In These New Times

A new paradigm for a post-imperial world

Posts Tagged ‘stop the bailout’

More Toxic paper: New subprime bonanza in the housing market

Posted by seumasach on April 4, 2010

Another Stealth Bailout for Pudgy Banks

Mike Whitney

Global Research

4th April, 2010

Whew. That was fast. It didn’t take long for Wall Street to figure out how to game Obama’s new mortgage modification program, did it? The plan was hyped as help for “struggling homeowners”, but it turns out, it’s just another stealth bailout for pudgy bank-execs. It’s funny, the program hasn’t even kicked in yet and, already, bigtime speculators are riffling through their filing cabinets looking any garbage paper they can find to dump on Uncle Sam. Take a look at this on today’s Bloomberg report:

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End Wars – Rebuild Britain! A Programme for the End of Empire

Posted by seumasach on March 7, 2010

A Programme for the End of Empire
Cailean Bochanan
7th March, 2010
With an election coming soon and Britain blindly heading towards the abyss now is the time to put forward a programme of action to get ourselves out of the deep hole we have dug, and persist in digging, for ourselves. The world’s foremost debtor nation per head, bankruptcy proceedings seem inevitable, both for our citizenry and for UK PLC, and the question must inevitably arise of where the bailout money has gone and how we manage to run prohibitively expensive wars on other peoples money especially when these same wars seem to be directed against those creditors themselves.

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Laughing all the way to the bank

Posted by seumasach on January 20, 2010

Lee Sustar

socialistworker.org

19th January, 2010

THE TIMING couldn’t have been better for the Financial Crisis Inquiry Commission, which held its first public hearings on January 13-14.

With their top employees set to enjoy huge bonuses thanks to taxpayer bailouts, the CEOs of the country’s big banks should have been in the hot seat for their role in the financial panic of 2008. The Obama administration’s proposed levy on banks seemingly would have upped the pressure, too.

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Public debt hits £800 billion – the highest on record

Posted by seumasach on September 20, 2009

Of course, spending has to be cut: let’s start with ending our wars, slashing defence spending and dismantling the apparatus of empire, as well as ending welfare for parasitic city financiers.

Times

19th September, 2009

Britain is clocking up debt at a rate of £6,017 per second as the Government struggles to balance the books. With tax receipts plummeting because of the recession, state borrowing grew by £16.1 billion last month — almost twice the entire budget for the 2012 Olympics.

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Obama Helps Banksters Loot American Economy

Posted by seumasach on July 20, 2009

Paul Craig Roberts

Vdare

17th July, 2009

There is no economy left to recover. The US manufacturing economy was lost to offshoring and free trade ideology. It was replaced by a mythical “New Economy.”

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Darling and King clash over banking rules

Posted by seumasach on June 18, 2009

The dangerous consequences of New Labour’s massive bailout of the banks is causing some disquiet. As we have already noted King appears intent on protecting the pound, for whose value the Government seems to have a cavalier disregard. As UK PLC goes down we can expect more sparks to fly as the elite agenda starts to fragment.

This Is Money

18th June, 2009

Government policy on City regulation was last night thrown into deeper confusion by sharply contrasting speeches by Mervyn King and Alistair Darling.

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Hutton on Brown

Posted by seumasach on June 7, 2009

Hutton renews here the traditional preoccupation of the British oligarchy with chopping off the heads of monarchs. However, I find it quite bizarre to see Gordon Brown presented as a monarch. A puppet might be more apt- he is so obviously subordinate to the City, bestowing unlimited largess on them at unimaginable cost to ourselves. That the extreme concentration of wealth is incompatible with democracy and, ultimately, any viable body politic, seems to have been lost on us. However as I have argued here the oligarchy, on a high after pulling off the bailout heist, now wish to institutionalise the impotence of the executive and the political class in general.

If we are to stand up to these people we need a strong executive So, by all means, reform the legislative, introducing a written constitution with PR. etc.; but recognise that the logical consequence of this is to create a seperate, elected executive. In other words, a presidential system. The piecemeal reforms on offer will not extend democracy but restrict it and subordinate it to oligarchy: a return to what Disraeli dubbed the Venetian System

Confirming this is the fact that in all this debate supposedly about democracy nothing is said about the encroachments of oligarchy, the privatization of every aspect of political life, even the legal system, and such extraordinary abusesas the substitution of unelected, anonymous, unconstitutional bodies such as COBRA for
the cabinet.

