"Emancipate yourself from mental slavery, none but ourselves can free our mind.” - Bob Marley

Sunday, October 12, 2008

When you're in a hole, STOP DIGGING

Well, this puts the lie to the myth that new executive branch regulation would improve the performance of the GSEs Fannie Mae and Freddie Mac.

From Bloomberg (hat tip comments of Calculated Risk):

Oct. 11 (Bloomberg) -- Federal regulators directed Fannie Mae and Freddie Mac to start purchasing $40 billion a month of underperforming mortgage bonds as the Bush administration expands its options to buy troubled financial assets and resuscitate the U.S. economy, according to three people briefed about the plan.

Fannie and Freddie began notifying bond traders last week that each company needs to buy $20 billion a month in mostly subprime, Alt-A and non-performing prime mortgage securities, according to the people, who asked not to be identified because the plans are confidential. The purchases would be separate from the U.S. Treasury's $700 billion Troubled Asset Relief Program.

The Federal Housing Finance Agency, which placed the two companies in conservatorship on Sept. 7, directed them last month to start increasing their purchases of loans and mortgage-backed securities as the Treasury seeks to absorb underperforming and illiquid assets from financial companies.

[Emphasis added.]

So the vile Paulson still maintains his hopes to tranfer the toxic sludge securities from his Wall Street cronies to the taxpayers, now trying to do it without even the minimal controls and transparency in place in the EESA.

1 comment:

Anne said...

Hey Bob,

Talking about Wall Street, did you hear that ACORN got a cut of that payout to AIG?

What is wrong with that picture??

From the New Zeal:

"Obama joined the New Party in 1995, before his Illinois State Senate run, where he met Davidson. The New Party publicly endorsed Obama, while Davidson and other Party members helped Obama's campaign.

Wrote Davidson in 2007;

I'm from Chicago … and [I've] known Obama from the time he came to the New Party to get our endorsement for his first race ever…. He said all the right things to the ACORN and New Party folks, and we endorsed him...

In 2002 Davidson and fellow former SDS member (now Obama fundraiser and Progressives for Obama endorser) Marilyn Katz, organised a large Chicago anti War rally where Obama first came out strongly against the Iraq War."

The New Party: "The New Party, ACORN, and the Arab American Action Network are not by any stretch of the imagination mainstream political or social organizations. They are radical anti-capitalist, pro-Marxist, and in the case of the AAAN a group supporting the terrorist activities of the Palestinians.

The New Party is an unabashed Marxist “fusion” party from which Barack Obama actively sought out and received an endorsement for his state senate candidacy. Never heard this story before? It’s not surprising Obama wouldn’t include it in his official bio:" *Compliments of "The New Zeal"

Here is an interesting bit of information that is also from The New Zeal showing Obama's ACORN connections:

"Carl Davidson is a leading US Marxist.

He is former member of the '60s radical group Students for a Democratic Society (which spawned the terrorist Weather Underground) and spent many years working in various Maoist organisations.

Around 1992 Davidson joined hundreds of former Maoists, Trotskyists and about a third of the Communist Party USA in a new Marxist coalition-the Committees of Correspondence.

Davidson remains a leading member of this organisation, now knowns as the Committees of Correspondence for Democracy and Socialism.

Davidson serves on the steering committee of the communist dominated US peace umbrella organisation, United for Peace & Justice and is co-chair of the equally radical Chicagoans Against War & Injustice.

He is also a major US advocate of radical cyber-activism.

In the mid '90s Davidson played a key role in the Chicago branch of the New Party.

his was a Marxist led poltical coalition designed to endorse and elect leftist public officials. The bulk of its members came from CoC, the equally radical Democratic Socialists of America and the US's largest militant left grass-roots organisation, ACORN.

It was through the New Party that Davidson first met the aspiring Illinois State Senator, Barack Obama.

Davidson was an ardent supporter of Obama for several years and helped organise the famous peace rally in Chicago in where Obama pinned his colours to the anti-Iraq war cause.

As Obama has modified his (public) anti war position in recent times, Davidson has become somewhat disillusioned with his former hero.

In early 2007 Davidson penned this piece on Obama;

From the Marxism Mailing List archive

I'm from Chicago, too, and known Obama from the time he came to the New Party to get our endorsement for his first race ever. I've been in his home, and as an IL legislator, he's helped or community technology movement a number of times. He said all the right things to the ACORN and New Party folks, and we endorsed him, but I noticed too, that he seemed to measure every answer to questions put to him several tmes before coming out with it.

That was in 1996.

He spoke at our first antiwar rally. He spent most of his speech detailing all the wars in history he supported, then finally made a distinction between just wars and 'dumb' wars, and going into Iraq, which was still six months down the road then, was a 'dumb war,' and he flatly opposed it. Good, that put him on our side, and some of us organized a fundraiser for him for his Senate race.

The anti War rally was in 2002. Obama's Senate race was in 2004.

