The Ad Romney Should be Running

If the Romney campaign wants to blow Obama out of the water the simplest way to do it might be to simply take these two videos, edit them together and run it over and over in prime time followed by a simple question: “What Does He Mean?”

Wake Up, America! 4 more years of this type of fundamental change and you will no longer recognize your country.

Restore the Republic! Reject Socialism while there is still time.

“The Constitution is not an instrument for the government to restrain the people, it is an instrument for the people to restrain the government – lest it come to dominate our lives and interests.” – Patrick Henry

WARNING: How Progressives Describe the Right

If you do not read a single other piece I post this year, read this  – I have included this link in another post but I don’t want it to get lost, it is that revealing. This will remove any doubts that there is a Progressive movement hard at work in America!

Go to the website of Progressives for Obama and PLEASE READ THIS ARTICLE: 

http://progressivesforobama.blogspot.com/2010/01/organization-you-get-nothing-without-it.html

These people hate conservatives and all we stand for. They are working overtime to “fundamentally transform America”.

Here is an excerpt from the writer of the attached article:

“In this sense, comrades, I am here to not only speak to you about the subject of this panel, but to put before you a challenge. Too many of us on the Left act as if we have all the time in the world to make changes. If it does not happen in our lifetimes, too many of us think, it will inevitably happen in the next. No! History demonstrates exactly the opposite. There are no guarantees.”  – Bill Fletcher, Jr. is a senior scholar with the ‘Institute for Policy Studies’

They understand the essence of timing – Do you? President Reagan did:

“Freedom is never more than one generation away from extinction. We didn’t pass it to our children in the bloodstream. It must be fought for, protected, and handed on for them to do the same, or one day we will spend our sunset years telling our children and our children’s children what it was once like in the United States where men were free”. – Ronald Reagan

We need to decide if we are going to stand by and passively watch a radical far left administration put us on a path to socialism. We have a choice but will we exercise it? Will we fight for the freedom that generations of brave Americans have defended or will we keep telling ourselves that “it can’t happen here?”

If you love this country; our freedom, our liberty and the American way of life – this is your wake up call! We are running out of time. Our freedom, liberty and sovereignty are at risk of being lost. It can happen in, even in America, when we take too much for granted. It is time for every citizen to defend America by engaging in their civic responsibility to participate in the democratic process and make their voice heard.

Restore the Republic, Reject Socialism and the Agenda of the Progressive Left!

Obama and FDR’s 2nd Bill of Rights

President Obama and his administration are trying to “fundamentally transform the United States of America”. They have set a path to institute a socialist society and try to establish FDR’s 2^nd Bill of Rights. The goal is to create a “nanny state” where the government controls and regulates society. Freedom, liberty and the pursuit of happiness will be defined and prescribed by the government. Your freedom as a citizen of America is under attack and at great risk. It is time to understand what is in front of us and at stake.

Let’s start with FDR’s 2nd Bill of Rights:

On Jan. 11, 1944, Franklin Delano Roosevelt gave a fireside chat from the White House and in that speech he laid out his ideas for his 2nd Bill of Rights. Roosevelt referred to his proposals in that speech as the basis for establishment of new security and prosperity, for all regardless of station, race or creed. “The test of our progress,” said Roosevelt, “is not whether we add more to the abundance of those who have much; it is whether we provide enough for those who have too little.” Listen….

Among these rights, he said, are:

“The right to a useful and remunerative job in the industries or shops or farms or mines of the nation.

“The right to earn enough to provide adequate food and clothing and recreation.

“The right of every farmer to raise and sell his products at a return which will give him and his family a decent living.

“The right of every businessman, large and small, to trade in an atmosphere of freedom from unfair competition and domination by monopolies at home or abroad.

“The right of every family to a decent home.

“The right to adequate medical care and the opportunity to achieve and enjoy good health.

“The right to adequate protection from the economic fears of old age, sickness, accident and unemployment.

“The right to a good education.”

Our constitution provides us no legal claims to the entitlements FDR outlined. The framework of our constitution provides us the opportunity to succeed and acquire through the fruits of our own labor the things FDR spells out. These things are not entitlements of citizenship!

FDR said, we already enjoyed “certain inalienable political rights –- among them the right of free speech, free press, free worship, trial by jury, freedom from unreasonable searches and seizures.” He then said, “They were our rights to life and liberty.” Notice he left out guns altogether.    FDR described the 10 Amendments to our Constitution rights as “political” and insufficient. Yet our founding frathers saw them as God-given and a sacred trust to handed down unabridged from generation to generation.

FDR had a misunderstanding of what rights are. Typically rights are granted by God, not governments. Following that line of thought we have the right to live free. We have the right to pursue happiness. We have the right to free speech. We have the right to worship our God. Everything else is a choice. The Bill of Rights says we have the right to bear arms but the government is not required to provide you a gun. We can choose to buy healthcare but we don’t have the right to be given healthcare. We are all free to work but nobody is required to. If you have to take from one to give to another you are providing an entitlement because a right does not take from another. If you believe you have a right to the fruits of someone else’s  labor, then you believe in socialism. The only way you can enact this second bill of rights is by destroying the first bill of rights.

The administration is working hard to build a socialist society like the one FDR envisioned. A society that will turn control of your freedoms and livelihood over to the government. At the same time they are working just as hard to take away your real constitutional rights because they are an impediment to their goals.

“We are blessed in America that we can fend for freedom with ballots instead of bullets. Our charge is to elect those who will deliver those freedoms, intact and undiminished, to those who follow us”. – Col. Oliver North

America, it is time to choose. We have to decide if we want to remain the land of the free or if we want to become a “nanny state”. Remember, up till now America has been the world’s beacon of freedom. Ironically I have several friends and acquaintances who have moved here from Eastern Europe, they are horrified at what has happened to America. They keep telling me things like, “I have seen this play before and I know how it ends”.

How will you choose? Again I’ll say it is time to stand up and make your voice heard. Time is running out!

“Yes, we did produce a near-perfect republic. But will they keep it? Or will they, in the enjoyment of plenty, lose the memory of freedom? Material abundance without character is the path of destruction”. – Thomas Jefferson

The Treaty of Copenhagen – a threat to US Sovereignty

What is the Treaty of Copenhagen? According to the website, Web Commentary:

“The Treaty of Copenhagen, in present draft form, would create an unelected world government with direct power over all financial and trading markets, and direct power to intervene over the heads of elected governments in the economic and environmental affairs of all nations signing the Treaty. It would require wealthier nations to redistribute up to 2% of their annual gross domestic product to third-world countries in imagined reparation for imaginary “climate debt” – and all this just as final scientific proof becomes available that CO2 has a tiny and harmless warming effect. Please oppose this treaty by signing a petition agreeing with the Instrument of Repudiation, and urge at least five of your friends to do the same to save America’s freedom, democracy, and prosperity”.

http://www.webcommentary.com/

We are at the turning point and we must take action now if we want to save our country. I believe at our core we are still a religious people that values family, faith and country. The Green Movement has become the new religion for some and it is the tool that they will use to “create the crisis” that could trigger the end of our country by using fear, manipulation of the food, energy and the healthcare system to achieve their objectives to push us into a world run government. This will as the President likes to say, “Fundamentally transform America”.

It is time to take back the control of our national destiny. Restore the Republic, Reject Global Governance and Defend U.S. Sovereignty!

“Freedom is never more than one generation away from extinction. We didn’t pass it to our children in the bloodstream. It must be fought for, protected, and handed on for them to do the same, or one day we will spend our sunset years telling our children and our children’s children what it was once like in the United States where men were free”.  – Ronald Reagan

The Missing Link …UN Agenda 21

What is  “Agenda 21”  and the yearly “Earth Summit” attended by world leaders? It is the UN blueprint for global transformation defined as:

“Agenda 21 is a comprehensive plan of action to be taken globally, nationally and locally by organizations of the United Nations System, Governments, and Major Groups in every area in which human impacts on the environment.”

“When George H.W. Bush signed the Rio Accords at the Earth Summit in Rio de Janeiro in 1992, he opened the path for the United States to implement U.N. Sustainable Development Agenda 21. When Bill Clinton created the President’s Council for Sustainable Development by Executive Order in 1993, he laid the foundation for a proliferation of intermediate and local councils that would set out to alter radically the structure of government in the United States. These councils operate under many different names. Later under George W. Bush, Sustainable Development policy began to swarm every county in the country”. – Michael Shaw, Proprietor of Liberty Garden

Remember, because agenda technically is a treaty, a president can sign treaties without Congressional oversight or approval. George H.W. Bush has always been a “New World Order” supporter. Now we may find out what that really means.

Some of the objectives of Agenda 21 are: 1) The abolition of private property 2) A Global Citizenship Education Program (think Story of Stuff) and 3) Control over and massive population reduction (think John Holdren and his writings)

George Washington said and warned:  “Private property and freedom are inseparable.”

