Obama and the jailed Tony Rezko... And Freddie and Fannie!

[Greg Meyer]

From Salon.com (a very liberal blog):



"After law school, Obama went to work for the firm of Davis Miner Barnhill & Galland. During Rezko's stint in ghetto rehab, Davis Miner represented three community groups in partnership with Rezmar. Through them, the law firm helped Rezko obtain $43 million in government funds."



"Obama didn't really become tight with Rezko until he ran for the state Senate, in 1995. Rezko, who can spot a comer, was first in line with a check. The day the campaign started, Obama received $2,000 from two of Rezko's fast-food businesses. Eight years later, when Obama was campaigning for the U.S. Senate, Rezko hosted a fundraiser at his suburban mansion."



Obama, on the other hand, seems to have derived some material benefit from his friendship with Rezko. During his first year in the Senate, flush with the book advance for "The Audacity of Hope," Obama and his wife decided to trade up from a condo to a bigger, more secure home in Kenwood, a South Side neighborhood of turreted, balconied piles popular with University of Chicago econ professors looking to blow their Nobel Prize loot. They found a $1.65 million house with four fireplaces, a wine cellar and a black wrought-iron fence. The doctor who lived there also owned the vacant lot next door and, although the properties were listed separately, wanted to sell both at the same time. Despite their new income, the Obamas could not have afforded both parcels. The Obamas closed on their house in June 2005. On the same day, Rezko's wife, Rita, purchased the vacant lot for $625,000. They later sold a portion of the lot to the Obamas, for $104,500, so the family could expand its yard. The Rezkos then paid $14,000 to build a fence along the property line."



And, finally....



"If you've been to Chicago, you know it's a pretty flat place. And if you follow Chicago politics, you know that even the noblest politician can't remain chaste.



"The national media, they tend to overlook that Obama is a regular Cook County Democrat," Merriner says. "Maybe he's a cut above, but he's still an Illinois politician."



As long as Rezko was only under investigation, Obama was willing to do business with him. But then Rezko committed the fixer's biggest sin: He got indicted and got his name in the papers. After that, the friendship cooled. Obama has donated $157,835 in Rezko-linked contributions to charity and has called the real estate deal "boneheaded." But he still lives in the house. And he still has the power Rezko helped him attain."



And, that was from a liberal blog.



But, why look into all "that"... when the New York Times can send reporters to Alaska to review Palin's expense sheets and agitate everybody over a physically abusive brother-in-law.



And, after Rezko there is still Jeremiah Wright, William Ayers, and Michelle Obama to talk about.





As I have said, for me, this election is all about "Character"...



For those who aren't familiar withe the "land deal" with Rezko, here is, from ABC News website, a short description:



"http://abcnews.go.com/Blotter/Story?id=4111483&page=2"


















http://abcnews.go.com/Blotter/Story?id=4111483&page=2

 

[Greg Meyer]

Remember, it is all about character and honesty...



Obama blames the Republicans for the meltdown at Freddie and Fannie...



Let's blame the Senator who in four short years is #2 on the list of campaign contributions from Freddie and Fannie Mae



From Fox News;



"Lehman Brothers collapse is traced back to Fannie Mae and Freddie Mac, the two big mortgage banks that got a federal bailout a few weeks ago.



Freddie and Fannie used huge lobbying budgets and political contributions to keep regulators off their backs."



"The top three U.S. senators getting big Fannie and Freddie political bucks were Democrats and No. 2 is Sen. Barack Obama.



Now remember, he's only been in the Senate four years, but he still managed to grab the No. 2 spot ahead of John Kerry
http://www.foxnews.com/story/0,2933,423701,00.html

 

[Texas Transplant]

McCain co-sponsored a bill (around 2005 or 06 I beleive) that was trying to address specifically reforming Freddie and Fannie, along with some other mortgage protections. It was defeated by the Democratically Controlled Senate.



I learned this during the Fox News Palin hour last night, when they had one of the DemahDog's on the air blasting McCain. Their answer to the news: They simply repeated their 'message' and refused to acknowledge the bill or that McCain was a co-sponsor.



Funny how hard it is for that kind of information to get out to everyone.



BJ

 

[Jim C]

"McCain's Fannie and Freddie Connections John McCain railed against Fannie Mae and Freddie Mac on the campaign trail today, saying that the CEOs that led the lenders to ruin "deserve nothing" and should have to pay back their severance packages. In an Wall Street Journal op-ed co-bylined by his vice presidential pick, Sarah Palin, McCain suggested bold reforms for Fannie and Freddie that would "terminate future lobbying, which was one of the primary contributors to this great debacle."



If that's the case, McCain should look first to his campaign staffers as the cause of that debacle. One of them was Fannie Mae's head of lobbying, and spread tens of millions of dollars around Washington in the form of lobbying contracts. A number of McCain staffers were on the receiving end of those contracts, collecting hundreds of thousands of dollars each from the lenders to rep their interests. And McCain's campaign manager served as president of a lobbying association that fought to protect Freddie Mac and Fannie Mae from the sort of regulation that McCain is now proposing.



