Defaulting banks - where will it stop?

[Jan Klimkowski]

Fwiw - over on the "Ticker Forum", in the membership section to which I belong, they claim to have found evidence of the following with regard to the revised "bailout bill":

Paulson and Bush threatened to veto the legislation if there was an explicit prohibition of transfers from foreign banks to an American subsidiary.

THE ASSETS DO NOT EVEN HAVE TO BE AMERICAN MORTGAGE ASSETS - THEY CAN BE AN OFFICE TOWER IN SHANGHAI!

YOU ARE GOING TO GET FLEECED FOR HUNDREDS OF BILLIONS OF DOLLARS IF THIS BILL PASSES - THAT MONEY IS GOING TO GO IMMEDIATELY OUT OF THE COUNTRY!

I don't know if the above is true. But it would be a smoking gun if it could be proved that Paulson & Bush explicitly vetoed any amendment as above...

OK - the evidence comes from a Congressman (? or Senator?) on CNBC here (there's a 15-second advert before the clip proper starts). Congressman (?) Sherman makes the claim at c5:31:

http://www.cnbc.com/id/15840232?video=873682522&play=1