In all matters of opinion, our adversaries are insane.
Oscar Wilde

ALERT: Explosive CEO calling Obama, Dems “Family” of Fannie Mae

By: Pam On: Sep/17/08 - 5 Comments

H/T to Ace for the video.

From TitusOneNine:

John McCain. 25 May 2005, speaking to the Senate:

Mr. President, this week Fannie Mae’s regulator reported that the company’s quarterly reports of profit growth over the past few years were “illusions deliberately and systematically created” by the company’s senior management, which resulted in a $10.6 billion accounting scandal.

The Office of Federal Housing Enterprise Oversight’s report goes on to say that Fannie Mae employees deliberately and intentionally manipulated financial reports to hit earnings targets in order to trigger bonuses for senior executives. In the case of Franklin Raines, Fannie Mae’s former chief executive officer, OFHEO’s report shows that over half of Mr. Raines’ compensation for the 6 years through 2003 was directly tied to meeting earnings targets. The report of financial misconduct at Fannie Mae echoes the deeply troubling $5 billion profit restatement at Freddie Mac.

The OFHEO report also states that Fannie Mae used its political power to lobby Congress in an effort to interfere with the regulator’s examination of the company’s accounting problems. This report comes some weeks after Freddie Mac paid a record $3.8 million fine in a settlement with the Federal Election Commission and restated lobbying disclosure reports from 2004 to 2005. These are entities that have demonstrated over and over again that they are deeply in need of reform.

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.

I urge my colleagues to support swift action on this GSE reform legislation.

The legislation was blocked by Democrats, with the assistance of a few Republicans.

James Johnson, former CEO of Fannie Mae and current Obama advisor, has cost us many tens of billions of dollars we can’t afford.

Franklin Raines, former CEO of Fannie Mae and current Obama advisor, has cost us many tens of billions of dollars we can’t afford.

Barack Obama:  if we can’t afford his advisors, we certainly can’t afford him.

HEATHER NAUERT: Barack Obama attacking John McCain once again on the economy and the market turmoil today. Our John Gibson has new information on the Democratic presidential nominee and the mortgage mess for us now. What have you got John?

JOHN GIBSON: Alright Heather. 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. A group called the center for responsive politics keeps track of which politicians get Fannie and Freddie political contributions. The top three U.S. Senators getting big Fannie and Freddie political bucks were democrats and number two is Senator Barack Obama.

Now, remember, he has only been in the Senate four years but still managed to grab the number two spot ahead of John Kerry, decades in the senate, and Chris Dodd who is chairman of the senate banking committee. Fannie and Freddie have been creations of the congressional democrats and the Clinton white house, designed to make mortgages available to more people, and as it turned out, some people who couldn’t afford them. Fannie and Freddie have also been places for big Washington democrats to go to work in the semi-private sector and pocket millions. The Clinton administration’s white house budget director Franklin Raines ran Fannie and collected 50 million dollars. Jamie Gurilli, Clinton Justice Apartment Official, worked for Fannie and took home 26 million dollars. Big Democrat Jim Johnson, recently on Obama’s VP search committee has hauled in millions from his Fannie Mae C.E.O. job.

Now remember, Obama’s ads and stump speeches attack McCain and republican policies for the current financial turmoil. It is demonstrably not Republican policy and worse, it appears the man attacking McCain, Senator Obama, was at the head of the line when the piggy’s lined up at the Fannie and Freddie trough for campaign bucks. Senator Barack Obama, number two on the Fannie/Freddie list of favored politicians after just four short years in the senate. Next time you see that ad, you might notice he fails to mention that part of the Fannie and Freddie problem. Heather.

NAUERT: Wow, that’s quite a report, begs the question ” where is John McCain on this?

GIBSON: John McCain is a measly $20,000 after over 20 years so he really doesn’t even come close in the political contribution department.

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Posted on: September 17, 2008 |

Posted in: Barack Obama, Democrats, Economy, National News, Presidential Election '04, Presidential Election '08, State/Local Elections '06, Subprime Crisis

5 Responses to “ALERT: Explosive CEO calling Obama, Dems “Family” of Fannie Mae”

  1. SpideyTerry
    September 17, 2008 - 10:35 PM on September 17th, 2008

    Heh, heh. The funny thing is I found this story just as I was listening to an annoying Obama supporter on FOX try to criticize McCain by saying members of his campaign lobbied for Fannie Mae. But, yet, they aren’t “family.”

  2. How Connected is Obama to Fannie Mae? « The Rhetorican
    September 17, 2008 - 11:45 PM on September 17th, 2008

    [...] (Via RightVoices) [...]

  3. nikko mahor
    September 18, 2008 - 09:40 AM on September 18th, 2008

    if this is true, this is very damaging to obama’s credibility…

    the thing with democrats is that they want to do more for the “disadvantaged minorities”. the problem is that these people do not need dole outs or customized loans to address their “unique” background as a part of a minority, they just need stable, good paying jobs so that they can QUALIFY AND AFFORD FOR REGULAR LOANS just like everyone else.

    the more government forgets its role of citizen protection and strong courts of law and tries to emulate and/or compete with businesses, the more shit the american public is going to get…

    vote well, america… you don’t need “change” for the sake of “change”… you need CHANGE that will put america BACK ON TRACK. AMERICA FIRST, AMERICANS FIRST. you can’t be big brother to all of the other little brothers in the world who are trying to suck the life out of you.

    vote well, america.

  4. Robert
    September 18, 2008 - 11:43 AM on September 18th, 2008

    Obama has NO credibility. He is a hard core Marxist, and is representing the Marxist core of today’s Democrite Party that has been taking over by the Extreme Left.

    They are on a mission to destroy America as we know it.

  5. mcnorman
    September 19, 2008 - 11:58 PM on September 19th, 2008

    :d This man does not have a clue. Minorities resent handouts, they prefer empowerment. He insults.

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