If the White House thought they could slip the bailout of Fannie and Freddie through by announcing it in a Christmas Eve news dump, think again.
Dennis Kucinich just released this statement:
As Chairman of the Domestic Policy Subcommittee of the Committee on Oversight and Government Reform, I’m announcing that the Subcommittee will launch an investigation into the Treasury Department’s recent decision to lift the current $400-billion cap on combined federal assistance to Fannie Mae and Freddie Mac, opening the way for additional, unlimited funds through the end of 2012. This investigation will include the role played by Fannie Mae chief executive Michael J. Williams and Freddie Mac chief executive Charles E. Haldeman in the decision, if any, and will seek to ensure that the additional assistance is used for homeowners and not Wall Street.
Many questions remain unanswered regarding this move by the Treasury. Why suddenly remove the cap? Indications are that Freddie and Fannie, even as millions of Americans lose their homes, have used just $111 billion of the $400 billion previously available to them. Is lifting the cap on assistance a back-door TARP?
Additionally, I want to determine whether Fannie and Freddie have a cohesive plan to buy up the under-performing mortgages that remain on the books of the big banks, at appropriate prices, and undertake a massive reworking of the terms of the mortgages so as to stem the foreclosure crisis that continues to plague our country.This new authority must be used responsibly and for the benefit of American families. This cannot be used simply to purchase toxic assets at inflated prices, thus transferring the losses to the U. S. taxpayers and acting as a back-door TARP.
On Christmas Eve, they also announced $4-$6 million compensation packages for their top executives. But they’ll start foreclosing on homeowners again in January.
Fannie and Freddie have been corrupt cesspools for years, a place where presidents of both parties parked friends like Dennis DeConcini and Rahm Emanuel, giving them lucrative spots on the board of directors as political payoff. As government sponsored entities (GSEs) selling shares to the public, they operate like hedge funds that socialize losses and privatize profits. From the LA Times last year:
This week…news broke that until August, the lobbying firm owned by McCain campaign manager Rick Davis was paid $15,000 a month by Freddie Mac, one of the mortgage giants implicated in the current crisis (now taken over by the government and under investigation by the FBI). Apparently, Freddie Mac’s plan was to gain influence with McCain’s campaign in hopes that he would help shield it from pesky government regulations.
It appears they kept looking. The Democrats have been too intimidated by leadership to start looking into the utter corruption at these entities, but Kucinich just doesn’t care.
We’ve started a fundraising page at ActBlue to thank Dennis for taking this bold step, and doing it quickly. It takes a lot of courage to stand up to leadership, the White House and the banks like that. GSEs are going to be much in the news in the upcoming year, and Kucinich is announcing that he will be setting the agenda, not standing on the sidelines, watching a coverup.
We’d like to get 100 donors to say “thank you” to Dennis, even if it’s only $5, so he knows it matters to the people who are watching.



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Shazam! One honorable man
I agree Jane, done.
Yeah!
I’m over to donate myself.
Go Dennis. This is awesome.
Geez, an actual Congressperson doing his job!
Done. Go get ‘em Dennis…
When it comes to corporate handouts, Rahm and McCain are on the same page, aren’t they? This is the sort of bipartisanship DC loves.
Good news. Here’s a committee profile:
Jurisdiction includes domestic policies, including matters relating to energy, labor, education, criminal justice, the economy, as well as the Office of National Drug Control Policy.
Majority
Dennis J. Kucinich, Chairman
Elijah Cummings
John Tierney
Diane Watson
Jim Cooper
Patrick Kennedy
Peter Welch
Bill Foster
Marcy Kaptur
Minority
Jim Jordan, Ranking Member
Mark Souder, Vice Ranking Member
Dan Burton
Michael Turner
Jeff Fortenberry
Aaron Schock
Bravo Jane!
Does this mean we can we breath easy that the story can no longer be swept under the rug?
Dean Baker was on democracynow this morning, and that’s his hypothesis.
I’d like to thank you for replacing the photograph of Rahm Emanuel with that of Dennis Kucinich.
Just out of curiosity, how far can Kucinich take this? Are there “higher ups” in the House who can make sure this investigation goes nowhere fast? Will he have “supoena power”? Can this lead to televised hearings etc.?
best thing Ive heard for months!!
thank you Jane for passing it on, will send Dennis a few dillydollars
That is one brave congresscritter.
