This issue looks at “Breaking the System” Part 4.
SINCE YOU ASKED
After Madeline Talbott and her Chicago ACORN group had successfully pressured the city”s banks into accepting a host of risky loans, guess who she hired to train her staff. Barack Obama. As he moved up the ranks in Chicago politics, he found ways to funnel money to the organization through the Woods Fund and the Chicago Annenberg Challenge. He sat on the board of both groups. When ACORN members were accused of federal election fraud, he willingly defended them.
The Community Reinvestment Act was such a smashing success that ACORN expanded its reach to mortgages at all levels. Any bank desiring to expand or merge had to prove that it had complied with the loosened standards. When banks balked, ACORN played the ever popular race card. Many local banks, however, refused to make home loans to those with poor credit histories unless Fannie Mae and Freddie Mac (the federal mortgage giants) relaxed their credit requirements. Quick to remedy the situation, ACORN”s Democratic friends in Congress voted to force Fannie Mae and Freddie Mac to lower their credit standards.
Despite the Republican takeover of Congress in 1994, their naiveté and lack of understanding of ACORN”s power kept ACORN in the funding pipeline. They did, however, see problems in the Community Reinvestment Act, but their objections were met, once again, with charges of racism. In June of 1995, President Clinton ignored Republican objections and assigned massive lending quotas to both Fannie and Freddie. In exchange for ignoring Fannie and Freddie”s risky lending practices, Democrats received payoffs in the form of massive campaign contributions. To push ACORN”s agenda, its lobby was represented by a young attorney named-you guessed it-Barack Obama.
AS I SEE IT
To offset his lack of political and/or business experience, presidential campaigner Barack Obama presented his credentials as a community organizer. Now we”re finding out just what kind of organizing he was doing. He was organizing to discredit and overwhelm America”s voting system. He was organizing to expand the scope and reach of the Community Reinvestment Act. In 2006, as a Senator, he always voted “present” when faced with a bill to stop Fannie and Freddie from accepting more “toxic” loans.
In September of 2008, we saw the law of cause and effect in the banking system. As a result of all those toxic loans, financial institutions
were collapsing, and in a matter of hours, Americans withdrew cialis angioplasty money from their money market accounts draining $550 billion from the American banking system! To avert a national financial meltdown, the Bush Administration gave us TARP (Troubles Asset Relief Program) to bailout endangered companies.
While Bush”s misguided solution was limited to shoring up businesses, President Obama immediately used the funds to finance unprecedented government takeovers in the financial and auto industries. By July of last year, taxpayers were on the hook for $3.7 trillion. Our government had pledged to supply Fannie and Freddie with even more money to guarantee the steady dispensing of mortgages. Obama then proposed “reforms” to the Community Reinvestment Act. What were the reforms? Transferring enforcement of compliance to community activist groups…like ACORN. ACORN responded by establishing a nationwide “Home Defenders” campaign to mobilize homeowners to refuse to move out of (in some cases, to move back into) their foreclosed homes. Civil disobedience was encouraged.
Then we had Obama”s Christmas Eve Executive Order authorizing unlimited access to the TARP funds for the next three years to cover Fannie and Freddie”s losses. Unlimited access means unlimited abuse for Obama”s entire term in office. But wait, there”s more! At the same time, Fannie and Freddie decided to reward their officers to the tune of $42 million for the wonderful job they did in helping collapse the system in 2009.
Are you starting to get it? All of our economic woes are part of a carefully orchestrated strategy to destroy our free-enterprise system. We must not remain silent. Read the conclusion in Post 157.
ON THE LIGHTER SIDE