“Just as man can’t exist without his body, so no rights can exist without the right to translate one’s rights into reality, to think, to work and keep the results, which means: the right of property”.  ~Ayn Rand

Agenda 21 is a treaty that creates a global contract binding all nations and spreading regions to the collective vision of “sustainable development.” All must commit to pursue the three E’s of “sustainability”: Environment, Economy and Equity referring to the UN blueprint for environmental regulations, economic regulations, and social equity. – U.N.

“…current lifestyles and consumption patterns of the affluent middle class – involving high meat intake, use of fossil fuels, appliances, home and work-place air-conditioning, and suburban housing – are not sustainable. A shift is necessary. which will require a vast strengthening of the multilateral system, including the United Nations…” – Maurice Strong

I could try and will in future posts to better explain U.N. Agenda 21 but to get a really sense of how far this has already spread and the threat it poses to our national sovereignty as well as to our individual rights; please watch the attached videos. After that visit the links. This is serious, this is real and this is happening. It starts to help bring all the things that don’t make sense into focus. Also please recognize that I am not suggesting that good stewardship is not a worthy goal and activity, just not at the expense of our sovereignty. You can have both.

All of the previous administrations back to 1992 have helped to move Agenda 21 forward. Now with Obama in the White House the agenda is on steroids. Legislation is advancing fast and furious. This legislation supports the foundation of this program – think Cap & Trade, Healthcare Reform. Look at the people that are or were in this administration and consider their well documented personal philosophies; Cass Sunstein, John Holdren and Van Jones. Look at the use of federal agencies to avoid legislative battles by using regulatory authority to force changes that they could never push through with legislation – i.e.: recent changes by the EPA to redefine the “dangers” of greenhouse gas.  Think about the stories in the news that make you scratch your head such as the water crisis in California’s San Jaoquin Valley which is killing one of America’s major agricultural areas in order to “protect” smelt. Think about the education of your children and the indoctrination that is going on in our schools. Think about the propaganda video that George Soros and his Tides Foundation has managed to get into our classrooms – “The Story of Stuff”. Even consider the indoctrination of yourself – the catch phrases such as “Think Globally& Act Locally”. Think about how often you now hear the words – Sustainable Development.  The threat has been woven into the fabric of society and it is hard to separate the good parts from the insidious ones. Sustainable Development is the core of this contrived crisis. As more and more people are sucked into the government driven Sustainable  Development movement, America will suffer through what Al Gore has described as a ‘deserved’,“wrenching transformation”.

Ask yourself – Why and what does it mean? The real and darker purpose of Sustainable Development is to create a government controlled society. A government controlled society is represents the end of America and our way of life.

My goal is not to frighten but rather to educate. The videos below are many and some are long. They are important and you owe it to yourself, your children and their children to watch them. We are at the turning point and we must take action now if we want to save our country. I believe at our core we are still a religous people that values family, faith and country. The Green Movement has become the new religion for some and it is the tool that they will use to “create the crisis” that could trigger the end of our country by using fear, manipulation of the food, energy and healthcare system to achieve their objectives to push us into a world run government. This will as the President likes to say, “Fundamentally transform America”. Look at the U.N. charter, read it and understand that its’ stated objective is “Global Governance”. The United Nations Declaration of Human Rights states in Article 29 Section 3 that: “Rights and freedoms may in no case be exercised contrary to the purposes and principles of the United Nations”.

I do not want to be a conspiracy theorist but there are starting to be too many coincidences. This could lead us to think that at the very least, there might actually be a concerted effort to push the world toward an international governing body.

Again, I ask you watch the videos and follow the links with an open mind. Think about the body of evidence and draw your own conclusions.

How can this happen? Actually it is easy really –I will quote the Conservapuppies Blog, who say it perfectly –
 “The majority of the members of Congress probably aren’t even aware of any of what is really going on, they are just “useful idiots” , too lazy to read the bills they are voting on, happy to vote “yes” in return for special favors and pork to take home to the voters”.

For more interesting background and resource data, visit the following links:

http://www.mauricestrong.net/

http://www.mauricestrong.net/2009013070/earth-charter.html

http://www.un.org/en/events/habitatday/

http://www.crossroad.to/text/articles/la21_198.html

http://www.un.org/en/development/progareas/population.shtml

http://www.freedomadvocates.org/video/watch/60_agenda_21_sustainable_development_michael_shaw/

My previous related posts:

The Story of Stuff: Anti-capitalism Propoganda aimed @ YOUR KIDS! http://bit.ly/NL0gd

A Fish that killed a valley: http://wp.me/pv8jP-8W

Cap & Trade or Bait & Switch http://bit.ly/rN9M2

The Truth About Change http://wp.me/pv8jP-1j

More to come…..

Socialism – Coming to America

This is a great compliation of clips into a single video. It makes the problem so clear. We must WAKE UP and Take our country back and WE MUST DO IT NOW!

Watch here
http://www.youtube.com/watch?v=nky61jzeIWY&feature=related

Restore the Republic, Reject the Socialist Agenda of  Obama!

The Economic Meltdown…… America: caught in a spider’s web, Part 1

So for years the American economy appeared to be cruising along; money was being made in the stock market, 401k’s were filling up and then almost without warning the bottom dropped out. What happened? Were all the warning signs being ignored?  Was it simply greed and unethical behavior? Or was it an unrealistic “redistribute the wealth” agenda of “progressive” politicians? Yes, yes, and yes!

It is this simple and this complicated. Bankers must behave ethically. Politicians must act responsibly. Citizens must behave sensibly and everyone must behave morally.

This meltdown represents more than just a breakdown of our financial system; it also reflects a meltdown of our national value system. Ours’ is a nation that was built with a system that rewarded hard work, contributions to society, leadership and self discipline. Our bedrock values included God, family, honesty, education, personal responsibility and patriotism. These values have been replaced with greed; instant gratification, breakdown of the family unit, erosion of religion’s place in society, a victim culture, and   lack of respect for the law.

“We have no government armed in power capable of contending with human passions unbridled by morality and religion. Our Constitution was made only for a religious and moral people. It is wholly inadequate for the government of any other”. – John Adams

A loss of civility is now reflected in the behavior of both parties during campaigns. No longer are campaigns about a difference in opinions on how to govern or debates about the merits of policy positions. Instead, they have become an exercise in mudslinging, destruction of the candidates, lies, propaganda, intimidation and bullying to turn political agenda into public policy.

“I offer my opponents a bargain:  if they will stop telling lies about us, I will stop telling the truth about them”.  ~Adlai Stevenson

In many ways, the financial crisis is the result of ruthless politicians, in league with unscrupulous citizens, exploiting anyone they can with entitlement programs, legislation and loopholes. The public has come to confuse these entitlement programs with “rights” and to provide these “rights”, our politicians are willing to spend future generations into bankruptcy. It is completely fair to refer to the stimulus bill as “The Generational Theft Act of 2009”.

“It is incumbent on every generation to pay its own debts as it goes. A principle which if acted on would save one-half the wars of the world.” – Thomas Jefferson 

So let’s begin to unravel the web in which we find ourselves. There are so many parts and pieces to this story. This is the first (and longest) installment. In this report we will establish the timeline of events surrounding the meltdown in detail. My goal is to shed light on the agenda at work and expose the trap we are being forced into. What’s at stake? Our liberty, our freedom and our national sovereignty! 

The Economic Meltdown   

I am going to outline the key events which set up and are prolonging our economic meltdown. To see graphical version of the timeline go to: http://www.timelinesoftware.com/Schedules/MortgageCrisisTimeline.pdf 

As you read through this list of events, you should take note of the level of intervention that the government undertook during this crisis. Their action is unprecedented. The amount of spending and “investing” of tax dollars in businesses and banks can only be viewed as the first step toward nationalization of the U.S. business and our economy. Keep in mind that this is not the full list but a sampling of the events. Another interesting note is the source of this information. The bulk of this list came from the website of the St. Louis Federal Reserve Bank. Each item on the list is a link to an actual government press release. A link to the full list is provided to the site later in the article. 

Summary of Events: 

1999 The Clinton Administration pressures Fannie Mae into lending to lower income borrowers 

2003 (Jun); Freddie Mac admits understating earnings by $5 billion 

2003 (Sep); The Bush Administration recommends an overhaul of Fannie Mae. 

2004 (Dec); Fannie Mae advised to restate earnings and reduce them by $9 billion 

2005 (Jan); Federal Housing Enterprise Regulatory Reform Act is proposed for the second time; never makes it to the floor for a vote. 

2005 (May) Greenspan calls home price speculation unsustainable 

2007, Bernacke starts to issue continual warnings of an impending economic disaster; ranging from derivatives, stocks, sub prime mortgages and inflation. 

==>> (St. Louis Fed list starts here) July 24, 2007 | SEC Filing  Countrywide Financial Corporation warns of “difficult conditions.”

