Saturday, October 4, 2008

Who Said What...The Democrats lied, the country died. The Republicans tried, but let it slide.

What They Said About Fan and Fred

Cross posted from: http://wsj.com/article/SB122290574391296381.html

  • Video
    House Financial Services Committee hearing, Sept. 10, 2003:

Rep. Barney Frank (D., Mass.): I worry, frankly, that there's a tension here. The more people, in my judgment, exaggerate a threat of safety and soundness, the more people conjure up the possibility of serious financial losses to the Treasury, which I do not see. I think we see entities that are fundamentally sound financially and withstand some of the disaster scenarios. . . .

[What They Said] AP

Clockwise from top left: Sen. Thomas Carper, Rep. Barney Frank, Sen. Robert Bennett, Rep. Maxine Waters, Sen. Chris Dodd and Sen. Charles Schumer.

Rep. Maxine Waters (D., Calif.), speaking to Housing and Urban Development Secretary Mel Martinez:

Secretary Martinez, if it ain't broke, why do you want to fix it? Have the GSEs [government-sponsored enterprises] ever missed their housing goals?

* * *

House Financial Services Committee hearing, Sept. 25, 2003:

Rep. Frank: I do think I do not want the same kind of focus on safety and soundness that we have in OCC [Office of the Comptroller of the Currency] and OTS [Office of Thrift Supervision]. I want to roll the dice a little bit more in this situation towards subsidized housing. . . .

* * *

House Financial Services Committee hearing, Sept. 25, 2003:

Rep. Gregory Meeks, (D., N.Y.): . . . I am just pissed off at Ofheo [Office of Federal Housing Enterprise Oversight] because if it wasn't for you I don't think that we would be here in the first place.

[nowides]

Fannie Mayhem: A History

A compendium of The Wall Street Journal's recent editorial coverage of Fannie and Freddie.

And Freddie Mac, who on its own, you know, came out front and indicated it is wrong, and now the problem that we have and that we are faced with is maybe some individuals who wanted to do away with GSEs in the first place, you have given them an excuse to try to have this forum so that we can talk about it and maybe change the direction and the mission of what the GSEs had, which they have done a tremendous job. . .

Ofheo Director Armando Falcon Jr.: Congressman, Ofheo did not improperly apply accounting rules; Freddie Mac did. Ofheo did not try to manage earnings improperly; Freddie Mac did. So this isn't about the agency's engagement in improper conduct, it is about Freddie Mac. Let me just correct the record on that. . . . I have been asking for these additional authorities for four years now. I have been asking for additional resources, the independent appropriations assessment powers.


Brian Carney of the Editorial Board on the hearings Congresspeople don't want to remember. (Oct. 2)

This is not a matter of the agency engaging in any misconduct. . . .

Rep. Waters: However, I have sat through nearly a dozen hearings where, frankly, we were trying to fix something that wasn't broke. Housing is the economic engine of our economy, and in no community does this engine need to work more than in mine. With last week's hurricane and the drain on the economy from the war in Iraq, we should do no harm to these GSEs. We should be enhancing regulation, not making fundamental change.

Mr. Chairman, we do not have a crisis at Freddie Mac, and in particular at Fannie Mae, under the outstanding leadership of Mr. Frank Raines. Everything in the 1992 act has worked just fine. In fact, the GSEs have exceeded their housing goals. . . .

Rep. Frank: Let me ask [George] Gould and [Franklin] Raines on behalf of Freddie Mac and Fannie Mae, do you feel that over the past years you have been substantially under-regulated?

Mr. Raines?

Mr. Raines: No, sir.

Mr. Frank: Mr. Gould?

Mr. Gould: No, sir. . . .

Mr. Frank: OK. Then I am not entirely sure why we are here. . . .

Rep. Frank: I believe there has been more alarm raised about potential unsafety and unsoundness than, in fact, exists.

* * *

Senate Banking Committee, Oct. 16, 2003:

Sen. Charles Schumer (D., N.Y.): And my worry is that we're using the recent safety and soundness concerns, particularly with Freddie, and with a poor regulator, as a straw man to curtail Fannie and Freddie's mission. And I don't think there is any doubt that there are some in the administration who don't believe in Fannie and Freddie altogether, say let the private sector do it. That would be sort of an ideological position.

