Last night 16th district Congressman Don Manzullo was the point man for opponents to the financial bailout on WTTW’s Chicago Tonight.
I was astounded that there were actually two opponents versus one who voted “Yes.”
Supporting the opposition to the bill was Democratic U.S. Representative Dan Lipinski. In support was Democrat Danny Davis.
Manzullo complained about the “dictatorial powers” being given to the Treasury Secretary, more than Alexandra Hamilton would have ever dreamed of.
And, without judicial review.
As Manzullo explained the bill, the types of checks and balances that keeps the United State government working just are not included.
As for bipartisanship, Manzullo said House Republicans were left out.
Manzullo suggested using the “same method as was used in the savings and loan bailout.”
He complained about the “take it or leave it” approach, as well as the complete lack of committee action. Manzullo serves on the Financial Services Committee chaired by Democrat Barney Frank, which supposedly has jurisdiction over the legislation.
“There was no oversight,” he complained.
Lipinski, a southwest side congressman said that the problem is “those on Wall Street don’t understand the rest of America.” He pointed out that the average family would be saddled with a $10,000 burden had the legislation passed.
“The people who are saying congress doesn’t understand Main Street are the ones who caused the problem,” Manzullo added.
He suggested immediately changing the “mark to market” rule for banks. As I understand it, that requires banks to mark down the value of their mortgages when the market value of the asset mortgaged decreases.
This suggestion is being hotly opposed by auditing firms.
“Before we spend $700 billion, we should exhaust every other possibility,” Manzullo asserted.
“Most of the constituents are opposed to (the bailout),” he revealed.
Manzullo’s Democratic Party opponent Robert Abboud has not commented on the failed vote.