Was bailing out AIG
a good idea?
Not according to some people that have actually read the US constitution:
Constitutional Education, Inc.
2458 Ridge Road, Queensbury, NY 12804
Tel: (518) 656-3578 Fax: (518) firstname.lastname@example.org www.givemeliberty.org
FOR IMMEDIATE RELEASE: Contact: Bob Schulz
September 18, 2008, 3:00 PM (518) 656-3578
Federal Lawsuit Filed to Stop AIG BailoutU.S. Lacks Constitutional Authority for Emergency Loan
Queensbury, NY -- On the day following the 221st anniversary of the signing of the U.S.
Constitution, WTP Chairman and constitutional activist Robert Schulz today filed a federal
lawsuit in United States District Court in Albany seeking to halt the execution of the emergency
bailout of American International Group, Inc. (AIG) by the United States Government and the
The lawsuit asserts that the commitment of public funds and credit for the direct benefit of
privately owned AIG is an ultra vires action by the United States Government and Federal
Reserve, i.e., beyond the limited legal authority granted by the Constitution. The lawsuit asks for a "show cause" hearing demanding that the Government produce evidence of its legal authority
to commit public funds for such a purpose, as well as emergency and permanent injunctions
halting the bailout transaction. [...]
If they succeed in their suit, there will be great negative financial implications. But it is the RIGHT thing to do. No, I don't want the collapse of the United States. I want its continued health and success. The government should have a more laissez faire attitude about PRIVATE businesses. One thing the US has gotten away from is what I call "the right to fail". The markets need to correct themselves. Just like if you have a cold, you need to be able to sneeze and cough to get the goop out of your lungs. If you don't you might wind up with pneumonia.
Bailouts are bad for business in the longterm.