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Report: Details on TARP money are slim
U.S. Secretary of the Treasury Henry Paulson
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Scott Jagow: A report out today will say some pretty bad things about the Treasury Department's handling of this economic crisis. The report says there's been little accountability or explanation of what the heck is going on. More on this now from Marketplace's Jabin Babin at North Carolina Public Radio.
Janet Babin: The report comes from the panel that's overseeing the Troubled Asset Relief Program, or TARP money, approved by Congress.
Back in October, the Treasury Department began distributing the $700 billion rescue fund to banks in an effort to stabilize the markets. But the congressional oversight panel says details about exactly where the money's going are slim.
According to the bipartisan report, there's some evidence that Treasury doesn't know how banks are using the government cash. The panel says the Department didn't even respond to some of its questions, and provided only spotty answers to others.
The report also faults Treasury for ignoring homeowners near foreclosure.
I'm Janet Babin for Marketplace.
Who should get blamed for that? I do not blame the banks or recipents - rather the blame lies squarely on Congress and those who approved the funds in the first place without finalizing the details. What was the rush to get $700 billion out of the door? Now we are talking about another $800 billion. It looks like money does really grow on trees (at tax payers expense) - at least for Congress.
Our elected officials seem to know what is best for tax payers without input from people that bear the brunt. There is talk of giving out billions to states while letting tax payers have it through additional $10 or $20 so that 'they can plan and budget'! What an idea! Why not lend the money to states and others instead of giving it out outright and that too give it in $1000 a month so that states and receivers can budget and plan things -just as Congress thinks the same for taxpayers.
President Elect was also for the $700 billion and he should also be asked why we are having to ask now for how the funds are being spent? We can all benefit to think 'twice' before speaking 'once'. Talk about creating millions of jobs through these cash outs. These jobs will be seasonals - that last for couple of years. Show us the plan to bring the jobs back home. We need to have plan to build our manufacturing base. A nation can not survive and grow on a service economy. It must grow in basic and braod based manufacturing and not just in defense and aerospace which just caters to the military-industrial complex.
We ought to definitely go for term limits in Congress!
