[kalp]

I have searched for what ever John Costello wrote but with no luck. I would like to see what got Barney's knickers in a knot.

[Mr_Moonlight]

If I only had a brain

[Ronin]

I am going to be very interested in the responses on this thread.

[Brad from Tennessee]

NEW YORK TIMES, Sept. 11, 2003:

‘’These two entities — Fannie Mae and Freddie Mac — are not facing any kind of financial crisis,’’ said Representative Barney Frank of Massachusetts, the ranking Democrat on the Financial Services Committee. ‘’The more people exaggerate these problems, the more pressure there is on these companies, the less we will see in terms of affordable housing.’’

http://www.nytimes.com/2003/09/11/business/new-agency-proposed-to-oversee-freddie-mac-and-fannie-mae.html?sec=&spon=&pagewanted=print

[Intolerant in NJ]

. It is true that in 2003 I did not think there was a problem with Fannie Mae and Freddie Mac...then you probably had no problem that year when Senator Dodd blocked legislature Republicans proposed which would have imposed controls on the FM's similar to those on banks - Dodd insisted 'rats were opposed to such controls and threatened a filibuster - under such a cloud 'pubs decided it would be a waste of legislative time and effort to pursue the matter further....

But in fact 'rats didn't need control of Congress to cause the trouble they have - much of the damage they did was administrative and extra-legislative - like threatening lender-banks with additional audits and fees if they didn't produce lending to minorities, and HUD secretaries Cisneros and Cuomo prodding the FM's to increase the number of sub-prime mortgages they bought to over 50% of their portfolios so those lenders would have a place to offload the shaky loans they made - I don't know exactly what the original letter said, but the point that the 'rats are totally responsible for the recent financial collapse is right on........

[Timocrat]

How about the 1992 Act which changed the charters and required Fannie and Freddie to concentrate on low income lending ? Who was in charge of congress then ???

[justlurking]

In 1995, the Republicans were in power and controlled the Congress for the next 12 years. If anybody blocked Mr. Clinton's effort, it was the Republicans who were in control of Congress, not I who was then a member of the Democratic minority.

Since 2007, the Democrats have controlled Congress. Yet, it's always the Republicans who are blocking the Democrat's effort to pass one bill or another.

I suppose it would be too much to ask for the state-run media to point out that the minority party has the ability to erect a significant barrier to passing legislation without their cooperation. Our legislative branch was set up that way on purpose.

[Razz Barry]

Mr. Costello repeats the right-wing party line that it was the Democrats who were responsible for lending to people who shouldn't have received loans. In fact, the Republicans controlled Congress 1995-2006, and it was they who refused to do anything legislatively about Fannie Mae or Freddie Mac, and who blocked our efforts to adopt legislation banning subprime lending. It is true that in 2003 I did not think there was a problem with Fannie Mae and Freddie Mac, but by 2005 I had changed my view, based on the facts, and in 2007, when I became chairman, I put through legislation that gave the Bush administration the power to put these entities into conservatorship. They have since been run in very different fashions because of that bill.

This is why you should NEVER compromise with evil. The evil will always turn it around and put the blame on you.

[kalp]

A follow-up on our friend Barney:
“Wrong writer cited in letter to editor”

http://www.thesunchronicle.com/articles/2010/08/04/opinion/7769986.txt

I was also able to find the letters he referred to:
“US rep slow to see trouble brewing”

http://www.thesunchronicle.com/articles/2010/07/29/opinion/7742150.txt

“Salute congressman for courageous stand”

http://www.thesunchronicle.com/articles/2010/07/29/opinion/7742150.txt

Good thing Barney had the balls to come out defending his honor in my local(liberal) paper.