July 31, 2007 | U.S. Bankruptcy Filing   Bear Stearns liquidates two hedge funds that invested in various types of mortgage-backed securities.

August 6, 2007 | SEC Filing   American Home Mortgage Investment Corporation files for Chapter 11 bankruptcy protection.

August 7, 2007 | Federal Reserve Press Release  The FOMC votes to maintain its target for the federal funds rate at 5.25 percent.

August 10, 2007 | Federal Reserve Press Release  The Federal Reserve Board announces that it “will provide reserves as necessary…to promote trading in the federal funds market at rates close to the FOMC’s target rate of 5.25 percent. In current circumstances, depository institutions may experience unusual funding needs because of dislocations in money and credit markets. As always, the discount window is available as a source of funding.”

August 16, 2007 | SEC Filing   Fitch Ratings downgrades Countrywide Financial Corporation to BBB+, its third lowest investment-grade rating, and Countrywide borrows the entire $11.5 billion available in its credit lines with other banks.

August 17, 2007 | Federal Reserve Press Release  The Federal Reserve Board votes to reduce the primary credit rate 50 basis points to 5.75 percent, bringing the rate to only 50 basis points above the FOMC’s federal funds rate target. The Board also increases the maximum primary credit borrowing term to 30 days, renewable by the borrower.

September 18, 2007 | Federal Reserve Press Release   The FOMC votes to reduce its target for the federal funds rate 50 basis points to 4.75 percent. The Federal Reserve Board votes to reduce the primary credit rate 50 basis points to 5.25 percent.

October 10, 2007 | Hope Now Press Release | Treasury Department Press Release   U.S. Treasury Secretary Paulson announces the HOPE NOW initiative, an alliance of investors, servicers, mortgage market participants, and credit and homeowners’ counselors encouraged by the Treasury Department and the Department of Housing and Urban Development.

October 15, 2007 | Bank of America Press Release   Citigroup, Bank of America, and JPMorgan Chase announce plans for an $80 billion Master Liquidity Enhancement Conduit to purchase highly rated assets from existing special purpose vehicles.

October 31, 2007 | Federal Reserve Press Release   The FOMC votes to reduce its target for the federal funds rate 25 basis points to 4.50 percent. The Federal Reserve Board votes to reduce the primary credit rate 25 basis points to 5.00 percent.

December 11, 2007 | Federal Reserve Press Release   The FOMC votes to reduce its target for the federal funds rate 25 basis points to 4.25 percent. The Federal Reserve Board votes to reduce the primary credit rate 25 basis points to 4.75 percent.

December 12, 2007 | Federal Reserve Press Release | Additional Information   The Federal Reserve Board announces the creation of a Term Auction Facility (TAF) in which fixed amounts of term funds will be auctioned to depository institutions against a wide variety of collateral. The FOMC authorizes temporary reciprocal currency arrangements (swap lines) with the European Central Bank (ECB) and the Swiss National Bank (SNB). The Fed states that it will provide up to $20 billion and $4 billion to the ECB and SNB, respectively, for up to 6 months.

December 21, 2007 | Bank of America Press Release   Citigroup, JPMorgan Chase, and Bank of America abandon plans for the Master Liquidity Enhancement Conduit, announcing that the fund “is not needed at this time.”

2008

January 11, 2008 | Bank of America Press Release   Bank of America announces that it will purchase Countrywide Financial in an all-stock transaction worth approximately $4 billion.

January 22, 2008 | Federal Reserve Press Release   In an intermeeting conference call, the FOMC votes to reduce its target for the federal funds rate 75 basis points to 3.5 percent. The Federal Reserve Board votes to reduce the primary credit rate 75 basis points to 4 percent.

January 30, 2008 | Federal Reserve Press Release   The FOMC votes to reduce its target for the federal funds rate 50 basis points to 3 percent. The Federal Reserve Board votes to reduce the primary credit rate 50 basis points to 3.5 percent. 

February 13, 2008 | Public Law 110-185   President Bush signs the Economic Stimulus Act of 2008 (Public Law 110-185) into law. 

March 5, 2008 | Carlyle Capital Corporation Press Release   Carlyle Capital Corporation receives a default notice after failing to meet margin calls on its mortgage bond fund. 

March 11, 2008 | Federal Reserve Press Release | Additional Information   The Federal Reserve Board announces the creation of the Term Securities Lending Facility (TSLF), which will lend up to $200 billion of Treasury securities for 28-day terms against federal agency debt, federal agency residential mortgage-backed securities (MBS), non-agency AAA/Aaa private label residential MBS, and other securities. The FOMC increases its swap lines with the ECB by $10 billion and the Swiss National Bank by $2 billion and also extends these lines through September 30, 2008. 

March 14, 2008 | Federal Reserve Press Release   The Federal Reserve Board approves the financing arrangement announced by JPMorgan Chase and Bear Stearns [see note for March 24]. The Federal Reserve Board also announces they are “monitoring market developments closely and will continue to provide liquidity as necessary to promote the orderly function of the financial system.” 

March 18, 2008 | Federal Reserve Press Release   The FOMC votes to reduce its target for the federal funds rate 75 basis points to 2.25 percent. The Federal Reserve Board votes to reduce the primary credit rate 75 basis points to 2.50 percent. 

March 24, 2008 | Federal Reserve Bank of New York Press Release   The Federal Reserve Bank of New York announces that it will provide term financing to facilitate JPMorgan Chase & Co.’s acquisition of The Bear Stearns Companies Inc. A limited liability company (Maiden Lane) is formed to control $30 billion of Bear Stearns assets that are pledged as security for $29 billion in term financing from the New York Fed at its primary credit rate. JPMorgan Chase will assume the first $1 billion of any losses on the portfolio. 

April 30, 2008 | Federal Reserve Press Release   The FOMC votes to reduce its target for the federal funds rate 25 basis points to 2 percent. The Federal Reserve Board votes to reduce the primary credit rate 25 basis points to 2.25 percent. 

June 5, 2008 | Federal Reserve Press Release   The Federal Reserve Board announces approval of the notice of Bank of America to acquire Countrywide Financial Corporation. 

July 11, 2008 | FDIC Press Release   The Office of Thrift Supervision closes IndyMac Bank, F.S.B. The Federal Deposit Insurance Corporation (FDIC) announces the transfer of the insured deposits and most assets of IndyMac Bank, F.S.B. to IndyMac Federal Bank, FSB.   

July 13, 2008 | Federal Reserve Press Release   The Federal Reserve Board authorizes the Federal Reserve Bank of New York to lend to the Federal National Mortgage Association (Fannie Mae) and the Federal Home Loan Mortgage Corporation (Freddie Mac), should such lending prove necessary. 

July 13, 2008 | Treasury Department Press Release   The U.S. Treasury Department announces a temporary increase in the credit lines of Fannie Mae and Freddie Mac and a temporary authorization for the Treasury to purchase equity in either GSE if needed.    

July 15, 2008 | SEC Press Release   The Securities Exchange Commission (SEC) issues an emergency order temporarily prohibiting naked short selling in the securities of Fannie Mae, Freddie Mac, and primary dealers at commercial and investment banks.   

July 30, 2008 | Public Law 110-289   President Bush signs into law the Housing and Economic Recovery Act of 2008 (Public Law 110-289), which, among other provisions, authorizes the Treasury to purchase GSE obligations and reforms the regulatory supervision of the GSEs under a new Federal Housing Finance Agency.  

September 7, 2008 | Treasury Department Press Release   The Federal Housing Finance Agency (FHFA) places Fannie Mae and Freddie Mac in government conservatorship. The U.S. Treasury Department announces three additional measures to complement the FHFA’s decision: 1) Preferred stock purchase agreements between the Treasury/FHFA and Fannie Mae and Freddie Mac to ensure the GSEs positive net worth; 2) a new secured lending facility which will be available to Fannie Mae, Freddie Mac, and the Federal Home Loan Banks; and 3) a temporary program to purchase GSE MBS.   

September 15, 2008 | Bank of America Press Release    Bank of America announces its intent to purchase Merrill Lynch & Co. for $50 billion. 

September 15, 2008 | SEC Filing     Lehman Brothers Holdings Incorporated files for Chapter 11 bankruptcy protection.  

September 16, 2008 | Federal Reserve Press Release    The Federal Reserve Board authorizes the Federal Reserve Bank of New York to lend up to $85 billion to the American International Group (AIG) under Section 13(3) of the Federal Reserve Act.     

September 16, 2008 | Reserve Funds Press Release   The net asset value of shares in the Reserve Primary Money Fund falls below $1, primarily due to losses on Lehman Brothers commercial paper and medium-term notes.    

September 17, 2008 | Treasury Department Press Release     The U.S. Treasury Department announces a Supplementary Financing Program consisting of a series of Treasury bill issues that will provide cash for use in Federal Reserve initiatives.   