After he visited Iraq when the war was on, he turned. Now we had to set aside whether it was right or wrong to invade, now we had to find the 'smart' path to victory, not Bush's 'dumb' path. Also, in dealing with Iran, we had to leave on the table bombing their nuclear sites. For this, a lot of the local antiwar activists started calling him 'Barack 'Obomb 'em'. He wasn't listening much to us anymore, but to folks much higher up in the DLC orbit. He had bigger plans.

To be fair, I read a recent speech he gave to laid-off workers from a plant closing out in Galesburg, IL, around globalization, corporate responsibility, the safety net, the third wave, and so on. It was very good. Save for not mentioning the war, I probably couldn't written a better one myself.

Giving the current crisis and developments in Congress, he may move back to our side on the war, and get as far as, say, Murtha's position. But right now he's not in the 'Out Now' camp, not as good as Murtha, and a triangulator par excellence. I've watched him do it up close. The press and his publicists put him in our camp, but if you look at his speeches and votes since his trip to Iraq, I think you'll find he has a way to go.

Our peace groups here are sending a bunch of us to visit him soon, and get on his case. Perhaps he's still a work in progress, as Jesse Jackson says, but he still has a way to go to get back in my good graces, and those of many more of us here also.

Carl Davidson, Chicago

Barack Obama is smart enough to know that what worked to mobilise the Chicago Marxist left to cause, will not translate to the national stage.

Interesting though that a leading Marxist like Carl Davidson backed Barack Obama for so long."
( http://newzeal.blogspot.com/2008/01/obama-file-5-barack-obama-courted.html)

Another connection to the puzzle:
*Compliments of The New Zeal"


"Chicago is home to the Crossroads Fund, a foundation that channels money to organisations such as the Ad Hoc Committee on Chicago Police Torture, Feminist Response in Disability Activism, Female Storytellers Igniting Revolution to End Violence, Illinois Safe Schools Alliance (Formerly Coalition for Education on Sexual Orientation), and well known CPUSA/DSA linked organisations such as the Chicago Committee to Defend the Bill of Rights and Jobs with Justice. Get the picture?

The Fund is co-chaired by leading Chicago DSA member Bill Barclay while Ali Abunimah, a claimed Obama associate serves on the board.

Steve Tappis is a donor to the Crossroads fund. Other donors in recent times might also be familiar to keen Obama watchers.

A view of Crossroad annual reports here and here reveal some interesting names.

They include Obama's personal friends Timuel Black (CCDS member and husband of Progressives for Obama endorser Zenobia Black)and DSA member Quentin Young-present at the famous 1995 meeting at the home of Bill Ayers and Bernardine Dohrn which launched Obama's political career.

Obama financier Bettylu Saltzman is listed, as are Progressives for Obama founders Carl Davidson and Tim Carpenter. PFO endorsers Aviva Futorian and Susan Klonsky appear as does MDS board member Mike Klonsky and unsuccessful board nominee Barbara Ransby.

PFO petition signers Ted Pearson (CCDS, former Illinois CPUSA chairman) and Prexy Nesbitt (CPUSA and Black Radical Congress connections) also donate.

Unsurprisingly Bill Ayers and Bernardine Dohrn are also listed (in 2005).

Ayers and Dohrn are not simply Crossroads donors, they are active fundraisers.

In fall of 2005, Crossroads Fundworked closely with donors and boardmembers to put together houseparties featuring discussion on critical community issues, and also raise money for Crossroads Fund. Bill Ayers and Bernardine Dohrn, along with Yvonne Welbon and Dorian Warren hosted a group of donors and friends as they engaged in a lively discussion about political participation in Chicago...

Interstingly, when Crossroads held anniversary celebrations last year they established a 25th Anniversary Host Committee.

Honorary Hosts included Congressman Danny Davis and Alderman Helen Shiller, Alderman Joseph A. Moore, Cook County Clerk David Orr and of course Senator Barack Obama.

I wonder if Barack hosted Bill and Bernardine?" (http://newzeal.blogspot.com/2008/10/obama-file-35-even-more-weathermen-for.html )
Look, another connection:
*Compliments of The New Zeal*
Historian Paul Buhle wrote in a 1992 article for the Encyclopedia of the American Left;

Communists also gained from long-standing political contacts in the black community. Victories of black mayoral and congressional candidates with decades — old ties to the CP — a short list would include Coleman Young and George Crocket in Detroit, Gus Newport in Berkeley, and somewhat more ambiguously, Harold Washington in Chicago

Paul Buhle knows his socialists.

A former member of the Students for a Democratic Society, Buhle is now a leader of DSA. He also serves on the board of Movement for a Democratic Society (MDS) where he works with former Weather Underground terrorists Bill Ayers, Bernadine Dohrn, Jeff Jones and Mark Rudd. Buhle and Rudd are also involved with the MDS offshoot Progressives for Obama.