In McCain's op-ed in the Journal, he and Palin wrote:



For years, Congress failed to act and it is deeply troubling that what we are seeing is an exercise in crisis management rather than sound planning, and at great cost to taxpayers.

We promise the American people that our administration will be different. We have long records of standing up to special interests

 

[Jim C]

And for the other side



Proof of McCain's Support for Fannie Freddie reform over 4 years ago

Thomas ^ | self



Posted on Wednesday, September 17, 2008 1:06:47 PM by GOPFlack



All D's on committee opposed including Dodd and Schumer in mark up.



S.1508 Title: A bill to address regulation of secondary mortgage market enterprises, and for other purposes. Sponsor: Sen Hagel, Chuck [NE] (introduced 7/31/2003) Cosponsors (4) Related Bills: S.1656 Latest Major Action: 4/1/2004 Senate committee/subcommittee actions. Status: Committee on Banking, Housing, and Urban Affairs. Ordered to be reported with an amendment in the nature of a substitute favorably. Jump to: Summary, Major Actions, All Actions, Titles, Cosponsors, Committees, Related Bill Details, Amendments SUMMARY AS OF: 7/31/2003--Introduced. Federal Enterprise Regulatory Reform Act of 2003 - Amends the Housing and Community Development Act of 1992 to establish in the Department of the Treasury the Office of Federal Enterprise Supervision. Transfers to the Director of such Office supervisory and regulatory authority over specified government sponsored enterprises (Fannie Mae and Freddie Mac) from the Office of Federal Housing Enterprise Oversight of the Department of Housing and Urban Development (HUD) and from the Secretary of Housing and Urban Development. Prohibits merger or consolidation of such Office or its functions.



Requires: (1) the Director to ensure that the enterprises operate in a financially safe manner and remain adequately capitalized; and (2) that each enterprise have prior approval of the Director before implementing a new program.



Sets forth operating, administrative, and regulatory provisions of the Director, including provisions respecting: (1) assessment authority; (2) authority to limit nonmission-related assets; (3) minimum and critical capital levels; (4) risk-based capital test; (5) capital classifications and undercapitalized enterprises; (6) enforcement actions and penalties; and (7) reporting.



Sets forth certain retained authorities of the Secretary.



Abolishes the Office of Federal Housing Enterprise Oversight. Sets forth related transfer of personnel and facility and property provisions.



MAJOR ACTIONS: ***NONE***



ALL ACTIONS: 7/31/2003: Sponsor introductory remarks on measure. (CR S10623) 7/31/2003: Read twice and referred to the Committee on Banking, Housing, and Urban Affairs. (text of measure as introduced: CR 8/1/2003 S10623-10631) 4/1/2004: Committee on Banking, Housing, and Urban Affairs. Ordered to be reported with an amendment in the nature of a substitute favorably. TITLE(S): (italics indicate a title for a portion of a bill) ***NONE***



COSPONSORS(4), ALPHABETICAL [followed by Cosponsors withdrawn]: (Sort: by date)



Sen Dole, Elizabeth [NC] - 7/31/2003 Sen Lott, Trent [MS] - 1/22/2004 Sen McCain, John [AZ] - 9/10/2003 Sen Sununu, John E. [NH] - 7/31/2003 COMMITTEE(S): Committee/Subcommittee: Activity: Senate Banking, Housing, and Urban Affairs Referral, Markup, In Committee RELATED BILL DETAILS: (additional related bills may be indentified in Status) Bill: Relationship: S.1656 Related bill identified by CRS

 

[Greg Meyer]

Lobbyist = Marketing?lawyers, etc...



People "work" and lawyers advocate their "bosses" position... So, cramming the title "lobbyist" on someone doesn't do anything except appeal to passion and prejudice.



Furthermore, "advisors" might well be superbly competent to advise soemone, regardless of theiur past employment. As a matter of fact... those people might know a great deal about what needs to get fixed.



I am sure that William Ayers is very capable of advising Obama on domestic terrorism, since he is a self admitted "bomber". Obama's list of "guilty" by association is a whole lot uglier than McCain's.



However, on McCain's side is an attempt to get some regulation... That is totally inconsistent with the attempts to "blame" him for a failure to regulate when the Democratic control defeated that attempt. My reference to the campain contributions was to highlight a somewhat disingenuous "claim" by Obama that he is an "outsider" ready to ride into town and drive the pharisees out of the temple.

 

[Jim C]

So, we should just forget about McCain's involvement in the Keating 5????? The scandal that caused financial collapse, similar to now, back in the 80's. I would guess that McCain's support for reform was only to polish up his image after the Keating Scandal. Explain to me what's different from Obama and Rezko compared to McCain and Keating? I see McCains involvment with Keating more scandalous that Obama/Rezko. Equal at the very least with your glasses on, but you only see out of GOP shaded glasses. OK Greg, let's hear how Obama's is worse. I'm sure you'll twist an explanation. You never give up on Obama/Rezko, do you? Even though you don't hear a peep out of the Republicans out of it because they were deeper into Rezkos pockets than Obama or any Democrat.





