I believe there is a strong case for a class action against the directors of the Federal Reserve regoinal banks. 12 USC 301 requires the directors not provide credit for member banks to speculate with. They did exactly this and cause the collapse.

What I’d like to see your bailout sleuth web site cover is the fact that all the bailout money is being put into member bank capital. This is what is calledin the business “high powered money”.

This means through the banks monoply power to create new money, each commerical bank can take this new capital and create ten times that amount in new loans. Sp citibank can create $200 billion in new loans.

Once these new loans proceeeds are then depositied back into the banks, they commericial banks as a whole can create up 9 times this new money via the fractional reserve banking system.

So as much as 90 times the $700 billion can be created. With $63 trillion in new money flooding te economy we will have hyper inflation.

Right now all that high powered money is sitting in the reserve accounts bearing interest. With no new loans yet we are facing more deflation as principal on old loans is destroyed as it is paid.

Since the public has no control over whether we will see deflation or inflation, it is important that we all be ready to switch from cash to commodities quickly.

There are several ways we can fight back. Everyone should pull all moneys out of Fed banks and buy shares of a local state chartered credit union. Even thought the ill effects of the fractional reserve system are at work the profits goes to the credit union members(you).

Now I’m hearing that the mortgage industry is on the upswing WITHOUT the bailout money.

GO FIGURE!

Sorry Mark.

Please buy the KC Royals and/or Chiefs, please.

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Sincerely, Beck