The House of Representatives opened for business Monday with some serious pushback on the administration’s bailout plan – a sign that the White House may face a fight in the days ahead.
Rep. Brad Sherman of California warned Congress not to blindly approve the estimated $700 billion bailout plan, which he called “the most generous power grab a Wall Street executive has ever asked for.”
And just in case you were wondering who that Wall Street executive was, Democratic Rep. Peter DeFazio spelled it out on the House floor before Sherman spoke.
“We should not be rolled by a Wall Street executive who is masquerading as the secretary of the Treasury,” DeFazio said, referring to Henry Paulson, who previously served as CEO of Goldman Sachs.
In an interview with Politico, Sherman called Paulson’s proposed legislation an “awe-striking, mind-boggling power grab” designed with only Wall Street in mind.
DeFazio warned that Congress will not be “rushed” into passing a bill because of dire warnings from the administration to act quickly to stave off a global financial meltdown.
“The world will wait,” DeFazio said. The Oregon Democrat said Congress needs to adopt a “thoughtful” plan that helps struggling homeowners as well as Wall Street banks.
Continue reading post...