Treasury's Bailout Promises Runneth Over
washingtonpost.com — With the announcement of its $6 billion investment to stabilize GMAC, the Treasury Department has now spent or committed more money than Congress has allocated to its financial rescue program, effectively making more promises than it can afford to keep.
The scorecard: Congress gave Treasury $350 billion; Treasury has allocated $354.4 billion.
The department acknowledges that it needs Congress to approve the second half of the $700 billion rescue package simply to meet its commitments, let alone to address new emergencies. If Congress blocks the additional funding, as some members say they want to do, Treasury could be forced to break promises.