Thank You! Mr. Dennis J. Kucinich
It is good to know that the people of the USA have someone working for them and not the Corporate Elite.
Again Thank You! Mr. Dennis J. Kucinich
I’m in for my little bit. Haven’t been able to contribute much more than my smile around here for a while, but Santa gave me a little cash and I can’t think of a better way to spend it.
And, btw, I happen to love fruitcake. Ha.
Thank God for Dennis Kucinich – that’s not the first time I’ve said that, and it probably won’t be the last. Now if we can keep the Democratic leadership from continuing to marginalize him.
perfect. best example of our system still functions seen lately. thank you Jane.
Money and Power relinquishes nothing willingly. I hope Congressmen Kuccinich has private body guards. Maybe some of the donated monies should be used to provide security.
I’m sure that Pelosi is going to quake in her boots at the thought of Kucinich, who I affectionately call the tit high chimp, coming at her.
Yeah I wish I was in a position to contribute. My wife’s employer cut her pay and now her hours are next-to-nothing to, Gov. Daniels took a nice shit on us too by cutting some state benefits (75 percent of which come from federal govt., but that didn’t stop him from cutting) and Santa didn’t really provide me with even a dime (usually at least a little cash comes my way at Christmas, but not this year).
It’s not a bright time for the Sufi family this year.
Sent a few shekals his way. Rewarding good behavior.
I hope Dennis doesn’t fly on any small planes like Sen. Wellstone did.
Oh, I hear ya. I’m working a whopping 10 hours this week. I didn’t even buy my mother a present this year. I’ll go over and do some yard work for her. Hold on. We’ll all make it.
But, please know I think you are such a wonderful voice here. I love to read your comments.
((Sufi Family))
us too, soon as oldn$low wakes up
here, have some Collin Street Blonde :D
He does have subpoena power, but I’m not sure if it needs approval of the entire committee or not.
Go Dennis!
17 donors so far…anyone want to be #18?
You get their attention pretty fast when you make a move like this. Go Dennis.
I donated. Thank you, Jane, and keep it up.
Thanks Demi. You too are one of the voices that keeps me coming back here. I know it’s tough for a lot of people, and I also realize I’ve got it better than many people – especially in this part of the country which was hit particularly hard.
And thank you Jane. I can’t begin to tell you how much I appreciate what you do. You’re an inspiration to me and I suspect a LOT of others as well.
Yummers!
Thanks for this, Jane. I can’t see his name or see his photo without recally him reading the [how many was it?] counts of impeachment. Stayed up and watched the whole thing.
Awesome and inspiring, yet again.
And, Lady, you rock.
Kooch has been my first choice for Democratic nominee for the past two elections.
Obama was an afterthought.
That’s a legitimate concern. Remember Rove’s computer guru that helped flip votes in Ohio? He was under investigation and then his small plane mysteriously crashed.
What a nice thing to say.
‘Cept the Rovians aren’t in power now. It is in their interest that Kucinich stays safe.
Anyway, my money is on going after Kucinich for some sort of hypocricy or corruption. That’s more Rahm’s style isn’t it?
Wasn’t he one of the people who didn’t like the bill without the public option? Well, how did he vote? Don’t bother answering either of those questions because I know the answer. The fact is that this investigation will likely prove futile. You might want to save your money and wait for actual results. Too many times we’ve all been had by those who say one thing and do the other. Kucinich is just one more of those double talkers.
I was thinking of his marginalization when I first saw this thread – sadly, he’s perceived as the Governor Moonbeam of Congress, but that aforementioned subpoena power changes everything
Heard Dennis speak at the Dec. 12 anti-war rally across from the WH. His courage and passion are an inspiration. My only hope is that he does meet the same fate as Paul Wellstone.
This is the sort of thing the Democrats need to be out in front on if they want to earn the right to their claim of being better and more ethical than the other guys. They’ve gotta do it.
I disagree. I don’t think he’s a double talker.
If you don’t want to contribute or can’t, then don’t. But, really, we’re big boys and girls and I think we can donate if we so choose.
Yeah. And, my Governor Moonbeam is still working and affecting change, isn’t he?
Not to mention they get the hot chicks. *g*
He voted no on the first round in the house. The house hasn’t gotten to the point of voting on the final yet.
