Posted on 02/01/2009 10:42:38 AM PST by ScaniaBoy
It is all very well for President Obama to vent his anger on all those US bankers who continued to claim billions of dollars in bonuses while expecting Washington to bail them out after the sub-prime mortgage scandal brought the banks to their knees. But conveniently overlooked has been the curious part Mr Obama himself played in the sub-prime debacle.
At the heart of it was a 1995 amendment to the Community Reinvestment Act which legally required banks to lend money to buy homes to millions of poor, mainly black Americans, guaranteed by the two biggest mortgage associations, Fannie Mae and Freddie Mac. And no one campaigned more actively for this change to the law than Mr Obama, as a young but already influential Chicago politician.
It was this Act which, more than anything, helped to create the US housing bubble, well beyond the point where it was obvious that hundreds of thousands of homeowners would be likely to default. And in 2005 no one more actively opposed moves to halt Fannie Mae's reckless guarantees than Senator Obama, as he was by then.
(Excerpt) Read more at telegraph.co.uk ...
Bump for later.
What about Bush accepting about $$$$$$ Millions from the CEO and CFO from Ameriquest? Payola for corrupt political appointments to ambassadorships. Roland Arnall such a squeaky clean guy, you know? The Netherlands tried very hard to reject his appointment.
There is more than enough blame to go around. Both parties are responsible for the rape of our economy.
Economy in U.S. Probably Contracted at Fastest Pace Since 1982
scaniaboy, thx for the headsup... it is really pitiful that the Media here in the US is so corrupted....
That’s a good point. All the other articles I’ve read indicate that the CRA expansion was done by Clinton through regulation, not legislation. If it was done by regulation, that makes Bush partially culpable, sice that which is done by regulation, can be undone by regulation.
Actually it's NOT amazing. If the media was doing their job and telling the truth then it would be amazing but the SOB's are lying to keep the Dem (wits) in power.
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