* The real Reality Show - You get home after a long day, enter your house and find that the TV, stereo, jewelry and paintings are gone. You stagger for a moment and then reach for the telephone to call the police. Before you can dial, a voice from behind you says, ”Put the phone down and raise your hands. I still want everything that is left in your wallet.” Welcome to Wall Street, Bush Boulevard and Paulson Highway to Up Yours – I’ve Got Mine. The financial industry bailout proposals this week by the Bush administration made the Savings and Loan failures of the late 1980’s look as harmless as a broken piggy bank.
The bailout proposals being discussed will cost taxpayers amounts so far projected to be between $700 billion and $1.8 trillion. The initial Bush plan proposes that the Secretary of the Treasury, an unelected official, would administer the funds with no congressional or court oversight, his decisions can never be questioned or reviewed by any authoritative body and there will be no penalties for the previous actions of the Wall Street bandits. This next part is a classic: if financial industry executive compensation is restricted, it would be a deal breaker. Bush and Paulson then dust off the Iraq invasion marketing campaign: FEAR. Accept this proposal immediately because if we delay there will be a mushroom cloud over Wall Street.
As the crook takes the money from your wallet the police arrive, having been alerted by your silent alarm. The first thing they do is sit everyone down at the kitchen table and serve coffee and Cheese Danish. Then they let the perpetrator walk away with your TV, stereo, jewelry, paintings, cash and a wink.
Update: After Paulson was excoriated by Republicans, Democrats, the media, and public watchdog organizations for requesting a bailout plan with no oversight by anyone but himself he has changed his tune. Testifying before the Senate Banking Committee Paulson said, “I didn’t suggest oversight in the bailout plan because that would be presumptuous.” This is in contrast to almost every other sentient being who feels the plan as a whole is presumptuous. And, Paulson perjured himself when he made this statement. Paulson’s plan released last weekend explicitly denied any review at all of his actions: “Decisions by the Secretary pursuant to the authority of this Act are non-reviewable and committed to agency discretion, and may not be reviewed by any court of law or any administrative agency.” What else would one expect from a Bush appointee but lies and arrogance?
* King Bush does cares about his subjects ~ at least the Barons of Industry – He is treating the greed-bloated conniving crooks and manipulators on Wall Street as if they were his close buds at Exxon Mobil, Hess, Chevron et al ad nausea. Run your businesses in a manner that will suck every dollar possible from the consumer, function with inadequate oversight toward the common good, be protected by the government regardless of the offense and if you get in trouble the taxpayer will cover your ass. And who is the taxpayer bailing out? “In 2007, Wall Street’s five biggest firms — Bear Stearns, Goldman Sachs, Lehman Brothers, Merrill Lynch, and Morgan Stanley — paid a record $39 billion in bonuses to themselves... Those 2007 bonuses were paid even though the shareholders in those firms last year collectively lost about $74 billion in stock declines — their worst year since 2002.” But then again, George is not big on accountability.
*The sound of silence – There is one benefit to the financial crisis. Republicans have finally shut up about their flagship demand for free and unregulated markets. Abject failure will do that to soapbox charlatans.
* Ka-ching – One would think that with the billions of dollars lost by financial institutions there would be no resources left for political contributions. Wrong again! The LA Times is reporting that contributions from financial companies and their lobbyists to Obama amount to $22.5 million and to McCain $19.6 million. Additionally, the industry has given heavily to members of the congressional committees in charge of legislation and the bailout. Recall a previous time in American history when the battle cry was “No taxation without representation?” Can you say, “Public financing of elections?”
