Posted on 01/14/2016 1:14:01 AM PST by Greetings_Puny_Humans
As Ted Cruz tells it, the story of how he financed his upstart campaign for the United States Senate four years ago is an endearing example of loyalty and shared sacrifice between a married couple.
"Sweetheart, I'd like us to liquidate our entire net worth, liquid net worth, and put it into the campaign," he says he told his wife, Heidi, who readily agreed.
But the couple's decision to pump more than $1 million into Mr. Cruz's successful Tea Party-darling Senate bid in Texas was made easier by a large loan from Goldman Sachs, where Mrs. Cruz works. That loan was not disclosed in campaign finance reports. Those reports show that in the critical weeks before the May 2012 Republican primary, Mr. Cruz — currently a leading contender for his party’s presidential nomination — put "personal funds" totaling $960,000 into his Senate campaign. Two months later, shortly before a scheduled runoff election, he added more, bringing the total to $1.2 million — "which is all we had saved," as Mr. Cruz described it in an interview with The New York Times several years ago.
A review of personal financial disclosures that Mr. Cruz filed later with the Senate does not find a liquidation of assets that would have accounted for all the money he spent on his campaign. What it does show, however, is that in the first half of 2012, Ted and Heidi Cruz obtained the low-interest loan from Goldman Sachs, as well as another one from Citibank. The loans totaled as much as $750,000 and eventually increased to a maximum of $1 million before being paid down later that year. There is no explanation of their purpose. Neither loan appears in reports the Ted Cruz for Senate Committee filed with the Federal Election Commission...
(Excerpt) Read more at nytimes.com ...
“It was reported years ago, numerous times”
What, exactly, are you referring to? As in “old news”?
If that is the case, why would Cruz have to say that it was a reporting error (crawler on the news)?
Well, it was a margin loan, secured by his financial assets. If he loses the race, the only way to pay it back is to liquidate the assets. In effect he is financing his campaign with his assets, but this way he can do it without paying capital gains taxes. If he loses, the money is gone.
Well, it appears that Ted Cruz DID report the LOAN 3 1/2 years ago.
THE DIFFERENCE BETWEEN TED CRUZ & DONALD TRUMP?
Ted CRUZ PAYS BACK LOANS to him!!
Donald TRUMP sometimes decides to NOT PAY BACK A SINGLE PENNY OF SOME LOANS when he declares bankruptcy and walks away. With Trump STIFFING the PEOPLE WHO LENT HIM THE MONEY IN GOOD FAITH.
It’s a margin loan on his personal account. It’s not a gift, it’s a secured loan. If he loses the race, his portfolio is taken to pay it back.
To the FEC? No evidence of that that I have seen. Where the loan "is" reported, the very same documents the NYTimes found to begin with, they are listed as being part of his personal assets, and no explanation of their purpose is listed, whether to aid his campaign, or to buy a big fancy house. No documentation.
The loan was tied to whether he won the race or not?
No, but if he loses, no more donations will come in, and since the loan is specifically secured by his securities, in effect, he is betting his assets.
This is just a smarter way to do it than selling them up front, because the capital gains taxes are a lot higher than the interest on a secured margin loan.
The article states the Cruz family was bringing in more than a million a year. I think perhaps you are letting your imagination build up Cruz's great big "sacrifice" here.
Your ignorance is not my problem but it is indicative of trump supporters.
GS is friends with anyone who might get into office.
“Your ignorance is not my problem but it is indicative of trump supporters”
Don’t you just know that tonight, when Cruz is asked to explain the hiding of this loan, that he will use your snotty answer to explain it to the nation.
Republicans are going to have to ask themselves the question about Trump: ‘Do we want a candidate who could be in a mental hospital in two years?’ That’d be a big problem. It’d be a very precarious one for Republicans because he’d be running and then he would break down at some point. You don’t want to be running and have that kind of thing over your head.
I’d hate to see something like that get in his way. But a lot of people are talking about it and I know that even some mental health professionals have concerns, the fact that he shows clear signs of mental instability and could break down at any point.
Here’s what I think I’d do: I’d go and seek a full psychiatric screening if I was Donald. You go see a psychiatrist. You go to a doctor to ask for what’s called a psychological screening. You go in seeking a clean bill of psychiatric health from the doctor, even if you think you’re doing just great. That’s part of the problem with mental illness, it’s hard to detect in yourself. Donald could go right in, do it quickly. It can go quickly. Clean bill of health, very good.
OK, make up your mind what you are angry about.
So it doesn’t bother you that his wife makes a huge salary from Goldman Sachs and is on leave until he is in the WH? I love Cruz, but that is a huge concern. They are the World Gummit.
It’s pretty clear, though you might have lost it during the babbling-on.
PS There is only one true Capitalist in the race.
Mr. Cruz, a conservative former Texas solicitor general, was campaigning as a populist firebrand who criticized Wall Street bailouts and the influence of big banks in Washington. It is a theme he has carried into his bid for the Republican nomination for president".
Ted is what he always was, a fraud politician who will say and do anything to get elected.
Gee I take loans and I criticize big government bailouts.
Your criticism is pathetic.
How much did Soros fund Trump's Chicago tower? I think it was about 160 million.
Sure its absolutely a concern.
I’m extremely skeptical that a single one of the leading candidates are any different, including Trump.
Perhaps Trump doesn’t have a loan from GS, but almost certainly has been courted and has preferential business dealings with them.
He already did.
Its not “snotty” to point out that it was disclosed years ago.
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.