"McCain and Keating had become personal friends following their initial contacts in 1981,[10] and McCain was the closest socially to Keating of the five senators.[21] Like DeConcini, McCain considered Keating a constituent as he lived in Arizona.[18] Between 1982 and 1987, McCain had received $112,000 in political contributions from Keating and his associates.[22] In addition, McCain's wife, who McCain had married while he was still married to his first wife, having found that his first wife was no longer attractive to him after being in a car accident. And Cindy was rich, something that would be useful in furthering McCains' political career.Cindy McCain and her father Jim Hensley had invested $359,100 in a Keating shopping center in April 1986, a year before McCain met with the regulators. McCain, his family, and their baby-sitter had made nine trips at Keating's expense, sometimes aboard Keating's jet. Three of the trips were made during vacations to Keating's opulent Bahamas retreat at Cat Cay. McCain did not pay Keating (in the amount of $13,433) for some of the trips until years after they were taken, when he learned that Keating was in trouble over Lincoln.[6][23]"

 

[Jim C]

The savings and loan crisis of the 1980s and 1990s (commonly referred to as the S&L crisis) was the failure of 747 savings and loan associations (S&Ls) in the United States. The ultimate cost of the crisis is estimated to have totaled around USD$160.1 billion, about $124.6 billion of which was directly paid for by the U.S. government

 

[Greg Meyer]

I have two friends who have done hard time... They are still friends and I have gotten past my anger at them... They have also, I believe, realized their mistakes and have paid a price. A price exacted after investigation and trial. You seem to want to exact a price after McCain was cleared of any wrongdoing by a Democratically controlled ethics committee investigation and report.



From Wickipedia (not the best source, but quick and accurate this time...)



"After a lengthy investigation, the Senate Ethics Committee determined in 1991 that Alan Cranston, Dennis DeConcini, and Donald Riegle had substantially and improperly interfered with the FHLBB in its investigation of Lincoln Savings. Senators John Glenn and John McCain were cleared of having acted improperly but were criticized for having exercised "poor judgment"."



Now it seems to me if you have questions about McCain's character for the 16 year old S&L crisis, you ought to have serious questions about Obama, now. But, I believe you have on "Democrat" goggles that only show what you want to see...



In sixteen years since that time McCain has been sullied by nothing... Obama has tons of skeletons lurking in the closet..;. Wright, Ayers, Rezko, Blagovich (Il Governor).



Just use the same standard when judging the man, not filtered by knee jerk party reactions.

 

[Bill McElroy]

Terror,.....do a little research on the group "ACORN" and their history of voter fraud. Obama has a nice "history" with them..:angry: The dude's a major JOKE!!

 

[Texas Transplant]

Terror - and also, if you are going to throw a rope around the people helping McCain - then do it equally for Obama. He has several major Fannie and Freddie players high up on his team. Do equal analysis, not just biased.



Tex

 

[Bill McElroy]

...and don't turn a blind eye to the fact that Obama was #2 OVERALL in taking the MOST special interest money from Fannie and Freddie....

 

[Corey Carrico]

 

[Mark Hofman]

I'll chip in on this one. From a blog I frequent:



The financial crisis-looking back 5 years



The center of the financial crisis is Fannie Mae and Freddie Mac. The New York Times carried a story on September 11, 2003 on the Bush administration's proposal to overhaul the housing finance industry.



Under the plan, disclosed at a Congressional hearing today, a new agency would be created within the Treasury Department to assume supervision of Fannie Mae and Freddie Mac, the government-sponsored companies that are the two largest players in the mortgage lending industry.



Rep. Barnie Frank's point of view back then which reflected that many of his democratic colleagues and a big reason why this attempt at reform died in congress in 2005:



"These two entities -- Fannie Mae and Freddie Mac -- are not facing any kind of financial crisis,'' said Representative Barney Frank of Massachusetts, the ranking Democrat on the Financial Services Committee. ''The more people exaggerate these problems, the more pressure there is on these companies, the less we will see in terms of affordable housing.''



So what was John McCain's response from the Congressional Record: "For years I have been concerned about the regulatory structure that governs Fannie Mae and Freddie Mac--known as Government-sponsored entities or GSEs--and the sheer magnitude of these companies and the role they play in the housing market. OFHEO's report this week does nothing to ease these concerns. In fact, the report does quite the contrary. OFHEO's report solidifies my view that the GSEs need to be reformed without delay.



I join as a cosponsor of the Federal Housing Enterprise Regulatory Reform Act of 2005, S. 190, to underscore my support for quick passage of GSE regulatory reform legislation. If Congress does not act, American taxpayers will continue to be exposed to the enormous risk that Fannie Mae and Freddie Mac pose to the housing market, the overall financial system, and the economy as a whole."



Barack Obama's campaign slogan aimed at McCain says McCain will be "more of the same." The financial breakdown we're facing right now makes Obama right and wrong. Right that McCain saw the problem, as did the Bush Administration (like it or not) and wanted to fix it before the worst came. Obama and his group did not want to fix it and now the worst has come.



James Johnson, former CEO of Fannie Mae and current Obama advisor.



Franklin Raines, former CEO of Fannie Mae and current Obama advisor.



Just what--"more of the same" don't we want.