The Bailout is Unconstitutional - Paulsen overstepped his bounds.

[karsen]

I heard a segment with Judge Napolitano on Fox News while driving today. It was hard to pay attention with the kiddo singing in the backseat so I figured I'd look it up on Youtube and Fox when I got home. I couldn't find the exact video, this seems to be an older one with a similar theme but not the one I heard. The part I'm referencing starts at 2:44.
http://www.youtube.com/watch?v=bWbWaZLPQ_s

To paraphrase a little that I heard today:
- Regarding the Big Three, Judge Napolitano said it's illegal for the government to nationalize the Big Three, or to receive stock in exchange for money.

- Regarding the original bailout he said it's illegal for the government to give money to businesses the way they did. Money can only be given when it benefits all, not a select few. The government overstepped it's bounds by picking and choosing which companies were to survive (CitiGroup) and fail (Lehman.)

- And lastly, he said if the Big 3 accepts Federal funding and they go bankrupt that is fraud and they can be prosecuted.

Again, it's paraphrased and I may have misheard. If anyone knows of a link with this, or a transcript, I'd like to hear/read it again so I can clarify what he said and do some fact checking of my own. I'm not trying to debate over this, I'd just like to know more about it.

Thanks.


EDIT: Illegal=Unconstitutional

[davester]

So what part of the constitution is involved. Are you sure this isn't just corporate law?

[NeverMind]

I stopped reading at Fox News.

[karsen]

davester wrote:
So what part of the constitution is involved. Are you sure this isn't just corporate law?

Found this online regarding your question.

"“It

[Seacrest]

Stupid Paulsen.

[michaelb]

there is no chance this is true.

[davester]

Sorry Karsen, secondary sources don't do it for it for me. You need to refer to the constitution itself and what part of it is contradicted. If this were really true there'd be plenty of info about it on the web (which there apparently isn't). Otherwise I call BS on the Faux News right-wing propaganda site.

[mikeylikesit]

[Mac1337]

90% of what government does today is not in the constitution. Almost everything is being passed off as "general welfare". Defense, natural disasters, foreign service, national emergencies and currency are things where government has a unique role.

[karsen]

davester wrote: If this were really true there'd be plenty of info about it on the web (which there apparently isn't).

I wonder how many people felt like that when Galileo said the Earth moved around the sun. If it was true, all the scientists would be saying it!