As soon as my pension check posts tonight, this is the first thing I’ll do.
Maybe there will be some of that bipartisanship Obama’s looking for since this has the potential to be embarrassing to the Rahmbo.
Kucinich has always been a bit too, too liberal for we conservatives in Ohio. However, that certainly doesn’t preclude him from having valid points and counterpoints. I only hope he hasn’t been so over the top that people won’t listen to him.
If we conservatives had brought this to light it would have been ignored. Oh wait…we did!
I am truly glad to see that this administration has been so over the top, that it has sounded alarms on both sides…very encouraging. Regardless our beliefs, it is refreshing to see people with the courage to stand for their convictions. I’d rather stand beside someone with courage, even if I can’t be in total support of them. Hear that McConnell and Boehner! And Boehner is in my district – a two-faced cowardly piece of crap, this one!
A very robust 3 cheers for Dennis on this one!
Thirty-five. It was 35 counts and he skated on every single one of them, didn’t he?
No, Rox, K voted NO on the House bill. Don’t you remember that “Is this the best we can do?” speech?
Power and money are non-ideological.
Freddie has stunk for a long time. They were very proud they have “very, very complex” IT systems running their financials. Meanwhile, they always turned a 25% profit each year and pay out all those fabulous bonuses year after year! In 1999, they were sure not interested in any real investigative-minded folks working on their year 2000 compliance. It didn’t take a rocket scientist to figure out how rotten things actually were in that particular hamlet in “Denmark.” Why, this is a perfect place to begin full audit. Go Denny!!
Which only goes to prove courage can be wrapped in all kinds of packaging.Looks no longer matter as our country has hit the skids and we are in survival mode.
Some people were learning a lot from folks like Madoff over the years.
Good morning demi, oldnslow here. CBL is dealing with CA DMV via phone right now. A real treat for her. Really.
Love to see conservatives finding common ground to agree. Thank you.
At least we agree on something. Will wonders never cease.
http://online.wsj.com/article/SB122290574391296381.html
But is it in the interest of the Democratic establishment for Kuccinich to “stay safe?”
Contributed to both Dennis and FDL Action.
Thank you, Dennis!
Thanks, Jane.
Hope I wasn’t being too much of a pain in the ass in my rants over the weekend ;~)
good for Dennis. He has my respect. Dan Burton is going to be whining and having a fit, I imagine.
Dennis threatens power, irrespective of party. Power on all sides of the political spectrum want to see him silenced.
I’m in as well. It is important for him to know his leadership is being acknowledged.
The investigation may not get far, but I give Rep. Kucinich credit for not being intimidated by threats from the White House.
I posted an essay at docudharma.com with the links to this article, Rep. Kucinich’s statement and the ActBlue page.
Thank you, Jane
Made my (admittedly small) contribution. Glad to see someone’s concerned about an infinity-plus dollar bailout.
Thank you Dennis. His home town of Cleveland and his home state of Ohio have been hard hit by oppressive, virtually regulation-free banking and consumer lending. Hard sell lending practices are rampant in poorer districts, as are harder collection practices. In some communities, there are over 100 foreclosures in a single neighborhood, with crippling effects on them and the families, schools and businesses that comprise them.
Dennis the Menace has been relegated to gadfly status by the Democratic leadersheep. But he has the courage to ask questions they dare not, because he’s willing to hear the answers in a forum where others will, too. The public’s discomfort and disgust when they hear them could well affect the outcome in dozens of contested House seats. It should. Thank you, Dennis.
“tit high chimp”???! Have some respect. You’re taking about the man I love. Go, Dennis!
Donated,tipped and passed the good news on.
David Dayen has a fresh cross-post raring to go: “Casualties Of War: Yemeni Detainees At Guantanamo Probably Staying Put For Now”
So Freddie’s CEO resigns in March. In April, Fannie’s CEO is brought over by the Admin to head up TARP, replacing Kashkari the former Goldman wunderkind who goes off the grid and builds himself a small wooden shack in the wilderness. Later in April, Freddie’s CFO hangs himself in his surburban home.
They need those multi million cash packages for the executives, because everyone knows the swamp is toxic, congressional hearings are hard, no one wants to end up in court. Bailing out Wall Street at the expense of Main Street is wrong and just plain dumb politics.
