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It's the economy stupid, and Barney Frank F#*%ed it!
Posted by: Herbie the Love Fag ()
Date: October 07, 2008 01:10PM

While all you left wing loony ass losers are continually blaming the administration and the GOP for the economic meltdown, why don't we take a look at what precipitated this crisis:



One of Fannie Mae’s main defenders in the House – Rep. Barney Frank, D-Mass., a recipient of more than $40,000 in campaign donations from Fannie since 1989 – was once romantically involved with a Fannie Mae executive.

The July 3, 1998, Reliable Source column in The Washington Post reported Frank, who is openly gay, had a relationship with Herb Moses, an executive for the now-government controlled Fannie Mae. The column revealed the two had split up at the time but also said Frank was referring to Moses as his “spouse.” Another Washington Post report said Frank called Moses his “lover” and that the two were “still friends” after the breakup.

Frank was and remains a stalwart defender of Fannie Mae, which is now under FBI investigation along with its sister organization Freddie Mac – both recently participants in government bailouts. But Frank has derailed efforts to regulate the institution, as well as denying it posed any financial risk.

While the relationship reportedly ended 10 years ago, Frank was serving on the House Banking Committee the entire 10 years they were together. The committee is the primary House body which along with the Office of Federal Housing Enterprise Oversight (OFHEO) has jurisdiction over the government-sponsored enterprises.

He has served on the committee since becoming a congressman in 1981 and became the ranking Democrat on the committee in 2003. He became chairman of the committee, now called the House Financial Services Committee, in 2007.

Moses was the assistant director for product initiatives at Fannie Mae and had been at the forefront of relaxing lending restrictions at the company, according to the Feb. 23, 1998, issue of National Mortgage News (NMN).

“Herb Moses, who helped develop many of Fannie Mae’s affordable housing and home improvement lending programs, has left the mortgage industry,” Darryl Hicks wrote for NMN. “Mr. Moses - whose last day was Feb. 13 - spent the past seven years at Fannie Mae, most recently as director of housing initiatives. Over the course of time, he played an instrumental role in developing the company’s Title One and 203(k) home improvement lending programs.”

While Moses served at Fannie Mae and was Frank’s partner, Frank was actively working to support GSEs, according to several news outlets.

In 1991, Frank and former Rep. Joe Kennedy, D-Mass., lobbied for Fannie to soften rules on multi-family home mortgages although those dwellings showed a default rate twice that of single-family homes, according to the Nov. 22, 1991, Boston Globe.

BusinessWeek reported in its Nov. 14, 1994, issue that Fannie Mae called on Frank to exert his influence against a Housing & Urban Development proposal that would force the GSE to focus on minority and low-income buyers and police bias by lenders regardless of their location. Fannie Mae opposed HUD on the issue because it claimed doing so would “ignore the urban middle class.”

Moses left Fannie in 1998 to start his own pottery business. National Mortgage News called Moses a “mortgage guru” and said he developed “many of Fannie Mae's affordable housing and home improvement lending programs. Moses ended his relationship with Frank just months after he left Fannie.

Even after the relationship ended, however, Frank was a staunch defender of Fannie Mae even as other experts suggested there were serious problems building in Fannie Mae and Freddie Mac.

According to an article by Kathleen Day in the Oct. 8, 2003, Washington Post, Frank opposed giving the Bush administration the right to approve or disapprove business activities that “could pose risk to the taxpayers.” He told the Post he worried the Treasury Department “would sacrifice activities that are good for consumers in the name of lowering the companies’ market risks.”

Just a month before, Frank had aggressively thwarted reform efforts by the Bush administration. He told The New York Times on Sept. 11, 2003, Fannie Mae and Freddie Mac’s problems were “exaggerated,” a gross miscalculation some five years later with costs estimated to be in the hundreds of billions.

“These two entities – Fannie Mae and Freddie Mac – are not facing any kind of financial crisis,” Frank said to the Times. “The more people exaggerate these problems, the more pressure there is on these companies, the less we will see in terms of affordable housing.”

Frank has also reaped campaign contribution benefits from Fannie Mae and its counterpart Freddie Mac. According a front page story in the Sept. 19, 2008, Investor’s Business Daily by Terry Jones, Frank has received $40,100 in campaign cash over the past two decades from the GSEs.

