Congressional Democrats could be careening toward a head-on collision with the White House over $200 billion in leftover bailout money — money that Republicans think should simply be returned to taxpayers.
The Treasury Department is pushing for fiscal prudence and wants to use the money to pay down the deficit and keep a small rainy-day fund in case of economic catastrophe.
But Democrats are salivating over the possibility of $200 billion in unspent money.
House Democratic Caucus Chairman John Larson of Connecticut wants dough to fund job-creation legislation. Massachusetts Rep. Barney Frank, the powerful chairman of the House Financial Services Committee, wants to direct $2 billion of repaid Troubled Asset Relief Program funds to loans for unemployed homeowners so they can avoid foreclosure. House Speaker Nancy Pelosi of California admits that “there’s a good bit of inter
|Liveleak on Facebook|