Congressmen were threatened on Monday with the imposition of Martial Law if they failed to pass the Paulson Plan.
Rep. Brad Sherman (D-CA):
"The only way they can pass this bill is by creating and sustaining a panic atmosphere. That atmosphere in not justified. Many of us were told in private conversations that if we voted against this bill, on Monday, that the sky would fall, the market would fall 2 or 3 thousand points the first day, another couple thousand the second day, and a few members were even told that there would be martial law in America if we voted no.
That's what I call fear-mongering. Unjustified. Proven wrong.
We've got a week. We've got two weeks to write a good bill. The only way to pass a bad bill - keep the panic pressure on."
If we needed any further confirmation that the Paulson Plan is un-American, that should do it.
For analysis of what's really in the Paulson Plan, read the summary of the late night Sunday call from Treasury officials to SIFMA on Naked Capitalism.- the executive remuneration curbs will be ineffective; - the warrants for equity will be avoided through deal structuring below the triggers; - the whole $700 billion will be immediately appropriated and Paulson will be able to spend all of it, regardless of tranching; - all investments whether securities, debt, derivatives or anything else will be eligible; - the program will be open to foreign banks and non-banks.