Treasury officials like to claim that all of the funds ($245 billion) dispersed under the Capital Purchase Program (CPP) have been repaid with interest – and that U.S. taxpayers have actually reaped a profit of $10 billion.

There is more to this story.  When the Fed highlights their TARP profits, they are only counting the positive payers.  They are not accounting for the those parties who have not repaid their TARP bailout frunds.  And they are allegedly not accounting for the market value of some of the ‘crap’ Mortgage Backed Securities (and other) assets on their books  – which they purchased with trillions of dollars.

Furthermore, according to the calculations of one group called Ethisphere, the TARP payback shortfall stands at a tall $148 billion.  This averages out to a debt of over $1200 for every American.  (Source:  Taibblog 9-1-09)

Capital Purchase Program (CPP) is a leg of the TARP bailout, whereby “Treasury bought preferred shares in the nation’s banks” to rescue many of the banks from failure.

Here are some of the big ones:

And here is the full list of the Bank recipients:   http://money.cnn.com/news/specials/storysupplement/bankbailout/

Remember that many of the ‘big players’ like Goldman Sachs, JP Morgan and others received sizeable credit extensions from the Federal Reserve at (near) zero percent interest, and were able to use those funds to purchase Treasury securities paying 3% interest – thereby gaining access to ‘free money’ to rebuild their solvency.  And pay back TARP disbursements to the Fed.

So, yes, many of the major players did repay the TARP disbursements – but they did it with the benefit of the ‘free money’ they had access to from other programs.  And that ‘free money’ giveaway by the Fed – does dilute the value of the U.S. Dollar.

And that ‘hits’ American families with higher prices for such things as food and energy.

Furthermore, some of the smaller banks actually paid back TARP bailout funds with other funds borrowed from the Small Business Lending Fund.  These included (July 14, 2011):

• Eagle Bancorp of Bethesda, MD: $23.235 million
• First California Financial, Westlake Village, CA: $25 million
• Cache Valley Bank, Logan, UT: $4.77 million, plus $263,000 to buy back preferred shares granted to Treasury in lieu of warrants
• Security Business Bancorp, San Diego, CA: $5.8 million, plus $290,000 to buy back preferred shares granted to Treasury in lieu of warrants
• BOH Holdings of Houston, Houston, TX: $10 million, plus $500,000 to buy back preferred shares granted to Treasury in lieu of warrants
• BancIndependent, Sheffield, AL: $21.1 million, plus $1.055 million to buy back preferred shares granted to Treasury in lieu of warrants
• York Traditions Bank, York, PA: $4.871 million, plus $244,000 to buy back preferred shares granted to Treasury in lieu of warrants
• Centric Financial, Harrisburg, PA: $6.056 million, plus $182

The shell games being played by our government on behalf of the banks is a disservice to U.S. citizens.

The Leviticus 25 Plan recapture provisions, on the other hand, provide an honest, straightforward mechanism for recapturing the funds extended, while providing direct benefits to American families..

The Primary Dealers Credit Facility (PDCF) was created by the Federal Reserve in the Fall of 2008 to help restore order and maintain liquidity in the credit markets – as the banking crisis began gaining ‘traction.’

Primary Dealer’s ‘mission’ was to bid (take up the slack) at the monthly Treasury auctions whenever demand was light.  It was not unusual for them to ‘take down’  the lion’s share of a given offering when foreign central banks (indirect bidders) and domestic (direct) bidders had cold feet.  This week, for instance, Primary dealers  ‘took down’ 54.66% of the $32 billion auction of 2 year bonds (which, by the way, inched the U.S. national debt up the the $15.413 trillion level).

In the past whenever the Dealers couldn’t ‘move’ (any or all of) the bonds they took down at an auction, they were allowed to ‘flip’ them back to the Federal Reserve, sometimes within days.  They were still allowed to pocket the commissions (millions of dollars worth) for the bonds they could not successfully market (a no-lose deal for themselves – at the expense of U.S. taxpayers).

This monetizing (money printing) mechanism thus expanded the Fed’s balance sheet, and the longer term consequences will not be favorable.

The longer term risk for the U.S. Dollar (vs hard assets) is growing.  And when the Dollar eventually begins its ‘hard slide,’ U.S. citizens are going to get economically hammered.

The Leviticus 25 Plan offers a viable economic recovery plan for America.  And a real chance to avert economic calamity.

“He who will not apply new remedies must expect new evils.” – Sir Francis Bacon

The Leviticus 25 Plan is a dynamic economic initiative providing direct liquidity benefits for American families, while at the same time scaling back the role of government in managing and controlling the affairs of citizens.  It is a comprehensive plan with long-term economic and social benefits for citizens and government.

The inspiration for this plan is based upon Biblical principles set forth in the Book of Leviticus, principles tendering direct economic liberties to the people.

The Leviticus 25 Plan – An Economic Acceleration Plan for America

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March 2025 quote:  ““A society that puts equality — in the sense of equality of outcome — ahead of freedom will end up with neither equality nor freedom. The use of force to achieve equality will destroy freedom, and the force, introduced for good purposes, will end up in the hands of people who use it to promote their own interests.

On the other hand, a society that puts freedom first will, as a happy by-product, end up with both greater freedom and greater equality.  Though a by-product of freedom, greater equality is not an accident.  A free society releases the energies and abilities of people to pursue their own objectives.

It prevents some people from arbitrarily suppressing others.  It does not prevent some people from achieving positions of privilege, but so long as freedom is maintained, it prevents those positions of privilege from becoming institutionalized; they are subject to continued attack from other able, ambitious people.  Freedom means diversity but also mobility.  It preserves the opportunity for today’s disadvantaged to become tomorrow’s privileged and, in the process, enables almost everyone, from top to bottom, to enjoy a fuller and richer life.”   – Milton Friedman