I’ve seen Kucinich speak in a small group. He is totally charismatic, and that dupes people into projecting their desires onto the guy. Kucinich has served as the shepherd who corrals progressives back into the Democrat fold every time people start to get wise. He’s been wholly ineffective in Congress, but his charismatic touch on progressives makes some feel so warm and fuzzy that they ignore his ineffectiveness.
I just love to see the mercury rise. It’s like seeing the strong man smashing the pad with his hammer to send the puck whizzing up the vertical rail so hard that it strikes the bell atop … “BING”!
Cant afford to donate – But Go Kuchinich!!
So when you say ” affectionately” call a tit high chimp you’re just going on the attack,right?
How much longer are we supposed to wait until these people can deliver? As I see it, as Kucinich has grown more prominent, the progressive cause has faltered and corporations have made unprecedented progress.
Kucinich is a toy thrown at progressives by the Democrat Party to amuse us.
Go, have fun, play with your toy.
And he IS a tit high chimp. Can’t stand any higher than 5’7 in heels, and he is as chimpy in the face as Bush II was. He’s got whatever “it” was that they said Clinton did but he has a modicum of a conscience.
That was my first thought, have his mail screened also.
Thank you, I will.
I’ll even share them with you when you quit smashing shit up.
Peace
Yeah, but my point is that the Rovians who use plane crashes to take out opponents are not in power now.
Rahmbo & co. will more likely use corruption scandal or hypocricy scandal to depower Kucinich. Just sayin’
Great observation. A lot is rotten at Fannie and Freddie. That is the heart of the bubble. After ripping off Americans for years they want us to buy out their bad debt. Dennis knows that and he knows that both parties participated. It is about time the people get some protections against these corporate giants that are to big to fail. I gave Dennis a big hug when he was campaigning here. He has integrity, honesty, heart and a mind. The rest of the critters should take the trip to OZ too. Anyone who criticizes people for their height has lowered their own stature.
Dennis Kucinich remains one of the few Congressmen with any integrity at all -
Thanks to Dennis. Hope this gets legs.
The typical problem with similar hearings and investigations is that they go nowhere.
Look at the Bernanke re-confirmation hearings. Look at the regular Geithner testimonies to congress. Lots of hard questions, criticism, etc. by committee members. Lots of dissembling by whomever is being questioned, and lots of promises to ‘get back to you’ on the really tough questions that they can’t/won’t answer. They never ‘get back’, and they are never called out for it.
We need mechanisms for turning up the heat- not just on Fannie/Freddie, Bernanke, Geither, etc., but also the congressional committees. They must become more effective at governance/oversight. Otherwise, these hearings devolve into cheap theater…
Looks like Rahm is doing the smashing, I’m just calling it like I see it.
So shines a good deed in a weary world.
-Willie Wonka
Thank you, Mr. K! Keep up the good work!
“tit high” ???
You missed a turn, the junior high boys locker room ain’t in here.
The good thing is we no longer have good old reliable Lee Hamilton in Congress to throw the ball straight to the opposition.
Seconded, thirded, fourth & fifth!!! Jane, you’ve just improved all of our blood pressure by removing Rahm’s pic!!
Donated. Thank you for the opportunity to do something positive in this discouraging time.
Sorry Jane, no can do.
I gave $100 (a lot for a guy on disability, trust me) to the supposed progressives that were gonna vote no on any bill that doesn’t have a robust public option, and robust was defined. Almost all of them went ahead and voted yes anyway on a bill with a public option in name only, certainly not robust. And next month these same folks are gonna vote yes on the Senate bill which doesn’t even pretend to have a public option.
I’ll gladly give to this (if it’s still up) AFTER I see the hearings and what comes of them. Till then, sorry.
But I understand others seeing it differently, and applaud them too. If I were better off perhaps I’d go along too. Gotta be stingy, and that means seeing the results next time before I give.
I’ll reward good behaviour when the good behaviour occurs. Not when they say they’re going to behave good.
Thanks for more of your ever-helpful remarks. /s
Just think… he could have been our president. Kucinich won virtually all of Hartmann’s straw polls yet he was eliminated from contention by the PTB. Somehow someway we need to usurp corporate media’s (i.e. the traitors like katrina vanden heuvel) ability dictate/tell us what we think… that coupled with electronic voting machine verification could just save this republic. Thank you Jane for bring this issue up last week… Dennis listens
I smell bait and switch here. I would hold off on the donation until the hearings actually start.