Frank is ranked 16th on a list that includes both houses of Congress and fifth among his colleagues in the House. According to data from the Center for Responsive Politics’ OpenSecrets.org, political action committees financed by both Freddie and Fannie have contributed $3,017,797 to members of Congress since 1989. And according to the July 16 issue of Politico, the two entities have spent a whopping $200 million to buy influence – including not only campaign donations to members of Congress, but also presidential campaigns and lobbying efforts.

Frank was asked by CNN’s John Roberts on the Sept. 22, 2008 “American Morning” about this and his opposition to reform Fannie Mae and Freddie Mac. Originally, he claimed he didn’t think the two GSEs were facing any problems when the issue first surfaced in 2003. He instead blamed the Republican-controlled Congress for their ultimate fall, failing to mention his friendly relationship with Fannie Mae and the contributions it had made to his campaign over the years.

-----------------------------------

I suppose Congressman Frank was not just content taking it in the ass alone from a Fannie executive. He wanted the whole nation to get f*@%ed that way too. Who is to blame for this shitstorm? The 200,000 or so voters that elect this piece of shit to Congress. So basically, he went from living with a homo that pimps out male prostitutes to living with a pimp of subprime mortgages. Either way, people are getting screwed.

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Re: It's the economy stupid, and Barney Frank F#*%ed it!
Posted by: Sad but True ()
Date: October 07, 2008 05:01PM

We shouldn't leave out the Clinton Administration and Frank Raines. I came across an article that pretty much predicts what will happen and the Democrats ignoring the risk all for the sake of social engineering. Here are few paragraphs ----

Fannie Mae, the nation's biggest underwriter of home mortgages, has been under increasing pressure from the Clinton Administration to expand mortgage loans among low and moderate income people and felt pressure from stock holders to maintain its phenomenal growth in profits.

In addition, banks, thrift institutions and mortgage companies have been pressing Fannie Mae to help them make more loans to so-called subprime borrowers. These borrowers whose incomes, credit ratings and savings are not good enough to qualify for conventional loans, can only get loans from finance companies that charge much higher interest rates -- anywhere from three to four percentage points higher than conventional loans.

''Fannie Mae has expanded home ownership for millions of families in the 1990's by reducing down payment requirements,'' said Franklin D. Raines, Fannie Mae's chairman and chief executive officer. ''Yet there remain too many borrowers whose credit is just a notch below what our underwriting has required who have been relegated to paying significantly higher mortgage rates in the so-called subprime market.''

Demographic information on these borrowers is sketchy. But at least one study indicates that 18 percent of the loans in the subprime market went to black borrowers, compared to 5 per cent of loans in the conventional loan market.

In moving, even tentatively, into this new area of lending, Fannie Mae is taking on significantly more risk, which may not pose any difficulties during flush economic times. But the government-subsidized corporation may run into trouble in an economic downturn, prompting a government rescue similar to that of the savings and loan industry in the 1980's.

full article- http://query.nytimes.com/gst/fullpage.html?res=9C0DE7DB153EF933A0575AC0A96F958260&sec=&spon=&pagewanted=all

===================================================

The article is from 1999 and from a historical perpsective, we can see who really is to blame for this crisis - Clinton and his cronies. If this was ever revealed, I think America would see things differently. Unfortunately, only those that choose to educate themselves get to actually know the facts. The media will never show this story.......

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Re: It's the economy stupid, and Barney Frank F#*%ed it!
Posted by: timid ()
Date: October 07, 2008 05:08PM

Is 40k in 1989 the same as 2M in 2000?

http://www.nytimes.com/2008/09/22/us/politics/22mccain.html

"Senator John McCain’s campaign manager was paid more than $30,000 a month for five years as president of an advocacy group set up by the mortgage giants Fannie Mae and Freddie Mac to defend them against stricter regulations, current and former officials say."

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Re: It's the economy stupid, and Barney Frank F#*%ed it!
Posted by: Vince(1) ()
Date: October 07, 2008 05:28PM

It's all McSame's fault..he is a crook!

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Re: It's the economy stupid, and Barney Frank F#*%ed it!
Posted by: Registered Voter ()
Date: October 07, 2008 05:34PM

Funny though, McCain STILL pushed bills to put stricter regulations on Fannie and Freddie. I guess the lobbying was really effective.

