Fed To Financially Absorb State Governments

update #1 on: States and companies next
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California, States Seek Relief With US Commercial Paper Plan

Oct. 8 (Bloomberg) -- California and other states say they want their tax-exempt securities to be included in a Federal Reserve program to purchase U.S. commercial paper and ease turmoil in the short-term debt markets.

Officials are working to confirm that the plan announced yesterday to backstop the commercial paper market -- used by companies and governments for day-to-day financing -- will extend to municipal borrowers.

The Fed invoked emergency powers to set up a special fund that will buy top-rated commercial paper. Issuers will be able to sell the debt to the Fed up to the average amount they had outstanding in August, an official said.

``We're looking into this and believe that the program extends itself to governments and are working to confirm that,'' said Susan Gaffney, director of government finance in Washington at the Government Finance Officers Association, a national group of public finance officials.

``States are facing the same problem faced by millions of businesses across the country -- tightening credit markets,'' Nick Johnson, director of state budget and tax system reform at the Washington, D.C.-based Center on Budget and Policy Priorities, wrote in a report yesterday. ``The Treasury or Federal Reserve may have to serve as the lender of last resort.''
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re: The fed...lender of last resort
With the new plan announced yesterday the financial takeover of individual states through the sudden "credit crisis" is now to be put in motion. What this means is that the banking system itself will be completely bypassed and that the Federal Reserve will handle everything. They are making themselves the sole financial source nationally and dissolving the distinctions between state and federal. Note on the Federal Reserve. While they promote themselves as a government agency, it is privately owned and operated:

Court Rules Federal Reserve is Privately Owned
Case Reveals Fed's Status as a Private Institution

"Below are excerpts from a court case proving the Federal Reserve system's status. As you will see, the court ruled that the Federal Reserve Banks are "independent, privately owned and locally controlled corporations", and there is not sufficient "federal government control over 'detailed physical performance' and 'day to day operation'" of the Federal Reserve Bank for it to be considered a federal agency": globalresearch
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When the individual states, like the financial institutions, come under the control of a single private basically unaccountable organization i.e. the Fed, that is the end of freedom....and the beginning of totalitarianism.

They are...and it is!
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Christian...the Lord will come for His own. Are you ready right now?

'Strive to enter in at The Strait Gate: for many, I say unto you, will seek to enter in, and shall not be able.' Luke 13:24