Thursday, January 29th, 2015
Baton Rouge, Louisiana
LOUISIANA JOINS IN GIVING BAILOUTS TO WALL STREET!
Well, here we go again. Big banks and major insurance companies are “high-fiving” each other after they won big in Washington last month. We thought lawmakers had learned an expensive lesson after the financial crash in 2008 that led to massive bailouts at taxpayer’s expense. Back then, the financial industry was allowed to carry on high stakes gambling with your money. And now, it’s déjà vu as congress has reopened the casino doors.
Following the 2008 financial meltdown, congress used a little common sense and passed legislation known as Dodd-Frank, that limited banks and insurance companies from engaging in risking investments backed up by the taxpayer. “Go ahead and gamble on high-risk investments if you want, but don’t expect a bailout,” so the logical reasoning went.
High-risk derivatives were one of the major financial culprits that led to the financial reforms. Insurance companies like A.I.G. were insuring risky Wall Street investments, knowing full well that if things went bad, old Uncle Sam would be there to pay for the damage done. And since insurance companies like A.I.G. are regulated at the state level, regulators in Washington paid little attention.
Here’s what happened that caused the financial crisis. Insurance regulators had for years allowed A.I.G and other insurance companies to privatize the gains but socialize the losses. The fat cats at A.I.G. got multi-million dollar bonuses year after year, but when the losses had to be paid, it was the taxpayer, you and me, that were called on to cover all the wild-eyed spending spree that regulators allowed to take place. Continue Reading…………..
Here is a quick blast from the past for our newer readers circa early 2009 where we explored the employement history of Senator Chris Dodd’s wife, Jackie Clegg Dodd, as companies her husband oversaw chairing the Senate Banking Committee had a curious preference for hiring Ms Dodd, especially the now taxpayer supported AIG.
Meantime over at Yahoo ALL Mr CLS finished his Thanksgiving reading and added Wendy Gramm, wife of former Texas Senator Phil Gramm, architect of the financial deregulation bill that ultimately imploded our financial system, who had a preference for working at ENRON and State Farm. Continue reading “Working girls: “Hell is empty, and all the devils are here.””
Maybe if Russell, Steve and I had not been on the Yahoo Countrywide Board back in 2006 I’d feel a bit differently, probably not, but trust me folks when I say that to a wealthy man like Angelo Mozilo, the $67.5 million dollar fine he agreed to today to settle civil fraud charges with the Securities and Exchange Commission is chump change for him. Insiders were dumping their option gun in those amounts seemingly everyday over at the old CFC when the subprime scam reached it zenith in 2006/2007.
Long time readers also remember our chronicling of Mozilo renting Senators Dodd and Conrad with those sweetheart loans. All 3 remain sacks of shit.
Folks Senator Jim Bunning, (Asshole, KY), really showed his fanny a few minutes ago to ABC news reporters Jonathan Karl and Z. Byron Wolf. ABC news has the story:
Senator Bunning was even more expressive before the cameras arrived, using a little sign language.
When Senate producer Z. Byron Wolf spotted Bunning exiting his office, Bunning said, “I’m not talking to anybody.” When Wolf asked him to stay and talk to our cameras, Bunning walked toward the elevator and shot the middle finger over his head.
Now for the embed of the asshole’s on camera tirade: Continue reading “Breaking: Senator Jim “Dumb” Bunning flips off the Nation. The NFIP has expired. Hope you don’t flood today.”
NFIP was extended via an amendment to the defense appropriations bill until February 28, 2010. The House bill remains relative unchanged from the 2007 version and contains a multi peril provision. The Senate version, largely a preserver of the status quo, remains DOA in the House.
On a related note I am pleased to announce our favorite crooked senator, Chris Dodd, is expected to announce his retirement today.
There is no way we can leave out our absolute favorite crooked politician and best friend to the insurance industry Chris Dodd. There is no politician which we have written more extensively than ol’ Chri$ and this story from NPR frankly warmed the cockles of my heart as Connecticut Dems know they have a loser in Dodd and his corrupt ways as whispers of dumping him from next year’s ticket are whispers no more. NPR’s Ken Rudin has the scoop on his blog:
There is no question that Sen. Chris Dodd (D) has a tough re-election battle ahead of him in Connecticut.
The list of allegations and complaints are widely known. That he got a sweetheart mortgage deal from Countrywide Financial. That he pushed for bonuses for American International Group workers. That he cares more about the financial industry than those regular Joes who lost all their savings.
Also widely known is Dodd’s poor showing in polls. His job approval numbers are sinking, and he has consistently trailed his two Republican challengers, former Rep. Rob Simmons and wrestling executive Linda McMahon. (A November Quinnipiac poll had him behind Simmons 49-38 percent, with a 54 percent disapproval rating.)
Of the 16 Democratic senators expected to run next year, Dodd has long been seen as the most in jeopardy.
