Secretary of State's Concerned About Bailout

[0:45] ..." is that -- the states that provide the best protection to investors. Massachusetts particularly but also other states Massachusetts New York State consumer laws have been used. But myself by Attorney General -- by. -- journal -- smaller and others to. Provide protection to people. Wall Street has made repeated efforts to get rid of us it's kind of like spelling in the perhaps. They want to make sure"...

[1:34] ..." of this legislation. The American public and not the private interest on Wall Street. "...

[1:40] ..." Can you give me an idea how the average Massachusetts resident could get hurt by a hurry up legislation that does not have. Proper oversight that premiums state laws if it's simply"...

[2:28] ..." that -- Tibet last week. We've just in recent weeks here in Massachusetts and number. Efforts that have been made by myself but. Construction and other state regulators. Who have been able to get people"...

[3:08] ..." Allstate -- so -- some years ago you would have -- a Massachusetts law that would protected its critics are customers those laws that now. An operative. If that happened here. I think Massachusetts consumers would be great loss."...

[0:12]" Well the first concern is to make sure that these dollars -- pumped into the system actually reach consumers and investors and we don't find ourselves that some firms are able to default on some of the obligations that means not page. Some of the obligation they had to leave it to customers of the -- some of the agreements they've entered into to protect investors that state regulators and others have been able to get from. The second concern is this familiar theme that we hear about. Quote reform close quote there's. -- an effort to preempt state laws of the problem with that is is that -- the states that provide the best protection to investors. Massachusetts particularly but also other states Massachusetts New York State consumer laws have been used. But myself by Attorney General -- by. -- journal -- smaller and others to. Provide protection to people. Wall Street has made repeated efforts to get rid of us it's kind of like spelling in the perhaps. They want to make sure that there's nobody helped -- become bargain. Our hope that in the as this legislation is considered that though won't we won't have to -- the preemption battle again. We are -- on the parents part. That's the problem already up legislation it's very important important inflation read carefully. That doesn't mean person and need to do something it doesn't mean that we need to know exactly what's being done. And that the real at the end of the day the real beneficiaries of this legislation. The American public and not the private interest on Wall Street. "

[1:40]" Can you give me an idea how the average Massachusetts resident could get hurt by a hurry up legislation that does not have. Proper oversight that premiums state laws if it's simply a matter of the federal government taking the bad loans off the books of these investment banks and other banks."

[1:57]" Well the real question is assumed that the banks by and so read of this publication of these local loans who's going. We remember these loans in some cases came from institutions came from pension funds -- most. How these people ultimately get their money back all the secret picture of their money's protected. The same time we know that many of these so called bad loans or or relate to individual homes. We're going to find people still being evicted and the -- on the banks sitting there are considering pretty. Those are questions that -- Tibet last week. We've just in recent weeks here in Massachusetts and number. Efforts that have been made by myself but. Construction and other state regulators. Who have been able to get people back here -- Which was improperly taken from them. So called art enrich securities. -- state regulators didn't have the authority that we do. We would find it impossible to help me. People which simply as it is now with democratic such situations. Right now. State laws are preempted when it comes to credit card so credit card companies can do pretty much whatever they want and they get away with it because they took you know they've -- settle up with congress. Congress preempt that Allstate -- so -- some years ago you would have -- a Massachusetts law that would protected its critics are customers those laws that now. An operative. If that happened here. I think Massachusetts consumers would be great loss."