Dec 2004:
http://www.pbs.org/newshour/bb/business/july-dec04/fanniemae_12-22.html

July 2005 (Senator Shelby(R) tries to get reform pushed through):
http://online.wsj.com/article/SB112243313007297092.html?mod=opinion%255Fmain%255Freview%255Fand%255Foutlooks

Another fine Harvard graduate, Franklin Raines:
http://www.washingtonpost.com/wp-dyn/content/article/2006/12/18/AR2006121800599.html

Quote

graduate of Harvard College and Harvard Law School, Rhodes Scholar, junior aide to President Jimmy Carter, investment banker at Lazard Freres, chairman of Harvard's Board of Overseers, director of President Bill Clinton's Office of Management and Budget.

THE OFHEO REPORT:
ALLEGATIONS OF ACCOUNTING AND
MANAGEMENT FAILURE AT FANNIE MAE

Wednesday, October 6, 2004
http://commdocs.house.gov/committees/bank/hba97754.000/hba97754_0.htm

Barney Frank:
Quote

Mr. FRANK. Thank you, Mr. Chairman.
First, I want to address a little history here. The committee here was well on the way to adopting legislation that would have enhanced the regulatory structure for Fannie Mae and Freddie Mac. In the Senate, in fact, the committee actually voted out a bill. There was some disagreement between the parties over I think a relatively minor section over receivership. I think that could have been worked out.
I believe we were well on the way, the chairman and I and the staffs, to putting together a bill that would have enhanced the regulator and could have passed. What stopped progress on a new bill was the Bush administration's determination to go beyond safety and soundness and into provisions that would have restricted the housing function.
...
What derailed the legislation was an insistence by the Bush administration on going beyond safety and soundness and giving the regulators, for example, particular power to say, well, they are going beyond their charter in housing; they should not do these new products. There were specific issues here that transcended safety and soundness or went under it, but the administration was seeking powers that were not related to safety and soundness.
...
I will give you an example of what concerns me in this regard. Many of us on this committee, contrary to what some people think, were very aggressive in pushing Fannie Mae to stay in the manufactured housing business in full fight when they were talking about retrenching, and that was bipartisan—the gentleman from Wisconsin, Mr. Green, myself and others, because you will not get the kind of homeownership we want at the right demographic.
...
To the extent that there was manipulation, that is very wrong and should be penalized. But I have seen nothing in here that suggests that the safety and soundness are at issue, and I think it serves us badly to raise safety and soundness as a kind of a general shibboleth, when it does not seem to be the issue.
...

Barney Frank time and time again states emphatically that there is no problem with the lending practices at Fannie - nothing that suggests there is a problem, and it is the Bush Administrations fault (per him) that a bill wasn't passed because they were raising concerns that weren't warranted.

Brilliant.

EDIT: WTF shibboleth??
http://en.wikipedia.org/wiki/Shibboleth

http://www.answers.com/topic/shibboleth
Quote

1. A word or pronunciation that distinguishes people of one group or class from those of another.
2.
1. A word or phrase identified with a particular group or cause; a catchword.
2. A commonplace saying or idea.
3. A custom or practice that betrays one as an outsider.

So he was trying to promote this as a racist issue back than too? I am not sure I get his meaning here.



Edited 1 time(s). Last edit at 10/07/2008 05:38PM by Registered Voter.

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Re: It's the economy stupid, and Barney Frank F#*%ed it!
Posted by: Vince(1) ()
Date: October 07, 2008 05:39PM

As if this election is about Barney Frank.

McSame is the crook we are voting against...not Frank.

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Re: It's the economy stupid, and Barney Frank F#*%ed it!
Posted by: Registered Voter ()
Date: October 07, 2008 05:40PM

No, but you are a crank if you think or promote that Fannie Mae is in some way McCain's fault. He was one of the folks that tried to fix it, unlike the Democrats, and folks working for and with Obama.

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Re: It's the economy stupid, and Barney Frank F#*%ed it!
Posted by: Vince(1) ()
Date: October 07, 2008 05:43PM

McSame writes a letter...BFD! He did nothing but give himself an election day sound bite!

This mess took more then 2 years to develop....republikans like mcsame left a piece of shit laying there and hope that someone else will get caught..well, not this time..it's sticking to them..to mcsame and every other republikan crook.

