Electoral Count: October 9, 2008
National Percentage
McCain 54%, Obama 42%, all other responses 4%
source: AOL Straw Poll
see also: Methodology (revised October 3, 2008)
Thursday, October 9, 2008
Wednesday, October 8, 2008
What This Economic Crisis Really Means
He also forced everyone, small and great, rich and poor, free and slave, to receive a mark on his right hand or on his forehead, so that no one could buy or sell unless he had the mark, which is the name of the beast or the number of his name.
Revelation 13:16-17
The Book of Revelation contains much prophecy of what the world will be like after Jesus calls his chosen people up to heaven with him. It will be a dark time indeed as the world then will be ruled by the Antichrist under one world government - and financially controlled under one world currency.
Many, including myself, fear that the $700,000,000,000.00 bailout passed by Congress last week is just the tip of the iceberg. Most, if not all, of the world markets are in a similar bind. Many acknowledge we will be in a recession, perhaps a deep one. Perhaps even a depression.
With many of the world's banks in distress, money is already being transferred between nations. More debts will default, more financial firms will fail. There will be great distress.
A worldwide currency is not a new idea; in fact top bankers and economists have been trying to find a way to implement it. Now with the uncertainty of just about everything financial, it is my opinion that this worldwide financial crisis will pave the way to a worldwide currency. As bad as things are, a single currency may appear to be a rather attractive prospect for many.
The scary thing is that the financial sector transcends the very sovereignty of our country. The president doesn't control it. Congress doesn't control it. The courts don't control it. The financial sector is like its own shadow government. The most powerful people in the world right now are those who control the markets and the commodities that flow between them.
How did we get here? Simple. "For the love of money is a root of all kinds of evil. Some people, eager for money, have wandered from the faith and pierced themselves with many griefs." (1 Timothy 6:10)
Keep watch, my brethren. Stay vigilant.
The Book of Revelation contains much prophecy of what the world will be like after Jesus calls his chosen people up to heaven with him. It will be a dark time indeed as the world then will be ruled by the Antichrist under one world government - and financially controlled under one world currency.
Many, including myself, fear that the $700,000,000,000.00 bailout passed by Congress last week is just the tip of the iceberg. Most, if not all, of the world markets are in a similar bind. Many acknowledge we will be in a recession, perhaps a deep one. Perhaps even a depression.
With many of the world's banks in distress, money is already being transferred between nations. More debts will default, more financial firms will fail. There will be great distress.
A worldwide currency is not a new idea; in fact top bankers and economists have been trying to find a way to implement it. Now with the uncertainty of just about everything financial, it is my opinion that this worldwide financial crisis will pave the way to a worldwide currency. As bad as things are, a single currency may appear to be a rather attractive prospect for many.
The scary thing is that the financial sector transcends the very sovereignty of our country. The president doesn't control it. Congress doesn't control it. The courts don't control it. The financial sector is like its own shadow government. The most powerful people in the world right now are those who control the markets and the commodities that flow between them.
How did we get here? Simple. "For the love of money is a root of all kinds of evil. Some people, eager for money, have wandered from the faith and pierced themselves with many griefs." (1 Timothy 6:10)
Keep watch, my brethren. Stay vigilant.
The Futility Of It All
I confess that lately I've seemed self-consumed in my thoughts and concerns. It is if my very soul is being sapped. And I don't like it.
Jesus told us that we would be able to recognize the signs of the end times as easily as one could recognize the changes in the seasons. And let me tell you, folks - the seasons are a-changin'.
We watch and wonder as Barack Obama and John McCain try to convince us that they should be the next leader of the free world. The more they talk, the more they seem alike. Most Americans have already made up their mind, and no campaigning or debating will sway their opinion. Amongst those who already know how they will vote, the election is very close. The sales job, then, is directed at the minority who has yet to make up their mind. It is this minority that will tip the election toward one or the other; and amongst these voters, the election is also very close. As I watch these two candidates trade rhetoric with each other and outline their plans, I sometimes can't help asking myself, "Does it really matter?"
