Re: SC81

http://market-ticker.denninger.net/authors/2-Karl-Denninge

KARL DENNINGER: OK MR. OBAMA, TIME TO CHOOSE

Are you really "Change We Can Believe In"?

Are you really "Yes We Can"?

If so, here are the acts you must undertake as soon as you are sworn in, and you should announce them tomorrow so the market will stop tanking due to the lies of Mr. Paulson and Bernanke:

You will send up a bill that enacts a full repeal Gramm-Leach-Bliley. This was the law that repealed the Glass-Steagall act (the majority of it, anyway.)

You will send up a bill that reinstates the leverage limit of 12:1 that used to apply to investment banks (the dropping of which is the proximate cause of this mess, and which Henry Paulson was directly responsible for through his lobbying and requests) and apply it to all institutions doing business in The United States.

You will send up a bill that repeals the 2005 "Bankruptcy Abuse Prevention" act - an act you voted no on originally. This one should be a no-brainer, since you didn't support it originally.

You will send up a bill that repeals the TARP/EESA, and will vow to do everything in your power to stop the expenditure of any further funds under the existing law, and you will direct Treasury on January 20th to reverse the tax changes that granted $150 billion in "preferences" without a vote of Congress or even public notice.

You will send up a bill that requires the SEC, OTS, and OCC to compel all assets and liabilities to be consolidated upon a firm's balance sheet and directs that all marking methods, formulas and variables along with each asset held be disclosed accurately for every firm that operates in the United States.

You will direct The Federal Reserve by executive order to comply with the FOIA filed by Bloomberg and disclose, immediately and forever into the future, all loans issued, to whom, the specifics of the collateral pledged, and the discount or "haircut" applied. Such information will be published via The Web at the point of issuance of Fed Credit and all actions taken by The Federal Reserve or any of its district banks shall be undertaken in the full sunshine of the public view. If The Fed should refuse, you will pledge to send up to Congress a bill to repeal The Federal Reserve Act of 1913, and replace The Federal Reserve system entirely with an entity that will under penalty of federal law operate 100% "in the sunshine."

If you want to stabilize our markets and financial system, you must undertake all six of the above acts, and you should announce your intention to do so now, so that the markets can anticipate that the "dark ages" of obfuscation, lying and theft will stop on January 20th.

You should, today, call upon Henry Paulson to resign immediately, as his actions in 2004 were the proximate cause of this mess, he is hopelessly tied up in conflicts of interest that have been expressed in ridiculous favoritism over the last year and a half, and in addition he has refused to admit his complicity.

We are literally on the precipice of a full-on meltdown despite what the talking heads are saying. Henry Paulson and Ben Bernanke came to you and the rest of Congress about a month ago and said they would "fix it" by buying up illiquid assets.

They lied; not only did they not do so, I allege they never intended to do so, and worse, they knew up front that their "prescription" would not and cannot work, because there is simply not enough money and credit available to solve the problem.

The Main Street economy will not and cannot recover until the excessive debt is forced into the open and defaulted.

That cannot happen until the lying and obfuscation both of firms and our government, including Treasury via the "TARP" and The Fed, is stopped..........

The TARP is really a TURD, a Taxpayer Universal Raping Device.

............We The People have just one question for you Mr. Obama:

Are you going to attempt to polish it or flush it?