* Derriere Orifice of the Week 1 ~ and maybe the month – “Neil Cavuto, host of Fox News' Your World, conflated giving home mortgages to minorities with risky lending practices, suggesting that efforts to increase homeownership among minority borrowers contributed to financial problems at Fannie Mae and Freddie Mac.” I am not sure if he is just stupid or a stupid racist. For those of us who are not challenged intellectually or morally, here is what did occur: “But even if 100 percent of bad debt had been produced by people of color, the reason for the financial collapse is that debt was chopped up and marketed as mortgage-backed securities to financial institutions all over the world. If the debt hadn't been sold, making many people very rich, the bad debt wouldn't have been integrated into the rest of the financial system and it would have just led to the collapse of the original institutions providing mortgages. In other words, it wasn't the debt itself; it was the very lucrative selling of the debt that got us where we are today.” Conservatives using white resentment as a political tool may have worked for Ronald Regan and George Bush but, I for one resent it. Mr. Cavuto, FOX you.
* “Good” is a relative concept –On Friday night I spilled a glass of 2005 Cline Zinfandel with dark fruit flavors on myself. It was a result of laughing at NY Times columnist David Brooks’ comment during PBS’ News Hour. He commented that Bush has had a pretty good past 3 years. Excuuuuuuse meeeee! If one considers that Bush has not been impeached, imprisoned or institutionalized for incompetence one can say he has had a pretty good 3 years. If one considers the state of our country…
* Poor judgment or dishonesty? – McCain’s campaign manager is Rick Davis, a lobbyist who fought regulation of financial institutions. This week McCain was adamant that Davis had no involvement with mortgage giant Freddie Mac for the last several years and said, “I'll be glad to have his record examined by anybody who wants to look at it.” The NY Times and Newsweek did look at it. Until last month mortgage giant Freddie Mac paid a firm owned by Davis $15,000 per month. The payments stopped when the federal government took over Freddie.
David Donnelly, director of the watchdog group Campaign Money Watch, said: "John McCain's campaign manager and Freddie Mac essentially had a secret half a million dollar lay-a-way plan. For almost three years, they made secret, monthly payments of $15,000 to Rick Davis for apparently no other work than for him to provide special access to a future McCain White House in exchange. If McCain knew about this, his presidential campaign should be over. If he didn't know about it, he ought to fire Rick Davis immediately."
* Shooting from the lip – In recent years the National Rifle Association (NRA) and the Republican Party have bonded like a high-power scope on a sniper rifle. “The NRA is circulating printed material and running TV ads making unsubstantiated claims that Obama plans to ban use of firearms for home defense, ban possession and manufacture of handguns, close 90 percent of gun shops and ban hunting ammunition.” At the above link you can see details of how disingenuous these claims are as well as how the ad is designed to appear to be coming from the Obama campaign. Watching the world of politics and governance leaves one with a soiled feeling. It is the reason that most of us would rather watch Dancing with the Stars than a bunch of power hungry and less than honest leaders of what was once something close to a Great Society. The Great Tragedy is that by chasing us away they further empowered themselves.
* You can run but, you can’t hide forever – “A federal appeals court on Monday ordered the Bush administration to hand over photos depicting abuse of prisoners held by the US military in Iraq and Afghanistan.” ACLU staff attorney Amrit Singh said, “These photographs demonstrate that the abuse of prisoners held in U.S. custody abroad was not aberrational and not confined to Abu Ghraib, but the result of policies adopted by high-ranking officials. Their release is critical for bringing an end to the administration’s torture policies and for deterring further prisoner abuse.” It would not surprise me if one of these days an international authority investigates the possibility of war crimes committed by the United States. What is astounding to me is that I would ever imagine such a thought.
* A religious experience at the U.N. - On Tuesday President Bush gave his last speech to the United Nations. Those in attendance heard “Thank God” whispered in 102 languages.
* “The truth is that all men having power ought to be mistrusted."
James Madison (1751 – 1836) a Founding Father of the U.S. and its fourth President (1809 – 1817)
Showing posts with label Rick Davis. Show all posts
Showing posts with label Rick Davis. Show all posts
Wednesday, September 24, 2008
Tuesday, September 16, 2008
* On Sunday morning two AP headlines caught my attention – “It’s Race Against Time To Save Ike Stalwarts” and “Feds, Wall Street Race to Save Lehman.” The first headline refers to the humanitarian efforts to save human beings in the aftermath of a natural disaster – hurricane Ike, that devastated large parts of Texas. The second headline refers to a man-made disaster - the potential bailout of another financial institution that has been managed by seedy and greedy millionaires. They were enabled by an incompetent federal government and an impotent congress blinded by the campaign contributions and lobbyist gifts funded by these same financial mega corporations now facing bankruptcy.
