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White House: When Trump Says "Wipe Out" Puerto Rico's Debt That Doesn't Mean "Bail Them Out"


#1

White House: When Trump Says "Wipe Out" Puerto Rico's Debt That Doesn't Mean "Bail Them Out"

Andrea Germanos, staff writer

"We are not going to bail them out," says OMB director Mick Mulvaney

White House budget director Mick Mulvaney, seen here in 2015, has walked back comments made by President Donald Trump about Puerto Rico's crushing debt, saying instead, "We are not going to pay off those debts." (Photo: Gage Skidmore/flickr/cc)

#2

The government (ie taxpayer public) bailed-out the predatory bankers that ripped-off so many millions of people and stole their lives via the “economic downturn” (a BS euphemism), and now we can’t aid our American brothers and sisters suffering from twin hurricanes? Wasn’t it the same banker scum we bailed-out that caused the Puerto Rican debt (along with a complicit Congress) in the first goddamn place? Don’t those banker CEO’s and the others make multi millions now after screwing so many out of so much?!

The MICC war machine just got voted a whopping $700 Billion in blood money and profits for arms manufacturers, middlemen, and all the other blood-soaked creatures, but we can’t aid our Maria-ravaged brothers and sisters of Puerto Rico? (or provide universal single-payer for all or education for our nations kids?

This trump regime of obscene wealth is an abomination led by a pathological shithead with ZERO understanding except for his own malignant ego madness and narcissism!

The idiot-in-chief just gets more and more reprehensible in all he says and touches!


#3

Puerto Rican debt needs to be wiped out. But the American taxpayer is not going to bail out the banksters by paying what they are supposedly owed. The vulture capitalists need to eat the money they money - sometime investments don’t pay off…


#4

We need to do several things here. First, totally forgive and wipe out Puerto Rico’s debt. Second, give them their independence to be a separate country, not a state. What makes anyone think they would be any better off as a state than say West Virginia or Mississippi? At least as an independent country they could accept aid from any other country, like maybe visiting doctors from Cuba? Third, give them a lovely parting gift of hundreds of billions of $$ in aid to help get them started as the newest independent country on Earth. Fourth, grant them Most Favored Nation trade status with us, to give them a leg up in establishing decent jobs in export businesses.


#5

author and activist Naomi Klein, wiping out the debt is exactly what Democrats should be pushing for:

The demodogs can’t do that because feed from the hands as repugs.


#6

Who’s got this little twerp Mulvaney’s number? This putrid little bastard is from S. Carolina; a state that leeches from the U. S. taxpayers to the tune of about $2.50 in, for $1.00 out in benefits and federal services. Who is giving him campaign funds and what is the makeup of his former Congressional district? We need to know a lot more about this despicable little fella. Mulvaney’s Motives??? Just speculatin’.


#7

This is truly a disingenuous article. While nobody should believe anything Trump says about anything ever, the fact is that banksters put Puerto Rico into bankruptcy largely under Democratic presidents and while the Island itself is governed by a corrupt machine.

Note that Trump was using this moment to go after Goldman Sachs by name and Goldman Sachs is one of the prime financiers of all things Dem, including Barry’s parachute/pension to mouth cliches for $400K. Even while GS plays an important role in Trump’s cabinet.

Isn’t the Duopoly Grand!?


#8

Pretty good agenda considering all the money stolen from Puerto Ricans for more than a century of cheap wages, no to mention the horrors of the Vieques bombing site and pollution of that part of the Caribbean because of it.


#9

Heres Wikipedia
His page on Open Secrets [notable: less than 1% of 2015-16 campaign contributions were “small” ]
A Citizen’s Look At Mick Mulvaney
Long Knives out for Social Security


#10

When he said “wipe out the debt” what he most likely meant was to sell off all of Puerto Rico’s private assets at 2 cents on the dollar to pay back the debt holders in full.

This is actually an opportunity and nobody gets a free ride (except swamp creatures and corporations).


#11

Wipe out their debt, NOW!!!


#12

I fully agree with you.