As I wrote during the primaries, I have found myself having to compromise my own values in choosing our next president. It is only 26 days until the election. Do I choose the one whose values are closer to my own? Or do I cast a vote in rebellion by voting someone other than the top two? Or do I further extend my rebellion and cast my vote for none of the above?
Considering all that has transpired - especially in the past 30 days or so - we as a nation may already be screwed, regardless of who takes the oath of office on January 20, 2009. Both candidates claim they will bring change. Unfortunately, I don't think real change will occur until January 20, 2013 - if this nation survives that long.
We watch and wonder as Barack Obama and John McCain try to convince us that they should be the next leader of the free world. The more they talk, the more they seem alike. Most Americans have already made up their mind, and no campaigning or debating will sway their opinion. Amongst those who already know how they will vote, the election is very close. The sales job, then, is directed at the minority who has yet to make up their mind. It is this minority that will tip the election toward one or the other; and amongst these voters, the election is also very close. As I watch these two candidates trade rhetoric with each other and outline their plans, I sometimes can't help asking myself, "Does it really matter?"
As I wrote during the primaries, I have found myself having to compromise my own values in choosing our next president. It is only 26 days until the election. Do I choose the one whose values are closer to my own? Or do I cast a vote in rebellion by voting someone other than the top two? Or do I further extend my rebellion and cast my vote for none of the above?
Considering all that has transpired - especially in the past 30 days or so - we as a nation may already be screwed, regardless of who takes the oath of office on January 20, 2009. Both candidates claim they will bring change. Unfortunately, I don't think real change will occur until January 20, 2013 - if this nation survives that long.
Thursday, October 2, 2008
Controversy: Achmed the Dead Terrorist
Tune in to Comedy Central and you may find comedian/ventriloquist Jeff Dunham and his suitcase full of puppets.One of those puppets is Achmed the Dead Terrorist, and a skit featuring him has received 66 million hits on You Tube [see it here].
But according to this report on FOXNews, not everyone is happy with the skit. In South Africa, a commercial which features a clip from the skit has been deemed by the Advertisement Standards Authority as offensive to Muslims, which makes up 2% of the population.
There is no direct reference in the skit to connecting Achmed to Islam. In fact, Dunham asks Achmed point-blank if he is Muslim, to which he replies "I don't think so," and goes on to say he is "made in China."
But while there is no direct reference to Islam, there are several inferences such as "infidel", Achmed's dress, Achmed's name, "Allah", "72 virgins", and "paradise." Then of course there is Achmed's own job description as a suicide bomber. And when we hear "suicide bomber", we all automatically think of Islam.
In spite of all the inferred references, this routine does not poke fun at Islam. It pokes fun at at someone who failed horribly, and it pokes fun at an action that is otherwise so horrible and futile.
Through his puppets, Jeff Dunham makes fun of everybody. "I've skewered whites, blacks, Hispanics, Christians, Jews, Muslims, gays, straights, rednecks, addicts, the elderly, and my wife," Dunham explains. "As a standup comic, it is my job to make the majority of people laugh, and I believe that comedy is the last true form of free speech." He even makes fun of those who drive a Toyota Prius (which he himself drives)! I've seen the act - I think he's funny (even though I sometimes drive a Prius!).
Even though Achmed is not identified as a Muslim, it is easy to make the connection - even those of the Muslim faith see it. But God forbid we should ever insult a Muslim, especially when they have no problem insulting - and vigorously persecuting - those who are not Muslim.
"Turn the other cheek," Jesus said. Even Muslims regard Jesus as a prophet.
Electoral Votes: October 2, 2008
National Percentage
McCain 60%, Obama 40%
Man, this is really close!
source: AOL Straw Poll
see also: Methodology
Tuesday, September 30, 2008
Sunday, September 28, 2008
Electoral Votes: September 28, 2008
National Percentage
McCain 61%, Obama 39%
Last time I said to watch out for New Jersey - well, they've turned red; this is huge for McCain if this is really true. Alaska is still blue, and Vermont is now red - both of these are anomalous, but they both carry the same number of electoral votes. Colorado is back to red.
source: AOL Straw Poll
see also: Methodology
Saturday, September 27, 2008
Ask Not What This Bill Is Going To Do For You...
Ask not what this bill is going to do for you, but what this bill is going to do to your country.
A week ago Treasury Security Henry Paulson met with members of Congress and outlined a story of gloom and doom. He said we have to pass a bill in which American taxpayers will have to pay out $700,000,000,000 to save financial institutions that are failing. He seems to have most of the Democrats in Congress convinced of this. He's even gotten President Bush believing this. And of course the Wall Street economists - the ones whose firms stand to gain from it - endorse Paulson's plan.
Yet there is considerable disagreement with the plan. On Thursday, Senator Richard Shelby (R-AL) presented a petition signed by 200 of our leading economists (who, by the way, are not on the payrolls of those institutions that would benefit from the bailout) objecting to the Paulson plan "on the grounds that it could create perverse incentives, that it is too vague and that its long-run effects are unclear." [source]
As the flow of credit is beginning to freeze, everyone agrees that action needs to be taken. But the Paulson plan is met with much skepticism, especially when one considers how rapidly something like his has been crafted and rammed down our throats with the threat of dire consequences. One economist I heard on the radio was asked point-blank that if this bill wasn't passed, would we see the market crash this week or the next. His answer was "no," and he sounded absolutely confident. Polls indicate also that a majority of Americans are against the Paulson plan as well.
It sounds like this bailout would benefit Paulson and a few other politicians, as well as Wall Street. My hat goes off to those who actually spoke up and to those in Congress who actually listened and refused to go any further without more research.
With all the questions and concerns against this plan, where is Secretary Paulson to defend it? Where are you, Mr. Secretary?
One of my nieces - bless her heart - called the other night to see if we would co-sign on a car loan for her. She's already faced repossession on this same car before. We said no, especially in light of the possibility of co-signing a $700,000,000,000 bailout to Wall Street. After all, she's 32 years old. At that age, one should be financially responsible - not looking for co-signers. She's in a bad spot right now because of poor decisions on her part. Perhaps not having a car for a while will slap some sense in her head and finally she will get her priorities straight.
I wonder if we can do that with Wall Street? Unfortunately, whatever bill gets passed will probably have a little something for the members of Congress who have betrayed us.
A week ago Treasury Security Henry Paulson met with members of Congress and outlined a story of gloom and doom. He said we have to pass a bill in which American taxpayers will have to pay out $700,000,000,000 to save financial institutions that are failing. He seems to have most of the Democrats in Congress convinced of this. He's even gotten President Bush believing this. And of course the Wall Street economists - the ones whose firms stand to gain from it - endorse Paulson's plan.
Yet there is considerable disagreement with the plan. On Thursday, Senator Richard Shelby (R-AL) presented a petition signed by 200 of our leading economists (who, by the way, are not on the payrolls of those institutions that would benefit from the bailout) objecting to the Paulson plan "on the grounds that it could create perverse incentives, that it is too vague and that its long-run effects are unclear." [source]
As the flow of credit is beginning to freeze, everyone agrees that action needs to be taken. But the Paulson plan is met with much skepticism, especially when one considers how rapidly something like his has been crafted and rammed down our throats with the threat of dire consequences. One economist I heard on the radio was asked point-blank that if this bill wasn't passed, would we see the market crash this week or the next. His answer was "no," and he sounded absolutely confident. Polls indicate also that a majority of Americans are against the Paulson plan as well.
It sounds like this bailout would benefit Paulson and a few other politicians, as well as Wall Street. My hat goes off to those who actually spoke up and to those in Congress who actually listened and refused to go any further without more research.
With all the questions and concerns against this plan, where is Secretary Paulson to defend it? Where are you, Mr. Secretary?
One of my nieces - bless her heart - called the other night to see if we would co-sign on a car loan for her. She's already faced repossession on this same car before. We said no, especially in light of the possibility of co-signing a $700,000,000,000 bailout to Wall Street. After all, she's 32 years old. At that age, one should be financially responsible - not looking for co-signers. She's in a bad spot right now because of poor decisions on her part. Perhaps not having a car for a while will slap some sense in her head and finally she will get her priorities straight.