I realize that you’re calling it as you see it.
Speaking of smashing; I’m going to go split firewood. I’ll visualize different faces and focus on breaking their power. *g*
Nothing wrong with Kucinich investigating a government agency_ ANY agency, or adjunct. However, lending practices at Fannie and Freddie were NOT the proximate, or even interVENING cause of the housing meltdown and subsequent economic collapse. The GSEs did NOT make sub-prime loans_ they are prohibited_ as a matter of law_ from doing. In fact, these sufficiently collateralized loans that the GSEs made, were comingled in packages, with the TOXIC loans made by other entities. This provided the cloud cover that enabled the banks and Firms to perpetuate the scam, to BEGIN with… LONG as the rating agencies_ S&P, Moody’s, and FINCH_ were willing to enter INto the conspiracy, right at the START_ which they most certainly, and provably, DID!
The point_ is that, while there is always a legitimate reason to sleuthe corruption in our government_ it is NOT reasonable to pogo-stick to the invalidly drawn conclusions that characterized the,”LOOK, before I leap” thinking, which precipitated the crisis, from the start.
Makes absolutely no sense looking a gift horse in the mouth.
Speaking of rewarding good behavior, wouldn’t it be cool if someone set up a place where we could pledge donations to any progressives that would kill the Senate bill (and kill the entire health care bill if the Senate bill was the only option) and see how high those pledges went before next months vote? And then, if they did succeed in killing the Senate bill we would make good on our pledges.
And wouldn’t it be cool if some really rich lefties took part too and that number got so high that the “progressives” in the House couldn’t help but notice it?
Ahh, pipe dreams, I get them all the time.
I’ve donated a token amount for what amounts to a token gesture at the moment. Whomever can, make a ‘gesture’ of support, – i cannot see anyone else on that path, so it’s Dennis or zilch.
@84 Wethepeople,
While it is true that fannie/freddy are only a symptom of the much much deeper systemic corruption we find ourselves drowning (read Katherine Austin Fitts who had first hand experience) under, don’t underestimate what good can come from picking at a crack in wall. This is how it begins. Lets hope.. Its one glimmer after all others have been dashed by they poseur obama and his zionist handler Rahm.
Dennis has been Dennis since he was mayor of Cleveland. The only bait and switch in this scenario is among the Democratic leadersheep and its pet corporations, including Fannie and Freddie, whose support has personally enriched Rahm Emanuel.
If there is one possible good thing about this Senate Health Cartel Bill, it is that a light, a Klieg light, has been shone on the bribery-based nature of our government. For those who excused the Democrats as cowardly, ineffective, poorly lucked, timid, etc., the light has made visible the true reason for their inability to represent their historical constituency – the working class American. The Democrats have a new, more powerful constituency – The United Corporations of the World.
Now who is the more dangerous, insidious, and evil towards the working class? The Republicans whose very platform is anti-populist, pro Too Big Too Fail corporations, as well as a smaller class of corporations and individuals easily identified as “CONTRIBUTORS”, or the Democrats, who feign traditional support for the middle class, but in MANY ways, with MANY billions of borrowed taxpayer dollars outdo the Republicans in their support of the very same clients?
To me,the Republicans are more honorable. They tell us what they want to do straightaway and we can adjust to a party like that.
What is VERY difficult to adjust to is a turn-coat party – one who is more brazen in their re-allocation of the Commonwealth of the U.S. than the Republicans.
Frank, and Dodd, and Obama and Democrats of their ilk are the true obstacles to overcome. They tell us one thing, and them work against the peoples’ interest – in darkness and secret, until the the Klieg light shines.
Is it possible to “reform” the Democratic Party? I think we just had a six-month Civil War battle re-enactment which gives us that answer. The answer is NO!
The unions must snap out of their subservience to the Democratic Con job, and create new candidates and a new party to compete with the bribe-based system we now have. Simply throwing money at hustlers like Obama will net American union and workers the same payback they got from Bill Clinton. Millions of small donor contributions to Obama get the contributors absolutely nothing.