Will Hutton

Guardian

7th June, 2009

I remember Tony Blair early in his premiership discussing cabinet government with Roy Jenkins. Or, rather, not discussing cabinet government. For, as Blair explained, he did not intend cabinet ever to last longer than an hour; the best cabinet was 30 minutes. He planned to drive government from Number 10, using all the powers at his discretion to get his way as fast and efficiently as possible. Jenkins gently reproached his young charge; it would lead to great political mischief, as it did. Think Iraq.

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Germany Blasts “Powers of the Fed”

Posted by smeddum on June 3, 2009

By JOELLEN PERRY
WSJ

JUNE 3, 2009
In a speech on Tuesday in Berlin, Chancellor Angela Merkel expressed ‘great skepticism’ over the clout of central banks and suggested their aggressive moves in Europe, the U.S. and the U.K. might backfire. She is shown here at a rally later in Saarbrücken, Germany, for European Parliamentary elections.
German Chancellor Angela Merkel, in a rare public rebuke of central banks, suggested the European Central Bank and its counterparts in the U.S. and Britain have gone too far in fighting the financial crisis and may be laying the groundwork for another financial blowup. Read the rest of this entry »

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Ex-SAS officer is expenses whistleblower

Posted by seumasach on May 25, 2009

After the City Gang’s multibullion pound heist and the ongoing looting of public funds a diversion was necessary to focus public anger elsewhere. Enter John Wick, “head of a corporate intelligence company”, which just happens to have access to MPs expenses details. The ploy has worked a treat: not only is public anger diverted towards those MPs guilty of malfeasance but to the wider political class. Which of them now dare point the finger at the banksters? The public still lose everything but have the consolation of seeing a few people exposed for minor corruption.

But the oligarchs shouldn’t perhaps be too smug: they have created a political vacuum which may return to haunt them.

Independent

23rd May, 2009

 

 

A former SAS officer who passed secret details of MPs’ expenses claims to The Daily Telegraph broke cover last night to insist he had “no regrets” about the leak that has rocked Westminster.

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Banks ‘may need more state aid’, Bank of England warns

Posted by seumasach on May 14, 2009

“There is a big difference in practice between the levels of capital banks need to be stabilised… and those required to persuade banks to exhibit normal levels of risk-aversion. How big that gap is is impossible to say… but it looks as if it will be quite big.”

We have lost everything, unless we’re a bank, except that peculiarly Brit gift for understatement. Roughly speaking the above translates as: how much do we have to give banks in order that they lend something back to us? Quite a lot I’d say, old chap.

Mervyn King said although banks’ survival had been assured by recent bail-outs, they would not start lending freely unless more capital was pumped into their balance sheets.

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Guilty of Being Poor

Posted by seumasach on April 26, 2009

The jailers of the 19th century — even in the pre-Civil War South — largely abandoned the practice of imprisoning people for falling into debt as counterproductive and ultimately barbaric. In the 1970s and ’80s, the U.S. Supreme Court affirmed that incarcerating people who can’t pay fines because of poverty violates the U.S. Constitution.

Apparently, though, some states and county jails never got the memo. Welcome to the debtors’ prisons of the 21st century.

“Edwina Nowlin, a poor Michigan resident, was ordered to reimburse a juvenile detention center $104 a month for holding her 16-year-old son,” the New York Times wrote in an editorial.

“When she explained to the court that she could not afford to pay, Ms. Nowlin was sent to prison. The American Civil Liberties Union of Michigan, which helped get her out last week after she spent 28 days behind bars, says it is seeing more people being sent to jail because they cannot make various court-ordered payments. That is both barbaric and unconstitutional.”

The details of Nowlin’s case are even more alarming than the Times editorial suggests. Not only was Nowlin under orders to pay a fine stemming from someone else’s actions, but she had been laid off from work and lost her home at the time she was ordered to “reimburse” the county for her son’s detention.

Despite her inability to pay, she was held in contempt of court and ordered to serve a 30-day sentence. On March 6, three days after she was incarcerated, she was released for one day to work. She also picked up her paycheck, in the amount of $178.53. This, she thought, could be used to pay the $104, and she would be released from jail.

