are in the second stage of this coup. Bush is wildly unpopular to such a degree, he had to stay away from the GOP convention. No one is following this fool. The entire economic system is collapsing and he has walked away from it a la Coolidge. Congress is equally unpopular. They, too, are abdicating control to outside forces. Just as Congress refused to curtail a very UNCONSTITUTIONAL Supreme Court ruling, we now have Congress abdicating powers of the purse to a PRIVATE banker, Bernake, and a PRIVATE Wall Streeter, Paulson. Neither man was elected by anyone in America.

In a just world, we could go to DC and simply arrest Congress and the President for vacating their offices in the time of an emergency! But then, Bush wasn't impeached for his queer behavior on 9/11. Nor his queer behavior during Katrina. Or his outright lies about Saddam Hussein.

/continues... http://elainemeinelsupkis.typepad.com/money_matters/2008/09/unelected-berna.html

[gopbuster]

1. Time to call up 100,000 ninjas n/t

[Ghost Dog]

2. From a comment to this (long, historical) piece:

... Every avenue of escape of this treasonous action has been shut down.

Complain/Pitchforks? Homegrown Terrorism.

Sell everything? Economic crash and Bush can declare dictatorship.

Self-sufficient organic farm? Soon all animals will need expensive RFID chips and cheap food from slave farms will crush your ability to get any cash.

http://market-ticker.denninger.net/index.html

"First, this is a de-facto nationalization of the entire banking, insurance, and related financial system. Specifically:

"(a) Authority to Purchase.—The Secretary is authorized to purchase, and to make and fund commitments to purchase, on such terms and conditions as determined by the Secretary, mortgage-related assets from any financial institution having its headquarters in the United States."

This, at first blush, would seem to indicate that only American firms would be covered. Nothing is further from the truth. If the Chinese wish to unload some of their purchased toxic sludge they merely sell it to, oh, Goldman Sachs for 40 cents on the dollar and then Goldman sells it to the Treasury for 50. This, under the black letter of the law here, is perfectly legal, which means that one must assume that Paulson will in fact foist off all the bad paper on world markets that was originally based on a mortgage in the United States, while allowing his banker buddies here to loot the taxpayer by acting as an intermediary in the transaction!

The best part of this fraud upon the investing and taxpaying public is that those who get bent over the table can't even sue - their only recourse will be the (literal) deployment of pitchforks and torches.

_________

Denninhger, referred to above, also points out that "If you think the cost of this bill is $700 billion, you're wrong. The cost is actually infinite and the entire bill constitutes a giant money-laundering scheme."

Viz:

... snip ... http://market-ticker.denninger.net/archives/587-The-Mother-Of-All-Frauds.html

Contracts can (and presumably will) be "no bid, no solicitation" and given to whomever Secretary Paulson favors, without regard to the public interest or normal competitive bidding processes. Must be nice to be a "Friend of Hank."

"In exercising the authorities granted in this Act, the Secretary shall take into consideration means for—

(1) providing stability or preventing disruption to the financial markets or banking system; and

(2) protecting the taxpayer."

Notice which comes first.

"(c) Sale of Mortgage-Related Assets.—The Secretary may, at any time, upon terms and conditions and at prices determined by the Secretary, sell, or enter into securities loans, repurchase transactions or other financial transactions in regard to, any mortgage-related asset purchased under this Act."

Having bought these securities for any price Mr. Paulson would like (and he can compel institutions to sell at his demanded price as noted above!) he can then sell those assets at any price he wishes, to anyone he wishes. It certainly is nice to be a "Friend of Hank", and it most certainly sucks if you're not.

"The Secretarys authority to purchase mortgage-related assets under this Act shall be limited to $700,000,000,000 outstanding at any one time"

This is clever and nobody in the mainstream media has figured it out.

If you think the cost of this bill is $700 billion, you're wrong. The cost is actually infinite and the entire bill constitutes a giant money-laundering scheme.

Paulson can (and presumably will) buy up to $700 billion of these "assets", then sell them. Let's say he decides to buy them at 60 cents on the dollar and sell them for 10. You, the taxpayer, will eat the fifty cents, for an immediate cost of $350 billion dollars.

Having done so, he is then authorized to do so again, since the $700 billion is no longer on the government's balance sheet.

In fact, he can do this without limit, other than possibly due to the federal debt ceiling, which of course Congress will raise any time we get close to it. Oh yeah, this bill does that right up front too. No need to bother with it the first time around.

Folks, $700 billion isn't even close to the total cost of this monster.

If Paulson and his successor decide to, they could literally cycle all $5.3 trillion of Fannie and Freddie's debt through this scheme, potentially sticking the taxpayer for 20% or more of the total, plus as much private debt on various bank balance sheets as they can manage to nationalize until (and possibly beyond) the point where the bond market tells him to go to hell.

Bottom line: This bill gives Paulson the ability to nationalize an UNLIMITED amount of private debt and force YOU AND YOUR CHILDREN to pay for it.

/more... http://market-ticker.denninger.net/archives/587-The-Mother-Of-All-Frauds.html