Unions, snap out of it before you shrink to an even more irrelevant size. The “two party” system is a thing of the past. The sooner unions grasp the New Reality, the sooner we can claw our way back to a vibrant and sustainable middle class that IS the American Dream.
Kucinich, and Feingold, and Sanders MAY be interested in joining such a movement.
Is anyone here arguing that F/F caused the crash all by themselves? This is about a totally different angle.
@90 Theshadowknows
Unions have already been marginalized and the American people have short memories and a rapidly waning ability to think critically. People like Ralph Nader have been saying the same thing for many moons and yet… nobody listens… the very people who should listen, chastise truly great Americans like Nader and Kucinich and yet… I think we can all sense that the nation is nearing the “boiling point”. What’s needed is a kick-ass militant populism movement not unlike what came out of the midwestern Farming states over 100 years ago. So-called progressives need to set aside their differences with so-called libertarian paleo-conservatives and form a kick-butt take back America coalition that literally scares the bejesus out of our terrorist captors currently occupying the DC debate club. Its ether that or… yes you guessed it; history tells us it inevitable.
Yes, the new party needs to operate from political ($$$) power, not from Green Power (PLEASE help us save YOUR planet.)
We need an Accountable Government Party whose goals would be to hold all stakeholders accountable to what they contribute to, and what they extract from, the common wealth of the U.S.
It is sheer lunacy to have NO National Industrial Policy other than what Wall Street dictates. Lunacy. All our competitors have such a vision for their nations. The U.S. has Wall Street Bankers.
Thanks Jane.
Yes… In the same way that Israel is a the vassal state of the many tentacled Rothchild family, America has become a wholey owned subsidiary of non-partisan elitist control via divide and conquer duplicity and deception Wall Street Banking interests. Its no joke that what we see paraded in front of us daily as partisan “debate” is in fact nothing more than kabuki theater. Increasingly evident, at least as far as everything of import concerned, decisions are made elsewhere in places such as the boardrooms of Gold Man Sox and elitist “Builderberg” banking confabs. As did many I knew Obama sold us out on health care as far back as last summer when he emerged from secret discussions with big pharma and big insurance, where he was undoubtedly told in no uncertain terms the way it would be (negotiations my butt… they told him exactly what would happen).
He was giving a speech somewhere… (saw it on Youtube)… and he mention something to the effect: “wether or not the final bill has a public option….” (he already knew it would not) and the crowd erupted in anger at the thought it might not. keep in mind this was long before the public had been warn down by endless pied piper pudits on TV propaganda, Obama’s body language spoke volumes. His smile immediately sunk as the reality hit the traitor in chief that his forgone conclusion of a sell-out would be a very difficult sell on mainstream indeed. The best we progressives and libertarians can possibly hope for is to hobble his already compromised presidency thereby limiting its damage as the the “beast” system marches us headlong into disaster. Unless a candidate has demonstrated the leadership of a Kucinich or shown to have the gonads of a Marcy Kaptur or Alan Grayson, I will not vote for them no matter what they call themselves.
Dunno. The GSEs were at the heart of the bad securitizations that formed the basis for the reckless markets in CDOs and CDSs. If those bundles had not been out of bounds, the GSEs would not have been the first big dominos to fall weeks before Lehman’s collapse. And yes, the ratings agencies who get paid by the big banks threw more fuel on the fire. They ought to be brought to hearings too.
Please consider raising the bar at Investigate Fannie and Freddie Fund / Donate to Donate to Dennis Kucinich @ ActBlue.
We’re already close to the target!
He should have won the dem nomination. I hope he primaries against the fail we have in office right now.
Awesome! Heh heh! You’re going DOWN Rahm …
AH!_ but they WERE brought to Congressional Hearings. S&P’s former CEOs actually TESTIFIED to the knowing and intentional construction of fraudulent ratings, and the manner that the banks and Firms_ who can tell the difference anymore?_ entered into conspiracy TO so DO. WHY? did they cooperate, at least, in part?_ because the Committee had REAMS of paper trail_ inter-office e-mails_ substantiating the FACT of same. WHY? have they not been indicted?_ YET? WHY? have the rating agencies not been seized by the Government?_ or, in the alternative, fined to the China Wall, for bringing the global economy to their knees? I don’t KNOW, but I would preliminarily rule OUT any socially-redeeming motivation.