A competent parent knows that a teenager needs guidance and oversight – the same constrictions needed by commercial institutions that are myopically consumed by profits. This greed on steroids is devoid of ethics, integrity and the concept of the common good. We are now told that it is in our interest to use billions of dollars of taxpayer money to keep private companies like Bear Stearns and Lehman and quasi governmental companies like Fannie Mae and Fannie Mac from being flushed into oblivion. These same companies who fought every suggestion at oversight and regulation, whose policies consciously screwed over so many Americans, are now asking the American taxpayer for handouts. Neither the executive branch nor congressional branch of the government exercised their fiduciary responsibility to the American people.
Monday morning headlines: BLACK MONDAY; World Stocks Sink; U.S. Stocks Set to Sink at Open; Merrill Sells Itself to Bank of America; Lehman Files for Bankruptcy; FED Takes Emergency Steps; Insurance Giant AIG Scrambles for Cash; Banks Roll Out $70 Billion Loan Program. I am waiting for the next Republican politician to extol free enterprise free of regulation. I am waiting for the next Democratic politician to exhibit a patriotic spine and tell the American people that they will fight for legislation to achieve two goals: real ethics reform that actually minimizes the influence of lobbyists; public financing of elections so that the legislators are not in the pockets of special interest groups and so that legislators are not spending so much of their time trolling for campaign contributions from banks, insurance companies, oil and gas companies, insurers and pharmaceutical companies. Any congressman that does not support such measures should be thrown the hell out of office.
Monday afternoon – McCain tells a rally in Florida, "The fundamentals of our economy are strong." If this is a result of McCain listening to his economic advisors they are bigger derriere orifices than Bush’s financial team.
* Why Black Monday occurred:
1.) Incomes shrank for most Americans over the last expansion.
2.) But Americans kept spending thanks to a mammoth increase in household debt.
3.) To increase the amount of debt in the system, lending standards were lowered.
4.) Lowered lending standards have led to a higher default rate from borrowers.
5.) Higher default rates have lowered the value of all the collateral backed by mortgages.
6.) Lowered collateral values have killed the balance sheets of literally every major financial company.
So wrote Hale Stewart at the Huffington Post. He provides details about each of the above points in an interesting and informative article. Stewart’s piece and other writings this week would lead one to conclude that a Republican president, a Republican congress and an Alan Greenspan-led Federal Reserve became too cozy with America’s major financial institutions and that created a perfect storm for financial disaster. Their arrogance and greed led them to believe our current crisis could not happen. I suggest a read of this article to determine if there is merit to John McCain’s claim that the fundamentals of our economy are strong.
* Six alarm fire – On Tuesday John McCain called “for a high-level commission to study the current economic crisis and claimed that a corrupt and excessive Wall Street had betrayed American workers.” A commission may have some merit even if we know what happened. What was missing in McCain’s exhortation was mention of the commission by him and his Republican Party being a party to this debacle. It is reminiscent of the pyromaniac that sets a blaze and then calls for the Fire Department. Perhaps the American voter will begin to understand that a McCain presidency is akin to appointing the arsonist the Fire Chief.
* The pieces of the puzzle continue to come together – From the Progress Report: McCain and his running mate, Gov. Sarah Palin (R-AK), published an op-ed in the Wall Street Journal (on September 9) that called lobbyists "primary contributors" to the crisis. One of these lobbyists though, is McCain's own campaign manager, Rick Davis, who "served as president of an advocacy group led by Fannie Mae and Freddie Mac that defended the two companies against increased regulation." Davis challenged even the smallest reform measures intended to make sure that Fannie Mae and Freddie Mac were being held more accountable for their actions. This helped the mortgage giants, "consistently [beat] back congressional efforts to increase oversight, even after a major accounting scandal in 2003 resulted in a $400 million fine for Fannie.