But when she got back to the jail, the sheriff told her to sign her check over to the county — to pay $120 for her own room and board, and $22 for a drug test and booking fee.

Even more absurd, Nowlin requested but was denied a court-appointed lawyer. So because she was too poor to afford a lawyer and denied her constitutional right to have the court provide one for her, she couldn’t fight the contempt charge that stemmed from her poverty. And her contempt conviction only added to her poverty, as the fines and fees she was obligated to pay now multiplied.

“Like many people in these desperate economic times, Ms. Nowlin was laid off from work, lost her home and is destitute,” said Michael Steinberg, legal director of the Michigan ACLU. “Jailing her because of her poverty is not only unconstitutional, it’s unconscionable and a shameful waste of resources. It is not a crime to be poor in this country, and the government must stop resurrecting debtor’s prisons from the dustbin of history.”

Michigan isn’t the only place where you can be imprisoned for the crime of involuntary poverty. The same Catch-22 ensnares poor defendants daily in courtrooms across the country.

In 2006, the Southern Center for Human Rights (SCHR) filed a suit on behalf of Ora Lee Hurley, who couldn’t get out of prison until she had enough money to pay a $705 fine. But she couldn’t pay the fine because she had to pay the Georgia Department of Corrections $600 a month for room and board, and spend $76 a month on public transportation, laundry and food.

She was released five days a week to work at the K&K Soul Food restaurant, where she earned $6.50 an hour, which netted her about $700 a month after taxes. Hurley was trapped in prison for eight months beyond her initial 120-day sentence until the Southern Center intervened. Over the course of her incarceration, she earned about $7,000, but she never had enough at one time to pay off her $705 fine.

“This is a situation where if this woman was able to write a check for the amount of the fine, she would be out of there,” Sarah Geraghty, a SCHR lawyer, told the Atlanta Journal Constitution while Hurley was still imprisoned. “And because she can’t, she’s still in custody. It’s as simple as that.”

Georgia also lets for-profit probation companies prey on people too poor to pay their traffic violations and court fees. According to a 2008 SCHR report entitled “Profiting from the poor”:

In courts around Georgia, people who are charged with misdemeanors and cannot pay their fines that day in court are placed on probation under the supervision of private, for-profit companies until they pay off their fines. On probation, they must pay these companies substantial monthly “supervision fees” that may double or triple the amount that a person of means would pay for the same offense.

For example, a person of means may pay $200 for a traffic ticket on the day of court and be done with it, while a person too poor to pay that day is placed on probation and ends up paying $500 or more for the same offense.

The privatization of misdemeanor probation has placed unprecedented law enforcement authority in the hands of for-profit companies that act essentially as collection agencies. These companies, focused on profit rather than public safety or rehabilitation, are not designed to supervise people or connect them to services and jobs. Rather, they charge exorbitant monthly fees and use the threat of imprisonment and a variety of bullying tactics to squeeze money out of the men and women under their supervision.

For too many poor people convicted of misdemeanors, our state is not living up to the constitutional promise of equal justice under law.

In Gulfport, Miss., the municipal court started a “fine collection task force” to crack down on people who owed fees for misdemeanors. According to the SCHR Web site:

The task force trolled through predominantly African American neighborhoods, rounding up people who had outstanding court fines. After arresting and jailing them, the City of Gulfport processed these people through a court proceeding at which no defense attorney was present or even offered.

Many people were jailed for months after hearings lasting just seconds. While the city collected money, it also packed the jail with hundreds of people who couldn’t pay, including people who were sick, physically disabled and/or limited by mental disabilities.

The disregard of the justice system for the rights of poor people to equal protection and due process is cause for outrage. But it shouldn’t come as a surprise in an era when the government spends billions bailing out banks while letting foreclosures and unemployment ruin the lives of working people.

We need to build a movement, like the working-class struggles of the 1930s, that can demand an end to the inhuman practice of incarcerating people for no other crime than finding themselves at the bottom of the social ladder.

Eric Ruder writes for Socialist Worker where this article first appeared. Thanks to Alan Maass. Read other articles by Eric, or visit Eric’s website.

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