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Re: It's the economy stupid, and Barney Frank F#*%ed it!
Posted by: Vince(1) ()
Date: October 07, 2008 05:47PM

Sad but True Wrote:
-------------------------------------------------------
> We shouldn't leave out the Clinton Administration
> and Frank Raines. I came across an article that
> pretty much predicts what will happen and the
> Democrats ignoring the risk all for the sake of
> social engineering. Here are few paragraphs ----
>
>
> Fannie Mae, the nation's biggest underwriter of
> home mortgages, has been under increasing pressure
> from the Clinton Administration to expand mortgage
> loans among low and moderate income people and
> felt pressure from stock holders to maintain its
> phenomenal growth in profits.
>
> In addition, banks, thrift institutions and
> mortgage companies have been pressing Fannie Mae
> to help them make more loans to so-called subprime
> borrowers. These borrowers whose incomes, credit
> ratings and savings are not good enough to qualify
> for conventional loans, can only get loans from
> finance companies that charge much higher interest
> rates -- anywhere from three to four percentage
> points higher than conventional loans.
>
> ''Fannie Mae has expanded home ownership for
> millions of families in the 1990's by reducing
> down payment requirements,'' said Franklin D.
> Raines, Fannie Mae's chairman and chief executive
> officer. ''Yet there remain too many borrowers
> whose credit is just a notch below what our
> underwriting has required who have been relegated
> to paying significantly higher mortgage rates in
> the so-called subprime market.''
>
> Demographic information on these borrowers is
> sketchy. But at least one study indicates that 18
> percent of the loans in the subprime market went
> to black borrowers, compared to 5 per cent of
> loans in the conventional loan market.
>
> In moving, even tentatively, into this new area of
> lending, Fannie Mae is taking on significantly
> more risk, which may not pose any difficulties
> during flush economic times. But the
> government-subsidized corporation may run into
> trouble in an economic downturn, prompting a
> government rescue similar to that of the savings
> and loan industry in the 1980's.
>
> full article-
> http://query.nytimes.com/gst/fullpage.html?res=9C0
> DE7DB153EF933A0575AC0A96F958260&sec=&spon=&pagewan
> ted=all
>
> ==================================================
> =
>
> The article is from 1999 and from a historical
> perpsective, we can see who really is to blame for
> this crisis - Clinton and his cronies. If this
> was ever revealed, I think America would see
> things differently. Unfortunately, only those
> that choose to educate themselves get to actually
> know the facts. The media will never show this
> story.......


This story has been all over the press..everywhere...and no one cares..be cause it hides the truth...the republikans in their attempts to totally deregualte and make the rich richer are at the heart of it. Republikans will see major lossses this novemeber...and good riddence.

Options: ReplyQuote
Re: It's the economy stupid, and Barney Frank F#*%ed it!
Posted by: Game. Set. Match. ()
Date: October 07, 2008 05:59PM

Registered Voter Wrote:
-------------------------------------------------------
> No, but you are a crank if you think or promote
> that Fannie Mae is in some way McCain's fault. He
> was one of the folks that tried to fix it, unlike
> the Democrats, and folks working for and with
> Obama.


And you are an even bigger crank if you think or promote that FNM or FRE were the root of the problem. Treasury, FHFA, the various underwriters (I-Banks) and the rating agencies that signed off on the underlying assets are the reason we're in this mess. Quit trying to mislead by promoting more of the same posturing by McCain.

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Re: It's the economy stupid, and Barney Frank F#*%ed it!
Posted by: Registered Voter ()
Date: October 07, 2008 06:01PM

http://www.govtrack.us/congress/bill.xpd?bill=s109-190
Quote

Sponsor:
Sen. Charles Hagel [R-NE]
Cosponsors
Sen. Elizabeth Dole [R-NC]
Sen. John McCain [R-AZ]
Sen. John Sununu [R-NH]

The full text of the Bill:
http://www.govtrack.us/congress/billtext.xpd?bill=s109-190

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Re: It's the economy stupid, and Barney Frank F#*%ed it!
Posted by: Registered Voter ()
Date: October 07, 2008 06:07PM

Fannie and Freddie bought the loans from banks that made them, and then repackaged them and sold them as securities. They took the loans off the banks balance sheets, thus the banks could loan money again, and again. Pretty simple logic on that part. All part of the Democratic interest to ensure low income (ie minorities - their constituents) were able to get part of "the American Dream". Look at all of protests they made on how people were being "racist" for trying to stop Fannie and Freddie from taking those loans.