September 17, 2008 | SEC Press Release   The SEC announces a temporary emergency ban on short selling in the stocks of all companies in the financial sector. 

September 19, 2008 | Treasury Department Press Release   The U.S. Treasury Department announces a temporary guaranty program that will make available up to $50 billion from the Exchange Stabilization Fund to guarantee investments in participating money market mutual funds.  

September 21, 2008 | Federal Reserve Press Release   The Federal Reserve Board approves applications of investment banking companies Goldman Sachs and Morgan Stanley to become bank holding companies.     

September 25, 2008 | Office of Thrift Supervision Press Release    The Office of Thrift Supervision closes Washington Mutual Bank. JPMorgan Chase acquires the banking operations of Washington Mutual in a transaction facilitated by the FDIC. 

See Sep. 2008 timeline at: http://www.foxbusiness.com/story/markets/economy/timeline-financial-crisis/

http://www.cnn.com/2008/BUSINESS/09/30/us.bailout.timeline/index.html

The FDIC agrees to enter into a loss-sharing arrangement with Citigroup on a $312 billion pool of loans, with Citigroup absorbing the first $42 billion of losses and the FDIC absorbing losses beyond that. In return, Citigroup would grant the FDIC $12 billion in preferred stock and warrants. 

October 3, 2008 | Federal Reserve Press Release    Wells Fargo announces a competing proposal to purchase Wachovia Corporation that does not require assistance from the FDIC. 

October 3, 2008 | H.R. 1424 | Public Law 110-343   Congress passes and President Bush signs into law the Emergency Economic Stabilization Act of 2008 (Public Law 110-343), which establishes the $700 billion Troubled Asset Relief Program (TARP).    

October 8, 2008 | Federal Reserve Press Release   The Federal Reserve Board authorizes the Federal Reserve Bank of New York to borrow up to $37.8 billion in investment-grade, fixed-income securities from American International Group (AIG) in return for cash collateral.    

October 8, 2008 | Federal Reserve Press Release   The FOMC votes to reduce its target for the federal funds rate 50 basis points to 1.50 percent. The Federal Reserve Board votes to reduce the primary credit rate 50 basis points to 1.75 percent.  

October 12, 2008 | Federal Reserve Press Release    The Federal Reserve Board announces its approval of an application by Wells Fargo & Co. to acquire Wachovia Corporation. 

October 14, 2008 | Treasury Department TARP Press Release | Additional Information   U.S. Treasury Department announces the Troubled Asset Relief Program (TARP) that will purchase capital in financial institutions under the authority of the Emergency Economic Stabilization Act of 2008. The U.S. Treasury will make available $250 billion of capital to U.S. financial institutions. This facility will allow banking organizations to apply for a preferred stock investment by the U.S. Treasury. Nine large financial organizations announce their intention to subscribe to the facility in an aggregate amount of $125 billion.    

October 24, 2008 | PNC Press Release   PNC Financial Services Group Inc. purchases National City Corporation, creating the fifth largest U.S. bank. 

October 28, 2008 | Treasury Department CPP Transaction Report   The U.S. Treasury Department purchases a total of $125 billion in preferred stock in nine U.S. banks under the Capital Purchase Program. 

October 29, 2008 | Federal Reserve Press Release   The FOMC votes to reduce its target for the federal funds rate 50 basis points to 1.00 percent. The Federal Reserve Board reduces the primary credit rate 50 basis points to 1.25 percent.    

November 10, 2008 | Federal Reserve Press Release   The Federal Reserve Board approves the applications of American Express and American Express Travel Related Services to become bank holding companies.     

November 10, 2008 | Federal Reserve Press Release | Treasury Department Press Release   The Federal Reserve Board and the U.S. Treasury Department announce a restructuring of the government’s financial support of AIG. The Treasury will purchase $40 billion of AIG preferred shares under the TARP program, a portion of which will be used to reduce the Federal Reserve’s loan to AIG from $85 billion to $60 billion. The terms of the loan are modified to reduce the interest rate to the three-month LIBOR plus 300 basis points and lengthen the term of the loan from two to five years. The Federal Reserve Board also authorizes the Federal Reserve Bank of New York to establish two new lending facilities for AIG: The Residential Mortgage- Backed Securities Facility will lend up to $22.5 billion to a newly formed limited liability company (LLC) to purchase residential MBS from AIG; the Collateralized Debt Obligations Facility will lend up to $30 billion to a newly formed LLC to purchase CDOs from AIG (Maiden Lane III LLC). 

November 11, 2008 | Treasury Department Press Release   The U.S. Treasury Department announces a new streamlined loan modification program with cooperation from the Federal Housing Finance Agency (FHFA), Department of Housing and Urban Development, and the HOPE NOW alliance.    

November 12, 2008 | Treasury Department Press Release   U.S. Treasury Secretary Paulson formally announces that the Treasury has decided not to use TARP funds to purchase illiquid mortgage-related assets from financial institutions.    

November 14, 2008 | Treasury Department CPP Transaction Report   The U.S. Treasury Department purchases a total of $33.5 billion in preferred stock in 21 U.S. banks under the Capital Purchase Program.    

November 17, 2008 | Lincoln National Press Release | Hartford Press Release | Genworth Press Release   Three large U.S. life insurance companies seek TARP funding: Lincoln National, Hartford Financial Services Group, and Genworth Financial announce their intentions to purchase lenders/depositories and thus qualify as savings and loan companies to access TARP funding. 

November 18, 2008 | Senate Hearing   Executives of Ford, General Motors, and Chrysler testify before Congress, requesting access to the TARP for federal loans. 

November 20, 2008 | Fannie Mae Press Release | Freddie Mac Press Release    Fannie Mae and Freddie Mac announce that they will suspend mortgage foreclosures until Jan 2009. 

November 21, 2008 | Treasury Department CPP Transaction Report   The U.S. Treasury Department purchases a total of $3 billion in preferred stock in 23 U.S. banks under the Capital Purchase Program. 

November 23, 2008 | Federal Reserve Press Release | Summary of Terms   The U.S. Treasury Department, Federal Reserve Board, and FDIC jointly announce an agreement with Citigroup to provide a package of guarantees, liquidity access, and capital. Citigroup will issue preferred shares to the Treasury and FDIC in exchange for protection against losses on a $306 billion pool of commercial and residential securities held by Citigroup. The Federal Reserve will backstop residual risk in the asset pool through a non-recourse loan. In addition, the Treasury will invest an additional $20 billion in Citigroup from the TARP. 

November 25, 2008 | Federal Reserve Press Release   The Federal Reserve Board announces the creation of the Term Asset-Backed Securities Lending Facility (TALF), under which the Federal Reserve Bank of New York will lend up to $200 billion on a non-recourse basis to holders of AAA-rated asset-backed securities and recently originated consumer and small business loans. The U.S. Treasury will provide $20 billion of TARP money for credit protection.     

November 25, 2008 | Federal Reserve Press Release    The Federal Reserve Board announces a new program to purchase direct obligations of housing related government-sponsored enterprises (GSEs)—Fannie Mae, Freddie Mac and Federal Home Loan Banks—and MBS backed by the GSEs. Purchases of up to $100 billion in GSE direct obligations will be conducted as auctions among Federal Reserve primary dealers. Purchases of up to $500 billion in MBS will be conducted by asset managers.    

November 26, 2008 | Federal Reserve Press Release   The Federal Reserve Board announces approval of the notice of Bank of America Corporation to acquire Merrill Lynch and Company. 

December 2, 2008 | Federal Reserve Press Release   The Federal Reserve Board announces that it will extend three liquidity facilities, the Primary Dealer Credit Facility (PDCF), the Asset-Backed Commercial Paper Money Market Fund Liquidity Facility (AMLF), and the Term Securities Lending Facility (TSLF) through April 30, 2009. 

December 3, 2008 | SEC Press Release   The SEC approves measures to increase transparency and accountability at credit rating agencies and thereby ensure that firms provide more meaningful ratings and greater disclosure to investors. 

December 5, 2008 | Treasury Department CPP Transaction Report   The U.S. Treasury Department purchases a total of $4 billion in preferred stock in 35 U.S. banks under the Capital Purchase Program. 

December 11, 2008 | NBER Press Release   The Business Cycle Dating Committee of the National Bureau of Economic Research announces that a peak in U.S. economic activity occurred in December 2007 and that the economy has since been in a recession. 

December 12, 2008 | Treasury Department CPP Transaction Report   The U.S. Treasury Department purchases a total of $6.25 billion in preferred stock in 28 U.S. banks under the Capital Purchase Program.  

December 15, 2008 | Federal Reserve Press Release   The Federal Reserve Board announces that it has approved the application of PNC Financial Services to acquire National City Corporation. 

