|This article appears in the April 4, 2008 issue of Executive Intelligence Review.
The Homeowners and Bank Protection Act
This is the original model proposal for an HBPA, made by Lyndon LaRouche in late August 2007, of which a variety of versions have been passed by more than 75 cities, and 3 state legislative bodies, around the United States.
Whereas, the onrushing financial crisis engulfing home mortgages, debt instruments of all types, and the banking system of the United States threatens to set off an economic depression worse than the 1930s; and
Whereas, millions of American citizens are threatened with foreclosure and loss of their homes over the upcoming months, according to studies released by Realty Trac and Moody's Economy.com; and
Whereas, this financial crisis is now threatening the integrity of both state and federally chartered banks, as typified by the run on deposits of Countrywide Financial in California during the month of August; and such a banking collapse would wipe out the life savings of American citizens, and drastically undermine the economic stability of our states and cities; and
Whereas, in a similar financial crisis in the 1930s, President Franklin D. Roosevelt intervened to protect banks and homeowners; for example in April, 1933 he introduced legislation as a declaration of national policy that the broad interests of the Nation require that special safeguards should be thrown around home ownership as a guarantee of social and economic stability, and therefore,
Be it Resolved, that the State of /City of/ hereby endorses the Homeowners and Bank Protection Act of 2007, as initiated by economist Lyndon H. LaRouche, Jr. This crisis is such that it requires emergency action that only the United States Congress has the capability to enact. Congress must move quickly to keep people in their homes and avert social chaos. This act includes the following provisions: