Trying to fathom the magnitude

Is it too much of an exaggeration to claim that the Bush presidency is over, and that President Bush hasn’t been succeeded by Dick Cheney or any of the four people on the Presidential election ticket, but by an unelected Chancellor?
From Naked Capitalism:

This is a financial coup d’etat, with the only limitation the $700 billion balance sheet figure. The measure already gives the Treasury the authority not simply to buy dud mortgage paper but other assets as it deems fit. There is no accountability beyond a report (contents undefined) to Congress three months into the program and semiannually thereafter. The Treasury could via incompetence or venality grossly overpay for assets and advisory services, and fail to exclude consultants with conflicts of interest, and there would be no recourse. Given the truly appalling track record of this Administration in its outsourcing, this is not an idle worry.

(read the rest for context)

One reply on “Trying to fathom the magnitude”

  1. There is so much here. Its so wrong that most Americans have to look away and not contemplate the massive shit storm that is about overtake this country.

    This has happened before with the Bush Family. Back in the 1980s, the Wall Street Journal did a series of articles on Defaulted Loans that Jeb, Niel defaulted on Millions. They kept their property and the money for the most part and were in part responsible for the recession that followed in 1991 attributed to the Savings and Loan Scandal. The most publicized aspect of that mess was the Keating 5. Named for the Then Governor of Oklahoma, John Glenn, John McCain, Alan Cranston, Don Reigle, Dennis DeConcini [ all being senators from various states] were involved as well. It was a Bipartisan effort {yippee–note sarcasm}.

    And whats truly odd, is that no one is really revisiting this, despite the fact that these unfortunate situations bear a strikiing resemblance {on a smaller scale} to what is now happening on Wall Street.

    Maybe its just a silly Coincindence.

    1985-1988 Neil Bush served as dir of Silverado Banking, Savings and Loan in Denver Colorado from 85 to 88, when the thrift collapsed. During that time, Neil made over 200 Million in loans to 2 developers who were investors in JNB Exploration. Neil’s unsuccessful oil company. Federal regulators determined that while Silverado was granting multimillion dollar loans to Neil’s 2 partners, he was completely dependent on them for his income. The failure of Silverado—its closure delayed until after the 88 election—cost tax payers about 1 billion dollars. The developers fedaulted on 132 million in loans contributing to the debacle.
    Hatfield Fortunate Son pp 111

    1988 Jeb Bush and one of his business partners, Cuban American Developer Armando Codina borrowed money from Broward Federal Savings and Loan in Sunrise Florida for an office building. When the thrift collapsed in 88 with 285 Million in bad loans, federal regulators discovered the Bush-Codina partnership had defaulted on a 4.6 million dollar loan. Tax payers absorbed a 4 million dollar loss in that deal, while Jeb & Co. retained their property for a mere 505,000. payment to the FDIC.

    There was also the strangeness of the deal W. Had with Harken back then as well. I dont know if I would call it money laundering, but it sure looked like money was being recirculated in an unusual manner.

    In addition to that, the most recent loan-scandal at Countrywide, according to wikipedia:
    “On April 18, 2006 home loan giant Freddie Mac was fined $3.8 million, by far the largest amount ever assessed by the Federal Election Commission, as a result of illegal campaign contributions. Much of the illegal fund raising benefited members of the United States House Committee on Financial Services, a panel whose decisions can affect Freddie Mac
    Some lawmakers received favorable treatment from financial institutions involved in the subprime industry. ” AND
    ” In June 2008 Conde Nast Portfolio reported that numerous Washington, DC politicians over recent years had received mortgage financing at noncompetitive rates at Countrywide Financial because the corporation considered for the officeholders under a program called “FOA’s”–“Friends of Angelo”. Angelo being Countrywide’s Chief Executive Angelo Mozilo. ”

    Just looking at it steams me up. When I saw the above posts about Wheel Barrels of Money, All I could think of was Robert Mugabe and Zimbabwe, and the mess its in. How many millions of Zimbabwe currency does it take for fresh eggs or a loaf of bread?

    In addition to that, what many media agents are not reporting is that, regular Americans with perfectly good Fixed Rate Mortgages {like myself} received high pressure sales calls and mailings offering to refinance under an ARM {Adjustable Rate Mortgage}, often with a very low teaser rate, promises that it will save you money, help you pay off debt, etc., That’s predatory lending. This went on since about 2002. We didnt take them up on it, but seeing how medical care is so expensive even if one is insured, I can see how many families could have been sucked in by the need to pay medical bills among other things. Any kind of financially catastophic issue could have made such an offer look good, and all the reassurances being handed out by institutions like Countrywide, I am sure was all the justification some needed to take these very bad loans.

    American Finances have been rolled back to the era of Robber Barons, the 1900s. This is the “Gift” of Deregulation.

    American isnt run by elected representatives anymore. Its a corporate Oligarchy. And its about to get exceedingly ugly.

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