This is page twenty-two of my discussion on the Alex Jones film The Obama Deception. If you were linked here by mistake, please refer to page one of this article, which contains the introduction.
Senator Inhofe of Oklahoma, and Congressman Brad Sherman of California, amongst others, told the world that the entire Congress had been threatened with martial law by the White House and the Treasury Department if they didn't pass the so-called banker bailout bill.
The only way they can pass this bill is by creating and sustaining a panic atmosphere. That atmosphere is not justified. Many of us were told in private conversations that if we voted against this bill, on Monday that the sky would fall, the market would drop two or three thousand points the first day, another couple thousand the second day, and a few members were even told that there would be martial law in America if we voted "no". That's what I call fear mongering. Unjustified.
Alex Jones absolutely loves to spin things to make them sound more fantastic and outrageous than they actually are. As I've asked numerous times in this film, if congress and the entire government is under control, why does it matter what people think of them? What does it matter if they don't want the banks in? Can't they do whatever they want if they run the world?
As I stated previously:
This is something else from 2008 about the bill above. Essentially there was panic by the Bush administration that if something wasn't done, then the market may simply collapse and cause social instability. Some people even thought the chaos would be so great that there'd have to be martial law. Of course, it never happened, but Alex Jones loves these marital law quotes, because for the last 15 years or so, he's been saying martial law is coming very soon. Obviously Alex Jones takes out the complete context of what the congressman was saying in order to imply that if the bill didn't pass there'd be a sort of coup.
The final version of the bill was kept secret from the Congress until minutes before the vote on October 3rd, 2008. The Federal Reserve had promised total transparency, that every dime would be accounted for.
What actually happened was the initial bailout bill was, not secret, but was rejected in the house by a narrow margin (228-205) on September 29th. The Senate debated and voted on a newly revised version of the bill and passed it 74-25; it was then, on October 2nd, sent to the House for consideration and was passed 263-171 on the 3rd. There were various provisions that were to help ensure some transparency, but the Federal Reserve never made a "promise" of anything.
To Democrats and Republicans who've opposed this plan, I say, step up to the plate, let's do what's right for the country at this time because the time to act is now. [Lapse]...to prevent the possibility of a crisis, turning into a catastrophe.
After its passage, the public learned with horror that the bill was really a financial coup d'etat by Wall Street. The bill didn't just give 700 billion dollars to the banks. It was a blank check. And as of February 2009, $9.7 trillion has disappeared into a black hole.
Alex Jones seems to be confusing the Federal Reserve's lending of money to central banks with the bailout bill[411d] The bill had a ceiling of $700 billion. Regardless, the money hasn't disappeared, and in fact as of writing this, 10 banks have already began to pay back their stimulus money.
Within 24 hours of its passage, Secretary of Treasury Henry Paulson said they were no longer going to use the money to unfreeze the mortgage market by buying bad debt.
We went to Congress. Illiquid assets looked like the way to go. As the situation worsened, the facts changed. [Lapse] I will never apologize for changing an approach or strategy when the facts change.
Actually it was by early November, 2008, not within 24 hours, over a month later. The reason for the change was that Paulson didn't think buying up mortgage debt would be effective in curbing the failing economy[411c][411d].
Paulson has, in the meantime, admitted that the sub-prime mortgage crisis is not the cause, really, of the breakdown of the entire world banking system and the bankruptcy of most of the banks in London and in Wall Street. He said, "Oh, we're gonna buy up toxic assets but we're not going to worry about sub-prime mortgages." What he's talking about is derivatives. Derivatives are the center of the crisis.
He went on to say that where the money going was a secret.
He didn't "admit" that "sub-prime mortgage crisis is not the cause", he believed that simply buying up mortgages was not going to help the situation anymore than it already had up to that point; see above. As I showed far more than derivatives were a part of the crisis and the bubble[411b].
"I believe that banking institutions are more dangerous to our liberties than standing armies. If the American people ever allow private banks to control the issuance of their currency, first by inflation, then by deflation, the banks and corporations that will grow up around the banks will deprive the people of all property until their children wake up homeless on the continent their fathers conquered. The issuing power should be taken from the banks and restored to the people, to whom it properly belongs."
Thomas Jefferson, Letter to the Secretary of the Treasury Albert Gallatin (1802)
This is a popular quote amongst Federal Reserve conspiracy theorists that isn't quite what it seems. The letter it is attributed to doesn't exist anywhere in Thomas Jefferson's archives, nor is there an index reference to it anywhere, or reference to it in any other work. The quote is partially assembled from two separate letters to two separate people, with more added in. Thomas Jefferson never said the above.
[Rep. Darrell Issa]
Secretary Paulson came in with the Vice President and Fed Chairman Bernanke and made all these assurances that there was absolutely a critical, immediate need to get rid of the corrosive, derivative products. You know, all the different names, for this, em...you know, ubiquitous, you know, uh, sub-s retraded credit default swap, blah, blah, blah, blah, okay. But they, they talked about them as though they knew what the hell they were. You got the money and you immediately said, "What items? What auction?"
[Rep. Dennis Kucinich]
Now the Treasury just, just basically cut that out of the bill. And what, you know, what we have here is a situation where banks are, are hoarding the money that they're getting from the TARP. They're using the money to purchase other banks. And all of a sudden, the Treasury sent a signal to the banks. Forget about it. We're gonna give you the money that you want, and you do what you want with it. Unless you direct it specifically, it's not gonna happen.
As I showed above the banks are already starting to return their TARP money, in fact 10 banks (as of writing this) have.
[Rep. Dennis Kucinich]
I don't think anyone questions, Mr. Kashkari, that you're working hard. Our question is, "who are you working for?"
As I said the first time Alex Jones showed this: The discussion was whether Kashkari was working in the best interest of Congress or worrying more about the various mortgage companies.