[Congressional Record Volume 141, Number 19 (Tuesday, January 31, 1995)]
[House]
[Pages H900-H901]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                 WHAT IS TRULY BEHIND THE $40 BILLION?

  (Mr. CLEMENT asked and was given permission to address the House for 
1 minute.)
  Mr. CLEMENT. Mr. Speaker, what is truly behind the $40 billion in 
loan guarantees to Mexico? Some have called it a bailout for Mexico, 
but I might call it a bailout for the banks and wealthy financiers and 
investors in the Mexican markets.
  Mr. Speaker, there is risk involved in every investment. These 
institutions and individuals knew full well what was in front of them. 
They made the investments; we did not. And now that the investments 
have soured some, it should not be the responsibility of the United 
States to make up their losses.
  Now the President is going to act on his own. He is going to bypass 
Congress because he knows it is not going to pass the U.S. Congress.
  [[Page H901]] We are not talking about peanuts. Forty billion dollars 
is a lot of money, and what happens if Mexico defaults on these loans? 
What assurances do we have that we are protected by their oil reserves 
or any other kind of collateral? Forty billion dollars--that could be 
used to control crime, offset the shortfall in defense, make our 
streets safer, immunize our children, and make job training and 
continuing education available for more Americans.


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