This is not to say that I’m excusing Trump for his atrocious handling of the Puerto Rico crisis to date; but, In the first place, I’m skeptical that this article is reporting the situation accurately. It seems there’s confusion, by all sorts of people, between ‘wiping out a debt’ and ‘bailing out the holders of that debt’.

Reportedly, Trump stated, “They owe a lot of money to your friends on Wall Street. We will have to wipe that out,” Further more, he said. “I don’t know if it’s Goldman Sachs, but whoever it is, you can wave goodbye to that,”

If you browse to the article where the CD author culled her information, there’s the following paragraph:

It wasn’t clear whether he was talking about the possibility of some kind of government bailout or a restructuring of the island’s debt that would impose losses on investors.

But, from what I’m reading, Trump’s statement indicates that he’s in favor of absolving Puerto Rico’s debt; but, not by using taxpayer money, via a bail-out, to repay the bond holders. And, it appears that Mulvaney was simply reiterating that statement.

In a truly free “free market”, the investors should eat the debt, regardless of whether it’s banks that hold some of that debt; or, hedge funds, mutual funds, or smaller investors. It should be, “You invest in the market; You take your chances with risk to your investment.” There should be no free lunch, by having the U.S. government use tax receipts to reimburse investor losses, like Obama did back in 2008.

But, you can bet that investors are already whining like little spoiled children; and, vulture lobbyists are circling, seeking investor clients.


#13

SIGN PETITION FORGIVE PUERTO RICO DEBT!! Action mounted by the Jubillee Network USA.
Call on IMF for Relief for Islands Affected by Irma and Maria
Prevent Future Financial Crisis in Puerto Rico
Fight Corruption and Fight Poverty, Stop the Financial Choice Act

Jubilee USA’s Executive Director Eric LeCompte releases statement on Puerto Rico and the US Virgin Islands debt crises after the hurricanes. LeCompte worked on Puerto Rico emergency debt crisis legislation, testified to Congress and Puerto Rico’s oversight board on the debt crisis and serves on United Nation debt expert groups.


#14

That’s certainly what the banks, and other investors will be in favor of. That was Wall Street’s intent and subsequent solution for Greece…debt, followed by privatization; but, that wouldn’t jive with Trump’s statement of, “I don’t know if it’s Goldman Sachs; but, whoever it is, you can wave goodbye to that.” – But, then again, when has Trump ever made a statement that he followed through on, once opposing entities started to pressure him?


#15

Yeah, a real paradox of a guy, ol’ Mitch. Hard core pro-lifer but wants to kill children after they’re born. He’s a ( Baby Seal ) Club For Growther, apparently. Doesn’t like Meals on Wheels, CHIPS, Food Stamps, 2nd Amendment Gun Nutter, Big Taxcutter ( except for DoD ) and, here’s the topper; a good Roman Catholic. Emphasis on Roman, apparently.
Such a darn good Christian; to be in charge of the Atheists & Agnostics’ Peace, Prosperity & Morality tax money.
And, he’s a Trumpster/Humpster T- Party Money Nut, as well. Someone was using Dynamic Scoring when the called Mitch a man of the people. He’s a thieving opportunist like his lunatic boss, mostly.


#16

Mulvaney’s campaign funds: https://www.opensecrets.org/members-of-congress/summary?cid=N00031412

The big money donors like him…


#17

In short >>> I wonder if Trump is still in charge? Whether it is Tillerson, Mulvaney or Mattis, Trump says one thing and they do another. My guess is that the Republican Party extorted Trump’s compliance by threatening to withdraw their protection against his impeachment unless he gives over the reins to the this triumvirate and confine himself to a near-figurehead public image and his tweets.


#18

1,000 on the Laugh-O-Meter! Mil gracias.


#19

I can hear it all now:

DJT: NO, NOT MY TWITTER…I’ll do anything if you just let me keep my use of twitter. I just can’t lose my base, I just can’t…[SOB, SOB, SOB, HICCUP, SOB]


#20

And Mick M probably comes from a long line of bog-trotters…