1. Announcing a massive $26 billion mortgage deal with “abusive” banks, the president blamed everybody for record foreclosures except the party most culpable: government.
Speaking Thursday from the White House, Obama scolded “irresponsible” and “reckless” lenders, who “sold homes to people who couldn’t afford them.”
Yeah, they dragged people into it, held them down and forced them to do it!
And the people came in and demanded it first!
Back in 2003, as the Examiner’s Philip Klein points out, <Barney> Frank said that the government-sponsored entities were not in any sort of crisis. “The more people exaggerate these problems,” Frank told the New York Times, “the more pressure there is on these companies, the less we will see in terms of affordable housing.”
For the most part, private firms such as Countrywide Financial were issuing “nontraditional” mortgages in order to package them off to Wall Street and make money, not to please Barney Frank. Like most policymakers, Frank didn’t appear to see the housing bubble or looming subprime crisis before it was too late. (WP)
He <Obama> also cited buyers who bought homes bigger than their budgets, and Wall Street bankers who packaged the shaky mortgages and traded them for “profit.”
“It was wrong,” he asserted. And now the nation’s “biggest banks will be required to right these wrongs.”
Obama acts as if the private sector bears all the responsibility for the mortgage mess. But he and his attorney general know it’s merely a scapegoat for the reckless government housing policies they and their ilk drafted and enforced in the run-up to the crisis.
Starting in the mid-1990s — in a historic first — it became federal regulatory policy to force all U.S. lenders to scrap traditional lending standards for home loans on the grounds they were “racially discriminatory.”
President Clinton fretted that blacks and other minorities could not qualify for mortgages at nearly the same rates as whites and Asians. So Clinton codified more “flexible” underwriting standards in a “Policy Statement on Discrimination in Lending,” and entered it into the Federal Register.
At the same time, he set up a little-known federal body made up of 10 regulatory agencies — the Interagency Task Force on Fair Lending — to enforce the looser standards. It threatened lenders to either ease credit for low-income borrowers or face investigations for lending discrimination and suffer the related bad publicity. It also threatened to deny them expansion plans and access to Fannie Mae and Freddie Mac.
“The agencies will not tolerate lending discrimination in any form,” the 20-page document warned financial institutions. The task force enforced these policies throughout the Bush administration.
According to Peter Ferrara, senior fellow at the Carleson Center for Public Policy:
“This overregulation reached the point of forcing lenders to discount bad credit history, no credit history, no savings, lack of steady employment, a high ratio of mortgage obligations to income, undocumented income, and inability to finance down payment and closing costs, while counting unemployment benefits and even welfare as income in qualifying for a mortgage.
“This” he said, “turned into government-sanctioned looting of the banks.”
The Justice Department — along with HUD, which regulated Fannie and Freddie — proved the most aggressive members of the fair-lending task force. Eric Holder, then acting as deputy AG, ordered lenders to actually “target” African-Americans for home mortgages they couldn’t otherwise afford. Obama cheered Holder on as an inner-city community organizer who also pressured banks to ease credit for home borrowers.
In other words, the same two officials now leading the charge to punish “abusive” lenders had egged them on before the crisis.(IBD)
2. The Obama administration is now telling liberals that it is not backing down on its new health-care mandate, even as it coos of compromise to religious groups appalled by it. These messages may seem to be contradictory, but actually the administration has been quite consistent: Nothing it has ever said on this issue has been trustworthy.
Kathleen Sebelius, the secretary of health and human services, has been the leading misleader. The administration, recall, has decided that almost all employers must cover contraception, sterilization, and abortifacients in their employees’ insurance plans — even if those employers are religious universities, hospitals, and charities that reject those practices.
So she has tried to make the mandate seem more moderate than it is. In USA Today, she writes that “in the rule we put forward, we specifically carved out from the policy religious organizations that primarily employ people of their own faith.” Taken at face value, this statement would seem to imply that Notre Dame could escape the mandate if it fired its non-Catholic employees. That policy would be outrageous: What gives the federal government the legitimate authority to tell a religious institution how it should structure its mission? But in fact the administration would make the university jump through several more hoops. It would also have to expel its non-Catholic students. And even these changes would not be enough, since the university would continue to do much more than attempt to inculcate religious beliefs in its students — which is another test the administration requires for the exemption to apply.
Sebelius says that three states have religious exemptions as narrow as the one the federal government has adopted. The notion that the federal government is imposing the model of three very liberal states — New York, Oregon, and Vermont — on the entire country is not comforting. But even in those states, some employers have been able to sidestep the mandates by, for example, organizing their insurance under federal regulation, which until now has not overridden conscience. The new mandate eliminates that escape route.
Joel Hunter, one of Obama’s pet pastors, says “this policy can be nuanced.” (“I have come to bring nuance,” as Matthew 10:34 does not say.) He is wrong. Either the administration will back off, and allow religious organizations to follow their consciences, or it will not. If it chooses the former course, it may still find a way to increase access to contraception — which is not especially scarce, by the way — but it will have to replace its current policy, not just “nuance” it. (NR)
“Nuance” is the new Orwellian phrase for LYING. 🙂
It’s “complicated” 🙂
But the assurances were greeted Tuesday with skepticism from the U.S. Conference of Catholic Bishops, which has been leading the opposition to the new requirement.
