Shades of Past Democrat Actions Reflected in Eric Holder Forcing Bank of America To Pay Off Left-wing Community Organizers
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| Dusting off the old ACORN image. |
Dr. Bill Smith, Editor: The following IBD article evidences shades of past action by Democrats. On Sept. 25, 2008, I wrote a ARRA News story which went viral and was shared by conservative bloggers, radio hosts, Fox News and others. The title of the article was Major "Earmark" in Democrat Bailout Agreement. "I received a copy of "Agreement in Principle" relative to the $700 billion "bailout" being proposed and supported by Senate Democrats. The one page agreement from the U.S. Senate Banking Committee details guidelines to be put in place relative to taxpayer protection, oversight and transparency, home ownership preservation and Funding Authority. ... In the "agreement in principle," there is the effect of a major "earmark" which commits money from future "profits" to be given to nonprofits organizations like ACORN, National Council of La Raza and potentially the National Urban League. This agreement clearly evidences that the Government expects to benefit in the future from the bailout when the values of property rises and mortgages or properties are then sold by the Federal government. The agreement --As identified by the below IBD editorial, Democrates are at it again, finding ways for banks to fund left-wing Community Organization,
In this current situation, Americans for Limited Government President Nathan Mehrens has blasted part of the $17 billion settlement between Bank of America and the Justice Department that requires leftover funds to be given to the Interest on Lawyers' Trust Account, NeighborWorks of America, La Raza, the National Community Reinvestment Coalition, the Neighborhood Assistance Corporation of America, Operation Hope, and the Mutual Housing Association of New York (an ACORN off-shoot), as revealed by Investor's Business Daily (detailed below):
"Congress needs to act to stop Eric Holder's Justice Department from compelling this transfer, with similar shakedowns having occurred in the Citibank and JP Morgan Chase settlements. One thing is clear, the President and Attorney General never miss an opportunity to funnel government-extorted funds to their favorite community organizers."
Buried in the fine print of the deal, which includes $7 billion in soft-dollar consumer relief, are a raft of political payoffs to Obama constituency groups. In effect, the government has ordered the nation's largest bank to create a massive slush fund for Democrat special interests.
Besides requiring billions in debt forgiveness payments to delinquent borrowers in Cleveland, Atlanta, Philadelphia, Oakland, Detroit, Chicago and other Democrat strongholds — and up to $500 million to cover personal taxes owed on those checks — the deal requires BofA to make billions in new loans, while also building affordable low-income rental housing in those areas.
If there are leftover funds in four years, the settlement stipulates the money will go to Interest on Lawyers' Trust Account (IOLTA), which provides legal aid for the poor and supports left-wing causes, and NeighborWorks of America, which provides affordable housing and funds a national network of left-wing community organizers operating in the mold of Acorn.
In fact, in 2008 and 2009, NeighborWorks awarded a whopping $25 million to Acorn Housing.
In 2011 alone, NeighborWorks shelled out $35 million in "affordable housing grants" to 115 such groups, according to its website. Recipients included the radical Affordable Housing Alliance, which pressures banks to make high-risk loans in low-income neighborhoods and which happens to be the former employer of HUD's chief "fair housing" enforcer.
BofA gets extra credit if it makes at least $100 million in direct donations to IOLTA and housing activist groups approved by HUD.
According to the list provided by Justice, those groups include come of the most radical bank shakedown organizations in the country, including:
• La Raza, which pressures banks to expand their credit box to qualify more low-income Latino immigrants for home loans;
• National Community Reinvestment Coalition, Washington's most aggressive lobbyist for the disastrous Community Reinvestment Act;
• Neighborhood Assistance Corporation of America, whose director calls himself a "bank terrorist;"
• Operation Hope, a South Central Los Angeles group that's pressuring banks to make "dignity mortgages" for deadbeats.
Worse, one group eligible for BofA slush funds is a spin-off of Acorn Housing's branch in New York.
It's now rebranded as Mutual Housing Association of New York, or MHANY. HUD lists MHANY's contact as Ismene Speliotis, who previously served as New York director of Acorn Housing.
The recession has dried up funding for such groups. But Holder's massive bank shakedown could rebuild their war chests in a hurry.
He's written back-door funding for Democrat groups into other major bank deals he's brokered, including the $13 billion JPMorgan Chase settlement and the $7 billion Citibank deal. They stand to reap millions more from those deals.
All told, Holder has shaken down the nation's largest banks for a whopping $128 billion, more than a 10th of a trillion dollars, and counting. Morgan Stanley and Wells Fargo are reportedly in talks with Justice to settle additional mortgage cases.
In effect, lenders are bankrolling the same parasites that bled them for the risky loans that caused the mortgage crisis. With new cash, they can ramp back up their shakedown campaign, repeating the cycle of dangerous political lending that wrecked the economy.
These settlements have little, if anything, to do with "justice" or restitution for innocent victims. In its 30-page "statement of facts," Justice couldn't provide a single shred of evidence of fraud against BofA. Nor could it ID a single "victim" by name.
The attorney general is actually perverting justice by extorting billions of dollars from the largest banks in the country and giving it away to the president's political friends and favorite political causes.
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ARRA News Editor's Postscript via referenced 2008 article: "ACORN is the agency where Sen. Barack Obama worked as a trainer for the Association of Community Organizations for Reform (ACORN), whose affiliate, Project Vote, is known for voter fraud. It is this same organization from which a large part of the mortgage mess has grown. After Harvard Law School, Obama provided legal representation for ACORN. Obama sat on the boards of the philanthropic Woods Foundation and the Joyce Foundation which both funneled millions of dollars to ACORN."
Tags: Democrats, Eric Holder, forcing, funding, Left-wing community organizers, shades of the past, Dr. Bill Smith, ARRA News, Americans for Limited Government, President Nathan Mehrens, IBD editorial To share or post to your site, click on "Post Link". Please mention / link to the ARRA News Service. and "Like" Facebook Page - Thanks!
Posted by Bill Smith at 11:45 AM - Post Link
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