Have incumbents come back from near defeat to win another term? Sure. Can Dodd survive? Yes, he could. But apparently not everyone is convinced.
Politico’s Thrush & Raju write today that Dodd’s numbers “are so mind-bendingly lousy that Democrats are quietly questioning his ability to pull off a comeback during his 2010 reelection bid.” And that’s not all: Continue reading “While we have a political bent going today at Slabbed….”
We’ve covered all the extensions and Steve phoned me with news it was extended again. $enator Chri$ Dodd and the insurance lobby that owns him wanted an entire year. They didn’t get their way. I hope to have more details later.
Our friend Mr CLS at Yahoo ALL came through with the time frame and link. The extension is for one month only.
Somehow I don’t think the good people in Connecticut are fooled by Chris Dodd’s supposedly new found independence from financial lobbyists (but not their money). We’ve well chronicled Dodd’s financial ties to AIG, offshore reinsurers and Countrywide Homeloans here on slabbed. Dodd is the epitome of the pol on the take IMHO and ordinary people across this country are worse off because of it. Lets visit with Andrew Miga at the Associated Press to see what our boy Dodd has been up to lately:
Facing the toughest re-election fight of his nearly 30 years in the Senate, Sen. Christopher Dodd boasts about snubbing lobbyists.
Yet even as he touts his independence, the embattled Connecticut Democrat is still cashing lobbyist campaign checks and rubbing shoulders with them at fundraisers and party gatherings.
Dodd, perhaps the most vulnerable Senate Democrat in 2010, has driven home his message in fundraising pitches and campaign videos.
“The lobbyists can’t get meetings with Chris,” Dodd’s campaign manager Jay Howser said in a recent e-mail to supporters. “He won’t return their phone calls … Chris just isn’t giving them the time of day.”
The videos even suggest Dodd has been so hard on lobbyists that he’s made them cry.
Indeed these lobbists are crying, from laughing so hard all the way to the bank due to their ownership of the Senator as we continue the story:
But the tough talk hasn’t stopped Dodd from raking in tens of thousands of dollars in lobbyist campaign contributions this year. It hasn’t prevented Dodd from letting lobbyists host his fundraising events. Or kept Dodd from schmoozing with lobbyists at places like Martha’s Vineyard, a favorite summer getaway spot for the rich and famous off the Massachusetts coast.
A few days after Howser’s e-mail, Dodd trekked to Martha’s Vineyard for a Democratic Senatorial Campaign Committee weekend retreat where about 30 senators joined major party donors, including lobbyists. Continue reading “He Hate Me? $enator Chri$ Dodd $inks to New Low$”
Senator Dodd’s wife and her purse are back in the news – this time it’s her ties to the health care industry.
The wife of a senator playing a lead role on a national health care overhaul sits on the boards of three health care companies, one of several examples of lawmakers with ties to the medical industry.
Jackie Clegg Dodd, wife of Sen. Chris Dodd, serves on the boards of Javelin Pharmaceuticals Inc., Cardiome Pharma Corp., and Brookdale Senior Living, their Securities and Exchange Commission filings and Web sites show.
Sen. Dodd, D-Conn., is filling in for ailing Sen. Edward Kennedy, chairman of the Health, Education, Labor and Pensions Committee, which will soon start work on a health care bill.
Dodd, who as Senate Banking Committee chairman also has been an architect of the nation’s financial industry and housing rescue plans, did not file a new disclosure report outlining his personal finances as most other senators did in May. The Senate was releasing those reports Friday. Dodd sought a 90-day extension to file his report covering last year, giving him until mid-August to submit his report.
Other publicly available documents show Mrs. Dodd last year was one of the most highly compensated non-employee members of the Javelin Pharmaceuticals Inc. board, on which she has served since 2004. She earned $32,000 in fees and $109,587 in stock option awards last year, according to the company’s SEC filings….
We the people, of course, are supposed to believe it is Mrs. Dodd’s extraordinary ability that has corporate boards clammoring for her service, not her husband’s extraordinary power. LOL
This post is a personal indulgence. Though the Yahoo board is long gone and $30 puts a distant memory I’ll never forget “Quislingman”, Pete Frampton Live, Subprime Usury Scam, and the rest of the gang. I sometimes wonder what ever happened to the bean counter from Jersey who was recommending CFC to his brokerage clients. The difference between Benjamin Graham and that fellow was that Ben could actually spot an undervalued stock. Yahoo! Finance has the A/P story:
The government is charging Angelo Mozilo, the former chief executive of mortgage lender Countrywide Financial Corp., and two other company executives with civil fraud.
The Securities and Exchange Commission’s case also accuses Mozilo of illegal insider trading, an agency spokesman said Thursday. Continue reading “Breaking: SEC Charges Subprime King Angelo Mozilo with Civil Fraud”