“So far, ‘work this thing through’ is just the sugar-coated version of ‘force you to comply,’ ” Anthony R. Picarello Jr., general counsel for the conference, said in an e-mail.
Remember, compromise with a Liberal means that you compromise your principles to do what THEY want you to do.
3. White House Press Secretary Jay Carney was asked to respond to Federal Reserve Chairman Ben Bernanke’s comment that the lack of a budget creates “uncertainty” which is “negative for growth.”
Carney responded: “I have no opinion; the White House has no opinion on Chairman Bernanke’s assessment of how the Senate ought to do its business.”
1,017 Days and Counting!
4. EPIC <The Electronic Privacy Information Center >director Ginger McCall notes that monitoring what people are saying about government policies goes too far and has a chilling effect on free speech.
“The Department of Homeland Security’s monitoring of political dissent has no legal basis and is contrary to core First Amendment principles,” she said.
“The language in the documents makes it quite clear that they are looking for media reports that are critical of the agency and the U.S. government more broadly,” said McCall. “This is entirely outside of the bounds of the agency’s statutory duties.”
DHS officials have admitted that monitoring of social networks for negative opinion was undertaken by the agency, but claim that the operation was a one off test and was quickly dropped as it did not meet “operational requirements or privacy standards,” which “expressly prohibit reporting on individuals’ First Amendment activities.”
EPIC argues otherwise and has presented evidence that suggests the practice is being held up by the DHS an an example that should be emulated.
“They are completely out of bounds here,” McCall said. “The idea that the government is constantly peering over your shoulder and listening to what you are saying creates a very chilling effect to legitimate dissent.(Info Wars)
5. Mexican cartel suspects targeted in the troubled gun-trafficking probe known as Operation Fast and Furious were actually working as FBI informants at the time, according to a congressional memo that describes the case’s mission as a “failure.”
The Bureau of Alcohol, Tobacco, Firearms and Explosives has acknowledged that guns were allowed into the hands of Mexican criminals for more than a year in the hope of catching “big fish.”
The memorandum from staffers with the House Committee on Oversight and Government Reform says the FBI and Drug Enforcement Administration were investigating a drug-trafficking organization and had identified cartel associates a year before the ATF even learned who they were. At some point before the ATF’s Fast and Furious investigation progressed — congressional investigators don’t know when — the cartel members became FBI informants.
“These were the ‘big fish,’ ” says the memo, written on behalf of Rep. Darrell Issa, R-Calif., and Sen. Charles Grassley, R-Iowa. “DEA and the Federal Bureau of Investigation (FBI) had jointly opened a separate investigation targeting these two cartel associates. … Yet, ATF spent the next year engaging in the reckless tactics of Fast and Furious in attempting to identify them.”
According to Issa and Grassley, the cartel suspects, whose names were not released, were regarded by FBI as “national-security assets.” One pleaded guilty to a minor offense. The other was not charged. “Both became FBI informants and are now considered unindictable,” the memo says. “This means that the entire goal of Fast and Furious — to target these two individuals and bring them to justice — was a failure.”
Representatives with the Justice Department and its subagencies declined to comment.
6. Deputy Attorney General James Cole had informed the committee in a letter last week that it would be “impossible” to comply with the document request by Issa’s deadline.
At issue are thousands of pages of internal Justice Department and Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) documents from last year which the Justice Department has provided to the investigating Justice Inspector General, but which the Justice Department initially indicated are not subject to congressional review because of the constitutional separation of powers.
7. Last Thursday, U.S. Attorney General Eric Holder appeared before the House Oversight and Government Reform Committee to answer questions about his role in the deadly “Fast and Furious” gun-running scandal. However, instead of answers, Congress got more defiance, more arrogance, and more wasted time with an attorney general who clearly feels no sense of obligation to the American people or our rule of law. …
In a rash attempt to deflect attention away from himself and his own irresponsibility, Holder let Congress know that the Obama administration is still working toward the day when it can reinstate former President Bill Clinton’s so-called “assault weapons” ban. According to Holder:
“This administration has consistently favored the reinstitution of the assault weapons ban. It is something that we think was useful in the past with regard to the reduction that we’ve seen in crime, and certainly would have a positive impact on our relationship and the crime situation in Mexico.”
It’s difficult to follow Holder’s logic here, but it goes something like this …
The Obama administration — particularly Eric Holder’s Justice Department — oversaw an epic scandal whereby our own federal government illegally funneled thousands of firearms into the hands of Mexican drug lords. This contributed to the death of one U.S. Border Patrol agent and hundreds of Mexicans.
Despite being head of the Justice Department and our nation’s chief law enforcement officer, Eric Holder claims he doesn’t know how or why this scandal occurred, or even who under his charge may have authorized it. He also refuses to turn over critical documents to congressional investigators that could help prevent something this tragic and corrupt from ever happening again.
Therefore, Obama and Holder are confident that if they can ban a large number of the legal firearms that law-abiding Americans use every day for self-defense, hunting, and recreational and competitive target shooting, it will help solve Mexico’s crime problem.
Now don’t you feel better… 🙂