Washington was close to Chicago DSA, which in turn went on to endorse Barack Obama during his 1995/96 illinois State Senate race.

Chicago DSA organised a major dinner every year to honour US socialist leaders, Eugene Debs, Norman Thomas and Michael Harrington.

Harold Washington MCed the 1981 Debs Dinner but had to cancel out of the 1983 event.

The 1983 Norman Thomas - Eugene V. Debs Dinner was held at the McCormick Inn on Saturday, May 7... Newly elected Mayor Harold Washington was unable to attend at the last minute. Carl Shier, who was to have introduced him, read a message from him instead, and spoke of DSA's considerable role in Washington's election campaign.

Future DSA leader the late Carl Marx Shier, veteran socialist Egidio Clemente and Harold Washington at the 1981 Debs Dinner

The Chicago Communist Party was right behind Harold Washington, just as they later supported his "proxy protoge" Barack Obama.

I quote from remarks by Illinois Communist Party organiser John bachtell to a "Special District Meeting on African American Equality and Building the Communist Party and Young Communist League, Chicago", IL September 30, 2007

The legacy of Harold Washington’s election and his administration is in the collective consciousness not only of the African American community, but the entire city. Many of his democratizing achievements endure 20 years later.

The historic election of Washington was the culmination of many years of struggle. It reflected a high degree of unity of the African American community and the alliance with a section of labor, the Latino community and progressive minded whites. This legacy of political independence also endures...

The struggle for African American representation and political independence also led to the historic election of Carole Moseley Braun for Senate and many African American state legislators and local elected officials.

The African American community, and especially trade unionists have played a crucial role in the struggle to defeat the ultra right. This includes massive voter turnout in election after election, but also the swing state mobilizations in 2004.

This was also reflected in the historic election of Barack Obama. Our Party actively supported Obama during the primary election. Once again Obama’s campaign reflected the electoral voting unity of the African American community, but also the alliances built with several key trade unions, and forces in the Latino and white communities.

It also reflected a breakthrough among white voters. In the primary, Obama won 35% of the white vote and 7 north side wards, in a crowded field. During the general election he won every ward in the city and all the collar counties. This appeal has continued in his presidential run.

Chicago Communist Party member and pro-Obama activist Pepe Lozano quoted black trade unionist Elwood Flowers in this February 23rd 2008 article from the Peoples Daily World.

The movement to elect Barack Obama today is almost identical to Washington’s, but nationwide, said Flowers. “Our members wanted to be involved in the political process, similar to people today for Obama,” said Flowers.

“What Obama can do for the country will help all communities including providing jobs and health care. And the number one issue is stopping the Iraq war, which is draining our economic resources. If those things bear fruit, then they will benefit all working-class communities,” he added.

It was Washington’s example and the power of working people that will always remind us about what is possible. The greatness is in our hands.

Vernon Jarrett was also a fan of Barack Obama. he watched his career from its early stages and became an ardent supporter.

In 1992 Barack Obama worked for the ACORN offshoot Project Vote to register black voters in aid of the Senate Campaign of Carol Moseley Braun. Unsurprisingly Moseley Braun had strong Communist Party and DSA ties and was Harold Washington's legislative floor leader.

Obama helped Moseley Braun win her Senate seat, then took it over himself in 2004-backed of course by the same set that had elected his political "ancestors" Washington and Moseley Braun.

Valerie Jarrett is a close friend of both Barack and Michelle Obama.

Jarrett met Barack Obama when she hired Michelle to work with her in Mayor Daley’s City Hall. Valerie Jarrett ran the finances for Obama’s 2004 Senate bid and served as treasurer of Obama's HOPEFUND.

According to Take Political Action May 24th 2008;

"She’s always been the other side of Barack’s brain.” That’s how an Obama insider described Valerie Jarrett as an Obama campaign aide announced Thursday night the former CTA chief and current Habitat Co. CEO is taking on a larger role to help her close friend win his White House bid.

The development comes as Jarrett, a charter member of Sen. Barack Obama’s kitchen cabinet, has been formalizing her portfolio and stepping up the pace within the past few weeks as a top advisor within the campaign.

Though she will be part-time, Jarrett will be one of the most visible and powerful African-Americans in the top rungs of the Obama operation...

Valerie Jarrett has been tipped for a top post in an Obama administration.

Did this all start with an almost forgotten communist poet named Frank Marshall Davis?"

I wonder how all of this is supposed to be better for our country and make our economy better??

Isn't it interesting how these are all pieces of a puzzle that will connect...

About Me

I'm a 57 year old geek. I voted Democratic for 20 years, because I disliked the Republicans more. But now, nobody really speaks for me. I'm for Guns, for more correct government regulation of the financial world, against illegal immigration and amnesty. (in 2008 I ended up voting Republican - too many questions about Obama, and voting against anybody who voted for TARP 1.) In 2010 I voted a stright republican ticket because the Democrats have completely lost their minds.