Replies to post #21818 on U.S Fuel Corp. (fka USFF)

[MorningLightMountain]

NSOL could always buy some lottery tickets, then put out a PR that they possibly have millions in state funding pending......would not be much different than their NJ bond funding "pre-approval" claims, IMO.....

[73tats]

'Doc'

The answer to the problem is: There probably ain't no MONEY!

Why did the taxpayers have to pony up 2 TRILLION DOLLARS?

Because Wall Street went on a GAMGLING spree.

Here is the gamble. A whole bunch of morgages were divided into pieces of mortgages that were bundled into CDO's Collaterlized Debt Obligation's. They were bundled into bundles, in order to have a lot more bundles than there were mortgages. They were then rated by reputibule orginazitions. They all were stamped with AAA rating and sold around the world. They could not get enough of these bundles, because everyone wanted one or more of these AAA rated mortgage backed security.

To go along with the CDO's, that were selling like hot cakes was another dandy piece of paper, it was a CDO SWAP.
There are all kinds of SWAP's the one referred to herein, is the credit default swap or CDS. or CDS SWAP.

Now here comes the bet. Basically SWAPS are illegal
insurance. One side bets that the debt owed will be paid off, the other side bets that the debt owed, will not be paid off.

Now if someone does not make their payments on any mortgage that is in the bundles, a default has occurred and the credit rating for the CDO will probably be lowered.

Now, whoever sold the insurance, bets that the debt will be paid off on the CDO. The compay that bought the insurance probably someone like JP Morgan, Goldman Sacks, and a few savy hedge funds etc etc. Demands payment from Bear Sterns, AIG, etc etc.

Now, Bear Sterns, AIG, Hedge Funds and many Banks who sold
the SWAPS must come up with the money to pay off, the bad bets that they made, or go broke.

There was something like 45 trillion in SWAPS in 2007. Now there is a big pile of bad bets, that have been sucking all the cash that becomes available. So the taxpayers (Federal Government), had to loan the bank 2 trillion dollars just to keep the doors open. They the financial institutions, who sold the SWAPS, probably still legally owe, trillions of dollars, needed to pay off the bad bets.

That is why there is no MONEY. Only the States or the FEDS have the money. Probably, that is about the only place, money can be got, from the taxpayers, to build the CTL Plant. However, there
are a few places that will have the money, it is the ones that won the bets and it is JP Morgan, Goldman Sacks, etc etc., maybe FFI/KFA can borrow the money from them.

My Opinion.