In an effort to provide full disclosure it should be noted that Rick Davis is only one of 120 lobbyists working for the McCain campaign. That McCain is one heck of a lobbyist basher!
Also earning special mention is the economic advisor to McCain, former Senator Phil Graham. While a senator and then as a lobbyist Graham opposed any legislation that would have regulated financial institutions – regulations that may have averted the financial crisis gripping America and the international community. I wrote about Mr. Graham in July of this year. His hands are as dirty as his pockets are full.
The Republican Party and the lobbyists took their relationship to a new level at the beginning of the Bush administration. It was spirited by then Senator Rick Santorum (R-PA) who led the K Street project - a marriage od Republican politicians and lobbyists that threw open the doors of congressional access to the likes of Jack Abramoff, former ultra lobbyist and current resident of a federal prison. Santorum was rejected for re-election in 2006 but the effect of his efforts to put the federal government up for sale continues today.
* Speaking of money ill-spent – George Bush has given Pakistan billions of dollars to be our ally in the global war against terrorism. This week the Pakistani government ordered its troops to fire on the U.S. military if it conducts raids in Pakistan against terrorists and their supporters. Yes, the world is a complicated place. Let us hope that the next president has the ability to navigate such treacherous terrain. Someone who has not rubber-stamped Lost George.
* What is an over-worked secretary to do? - Speaking last week to the annual Conference of the White House Initiative on National Historically Black Colleges and Universities, Secretary of State Condoleezza Rice admitted that there are too few African-Americans in her agency. "I can go into a whole day of meetings at the Department of State -- and actually rarely see somebody who looks like me," Rice said. "And that is just not acceptable." Since January 6, 2005 Rice has been in her current position working around the clock to cover the errors of her boss. There simply has been no time available or inclination to change the State Department from looking like the Republican National Convention.
* You would too - Thirty-two of the nation’s leading historians have sent letters to congressional leaders calling on them to strengthen the Presidential Records Act (PRA). They are concerned that as the Bush administration prepares to leave office they are ready to expunge the record on its tenure. Expunging the record makes perfect sense. Their “record” is one of incompetency, lies and illegal activities. One would have to be in a vegetative state to not try to hide such documentation. Destroying the records will also help keep some of them out of prison.
* Last weekend in Andover, MA legal scholars, lawyers, and activists came together for "JUSTICE ROBERT H. JACKSON CONFERENCE: PLANNING FOR THE PROSECUTION OF HIGH LEVEL AMERICAN WAR CRIMINALS. As the insulated and self-protected members of the Bush administration leave the White House in January 2009 I am surer that they will be looking over their shoulders than they were “certain” that Iraq had weapons of mass destruction. Thousands of Americans were culpable in the use of torture, breaking the law and the ever-present “cover up.” Unlike a tragic Italian opera this will not be over when the fat lady sings the aria Arevaderchi.
* Get your free score card - If you are having difficulty keeping up with the McCain lies a new website sponsored by the Democratic Party will help you. The name of the site is Count the Lies - McCainPedia.org. This website will need a server capable of handling substantial gigabytes of memory.
* That Grand Old Party – The Michigan Republican Party is attempting to question voters’ eligibility whose homes have been foreclosed. “According to voting rights experts a foreclosure notice does not mean that a person is no longer a resident -- making it an inadequate basis for a challenge.” I imagine that GOP strategists have strategized that more Democrats have homes that have been foreclosed than Republicans. Thirteen U.S. Senators have petitioned the Justice Department to prevent disenfranchisement of voters who have lost their homes.
* A wealth of insight – NY Times op-ed columnist Frank Rich once again offers a cogent and perceptive analysis of the presidential race. I highly recommend a read of this in-depth article for which a summarization would not do it justice. I will note his concluding recommendation to the Democratic presidential nominee: If Obama “focuses voters on the 2008 McCain, the Palin question will take care of itself.”