I wonder if we can do that with Wall Street? Unfortunately, whatever bill gets passed will probably have a little something for the members of Congress who have betrayed us.
Thursday, September 25, 2008
To Debate or Not to Debate?
There's been a lot of criticism leveled at John McCain for requesting postponement of tomorrow night's first presidential debate. He made this request so that he could go to Washington to help with the financial bailout bill which must be agreed upon by the Congress before they go on recess after Friday.
I think McCain's intentions are genuine, and they show that he is taking leadership. Was this a bold political move? You bet. And a brilliant one at that (I could be wrong - but I doubt it).
Apparently, many agree with me. This morning on the news radio station I listen to, there was a guest from Zogby International, one of the premier polling firms. He said that about midway through their polling yesterday, McCain made his announcement. Understandably, this turn of events had an effect on their responses. Fortunately, Zogby had a statistically sufficient number of response both before and after McCain's announcement. Before the announcement, McCain's numbers were trailing as they had been all week. But after the announcement, his numbers were making double-digit gains, and once again, McCain held a slim lead over Obama [latest Zogby poll].
Personally, I think postponing the debate is the right thing to do. Deeds, not words, are what we need right now.
I think McCain's intentions are genuine, and they show that he is taking leadership. Was this a bold political move? You bet. And a brilliant one at that (I could be wrong - but I doubt it).
Apparently, many agree with me. This morning on the news radio station I listen to, there was a guest from Zogby International, one of the premier polling firms. He said that about midway through their polling yesterday, McCain made his announcement. Understandably, this turn of events had an effect on their responses. Fortunately, Zogby had a statistically sufficient number of response both before and after McCain's announcement. Before the announcement, McCain's numbers were trailing as they had been all week. But after the announcement, his numbers were making double-digit gains, and once again, McCain held a slim lead over Obama [latest Zogby poll].
Personally, I think postponing the debate is the right thing to do. Deeds, not words, are what we need right now.
Financial Bailout: Still No Deal
Today's summit to hammer out details over a $700,000,000,000 package to rescue America's failing financial institutions only showed that opposing sides agreed to disagree. [story] Meanwhile, an entire nation continues to hold its collective breath. There's a lot of posturing and finger-pointing as to how we got this far. But it's time to get past that and figure out a way to get out of this. I don't usually agree with CNN's Glenn Beck, but he make a good point here [full article]: "Unfortunately, [Treasury Secretary Paulson's] right. In fact, it would have to take an absolute disaster to make me even consider supporting something like this. Welcome to that absolute disaster."
We are in a much worse situation now than we were when the market crashed in 1987. The consequences of a market crash now - well, I don't want to even think about that. Will the market crash without this bailout? I don't think anyone really knows. Scary.
Meanwhile, your elected members of the U.S. House and Senate seem bound and determined to go on their recess after Friday (tomorrow) whether there is an agreement or not. Without an agreement, though, I wonder if it would be safe for them to go home.
Lord, I pray your wisdom and discernment upon our elected officials whom we have entrusted to resolve this crisis. May there be someone who can put partisan politics aside, step up, and take a true leadership role in helping resolve this matter. Amen.
We are in a much worse situation now than we were when the market crashed in 1987. The consequences of a market crash now - well, I don't want to even think about that. Will the market crash without this bailout? I don't think anyone really knows. Scary.
Meanwhile, your elected members of the U.S. House and Senate seem bound and determined to go on their recess after Friday (tomorrow) whether there is an agreement or not. Without an agreement, though, I wonder if it would be safe for them to go home.
Lord, I pray your wisdom and discernment upon our elected officials whom we have entrusted to resolve this crisis. May there be someone who can put partisan politics aside, step up, and take a true leadership role in helping resolve this matter. Amen.