December 16, 2008 | Federal Reserve Press Release   The FOMC votes to establish a target range for the effective federal funds rate of 0 to 0.25 percent. The Federal Reserve Board votes to reduce the primary credit rate 75 basis points to 0.50 percent. The Federal Reserve Board also establishes the interest rates on required reserve balances and excess balances at 0.25 percent for reserve maintenance periods beginning December 18, 2008.     

December 19, 2008 | Treasury Department Press Release | General Motors Term Sheet | Chrysler Term Sheet   The U.S. Treasury Department authorizes loans of up to $13.4 billion for General Motors and $4.0 billion for Chrysler from the TARP. 

December 19, 2008 | Treasury Department CPP Transaction Report   The U.S. Treasury Department purchases a total of $27.9 billion in preferred stock in 49 U.S. banks under the Capital Purchase Program. 

December 22, 2008 | Federal Reserve Press Release   The Federal Reserve Board approves the application of CIT Group Inc., an $81 billion financing company, to become a bank holding company. The Board cites “unusual and exigent circumstances affecting the financial markets” for expeditious action on CIT Group’s application.  

December 23, 2008 | Treasury Department CPP Transaction Report   The U.S. Treasury Department purchases a total of $15.1 billion in preferred stock from 43 U.S. banks under the Capital Purchase Program.    

December 24, 2008 | Federal Reserve Press Release    The Federal Reserve Board approves the applications of GMAC LLC and IB Finance Holding Company, LLC (IBFHC) to become bank holding companies, on conversion of GMAC Bank, a $33 billion Utah industrial loan company, to a commercial bank. GMAC Bank is a direct subsidiary of IBFHC and an indirect subsidiary of GMAC LLC, a $211 billion company. The Board cites “unusual and exigent circumstances affecting the financial markets” for expeditious action on these applications. As part of the agreement, General Motors will reduce its ownership interest in GMAC to less than 10 percent. 

December 29, 2008 | Treasury Department Press Release    The U.S. Treasury Department announces that it will purchase $5 billion in equity from GMAC as part of its program to assist the domestic automotive industry. The Treasury also agrees to lend up to $1 billion to General Motors “so that GM can participate in a rights offering at GMAC in support of GMAC’s reorganization as a bank holding company.” This commitment is in addition to the support announced on December 19, 2008. 

December 30, 2008 | Federal Reserve Press Release   The Federal Reserve Board announces that it expects to begin to purchase mortgage-backed securities backed by Fannie Mae, Freddie Mac and Ginnie Mae under a previously announced program in early January 2009 (see November 25, 2008). 

December 31, 2008 | Treasury Department CPP Transaction Report   The U.S. Treasury Department purchases a total of $1.91 billion in preferred stock from seven U.S. banks under the Capital Purchase Program.

2009

January 5, 2009 | Federal Reserve Bank of New York Press Release   The Federal Reserve Bank of New York begins purchasing fixed-rate mortgage-backed securities guaranteed by Fannie Mae, Freddie Mac and Ginnie Mae under a program first announced on November 25, 2008. 

January 9, 2009 | Treasury Department CPP Transaction Report   The U.S. Treasury Department purchases a total of $4.8 billion in preferred stock from 43 U.S. banks under the Capital Purchase Program. 

January 12, 2009 | White House Press Release | More Information   At the request of President-Elect Obama, President Bush submits a request to Congress for the remaining $350 billion in TARP funding for use by the incoming administration. 

January 16, 2009 | Treasury Department CPP Transaction Report    The U.S. Treasury Department purchases a total of $1.4 billion in preferred stock from 39 U.S. banks under the Capital Purchase Program. 

January 16, 2009 | Federal Reserve Press Release | Term Sheet   The U.S. Treasury Department, Federal Reserve, and FDIC announce a package of guarantees, liquidity access, and capital for Bank of America. The U.S. Treasury and the FDIC will enter a loss-sharing arrangement with Bank of America on a $118 billion portfolio of loans, securities, and other assets in exchange for preferred shares. In addition, and if necessary, the Federal Reserve will provide a non-recourse loan to back-stop residual risk in the portfolio. Separately, the U.S. Treasury will invest $20 billion in Bank of America from the TARP in exchange for preferred stock. 

January 16, 2009 | Treasury Department Press Release    The U.S. Treasury Department, Federal Reserve and FDIC finalize terms of their guarantee agreement with Citigroup. (See announcement on November 23, 2008.) 

January 16, 2009 | Treasury Department Press Release   The U.S. Treasury Department announces that it will lend $1.5 billion from the TARP to a special purpose entity created by Chrysler Financial to finance the extension of new consumer auto loans. 

January 23, 2009 | Treasury Department CPP Transaction Report    The U.S. Treasury Department purchases a total of $326 million in preferred stock from 23 U.S. banks under the Capital Purchase Program.      

January 30, 2009 | Federal Reserve Press Release     The Board of Governors announces a policy to avoid preventable foreclosures on certain residential mortgage assets held, controlled or owned by a Federal Reserve Bank. The policy was developed pursuant to section 110 of the Emergency Economic Stabilization Act. 

January 30, 2009 | Treasury Department CPP Transaction Report   The U.S. Treasury Department purchases a total of $1.15 billion in preferred stock from 42 U.S. banks under the Capital Purchase Program. 

February 6, 2009 | Treasury Department CPP Transaction Report   The U.S. Treasury Department purchases a total of $238.5 million in preferred stock from 28 U.S. banks under the Capital Purchase Program.  

February 10, 2009 | Treasury Department Press Release | Fact Sheet    U.S. Treasury Secretary Timothy Geithner announces a Financial Stability Plan involving Treasury purchases of convertible preferred stock in eligible banks, the creation of a Public-Private Investment Fund to acquire troubled loans and other assets from financial institutions, expansion of the Federal Reserve’s Term Asset-Backed Securities Loan Facility (TALF), and new initiatives to stem residential mortgage foreclosures and to support small business lending. 

February 10, 2009 | Federal Reserve Press Release   The Federal Reserve Board announces that is prepared to expand the Term Asset-Backed Securities Loan Facility (TALF) to as much as $1 trillion and broaden the eligible collateral to include AAA-rated commercial mortgage-backed securities, private-label residential mortgage-backed securities, and other asset-backed securities. An expansion of the TALF would be supported by $100 billion from the Troubled Asset Relief Program (TARP). The Federal Reserve Board will announce the date that the TALF will commence operations later this month. 

February 13, 2009 | Treasury Department CPP Transaction Report   The U.S. Treasury Department purchases a total of $429 million in preferred stock from 29 U.S. banks under the Capital Purchase Program. 

February 17, 2009 | American Recovery and Reinvestment Act of 2009    President Obama signs into law the “American Recovery and Reinvestment Act of 2009”, which includes a variety of spending measures and tax cuts intended to promote economic recovery. 

February 18, 2009 | Executive Summary   President Obama announces The Homeowner Affordability and Stability Plan.   The plan includes a program to permit the refinancing of conforming home mortgages owned or guaranteed by Fannie Mae or Freddie Mac that currently exceed 80 percent of the value of the underlying home. The plan also creates a $75 billion Homeowner Stability Initiative to modify the terms of eligible home loans to reduce monthly loan payments.  In addition, the U.S. Treasury Department will increase its preferred stock purchase agreements with Fannie Mae and Freddie Mac to $200 billion, and increase the limits on the size of Fannie Mae and Freddie Mac’s portfolios to $900 billion. 

February 24, 2009 | Treasury Department CPP Transaction Report   The U.S. Treasury Department purchases a total of $365.4 million in preferred stock from 23 U.S. banks under the Capital Purchase Program. 

February 26, 2009 | FDIC Quarterly Banking Profile   The FDIC announces that the number of “problem banks” increased from 171 institutions with $116 billion of assets at the end of the third quarter of 2008, to 252 insured institutions with $159 billion in assets at the end of fourth quarter of 2008. The FDIC also announces that there were 25 bank failures and five assistance transactions in 2008, which was the largest annual number since 1993. 

February 26, 2009 | Fannie Mae Press Release   Fannie Mae reports a loss of $25.2 billion in the fourth quarter of 2008, and a full year 2008 loss of $58.7 billion. Fannie Mae also reports that on February 25, 2009, the Federal Housing Finance Agency submitted a request for $15.2 billion from the U.S. Treasury Department under the terms of the Senior Preferred Stock Purchase Agreement in order to eliminate Fannie Mae’s net worth deficit as of December 31, 2008. 

February 27, 2009 | Treasury Department Press Release   The U.S. Treasury Department announces its willingness to convert up to $25 billion of Citigroup preferred stock issued under the Capital Purchase Program into common equity. The conversion is contingent on the willingness of private investors to convert a similar amount of preferred shares into common equity. Remaining U.S. Treasury and FDIC preferred shares issued under the Targeted Investment Program and Asset Guarantee Program would be converted into a trust preferred security of greater structural seniority that would carry the same 8% cash dividend rate as the existing issue.    