* "No nation is permitted to live in ignorance with impunity."
Thomas Jefferson
A competent parent knows that a teenager needs guidance and oversight – the same constrictions needed by commercial institutions that are myopically consumed by profits. This greed on steroids is devoid of ethics, integrity and the concept of the common good. We are now told that it is in our interest to use billions of dollars of taxpayer money to keep private companies like Bear Stearns and Lehman and quasi governmental companies like Fannie Mae and Fannie Mac from being flushed into oblivion. These same companies who fought every suggestion at oversight and regulation, whose policies consciously screwed over so many Americans, are now asking the American taxpayer for handouts. Neither the executive branch nor congressional branch of the government exercised their fiduciary responsibility to the American people.
Monday morning headlines: BLACK MONDAY; World Stocks Sink; U.S. Stocks Set to Sink at Open; Merrill Sells Itself to Bank of America; Lehman Files for Bankruptcy; FED Takes Emergency Steps; Insurance Giant AIG Scrambles for Cash; Banks Roll Out $70 Billion Loan Program. I am waiting for the next Republican politician to extol free enterprise free of regulation. I am waiting for the next Democratic politician to exhibit a patriotic spine and tell the American people that they will fight for legislation to achieve two goals: real ethics reform that actually minimizes the influence of lobbyists; public financing of elections so that the legislators are not in the pockets of special interest groups and so that legislators are not spending so much of their time trolling for campaign contributions from banks, insurance companies, oil and gas companies, insurers and pharmaceutical companies. Any congressman that does not support such measures should be thrown the hell out of office.
Monday afternoon – McCain tells a rally in Florida, "The fundamentals of our economy are strong." If this is a result of McCain listening to his economic advisors they are bigger derriere orifices than Bush’s financial team.
* Why Black Monday occurred:
1.) Incomes shrank for most Americans over the last expansion.
2.) But Americans kept spending thanks to a mammoth increase in household debt.
3.) To increase the amount of debt in the system, lending standards were lowered.
4.) Lowered lending standards have led to a higher default rate from borrowers.
5.) Higher default rates have lowered the value of all the collateral backed by mortgages.
6.) Lowered collateral values have killed the balance sheets of literally every major financial company.
So wrote Hale Stewart at the Huffington Post. He provides details about each of the above points in an interesting and informative article. Stewart’s piece and other writings this week would lead one to conclude that a Republican president, a Republican congress and an Alan Greenspan-led Federal Reserve became too cozy with America’s major financial institutions and that created a perfect storm for financial disaster. Their arrogance and greed led them to believe our current crisis could not happen. I suggest a read of this article to determine if there is merit to John McCain’s claim that the fundamentals of our economy are strong.
* Six alarm fire – On Tuesday John McCain called “for a high-level commission to study the current economic crisis and claimed that a corrupt and excessive Wall Street had betrayed American workers.” A commission may have some merit even if we know what happened. What was missing in McCain’s exhortation was mention of the commission by him and his Republican Party being a party to this debacle. It is reminiscent of the pyromaniac that sets a blaze and then calls for the Fire Department. Perhaps the American voter will begin to understand that a McCain presidency is akin to appointing the arsonist the Fire Chief.
* The pieces of the puzzle continue to come together – From the Progress Report: McCain and his running mate, Gov. Sarah Palin (R-AK), published an op-ed in the Wall Street Journal (on September 9) that called lobbyists "primary contributors" to the crisis. One of these lobbyists though, is McCain's own campaign manager, Rick Davis, who "served as president of an advocacy group led by Fannie Mae and Freddie Mac that defended the two companies against increased regulation." Davis challenged even the smallest reform measures intended to make sure that Fannie Mae and Freddie Mac were being held more accountable for their actions. This helped the mortgage giants, "consistently [beat] back congressional efforts to increase oversight, even after a major accounting scandal in 2003 resulted in a $400 million fine for Fannie.