Wednesday, September 24, 2008
Electoral Votes: September 24, 2008
National Percentage
McCain 62%, Obama 38%
Percentage remains the same as on Sunday, but McCain has lost Colorado and New Hampshire (but they're pretty close). Also, Pennsylvania and New Jersey are still pretty close.
source: AOL Straw Poll
see also: Methodology
Don't Ever Question My Patriotism
I love this country of ours. I love its history, its traditions, and its values. I love that we can speak freely and disagree and we don't tend to kill each other over it (for the most part) like they do in other countries.I abide by the laws, I pay my taxes, and I pay my bills. And I bitch and moan when the bills seem too high and the laws so restrictive you can't breathe. But I am a patriot.
Those who are able to pay their bills but choose not to are unpatriotic. Lenders who give mortgages and loans to people who don't actually qualify are unpatriotic. Speculators who artificially jack up the prices of their commodities - be it real estate, oil, or whatever - to satisfy their greed are unpatriotic. Those who are perfectly able to hold a job but choose to leech off of our welfare system instead are unpatriotic. Those who exploit children and the elderly are unpatriotic. Those of you whom I trusted when I voted you into office and chose instead to betray my trust are unpatriotic.
I am a hard-working American who has earned what he has. And if it's alright with you, I'd like to keep my nest egg. It just angers the hell out of me that I have to pay for the mistakes made by a lot of unpatriotic people.
And what ever you do, don't you EVER question my patriotism. You're liable to find a flag planted where the sun don't shine.
Say It Ain't So, Joe: More Bidenisms
This was one of my favorite headlines during the past week: Obama Chides Biden for Off-Message Interview. Evidently Joe took exception to one of the campaign ads against John McCain. You know a campaign is negative when one of your own objects to it. I'd have liked to have seen that. Young Barack chiding old Joe. What a picture!Before that, there was that other remark when asked whether the wealthy would be paying more tax. Biden answered, "It's time to be patriotic . . . time to jump in, time to be part of the deal, time to help get America out of the rut." I'm sure the Hollywood elite, who love Obama so much, will love this tax plan.
It's no wonder there are rumors about Biden dropping off the Democratic ticket and getting replaced. Of course, these are just rumors - if you actually believe Obama. Then again, Obama is screwed if he bumps him from the ticket - makes him look indecisive. Besides, I like having Joe on the ticket - he's funny and he makes McCain look better. Makes Dan Quayle look competent.
Doesn't he kind of look like McLean Stevenson as Col. Henry Blake on M*A*S*H? Sorry McLean. Rest in peace, buddy.
Pray for America
The purpose of this blog is to transmit what's on my mind and in my heart.Lately with all the politics and the turmoil surrounding our crumbling economy, I haven't had a whole lot going on in my heart. I hadn't realized that until last night as I settled into bed after shooting out another political blog.
Frankly I'm concerned and even a little scared about what's happening. I am also very angry at those responsible for causing this mess.
So as I settled into bed last night, feeling sorry for myself, that small, still voice deep inside me spoke up and asked, "Have you prayed about this?" Have you prayed for your country?" Sadly, my answer was "no." That was my wake-up call.
We are facing what could be the most dire moment in our country's history during our lifetimes. More dire than Hurricanes Andrew, Ike, and Katrina. More dire than the floods that devastated the Midwest. More dire than the fires in California. Even more dire than September 11, 2001.
This is a disaster of our own doing, one that could have been prevented. There were those who warned us of this impending disaster. But the warnings went unheeded - even laughed off. We have been betrayed by the people whom we entrusted to lead us. Now that we are facing disaster, those we entrusted before cannot even agree on how to get us out of this.
It is this burden of adversity and uncertainty that I laid - and continue to lay - before God. "In God we Trust" is the motto proudly displayed on our currency. As a nation, the time certainly has come when we need to trust in God.
We need him now, more than ever. So please join with me - trust in God. And pray for America.
Top Recipients of Fannie Mae and Freddie Mac Campaign Contributions, 1989-2008
My source here - I feel - is pretty reliable. They got their information directly from the Federal Election Commission.
It would seem that Fannie Mae and Freddie Mac have some important stakeholders in their future. Feel free to look at the numbers and draw your own conclusions.