Mr. Raines: But more importantly, banks are in a far more risky business than we are.

* * *

Senate Banking Committee, Feb. 24-25, 2004:

Sen. Thomas Carper (D., Del.): What is the wrong that we're trying to right here? What is the potential harm that we're trying to avert?

Federal Reserve Chairman Alan Greenspan: Well, I think that that is a very good question, senator.

What we're trying to avert is we have in our financial system right now two very large and growing financial institutions which are very effective and are essentially capable of gaining market shares in a very major market to a large extent as a consequence of what is perceived to be a subsidy that prevents the markets from adjusting appropriately, prevents competition and the normal adjustment processes that we see on a day-by-day basis from functioning in a way that creates stability. . . . And so what we have is a structure here in which a very rapidly growing organization, holding assets and financing them by subsidized debt, is growing in a manner which really does not in and of itself contribute to either home ownership or necessarily liquidity or other aspects of the financial markets. . . .

Sen. Richard Shelby (R., Ala.): [T]he federal government has [an] ambiguous relationship with the GSEs. And how do we actually get rid of that ambiguity is a complicated, tricky thing. I don't know how we do it.

I mean, you've alluded to it a little bit, but how do we define the relationship? It's important, is it not?

Mr. Greenspan: Yes. Of all the issues that have been discussed today, I think that is the most difficult one. Because you cannot have, in a rational government or a rational society, two fundamentally different views as to what will happen under a certain event. Because it invites crisis, and it invites instability. . .

Sen. Christopher Dodd (D., Conn.): I, just briefly will say, Mr. Chairman, obviously, like most of us here, this is one of the great success stories of all time. And we don't want to lose sight of that and [what] has been pointed out by all of our witnesses here, obviously, the 70% of Americans who own their own homes today, in no small measure, due because of the work that's been done here. And that shouldn't be lost in this debate and discussion. . . .

* * *

Senate Banking Committee, April 6, 2005:

Sen. Schumer: I'll lay my marker down right now, Mr. Chairman. I think Fannie and Freddie need some changes, but I don't think they need dramatic restructuring in terms of their mission, in terms of their role in the secondary mortgage market, et cetera. Change some of the accounting and regulatory issues, yes, but don't undo Fannie and Freddie.

* * *

Senate Banking Committee, June 15, 2006:

Sen. Robert Bennett (R., Utah): I think we do need a strong regulator. I think we do need a piece of legislation. But I think we do need also to be careful that we don't overreact.

I know the press, particularly, keeps saying this is another Enron, which it clearly is not. Fannie Mae has taken its lumps. Fannie Mae is paying a very large fine. Fannie Mae is under a very, very strong microscope, which it needs to be. . . . So let's not do nothing, and at the same time, let's not overreact. . .

Sen. Jack Reed (D., R.I.): I think a lot of people are being opportunistic, . . . throwing out the baby with the bathwater, saying, "Let's dramatically restructure Fannie and Freddie," when that is not what's called for as a result of what's happened here. . . .

Sen. Chuck Hagel (R., Neb.): Mr. Chairman, what we're dealing with is an astounding failure of management and board responsibility, driven clearly by self interest and greed. And when we reference this issue in the context of -- the best we can say is, "It's no Enron." Now, that's a hell of a high standard.

Sunday, September 28, 2008

A Fundamentally Sound Lie

A Fundamentally Sound Lie...as told by Barney Frank...and supported by the voters in Massachusetts!

September 2003 - Barney Frank said, “Fannie Mae and Freddy Mac are not in a crisis.”
September 2008 - Barney Frank said, “Those words were taken out of context.”

Hey Barney, “What happened in five years?” Why don’t you just admit to the folks that you were just implementing Bill Clinton’s 1999 deregulation policies.

Bad News...Nothing but bad news

Since the article below has been published MoveOn.org and Google have been removing incriminating evidence from their websites concerning Barack Obama's role in the current financial melt down. Obama's main role = Destroy the financial system of the United States of America.
MoveOn.org, The New York Times, Charles Schumer, Nancy Pelosi, Barney Frank, Barbara Boxer, John Kerry, Ted Kennedy et al, and the mainstream media are all in this together...Divide and conquer! They're doing a pretty good job of it...Wake up America! Or kiss your country good bye!


