US Senate passes 700 billion dollar bailout package

October 2nd, 2008 - 2:32 pm ICT by ANI  

Washington , Oct 2 (ANI): The 700 billion dollar financial industry bailout found a second life on Thursday, winning lopsided passage in the US Senate and gaining ground in the House of Representatives, where Republicans opposition softened.

On September 30, the US House of Representatives had defeated the 700 billion dollar bailout package with a vote of 228 to 205, as Republicans delivered fewer votes for the proposal than House leaders expected.

Senators loaded the economic rescue bill with tax breaks and other sweeteners before passing it by a wide margin, 74-25, a month before the presidential and congressional elections.

In the House of Representatives, leaders were working feverishly to convert enough opponents of the bill to push it through by Friday, just days after lawmakers there stunningly rejected an earlier version and sent markets plunging around the globe.

The rescue package would enable the US Government to spend billions of dollars to buy bad mortgage-related securities and other devalued assets held by troubled financial institutions.

According to experts, if the bailout is successful it would enable frozen credit to begin flowing again and prevent a deep recession. (ANI)

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