They come from both sides of the aisle, but notice the primary color. Wonder what they promised in return?
It would seem that Fannie Mae and Freddie Mac have some important stakeholders in their future. Feel free to look at the numbers and draw your own conclusions.
They come from both sides of the aisle, but notice the primary color. Wonder what they promised in return?
| Name | Office | Party/State | Total |
| 1. Dodd, Christopher J | Senate | D-CT | $133,900 |
| 2. Kerry, John | Senate | D-MA | $111,000 |
| 3. Obama, Barack | Senate | D-IL | $105,849 |
| 4. Clinton, Hillary | Senate | D-NY | $75,550 |
| 5. Kanjorski, Paul E | House | D-PA | $65,500 |
| 6. Bennett, Robert F | Senate | R-UT | $61,499 |
| 7. Johnson, Tim | Senate | D-SD | $61,000 |
| 8. Conrad, Kent | Senate | D-ND | $58,991 |
| 9. Davis, Tom | House | R-VA | $55,499 |
| 10. Bond, Christopher S 'Kit' | Senate | R-MO | $55,400 |
| 11. Bachus, Spencer | House | R-AL | $55,300 |
| 12. Shelby, Richard C | Senate | R-AL | $55,000 |
| 13. Emanuel, Rahm | House | D-IL | $51,750 |
| 14. Reed, Jack | Senate | D-RI | $50,750 |
| 15. Carper, Tom | Senate | D-DE | $44,389 |
| 16. Frank, Barney | House | D-MA | $40,100 |
| 17. Maloney, Carolyn B | House | D-NY | $38,750 |
| 18. Bean, Melissa | House | D-IL | $37,249 |
| 19. Blunt, Roy | House | R-MO | $36,500 |
| 20. Pryce, Deborah | House | R-OH | $34,750 |
| 21. Miller, Gary | House | R-CA | $33,000 |
| 22. Pelosi, Nancy | House | D-CA | $32,750 |
| 23. Reynolds, Tom | House | R-NY | $32,700 |
| 24. Hoyer, Steny H | House | D-MD | $30,500 |
| 25. Hooley, Darlene | House | D-OR | $28,750 |
Tuesday, September 23, 2008
Senate Bill S.190
Barack Obama has been so busy trying to place blame for our current financial crisis and accusing Senator McCain of being out of touch. Well, refer to my previous post regarding the then-upcoming real estate/mortgage bust.
Apparently others were well aware of what could happen to Fannie Mae and Freddie Mac and actually tried to do something about it (as opposed to just indicating "present"). One of those was John McCain, a co-sponsor of the Senate Bill S.190, entitled the Federal Housing Enterprise Regulatory Reform Act of 2005. Please read the following statement McCain made on May 26, 2005:
"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."
Here's a link from Bloomberg on this also.
What McCain predicted, even before the bubble burst, is now coming true. Evidently, his plea for Congress to act fell on deaf ears as usual.
It was the Clinton administration that first allowed mortgage companies to make bad loans to people who actually didn't qualify.
Some of you may say, "Well, McCain just co-sponsored the bill." So how many bills have you co-sponsored?
McCain was not the problem. He offered a solution but got shot down. But unlike Vietnam, we are all prisoners.
Apparently others were well aware of what could happen to Fannie Mae and Freddie Mac and actually tried to do something about it (as opposed to just indicating "present"). One of those was John McCain, a co-sponsor of the Senate Bill S.190, entitled the Federal Housing Enterprise Regulatory Reform Act of 2005. Please read the following statement McCain made on May 26, 2005:
"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."
Here's a link from Bloomberg on this also.
What McCain predicted, even before the bubble burst, is now coming true. Evidently, his plea for Congress to act fell on deaf ears as usual.
It was the Clinton administration that first allowed mortgage companies to make bad loans to people who actually didn't qualify.
Some of you may say, "Well, McCain just co-sponsored the bill." So how many bills have you co-sponsored?
McCain was not the problem. He offered a solution but got shot down. But unlike Vietnam, we are all prisoners.
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