February 27, 2009 | Treasury Department CPP Transaction Report   The U.S. Treasury Department purchases a total of $394.9 million in preferred stock from 28 U.S. banks under the Capital Purchase Program. 

March 2, 2009 | AIG Press Release | Federal Reserve Press Release | Treasury Department Press Release   The U.S. Treasury Department and Federal Reserve Board announce a restructuring of the government’s assistance to American International Group (AIG). Under the restructuring, AIG will receive as much as $30 billion of additional capital from the Troubled Asset Relief Program (TARP). In addition, the U.S. Treasury Department will exchange its existing $40 billion cumulative preferred shares in AIG for new preferred shares with revised terms that more closely resemble common equity. Finally, AIG’s revolving credit facility with the Federal Reserve Bank of New York will be reduced from $60 billion to no less than $25 billion and the terms will be modified. In exchange, the Federal Reserve will receive preferred interests in two special purpose vehicles created to hold the outstanding common stock of two subsidiaries of AIG: American Life Insurance Company and American International Assurance Company Ltd. Separately, AIG reports a fourth quarter 2008 loss of $61.7 billion, and a loss of $99.3 billion for all of 2008. 

March 6, 2009 | Treasury Department CPP Transaction Report    The U.S. Treasury Department purchases a total of $284.7 million in preferred stock from 22 U.S. banks under the Capital Purchase Program. 

March 11, 2009 | Freddie Mac Press Release    Freddie Mac announces that it had a net loss of $23.9 billion in the fourth quarter of 2008, and a net loss of $50.1 billion for 2008 as a whole. Further, Freddie Mac announces that its conservator has submitted a request to the U.S. Treasury Department for an additional $30.8 billion in funding for the company under the Senior Preferred Stock Purchase Agreement with the Treasury. 

March 13, 2009 | Treasury Department CPP Transaction Report    The U.S. Treasury Department purchases a total of $1.45 billion in preferred stock from 19 U.S. banks under the Capital Purchase Program. 

March 18, 2009 | Federal Reserve Bank of New York Press Release    The Federal Reserve Bank of New York releases more information on the Federal Reserve’s plan to purchase Treasury securities. The Desk will concentrate its purchases in nominal maturities ranging from 2 to 10 years. The purchases will be conducted with the Federal Reserve’s primary dealers through a series of competitive auctions and will occur two to three times a week. The Desk plans to hold the first purchase operation late next week. 

March 19, 2009 | Treasury Department Press Release   The U.S. Department of the Treasury announces an Auto Supplier Support Program that will provide up to $5 billion in financing to the automotive industry. The Supplier Support Program will provide selected suppliers with financial protection on monies (“receivables”) they are owed by domestic auto companies and the opportunity to access immediate liquidity against those obligations. Receivables created with respect to goods shipped after March 19, 2009, will be eligible for the program. Any domestic auto company is eligible to participate in the program. Any U.S.-based supplier that ships to a participating auto manufacturer on qualifying commercial terms may be eligible to participate in the program. 

March 20, 2009 | Treasury Department CPP Transaction Report    The U.S. Treasury Department purchases a total of $80.8 million in preferred stock from 10 U.S. banks under the Capital Purchase Program.     

March 23, 2009 | Federal Reserve Press Release   The Federal Reserve and the U.S. Treasury issue a joint statement on the appropriate roles of each during the current financial crisis and into the future, and on the steps necessary to ensure financial and monetary stability. The four points of agreement are 1) The Treasury and the Federal Reserve will continue to cooperate in improving the functioning of credit markets and fostering financial stability; 2) The Federal Reserve should avoid credit risk and credit allocation, which are the province of fiscal authorities; 3) The need to preserve monetary stability, and that actions by the Federal Reserve in the pursuit of financial stability must not constrain the exercise of monetary policy as needed to foster maximum sustainable employment and price stability; and 4) The need for a comprehensive resolution regime for systemically critical financial institutions. In addition, the Treasury will seek to remove the Maiden Lane facilities from the Federal Reserve’s balance sheet. 

March 26, 2009 | Treasury Department Press Release   The U.S. Treasury Department outlines a framework for comprehensive regulatory reform that focuses on containing systemic risks in the financial system. The framework calls for assigning responsibility over all systemically-important firms and critical payment and settlement systems to a single independent regulator. Further, it calls for higher standards on capital and risk management for systemically-important firms; for requiring all hedge funds above a certain size to register with a financial regulator; for a comprehensive framework of oversight, protection and disclosure for the over-the-counter derivatives market; for new requirements for money market funds; and for stronger resolution authority covering all financial institutions that pose systemic risks to the economy. 

March 27, 2009 | Treasury Department CPP Transaction Report   The U.S. Treasury Department purchases a total of $193 million in preferred stock from 14 U.S. banks under the Capital Purchase Program. 

April 3, 2009 | Treasury Department CPP Transaction Report    The U.S. Treasury purchases a total of $54.8 million in preferred stock from 10 U.S. banks under the Capital Purchase Program. 

April 10, 2009 | Treasury Department CPP Transaction Report    The U.S. Treasury purchases a total of $22.8 million in preferred stock from 5 U.S. banks under the Capital Purchase Program. 

April 17, 2009 | Treasury Department CPP Transaction Report   The U.S. Treasury purchases a total of $40.9 million in preferred stock from 6 U.S. banks under the Capital Purchase Program.  

April 24, 2009 | Treasury Department CPP Transaction Report   The U.S. Treasury purchases a total of $121.8 million in preferred stock from 12 U.S. banks under the Capital Purchase Program. 

May 1, 2009 | Treasury Department CPP Transaction Report    The U.S. Treasury purchases a total of $45.5 million in preferred stock from 7 U.S. banks under the Capital Purchase Program. 

May 15, 2009 | Treasury Department CPP Transaction Report   The U.S. Treasury purchases a total of $107.6 million in preferred stock from 14 U.S. banks under the Capital Purchase Program. 

May 20, 2009 | FDIC Press Release    President Obama signs the Helping Families Save Their Homes Act of 2009, which temporarily raises FDIC deposit insurance coverage from $100,000 per depositor to $250,000 per depositor.  The new coverage at FDIC-insured institutions will expire on January 1, 2014, when the amount will return to its standard level of $100,000 per depositor for all account categories except IRAs and other certain retirement accounts.  This action supersedes the October 3, 2008 changes.  

May 21, 2009 | FDIC Press Release   The Federal Deposit Insurance Corporation (FDIC) announces the approval of GMAC Financial Services to participate in the Temporary Liquidity Guarantee Program (TLGP).  GMAC will be allowed to issue up to $7.4 billion in new FDIC-guaranteed debt.  

May 22, 2009 | Federal Reserve Press Release    The Federal Reserve Board announces the adoption of a final rule that will allow bank holding companies to include in their Tier 1 capital without restriction senior perpetual preferred stock issued to the U.S. Treasury Department under the Troubled Asset Relief Program (TARP). 

May 22, 2009 | Treasury Department CPP Transaction Report    The U.S. Treasury purchases a total of $108 million in preferred stock from 12 U.S. banks under the Capital Purchase Program. 

May 27, 2009 | FDIC Quarterly Banking Profile   The FDIC announces that the number of “problem banks” increased from 252 insured institutions with $159 billion in assets at the end of fourth quarter of 2008, to 305 institutions with $220 billion of assets at the end of the first quarter of 2009. The FDIC also announces that there were 21 bank failures in the first quarter of 2009, which is the largest number of failed institutions in a quarter since the first quarter of 1992. 

May 29, 2009 | Treasury Department CPP Transaction Report   The U.S. Treasury purchases a total of $89 million in preferred stock from 8 U.S. banks under the Capital Purchase Program. 

June 1, 2009 | GM Press Release   As part of a new restructuring agreement with the U.S. Treasury and the governments of Canada and Ontario, General Motors Corporation and three domestic subsidiaries announce that they have filed for relief under Chapter 11 of the U.S. Bankruptcy Code. 

June 5, 2009 | Treasury Department CPP Transaction Report    The U.S. Treasury purchases a total of $40 million in preferred stock from 3 U.S. banks under the Capital Purchase Program. 

June 9, 2009 | Treasury Department Press Release    The U.S. Treasury Department announces that 10 of the largest U.S. financial institutions participating in the Capital Purchase Program have met the requirements for repayment established by the primary federal banking supervisors. If these firms choose to repay the capital acquired through the program, the Treasury will receive up to $68 billion in repayment proceeds. 

June 12, 2009 | Treasury Department CPP Transaction Report     The U.S. Treasury purchases a total of $39 million in preferred stock from 7 U.S. Banks under the Capital Purchase Program. 

June 17, 2009 | U.S. Treasury Department Regulatory Reform Proposal     The U.S. Treasury Department releases a proposal for reforming the financial regulatory system. The proposal calls for the creation of a Financial Services Oversight Council and for new authority for the Federal Reserve to supervise all firms that pose a threat to financial stability, including firms that do not own a bank. 

