Posted on 01/21/2009 6:44:21 PM PST by Brilliant
Troubled OneUnited Bank in Boston didn't look much like a candidate for aid from the Treasury Department's bank bailout fund last fall.
The Treasury had said it would give money only to healthy banks, to jump-start lending. But OneUnited had seen most of its capital evaporate. Moreover, it was under attack from its regulators for allegations of poor lending practices and executive-pay abuses, including owning a Porsche for its executives' use.
Nonetheless, in December OneUnited got a $12 million injection from the Treasury's Troubled Asset Relief Program, or TARP. One apparent factor: the intercession of Rep. Barney Frank, the powerful head of the House Financial Services Committee.
Mr. Frank, by his own account, wrote into the TARP bill a provision specifically aimed at helping this particular home-state bank. And later, he acknowledges, he spoke to regulators urging that OneUnited be considered for a cash injection...
A OneUnited lawyer, Robert Cooper, says he called Rep. Frank and Rep. Maxine Waters of California, both Democrats, to complain that the Treasury's move had hurt the bank...
"I did feel that it was important to frankly try and save them since it was federal action that put them into the dumper," Mr. Frank says...
Mr. Frank -- who has played a leading role in both the initial design of TARP and current planning to revamp it -- says he spoke with a federal regulator and asked that OneUnited be given consideration for TARP money...
He cites the bank's status as the state's only financial institution owned by African-Americans. "We did say, yes, I thought it would have been a social tragedy if the one minority bank in Massachusetts that has been working so hard and had been overextended into housing was to be wiped out..."
(Excerpt) Read more at online.wsj.com ...
Frank should be in the Boston town square in stocks....if not worse....
Ooooh steamy. Does "Lender" play for the "other team" too? Good shower, see you in the game.
This is EXACTLY what we can expect from the Obama administration. The gov’t will be picking winners and losers in the corporate world. This example of ‘politically correct’ racial politics will be played over and over again with the stimulus money and the remaining TARP money. Those who are politically connected will get cash to bail out their business, those who aren’t, won’t.
FDR did exactly the same thing during the new Deal. He picked winners and losers, and sent the IRS after those he didn’t like. His chief pollster would decide where to send federal gov’t money on the basis of where the money could best be used to unseat Republican members of Congress and replace them with loyal Democrats. Obama is no dummy, he will use the FDR playbook and do the same thing.
What’s the big deal? the entire bailout is a cookie jar for the politically connected.
bump
bump
due to the moral degradation of the state that once called itself home
of “The Sons of Liberty”.
bump
due to the moral degradation of the state that once called itself home
of “The Sons of Liberty”.
can someone tell me why Republicans have not been demanding investigations into this type of BS? No way the MSM is going to call this immoral POS out! If I was a republican I would make it my personal mission to out the POS for what he is.
mmmmmmm that would require huevos and an absence of wrongdoing. Most of the Republicans are as bad as the Democrats.
I wonder if any payola could be linked to him? The whole lending system was rotten and he was one of the ones in charge.
Your are somewhat behind the times. There is no "Republican Party". There is only the Government Party. You are either part of it, or you are to be fed upon by it.
Buck Farack and Buck Farney too!
yes
The full text of this article now available on Yahoo!
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.