Speier lashes into AIG executives over massive federal bailout package

Representative Jackie Speier voted Yes twice on the $700 billion bailout against the wishes of her constituents. She fell in line behind Nancy Pelosi...one of first purveyors of support for President Bush and Henry Paulson instead of standing up for her district.

Weeks ago we watched as Paulson and Barnacke said "immediate action was necessary" and "that this was the only solution" to the nation's credit freeze. We taxpayers by the thousands contacted our representatives and said NO! on the this plan. "Let's find another" we asked. Yet Congress and our Representative Speier ignored us. We requested for Congress to interview other economists...there were over two hundred who said this was a bad idea. Other cabinet members from past presidencies said this was the wrong way. Yet not one was asked to go before Congress. Only Paulson and Bernanke.

These Congressional Representatives did not "represent" us at all. They finally passed a bill with $140 billion extra in earmarks ("pork") and claimed that there was nothing else they could do. They said they were forced to act; that it was this or nothing.

It was a lie.

Jackie Speier represents a Congress that really has no handle on reality. We are already running with a tremendous deficit. We are borrowing from China and other countries in order to fund the continuous bailouts ongoing. Think about that a moment. We didn't have the money to begin with and Speier and Congress agreed to give $700 billion to Henry Paulson to help "increase lending confidence" and "inject liquidity" into the market. They passed a bill that does not require banks and financial institutions to begin lending...in fact more than one bank is hoping to use your money to buy other banks to get even larger! Remember the logic? "We cannot afford for these institutions to fail" yet now we are allowing them to use our money to get even bigger? The latest news is that the life insurance companies and GM are lining up to get some of this money as well, with the latter wanting to use that money to buy Chrysler! This rush to pass the bill was to help with credit; not support two companies which are doing poorly and have no guarantee of survival under their poor management. Are you angry enough yet?

That is the other issue Congress blew through. You see, when they came up with this bailout, injection, whatever you want to call it, they did not require any real change by any of these companies. These companies have faltered through mismanagement, greed, problematic financial vehicles and will take a government handout. A handout from YOU the U.S. citizens. The banks will take it to provide loans back to you...on which they will charge interest. We bail them out...which costs you money and they provide loans which cost you more money. At the same time the companies can continue to use their derivatives, horde their money, provide poor service to the consumer at will. Right now you see banks tightening their lending standards, lowering your limits while raising your rates and fees even more so you are punished when you miss a payment deadline or carry a high balance...but no similar penalties to the institutions causing the problem.

Right now our bailout is at over a trillion dollars...I have heard almost three trillion. Remember...$700 billion...the $85 billion to AIG...money to support the takeover of Bear Stearns...and it continues. Congress has no perspective on the value of this money. It is YOUR money...being given to companies that are not trustworthy and are not being made to answer. Congress is not rushing to punish the greed or pass regulations...it won't happen.

To return to the focus of this BLOG however, I encourage you to vote for a candidate other than Jackie Speier in the 12th district in California. We need our Representative to vote the will of the people not simply the party or their own interests. We need them to quit making excuses about the vote and take responsibility. This current election is not just about Obama or McCain. It is about our representation in Congress or the lack thereof. You know you have been disappointed with our lawmakers. Act! Show your displeasure with your vote next week!