June 19, 2009 | Treasury Department CPP Transaction Report   The U.S. Treasury purchases a total of $84.7 million in preferred stock from 10 U.S. banks under the Capital Purchase Program. 

June 25, 2009 | AIG Press Release    American International Group (AIG) announces that it has entered into an agreement with the Federal Reserve Bank of New York to reduce the debt AIG owes the Federal Reserve Bank of New York by $25 billion. The Federal Reserve Bank of New York will receive preferred interests of $16 billion and $9 billion, respectively, in two new special purpose vehicles holding the equity of AIG subsidiaries American International Assurance Company and American Life Insurance Company. 

June 30, 2009 | Treasury Department Press Release   The U.S. Treasury proposes a bill to Congress that would create a new Consumer Financial Protection Agency. The bill would transfer all current consumer protection functions of the Federal Reserve System, Comptroller of the Currency, Office of Thrift Supervision, FDIC, FTC, and the National Credit Union Administration to the new agency. In addition, Treasury proposes amendments to the Federal Trade Commission Act with regards to coordination with the proposed Consumer Financial Protection Agency. 

To view the entire history, go to:  http://timeline.stlouisfed.org/index.cfm?p=timeline 

As you can see from the information above, the government has its’ fingerprints all over this mess. It can and should be argued that their attempt to manipulate this situation made it worse. Additionally, the use of taxpayer money to bailout through loans and buying ownership stakes in private businesses is unconstitutional. Especially when it is done by turning on the presses to print money we do not have. As a result we have accumulated massive public debt which has the potential to bankrupt the country. 

I apologize for the length of this post but to appreciate what has happened you must look at the details. The next installment in this series will focus on the players and their motivation for participating in this drama.

The Truth about Change…..there is plenty of change but is it really what you want……

“Sometimes I wonder whether the world is being run by smart people who are putting us on, or by imbeciles who really mean it.” -Mark Twain 

So in a 100+ days we have seen more sweeping changes in our government than we have in the last 25 years, but is it the change we want? We have witnessed a full scale assault on our system of government, our economy, our security, states’ rights and our national sovereignty. Government spending, intervention, regulation and oversight is at an all-time high. Our Constitution is being shredded by an arrogant approach to governing that starts with the premise that the government knows what is best for us. Ironically,  the Constitution was written and designed to protect our rights from just this type of governing. 

Here is a quick list of some of the adventures the new administration and the current Congress have taken us on so far, in no particular order: 

The Stimulus Bill – (N.Y. Times) Feb 14^th “The president made clear when we started this process that this was about jobs,” Mr. Boehner (R) Ohio, said after the vote. “Jobs. Jobs. Jobs. And what it’s turned into is nothing more than spending, spending and more spending.” “Never let a serious crisis go to waste. What I mean by that is it’s an opportunity to do things you couldn’t do before.” – White House Chief of Staff Rahm Emanuel This was undoubtedly part of the logic behind the $787 million stimulus bill that nobody in Congress read. The bill was a democrat’s wish list which contained such stimulating items as $1 billion for Amtrak, the federal railroad that hasn’t turned a profit in 40 years; $2 billion for child-care subsidies; $50 million for that great engine of job creation, the National Endowment for the Arts; $400 million for global-warming research and another $2.4 billion for carbon-capture demonstration projects. There’s even $650 million on top of the billions already doled out to pay for digital TV conversion coupons.  Plus  $252 billion is for income-transfer payments — that is, not investments that arguably help everyone, but cash or benefits to individuals for doing nothing at all. There’s $81 billion for Medicaid, $36 billion for expanded unemployment benefits, $20 billion for food stamps, and $83 billion for the earned income credit for people who don’t pay income tax. While some of that may be justified to help poorer Americans ride out the recession, they aren’t job creators.*  source* -The Wall Street Journal  The only jobs we are creating are government jobs – 66,000 census workers and 800 IRS agents.  (Category – Excessive Spending) 

Closing Guantanamo Bay – On Jan. 22^nd, President Obama signed an executive order to close Guantanamo Bay.  On May 18^th, the democrats denied President Obama’s request for $80 million to close Guantanamo Bay. “When they (the administration) have a plan, they’re welcome to come back and talk to us about it.” – House Appropriations Chairman David Obey (D-WI) Apparently, lawmakers are concerned about what would happen to the roughly 245 current Guantanamo inmates, many considered hardened terrorists particularly which congressional districts they would land in. Rep. Frank Wolf (R., Va.) said the Justice Dept. was prepared earlier this month to release Guantanamo prisoners into his district — which the administration denied — and he called for a moratorium on such releases. “We need a plan. We need to know where these men will go,” Mr. Wolf said. (Category – National Security) 

Release of the “torture memos” – April16^th,  (CBS News) -“Withholding these memos would only serve to deny facts that have been in the public domain for some time,” Mr. Obama said. “This could contribute to an inaccurate accounting of the past, and fuel erroneous and inflammatory assumptions about actions taken by the United States.” (WSJ) – “The four memos from 2002 and 2005 revealed new details about the interrogations, including a detailed description of water boarding, or simulated drowning, and descriptions of lesser-known methods such as “walling” and using insects. Sections involving names of some detainees and the way techniques were applied to particular prisoners were blacked out.” This should really improve our national security and relations with Muslims everywhere. The administration’s arrogance was on full display as this was done over the objections of their own CIA Chief Leon Panetta and others in the U.S. intelligence community. (Category – National Security) 

Greenhouse gases are harmful – April 17^th, The Obama Administration used its’ regulatory power to circumvent the need to try and force unpopular legislation. Instead, the EPA announced that greenhouse gas emissions were a threat to public health because they contribute to climate change. This sets the stage for the EPA to regulate emissions from a wide spectrum of sources including vehicles, power plants, manufacturing facilities, oil refineries and airplanes. The executive branch trumped the legislative process to further their agenda by cutting off a congressional debate that they couldn’t win. We still live in America – don’t we? (Category – Excessive Government Regulation) 

The apology tour – President Obama has made a habit of using his speeches abroad to apologize for American behavior in the past. Here are some highlights.

Ÿ         Jan. 26: “All too often the United States starts by dictating … and we don’t always know all the factors that are involved. So let’s listen. And I think if we do that, then there’s a possibility at least of achieving some breakthroughs. … My job to the Muslim world is to communicate that the Americans are not your enemy. We sometimes make mistakes. We have not been perfect.”
— President Obama, in an interview with Al Arabiya

Ÿ         April 1: “If you look at the sources of this crisis, the United States certainly has some accounting to do with respect to a regulatory system that was inadequate.”
— President Obama, at a press conference ahead of the G20 in London

Ÿ         April 2: “It is true, as my Italian friend has said, that the (economic) crisis began in the U.S. I take responsibility, even if I wasn’t even president at the time.”
— President Obama, at the G20 in London, as reported by Germany’s Der Spiegel

Ÿ         April 6: “I know there have been difficulties these last few years. I know that the trust that binds us has been strained, and I know that strain is shared in many places where the Muslim faith is practiced. Let me say this as clearly as I can: the United States is not at war with Islam.”
— President Obama, in Ankara, Turkey

Ÿ         April 16: “Too often, the United States has not pursued and sustained engagement with our neighbors. We have been too easily distracted by other priorities and have failed to see that our own progress is tied directly to progress throughout the Americas. My administration is committed to renewing and sustaining a broader partnership between the United States and the hemisphere on behalf of our common prosperity and our common security.”
— President Obama, in an op-ed that appeared in U.S. and Latin American newspapers prior to the Summit of the Americas

Ÿ         April 18: “We have at times been disengaged, and at times we sought to dictate our terms. But I pledge to you that we seek an equal partnership. There is no senior partner and junior partner in our relations.”
— President Obama, at the Summit of the Americas in Port of Spain, Trinidad

Ÿ         Is this a new form of “statesmanship”? Are these the positions that we want our leader expressing to the rest of the world. We are not a perfect nation but we are a good and generous one. We give the rest of the world billions of dollars a year in foreign aid and relief efforts trying to make it a better place. Let’s be honest – the hardworking people of our country are not the ones who are benefiting from the political hi-jinx that our politicians pull around the world – they and their cronies do! The only thing, “We, the people” need to apologize for is electing some of these idiots, in the first place. 

