US Faces 'Disaster' from Financial Reform Bill, Bachmann Warns

US Faces 'Disaster' from Financial Reform Bill, Bachmann Warns
Tuesday, 27 Jul 2010 06:38 PM
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By: Jim Meyers

Rep. Michele Bachmann tells Newsmax that the financial reform bill recently signed into law is a “disaster” that will immediately have a negative impact on average Americans, and should be repealed if Republicans regain control of Congress.

The Minnesota Republican also charges that bailout money has been used for “political payoffs,” and says Congress would have to determine whether President Barack Obama’s comments about immigration reform constitute an impeachable offense.

Bachmann was first elected in 2006, and is the driving force behind the creation of the new Tea Party Caucus in the House.

In an exclusive Newsmax interview, she said: “The purpose of the Tea Party Caucus is to listen to the concerns of the mainstream people who are very concerned about the overwhelming growth of government and the growth of government spending.

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“We don’t want to be the mouthpiece for the tea party, we want to be the earpiece for the tea party. We don’t want to control it or run it out of Washington. We don’t want to vouch for the tea party. We believe they’ve been viciously smeared and called names no one should be called, without any proof. So we’re providing an open door where real people can come speak to us, members of Congress, about issues that are of concern to them.”

Bachmann said 44 Republicans in the House have already signed up for the Caucus. Asked who is the head of the group, Bachmann responds: “I think it’s the American people. It’s the largest organic organization that’s sprung up in the last several years, and they’re worth listening to because it’s real people across the country who recognize that the government should not be running our lives.

“What we want to do is get back to a private, job creation-centered economy. We can’t do that under the current administration.”

Bachmann, a member of the Financial Services Committee, was asked if she agrees with Indiana Republican Rep. Mike Pence, chairman of the House Republican Conference, who says the new financial reform bill should be repealed if the GOP regains a majority in Congress.

“The financial reform bill should be repealed,” she declares.

“It’s a disaster because the very first thing it will do is end free checking accounts across America. Secondly, it will mean a dramatic increase in ATM fees. And third, credit will be very difficult to obtain.

“We know how this financial meltdown occurred. It was because of the federal government passing the Community Reinvestment Act that lowered our lending standards, and also Freddie [Mac] and Fannie [Mae], which made very risky loans.

“None of those entities that got us into this mess were even touched. Instead, dramatic new powers were given to the president of the United States, and that effectively institutionalizes what got us into this mess in the first place. It’s a very bad bill and deserves to be repealed.”

Democrats are saying that the Bush tax cuts should expire at the end of the year because the federal government needs the revenue to deal with record deficits.

But Bachmann points out: “President Obama increased the size of spending by the federal government by 25 percent. We can easily scale back all of the new increased spending. That would pay for the cuts.

“After all, these cuts will be tax increases on job creators. So if you don’t want these jobs coming in the future, put these tax increases into place, because the increases will be on the small business owners who are creating and providing the jobs.

“The economy grows because the private sector grows, and President Obama has failed miserably in growing the private economy.”

Bachmann was asked about the Goldman Sachs investment firm, which received $13 billion in federal bailout funds and gave $4.3 billion of the taxpayers’ money to 32 entities including overseas banks, hedge funds and pensions.

“It’s highly offensive how this money has been used for political payoffs,” she says.

“Remember that President Obama received almost $1 million in campaign donations from Goldman Sachs. I think we need to look into the connection between President Obama, his campaign contributions, and the fact that Goldman Sachs was one of the first recipients of taxpayers’ money.

“We had to borrow money from China in order to pay this money to Goldman, which in turn gave the money to foreign banks. It’s the American taxpayer that is hurt, and it’s hurting private job creation more than anything.

“We know what we need to do, and that is to repeal these very bad bills the president has put through in the last 18 months.”

Former Colorado Republican Rep. Tom Tancredo said Obama has committed an impeachable offense, admitting to Arizona Sen. Jon Kyl that if he moved to secure the border, that would remove the incentive for Republicans to negotiate a comprehensive immigration reform bill. Asked if she agrees, Bachmann tells Newsmax: “I think the president’s statements were absolutely shocking.

“It’s clear evidence that decisions are being made for political reasons, not for the good of the country. I think that’s what people have been seeing all along. The president’s economic policies are based in a far-left, radical ideology based on redistribution of wealth.

“When it comes to the issue of securing our borders, again it seems to have a political basis rather than a basis that is grounded in what is good for America, our economy, and the safety and health of the American people.

“Whether or not this is an impeachable offense is one that the Congress would have to make a determination on. But I think clearly the president isn’t acting out of the best interests of what would be good for people’s safety and good for our economy.

“Instead it seems to be grounded in politically based decisions about what is good for him politically. That doesn’t serve anyone very well.”


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