Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

Extortion in Chicago
American Spectator ^ | December 15, 2008 | Doug Bandow

Posted on 12/15/2008 6:11:25 AM PST by reaganaut1

The indictment of Gov. Rod Blagojevich wasn't the only thing happening in Illinois last week. Bank of America was the victim of a concerted shake-down operation that could be replicated around the country. Banks apparently now are expected to give money away to failed borrowers. This could become federal policy when Barack Obama, who supported this new example of Chicago blackmail, becomes president.

One of the casualties of the faltering housing market is Chicago's Republic Windows and Doors. Bank of America cut off the company's line of credit in response to falling demand. "If the bank saw some light at the end of the tunnel, maybe the bank would have extended a line of credit," admitted Amy Zimmerman, Republic's vice president of sales and marketing. "Banks are in the business to make money and at some point they have to make a business decision and that's what this is," Zimmerman added.

In the first week of December Republic laid off its workers and closed its doors. Under state law the company was supposed to give two months notice, with continued pay and benefits. So the employees launched a sit-in: "We're going to stay here until we win justice," said one.

Getting laid-off a couple weeks before Christmas isn't any fun -- I know that from personal experience. But no one was obviously to blame for Republic's failure: the company simply disappeared into the vortex of a collapsing housing market. Unfortunately, these days Republic employees aren't alone in their economic distress.

But there was a handy scapegoat: Bank of America. Since the institution collected $15 billion (with perhaps $10 billion more to come) from the taxpayers, Republic's employees argued that BoA had an obligation to bail out Republic.

(Excerpt) Read more at spectator.org ...


TOPICS: Business/Economy; News/Current Events; US: Illinois
KEYWORDS: bandow; blagojevich; bleepgate; boa; chicago; cultureofcorruption; extortion; il2008; obama; obamatransitionfile; republicwindows; shakedown
This extortion from BoA sets a terrible precedent. Did any Republicans condemn the sit-in and the threats from the Illinois politicians?
1 posted on 12/15/2008 6:11:25 AM PST by reaganaut1
[ Post Reply | Private Reply | View Replies]

To: reaganaut1

“...win justice” — What a dim bulb. In other words, they will use State power to force BofA to make a loan to a failing company that everybody knows will not paid back. The cost of that bad loan will be passed on to all BofA customers in the form of higher interest rates. A few window workers will get their money at the expense of hundreds of other BofA borrowers who will get screwed with higher rates.

Repealing the basic laws of economics — only in the fevered imaginations of liberals. Just like imposing staggering “green” costs on society and claiming that millions of new jobs will be produced to meet those new regulations.


2 posted on 12/15/2008 6:23:25 AM PST by ProtectOurFreedom
[ Post Reply | Private Reply | To 1 | View Replies]

To: reaganaut1

What Republicans?

One Party rule is very firmly entrenched here. I guess you could drive several hours downstate and find yourself an Illinois Republican, but how would you convince him to go anywhere near the bankrupt gutter that is Chicago?


3 posted on 12/15/2008 6:46:13 AM PST by BobbyT
[ Post Reply | Private Reply | To 1 | View Replies]

To: BobbyT

“I guess you could drive several hours downstate and find yourself an Illinois Republican”

There are some in Manteno, south of Chicago. I think they fled there during the great White Flight decades ago.


4 posted on 12/15/2008 6:48:06 AM PST by ScottinVA (islam IS the problem!)
[ Post Reply | Private Reply | To 3 | View Replies]

To: ScottinVA

Jesse Jr. represents a ghetto in south Chicago when he’s not trying to buy a fancier position.

Does sending him count?


5 posted on 12/15/2008 7:20:06 AM PST by BobbyT
[ Post Reply | Private Reply | To 4 | View Replies]

To: reaganaut1
Bank of America was the victim of a concerted shake-down operation that could be replicated around the country.

THANK YOU!!!! I was wondering how long it would take someone to address this fraud. As a BofA customer, I object to and resent the fraud to which they (and ME!) were subjected!!!

With the precedent established between the government and now private banks bailing out failed enterprises, how much longer ill we continue to be a free nation???



(Inquiring minds . . . . . . )

6 posted on 12/15/2008 8:16:59 AM PST by DustyMoment (FloriDUH - proud inventors of pregnant/hanging chads and judicide!!)
[ Post Reply | Private Reply | To 1 | View Replies]

To: reaganaut1
The were many good arguments against turning the Treasury and Federal Reserve into one vast corporate soup kitchen. Indeed, it has become sadly apparent that the administration had no idea what it was doing in tossing hundreds of billions of dollars hither and yon. But the Republic case demonstrates yet another danger: inviting the government to direct where banks should lend. If the federal bailout requires Bank of America to "lend" money to an insolvent company ready to close its doors, then we are descending to banana republic status. The economic ride is likely to become much bumpier.

Isn't THAT the plan? And when there is no money left, then what?

Barack Hussein Obama, Senior: “Theoretically, there is nothing that can stop the government from taxing 100% of income so long as the people get benefits from the government commensurate with their income which is taxed.”
7 posted on 12/15/2008 8:18:19 AM PST by HighlyOpinionated (Cultural conditions, not gun laws, are the most important factors in a nation's crime rate.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: reaganaut1

Where has Chicago’s longtime King of Extortion, the unRev.Jesse Jackson, been lately?

He’s keeping a very low profile since last Tuesday.


8 posted on 12/15/2008 3:28:26 PM PST by TheConservativeParty ("A ship in harbor is safe, but that is not why the ship was built." by The First Gal of AK)
[ Post Reply | Private Reply | To 1 | View Replies]

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.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson