Sunday, October 5, 2008

Democrat Blabbermouths Reid & Schumer IRRESPONSIBLE

Senators Harry Reid (D-NV) and Senator Chuck Schumer (D-NY) are doing their part to insure the Economic Crisis is worse than it has to be. While the Mortgage Crisis is in need of responsible political actions, Both Schumer and Reid have been guilty of irresponsible talk. Both need to be sure their brains are in gear before they open their mouths.

The Trouble With Harry highlights the latest irresponsible actions of the Democrat Senate Majority Leader, Harry Reid.
"One of the individuals in the caucus today talked about a major insurance company. A major insurance company -- one with a name that everyone knows that's on the verge of going bankrupt. That's what this is all about." The next day, share prices fell sharply across the insurance industry. [Emphasis mine]
In this time of Financial Jitters, it should be obvious to a National Leader that such talk is going to cause further fears. Hopefully Reid is just naive. But whatever his motivation for making these statements, he is acting Irresponsibly.
The steep drop in the share prices of insurance companies Thursday destroyed wealth for uncounted middle-class investors holding onto stock in companies still considered healthy. [Emphasis mine]
Democrats are the party that claims to be for the Middle-Class, but Democrat Harry Reid's comments hurt the Middle-Class in the pocket book. Pension Plans, 401(k)'s and most who have Mutual Fund shares lost value when the market dropped due to the comment.


In the same way Democrat Senator Chuck Schumer (D-NY) made a similar irresponsible misstep in July. The $4 Billion Senator emphasizes the boneheaded talk of another Democrat.
The federal takeover of IndyMac Bank over the weekend could cost the Federal Deposit Insurance Corp. between $4 billion and $8 billion. But Senator Chuck Schumer, who helped to precipitate the collapse by publicizing a letter to the bank's regulator last month, has no remorse. [Emphasis mine]
Schumer claimed he was ... just doing his job by publicizing a letter about IndyMac Bank he had written to regulators in which Schumer wrote that IndyMac Bank ... could face a collapse.
The Office of Thrift Supervision (OTS), whose job it actually was to regulate IndyMac, took a different view. "The immediate cause of the closing," the OTS wrote in a press release, "was a deposit run that began and continued after the public release of a June 26 letter to the OTS and the FDIC from Senator Charles Schumer of New York." The OTS added: "In the following 11 business days, depositors withdrew more than $1.3 billion from their accounts." [Emphasis mine]

This is the same Senator Chuck Schumer (D-NY) who joined Senator Chris Dodd (D-CT) [Chairman of the Senate Banking Committee], Representative Barney Frank (D-MA) [Chairman of the House Financial Services Committee] and other Democrats in both houses of Congress to block all attempts by Republicans to impose tighter controls on Fannie Mae and Freddie Mac. See more on this here, here, here, and here.

In fact President Bush, John McCain, Alan Greenspan and other Republicans have been sounding warnings about this Current Credit Crisis since 1999. It has been the Democrats lead by Schumer, Dodd and Frank who have said there is no crisis. The Democrats Schumer, Dodd Frank and Maxine Waters (D-CA) are all on record as dening the shaky nature of Both Freddie Mac and Fannie Mae while taking large donations from both Freddie and Fannie.

By the way, Barack Obama in 4 years has the 2nd largest amount of donations from Freddie and Fannie. Democrat Dodd has received the largest contributions, but his dollars from Fannie and Freddie come over a period of 20 years.

Barney Frank (D-MA) in the House, who is the current chairman of the Financial Services Committee, has what appears to be a conflict of interest in matters concerning Fannie Mac. While Representative Frank served on this House Committee, which oversees Fannie and Freddie, his lover was an Executive at Fannie Mae.

Fannie Mae has a history of Democrats bad judgment. Franklin Raines was CEO of Fannie Mae during an accounting scandal. He was forced to resign. This is the Same Franklin Raines whom Maxine Waters (D-CA) praised for his leadership of Fannie Mae, and who was President Clinton's Director of the U.S. Office of Management and Budget. His Golden Parachute was about $90 Million.

Jim Johnson is the present CEO of Fannie Mae and was the Chairman of Barack Obama's Vice Presidential selection committee.


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