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Politics : President Barack Obama -- Ignore unavailable to you. Want to Upgrade?

To: sylvester80 who wrote (34059)	9/21/2008 9:58:39 PM
From: Jim McMannis	Read Replies (1) \| Respond to of 149317

RE:"If you want to do something practical, require the SEC to go into these banks, open up their L3 holdings to public scrutiny, auction off a sampling of these securities, and apply those prices to the L3 portfolios of all the banks. In this way we will know which banks are insolvent. You won't need to go through this charade of having the Treasury take ownership of these assets, because the core of the problem is not that these assets are clogging up bank balances sheets, as Paulson says (which is tantamount to saying, by the way, that no one will buy them). The core of the problem is that there is no transparency about these portfolios and their real worth. Congress doesn't need $700 billion of our money to create that transparency, and if it shows as I suspect that many of these banks are insolvent, that's why we have bankruptcy courts. You can certainly protect the banks from bank runs while they are in bankruptcy." This must be what you mean. It's the best I've heard yet. I've already said if the RTC-2 comes on line the L3 stuff will suddenly reappear on the books of these banks, if they think the RTC-2 will take it and we will see who's solvent and insolvent and some should get shut down. So we are on the same page. Will this happen? We'll see.