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Legality of $700 Billion Bailout Questioned

HeadlineSep 23, 2008

Questions are also being raised over the legality of the Bush administration’s proposed bailout. Ross Sorkin of the New York Times writes Treasury Secretary Henry Paulson is asking for the financial equivalent of the PATRIOT Act. Sorkin writes that the proposed bill would give the Treasury Secretary “perhaps the most incredible powers ever bestowed on one person over the economic and financial life of the nation.” Section 8 of Paulson’s plan states: “Decisions by the Secretary pursuant to the authority of this Act are non-reviewable and committed to agency discretion, and may not be reviewed by any court of law or any administrative agency.” Paulson, the former head of Goldman Sachs, is scheduled to testify today and tomorrow before House and Senate committees.

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