Posted on 09/19/2008 6:57:50 AM PDT by kellynla
Queensbury, NY -- On the day following the 221st anniversary of the signing of the U.S. Constitution, WTP Chairman and constitutional activist Robert Schulz today filed a federal lawsuit in United States District Court in Albany seeking to halt the execution of the emergency bailout of American International Group, Inc. (AIG) by the United States Government and the Federal Reserve.
The lawsuit asserts that the commitment of public funds and credit for the direct benefit of privately owned AIG is an ultra vires action by the United States Government and Federal Reserve, i.e., beyond the limited legal authority granted by the Constitution. The lawsuit asks for a "show cause" hearing demanding that the Government produce evidence of its legal authority to commit public funds for such a purpose, as well as emergency and permanent injunctions halting the bailout transaction.
According to available information regarding the transaction, the Federal Reserve will loan AIG $85 billion dollars to stabilize its financial crisis, in effect, using taxpayer money to fund the loan. In consideration of taxpayer financing of the private bailout, the U.S. will receive stock warrants for 79.9% of AIG stock.
(Excerpt) Read more at wethepeoplefoundation.org ...
ML/NJ
I agree with the lawsuit.
Yes!
Praise God.
Does anyone know the event/sell/call/put that began this ride we’ve had? Did it start on 9/11/08? Where? How? By whom? Is Soros or friend involved?
Of course it is.
But will any court stop it?
Doubt it.
I'm afraid we may see the anti-Constitutional reasoning be as insipid as: "The Constitution gives the Federal Government the authority to mint coinage, and since AIG deals with money therefore the Federal government has the power to buy it."
But they will probably be satisfied to continue to misapply the commerce clause.
Because there are people out on the fringe looking for attention.
Google the Community Reinvestment Act.
Democrats caused this entire mess.
I hear what you are saying, but I mean this past week. What was it?
Section 13. Powers of Federal Reserve Banks
3. Discounts for Individuals, Partnerships, and Corporations In unusual and exigent circumstances, the Board of Governors of the Federal Reserve System, by the affirmative vote of not less than five members, may authorize any Federal reserve bank, during such periods as the said board may determine, at rates established in accordance with the provisions of section 14, subdivision (d), of this Act, to discount for any individual, partnership, or corporation, notes, drafts, and bills of exchange when such notes, drafts, and bills of exchange are indorsed or otherwise secured to the satisfaction of the Federal Reserve bank: Provided, That before discounting any such note, draft, or bill of exchange for an individual, partnership, or corporation the Federal reserve bank shall obtain evidence that such individual, partnership, or corporation is unable to secure adequate credit accommodations from other banking institutions. All such discounts for individuals, partnerships, or corporations shall be subject to such limitations, restrictions, and regulations as the Board of Governors of the Federal Reserve System may prescribe. [12 USC 343. As added by act of July 21, 1932 (47 Stat. 715); and amended by acts of Aug. 23, 1935 (49 Stat. 714) and Dec. 19, 1991 (105 Stat. 2386.]
Absolutely correct. The RATS were buying votes with the banks’ money.
Bravo and Godspeed! Someone needs to nominate Schulz for a Profiles in Courage award.
“WTP Chairman and constitutional activist Robert Schulz”
Must still be shorting the market.
I hope our share of the lawyer and court fees is going to be worth it.
May be of interest.
Actually the Constitution gives the Federal government the power to coin money. I.e., it has the power to stamp out little identifiable discs made from gold or from silver. It does not have the authority to stamp out coins from scrap metal and force people to treat such coins as if they had been made from money.
ML/NJ
I am a portfolio manager for a hedge fund. Soros gets way too much credit from people on our side. He isn’t as much of a bogeyman as people think, and he certainly doesn’t pull the strings on the global financial markets. Even Soros isn’t big enough to manipulate the massive global credit markets. His billions would be a drop in the bucket.
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