Remember the words of George Washington – “’Tis folly in one Nation to look for disinterested favors from another; that it must pay with a portion of its Independence for whatever it may accept under that character; that by such acceptance, it may place itself in the condition of having given equivalents for nominal favors and yet of being reproached with ingratitude for not giving more. There can be no greater error than to expect, or calculate upon real favors from Nation to Nation. ‘Tis an illusion which experience must cure, which a just pride ought to discard. …….. ‘Tis our true policy to steer clear of permanent Alliances, with any portion of the foreign world.” (Categories – National Security/Foreign Policy/National Sovereignty) 

The Chrysler Bailout/Bankruptcy – (N.Y.Times) WASHINGTON — President Obama forced Chrysler into federal bankruptcy protection on Thursday so it could pursue a lifesaving alliance with the Italian automaker Fiat, in yet another extraordinary intervention into private industry by the federal government.  – This intervention resulted in the UAW getting a 55% ownership share in Chrysler for about $4.2 billion while the taxpayers got about 8% for our $12 billion. Really! This is the kind of good deals you get when the government gets involved with business. So far the buy out has only saved union and management jobs . On the other side of the equation, the 789 dealerships closing will result in the loss of another 30,000 jobs in communities of every size nationwide. Many of these are family run businesses left holding inventories of cars and parts. Watch out GM is next. (Categories – Excessive Spending/Government Intervention) 

The G20 Rollover –  (Telegraph.co.uk) A single clause in Point 19 of the communiqué issued by the G20 leaders amounts to revolution in the global financial order. “We have agreed to support a general SDR allocation which will inject $250bn (£170bn) into the world economy and increase global liquidity,” it said. SDRs are Special Drawing Rights, a synthetic paper currency issued by the International Monetary Fund that has lain dormant for half a century. In effect, the G20 leaders have activated the IMF’s power to create money and begin global “quantitative easing”. With this agreement President Obama helped lay the groundwork for global financial regulation. The creation of a Financial Stability Board is the first step towards an international financial regulator. These moves are designed to strengthen the World Bank, the International Monetary Fund and possibly create a new world currency. In the future, the FSB could/will technically be able to impose global financial regulations that the SEC would be obliged to follow. Welcome to the New World Order, goodbye sovereignty! (Categories – Economic Security/Foreign Policy/National Sovereignty) 

Executive Pay Limits – May 15^{th  ,} (N.Y. Times), Obama Administration officials are contemplating a major overhaul of the compensation practices in the financial services industry, moving beyond banks to include more loosely regulated hedge funds and private equity firms. Federal policymakers have been discussing ways to ensure that pay is more closely linked to performance. Representative Barney Frank, the Massachusetts Democrat who heads the Financial Services Committee, said he believed giving the government new authority to take over troubled companies could be adopted by the House. “This would give the government the same powers that you would get as if the company were in bankruptcy,” Mr. Frank said in an interview shortly after meeting with Mr. Geithner on the plan. But Mr. Frank and other lawmakers said other elements of the plan could take more time, like expanding the authority of the Federal Reserve to become a systemic regulator. Among the ideas under consideration are incorporating compensation as a “safety and soundness” concern on official bank examinations as well as expanding the existing regulatory powers of the Securities and Exchange Commission and Federal Reserve to obtain more information. This sounds an awful lot like socialism, today banks, financial services companies and hedge funds – tomorrow?  Is your job next?   And ….. Where in the constitution does the government get this authority? I guess if you control salaries the redistribution of wealth model is easier to manage.   (Categories – Government Intervention) 

The administration will tell you that all of this is being done to protect the country and for the general welfare of its’ citizens. To which our founding fathers would have responded as follows: 

“With respect to the two words ‘general welfare,’ I have always regarded them as qualified by the detail of powers connected with them. To take them in a literal and unlimited sense would be a metamorphosis of the Constitution into a character which there is a host of proofs was not contemplated by its creators.” — James Madison 

This only a handful of the examples that illustrate that the federal government is out of control. There are many more spanning a broad spectrum of categories from nationalizing private businesses, retroactive taxes, state’s rights, financial regulation and continued bailouts to plans to “reform” health care , gun laws, cap & trade and card check. It is the time to this stop madness. 

We are careening down the road toward socialism at an incredible rate of speed. Politics long ago replaced leadership, statesmanship and governing. The elected officials and bureaucrats in Washington have thrown our constitution and all the values used to create it out the window. The federal government  has pushed citizens and the states aside, in an effort to take total control. We can not let this happen. You need to write or contact every elected official in your voting district. Tell them to cease and desist or they will lose their jobs. The time to act is now. Let’s take back America!

The G20 moves the world a step closer to global financial regulation…………

(Telegraph.co.uk) A single clause in Point 19 of the communiqué issued by the G20 leaders amounts to revolution in the global financial order.

“We have agreed to support a general SDR allocation which will inject $250bn (£170bn) into the world economy and increase global liquidity,” it said. SDRs are Special Drawing Rights, a synthetic paper currency issued by the International Monetary Fund that has lain dormant for half a century. In effect, the G20 leaders have activated the IMF’s power to create money and begin global “quantitative easing”. In doing so, they are putting a de facto world currency into play. It is outside the control of any sovereign body. Conspiracy theorists will love it. It has been a good summit for the IMF. Its fighting fund for crises is to be tripled overnight to $750bn. This is real money.

Dominique Strauss-Kahn, the managing director, said in February that the world was “already in Depression” and risked a slide into social disorder and military conflict unless political leaders resorted to massive stimulus.

The Russians had hoped their idea to develop SDRs as a full reserve currency to challenge the dollar would make its way on to the agenda, but at least they got a foot in the door. There is now a world currency in waiting. In time, SDRs are likely evolve into a parking place for the foreign holdings of central banks, led by the People’s Bank of China. Beijing’s moves this week to offer $95bn in yuan currency swaps to developing economies show how fast China aims to break dollar dependence.

Need more evidence…….

(Telegraph.co.uk) US Treasury Secretary Tim Geithner shocked global markets by revealing that Washington is “quite open” to Chinese proposals for the gradual development of a global reserve currency run by the International Monetary Fund.

The dollar plunged instantly against the euro, yen, and sterling as the comments flashed across trading screens. David Bloom, currency chief at HSBC, said the apparent policy shift amounts to an earthquake in geo-finance. “The mere fact that the US Treasury Secretary is even entertaining thoughts that the dollar may cease being the anchor of the global monetary system has caused consternation,” he said.

Only hours earlier, President Barack Obama had told a news conference that there was no threat to the reserve status of the dollar. Later, Geithner qualified his remarks, insisting that the dollar would remain the “world’s dominant reserve currency … for a long period of time” but the damage was already done. The markets appear confused by the conflicting statements coming from the Administration.

So what does this mean to America? It means for the first time in a 100 years the rest of the world is trying to regain control of the world economy and put the U.S. in its’ place. These moves are designed to strengthen the World Bank and the International Monetary Fund. This will lay the ground work for global financial regulation and a new world currency. The creation of a Financial Stability Board looks like the first step towards a global financial regulator. This is a serious threat to the U.S. economy and the dollar.

Once again the Administration is on the wrong side of this issue. The President supported the creation of the Financial Stability Board which in the future could/will technically be able to impose global regulations that the SEC would be obliged to follow. Welcome to the New World Order, goodbye sovereignty! The U.S. government elected by its‘ citizens, our regulators and our courts should be the only bodies that are allowed to interfere with, oops I mean, regulate U.S. businesses. Friends, we are embarking on a journey down a very slippery slope. At the bottom of this slope is a place where America as we knew it is GONE.

The dangers of a world central bank are glaringly frightening. The European Central Bank has struggled with managing policy for 16 countries in a region with a common history, and EU institutions (Commission, Court of Justice, competition police, etc). The potential politics of global monetary management would be disastrous.

The heads of the Fed, the ECB, and the Bank of England, must all testify before parliaments and answer to democratic government. In the absence of a world parliament or some type of world government, who would control a super-IMF? Are you starting to see the bigger picture more clearly?

On April 15th all across America there will be Tea Parties and Tax Rallies. The themes of these events are centered on taxes, redistribution of wealth, economic policy, individual rights and Liberty. Currently there are over 500 such events planned. These are grass root organizations made up of concerned citizens who have transcended partisan politics in order to make their voices heard. Their common goal is take back our country and the ideals that made it the strongest, freest nation on earth. We may not be perfect, as the Administration, is so quick to point out but overall the world has been a better place as the result of a strong and free U.S.A.!

George Washington warned of the dangers our country would face over 200 years ago if we lost sight of guiding principles that were used to form this great Union:

“’Tis folly in one Nation to look for disinterested favors from another; that it must pay with a portion of its Independence for whatever it may accept under that character; that by such acceptance, it may place itself in the condition of having given equivalents for nominal favors and yet of being reproached with ingratitude for not giving more. There can be no greater error than to expect, or calculate upon real favors from Nation to Nation. ‘Tis an illusion which experience must cure, which a just pride ought to discard.
…….. ‘Tis our true policy to steer clear of permanent Alliances, with any portion of the foreign world.

George Washington, Farewell Address, September 19, 1796

If the idea of being part of some global nation engineered by politicians, dictators, kings, sheiks and communist party chiefs scares the hell out of you, then join us and make your voice part of the ground swell to Take our Country Back!