So yeah, I guess I am a crank lol. For believing in the lowest common denominator in a given problem. Let's remember, the books were cooked also so people wouldn't pick up on the problems - every thing was just one happy loan fest.

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Re: It's the economy stupid, and Barney Frank F#*%ed it!
Posted by: We are Family! ()
Date: October 23, 2008 03:14PM

CBC and Fannie are "Family," The CBC is "the conscience of Fannie." Some fucking conscience. Thank you CBC and Barack Obama.


http://www.youtube.com/watch?v=usvG-s_Ssb0

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Re: It's the economy stupid, and Barney Frank F#*%ed it!
Posted by: GOP's need to be told twice ()
Date: October 23, 2008 04:47PM

And you are an even bigger crank if you think or promote that FNM or FRE were the root of the problem. Treasury, FHFA, the various underwriters (I-Banks) and the rating agencies that signed off on the underlying assets are the reason we're in this mess. Quit trying to mislead by promoting more of the same posturing by McCain.

Options: ReplyQuote
Re: It's the economy stupid, and Barney Frank F#*%ed it!
Posted by: Radiophile ()
Date: October 23, 2008 05:43PM

Vince(1) Wrote:
-------------------------------------------------------
> Sad but True Wrote:
> --------------------------------------------------
> -----
> > We shouldn't leave out the Clinton
> Administration
> > and Frank Raines. I came across an article
> that
> > pretty much predicts what will happen and the
> > Democrats ignoring the risk all for the sake of
> > social engineering. Here are few paragraphs
> ----
> >
> >
> > Fannie Mae, the nation's biggest underwriter of
> > home mortgages, has been under increasing
> pressure
> > from the Clinton Administration to expand
> mortgage
> > loans among low and moderate income people and
> > felt pressure from stock holders to maintain
> its
> > phenomenal growth in profits.
> >
> > In addition, banks, thrift institutions and
> > mortgage companies have been pressing Fannie
> Mae
> > to help them make more loans to so-called
> subprime
> > borrowers. These borrowers whose incomes,
> credit
> > ratings and savings are not good enough to
> qualify
> > for conventional loans, can only get loans from
> > finance companies that charge much higher
> interest
> > rates -- anywhere from three to four percentage
> > points higher than conventional loans.
> >
> > ''Fannie Mae has expanded home ownership for
> > millions of families in the 1990's by reducing
> > down payment requirements,'' said Franklin D.
> > Raines, Fannie Mae's chairman and chief
> executive
> > officer. ''Yet there remain too many borrowers
> > whose credit is just a notch below what our
> > underwriting has required who have been
> relegated
> > to paying significantly higher mortgage rates
> in
> > the so-called subprime market.''
> >
> > Demographic information on these borrowers is
> > sketchy. But at least one study indicates that
> 18
> > percent of the loans in the subprime market
> went
> > to black borrowers, compared to 5 per cent of
> > loans in the conventional loan market.
> >
> > In moving, even tentatively, into this new area
> of
> > lending, Fannie Mae is taking on significantly
> > more risk, which may not pose any difficulties
> > during flush economic times. But the
> > government-subsidized corporation may run into
> > trouble in an economic downturn, prompting a
> > government rescue similar to that of the
> savings
> > and loan industry in the 1980's.
> >
> > full article-
> >
> http://query.nytimes.com/gst/fullpage.html?res=9C0
>
> >
> DE7DB153EF933A0575AC0A96F958260&sec=&spon=&pagewan
>
> > ted=all
> >
> >
> ==================================================
>
> > =
> >
> > The article is from 1999 and from a historical
> > perpsective, we can see who really is to blame
> for
> > this crisis - Clinton and his cronies. If this
> > was ever revealed, I think America would see
> > things differently. Unfortunately, only those
> > that choose to educate themselves get to
> actually
> > know the facts. The media will never show this
> > story.......
>
>
> This story has been all over the
> press..everywhere...and no one cares..be cause it
> hides the truth...the republikans in their
> attempts to totally deregualte and make the rich
> richer are at the heart of it. Republikans will
> see major lossses this novemeber...and good
> riddence.


Let me guess.. So you are claiming that the majority of the homes foreclosed upon this past couple years were purchased durring the clinton administration?

I think not.

Hammity goes on the radio and blames Carter. I wonder just how many homes purchased durring the Carter Administration have been foreclosed upon in the last two years. Do you think it is alot?

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