In an effort to provide full disclosure it should be noted that Rick Davis is only one of 120 lobbyists working for the McCain campaign. That McCain is one heck of a lobbyist basher!
Also earning special mention is the economic advisor to McCain, former Senator Phil Graham. While a senator and then as a lobbyist Graham opposed any legislation that would have regulated financial institutions – regulations that may have averted the financial crisis gripping America and the international community. I wrote about Mr. Graham in July of this year. His hands are as dirty as his pockets are full.
The Republican Party and the lobbyists took their relationship to a new level at the beginning of the Bush administration. It was spirited by then Senator Rick Santorum (R-PA) who led the K Street project - a marriage od Republican politicians and lobbyists that threw open the doors of congressional access to the likes of Jack Abramoff, former ultra lobbyist and current resident of a federal prison. Santorum was rejected for re-election in 2006 but the effect of his efforts to put the federal government up for sale continues today.
* Speaking of money ill-spent – George Bush has given Pakistan billions of dollars to be our ally in the global war against terrorism. This week the Pakistani government ordered its troops to fire on the U.S. military if it conducts raids in Pakistan against terrorists and their supporters. Yes, the world is a complicated place. Let us hope that the next president has the ability to navigate such treacherous terrain. Someone who has not rubber-stamped Lost George.
* What is an over-worked secretary to do? - Speaking last week to the annual Conference of the White House Initiative on National Historically Black Colleges and Universities, Secretary of State Condoleezza Rice admitted that there are too few African-Americans in her agency. "I can go into a whole day of meetings at the Department of State -- and actually rarely see somebody who looks like me," Rice said. "And that is just not acceptable." Since January 6, 2005 Rice has been in her current position working around the clock to cover the errors of her boss. There simply has been no time available or inclination to change the State Department from looking like the Republican National Convention.
* You would too - Thirty-two of the nation’s leading historians have sent letters to congressional leaders calling on them to strengthen the Presidential Records Act (PRA). They are concerned that as the Bush administration prepares to leave office they are ready to expunge the record on its tenure. Expunging the record makes perfect sense. Their “record” is one of incompetency, lies and illegal activities. One would have to be in a vegetative state to not try to hide such documentation. Destroying the records will also help keep some of them out of prison.
* Last weekend in Andover, MA legal scholars, lawyers, and activists came together for "JUSTICE ROBERT H. JACKSON CONFERENCE: PLANNING FOR THE PROSECUTION OF HIGH LEVEL AMERICAN WAR CRIMINALS. As the insulated and self-protected members of the Bush administration leave the White House in January 2009 I am surer that they will be looking over their shoulders than they were “certain” that Iraq had weapons of mass destruction. Thousands of Americans were culpable in the use of torture, breaking the law and the ever-present “cover up.” Unlike a tragic Italian opera this will not be over when the fat lady sings the aria Arevaderchi.
* Get your free score card - If you are having difficulty keeping up with the McCain lies a new website sponsored by the Democratic Party will help you. The name of the site is Count the Lies - McCainPedia.org. This website will need a server capable of handling substantial gigabytes of memory.
* That Grand Old Party – The Michigan Republican Party is attempting to question voters’ eligibility whose homes have been foreclosed. “According to voting rights experts a foreclosure notice does not mean that a person is no longer a resident -- making it an inadequate basis for a challenge.” I imagine that GOP strategists have strategized that more Democrats have homes that have been foreclosed than Republicans. Thirteen U.S. Senators have petitioned the Justice Department to prevent disenfranchisement of voters who have lost their homes.
* A wealth of insight – NY Times op-ed columnist Frank Rich once again offers a cogent and perceptive analysis of the presidential race. I highly recommend a read of this in-depth article for which a summarization would not do it justice. I will note his concluding recommendation to the Democratic presidential nominee: If Obama “focuses voters on the 2008 McCain, the Palin question will take care of itself.”
* "No nation is permitted to live in ignorance with impunity."
Thomas Jefferson
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