MoveOn.orgPolitical Action
For Immediate Release: Friday, February 1, 2008

MoveOn Endorsement Throws Progressive Weight Behind Barack Obama
3.2 Million Members Nationwide Mobilize to Get Out the Progressive Vote for Senator Obama
Group Has Over 1.7 Million Members In Super Tuesday States
In a resounding vote today, MoveOn.org Political Action's members nationwide voted to endorse Senator Barack Obama for the Democratic nomination for President. The group, with 3.2 million members nationwide and over 1.7 million members in Super Tuesday states, will immediately begin to mobilize on behalf of Senator Obama. The vote favored Senator Obama to Senator Clinton by 70.4% to 29.6%.
Senator Obama accepted the endorsement stating:
"In just a few years, the members of MoveOn have once again demonstrated that real change comes not from the top-down, but from the bottom-up. From their principled opposition to the Iraq war - a war I also opposed from the start - to their strong support for a number of progressive causes, MoveOn shows what Americans can achieve when we come together in a grassroots movement for change. I thank them for their support and look forward to working with their members in the weeks and months ahead."
Eli Pariser, MoveOn.org's Executive Director, issued the following statement on the group's endorsement:
"Our members' endorsement of Senator Obama is a clear call for a new America at this critical moment in history. Seven years of the disastrous policies of the Bush Administration have left the country desperate for change. We need a President who will bring to bear the strong leadership and vision required to end the war in Iraq, provide health care to every American, deal with our climate crisis, and restore America's standing in the world. The enormity of the challenges require someone who knows how to inspire millions to get involved to change the direction of our country, and someone who will be willing to change business as usual in Washington. Senator Barack Obama has proved he can and will be that President.
"With 3.2 million members nationwide and over 1.7 million members in states that vote next Tuesday, we'll be able to immediately jump into action in support of Senator Obama's candidacy. We've learned that the key to achieving change in Washington without compromising core values is having a galvanized electorate to back you up. And Barack Obama has our members 'fired up and ready to go' on that front.
"We congratulate Sens. Clinton, Dodd and Biden, former Senator Edwards, Governor Richardson, Congressman Kucinich and former Senator Gravel on running tremendous campaigns. We thank them for their contributions to the important debate that has gripped our nation and for their ongoing engagement with our members. We're looking forward to working together to bring progressive values to the nation's capitol and to end this disastrous war in Iraq. MoveOn members are committed to putting a Democrat in the White House in 2008 and ushering in a new era of progressive values no matter who wins the nomination."
MoveOn members' comments in the vote reflect the reasons they support Senator Obama:
"Obama's grassroots organizing experience and unifying message combine to show he will work for working people and speak to a broad cross section of the American public. We need this," said Linda Blong of Penngrove, CA.
"There are defining moments in our nation's political history and this is one of them. Barack Obama appeals to the very BEST of the American Spirit," said Estina Baker, Hackensack, NJ
"Barack Obama represents CHANGE in so many levels. He brings HOPE that America can, again, be respected by the rest of the world and that Americans can be proud, again, of our leaders!" Isabelle Mollien, Denver, CO
"Obama has the ability to draw people to him, to energize people who generally don't vote, to create an atmosphere of long-overdue possibility around himself and what he could bring to the office. It is my belief that he can re-establish the lost connection between the American people and their leader, and put our country back on course to be a positive force in the world." Matthew Smith in Columbus, OH
MoveOn's endorsement means a fresh infusion of people-power for Obama in the critical days before Super Tuesday. MoveOn will immediately connect thousands of progressive activists into the Obama GOTV volunteer operation. It will also use the same cutting-edge computer-based phone program that made 7 million GOTV calls for Democrats in 2006 to allow MoveOn members to call other MoveOn members in Feb. 5 states and encourage them to vote for Obama.
Today's endorsement is the first time MoveOn.org has endorsed a candidate for President in the Democratic primary. Over the past year, MoveOn surveyed a rotating sample of 30,000 members each week to determine their membership's preference in the Democratic presidential primary. For months, MoveOn members were divided among many candidates -- as many waited to see who would take bold progressive positions on the issues. As the primary race has gained momentum, the polling showed a consensus forming and, with Senator John Edward's withdrawal from the race, members made their decision in favor of Senator Obama. The vote took place from Thursday, January 31st to Friday, February 1st.