Keating Economics: John McCain and the Making of a Financial Crisis »
Posted By Neophile 9 months ago in Political NewsThe current economic crisis demands that we understand John McCain's attitudes about economic oversight and corporate influence in federal regulation. Nothing illustrates the danger of his approach more clearly than his central role in the savings and loan scandal of the late '80s and early '90s.
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not2needy9 months ago
Now Obama needs to do some more exposes`, and let the world know how Johnny kept Cindy out of prison after she committed forgery, fraud, theft and smuggling drugs internationally. Let the world know the kind of man John McCain is bit by bit.
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Then do another one about his record as a student at the academy, the number of planes he crashed and how many he was responsible for killing as the result of the fire on the ship Forrester*.. Then he went out to party, said he needed R
John McCain is truly a dispicable man! Everything he has done needs to be exposed. People can change, but he has been the way he is since he was a toddler! Per his own parents, his temper was so violent when he was a mere toddler that he would hold his breath until he passed out, they had to dunk him in cold water to revive him.
Is THAT the man you want with his finger on the button? If he is, God have mercy on you!-
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Georgia509 months ago
The Democrat investigating the Keating 5 found absolutely no wrongdoing by McCain. He went to his Crat taskmasters and told them McCain should not be part of the investigation.
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The filth told him he could not let McCain go because it would look bad for them...all the other 4 were Democrats.
You were saying? -
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TheVisionary9 months ago
Obama will likely not hit McCain hard enough on Keating 5 because that isn't his style and some people may consider it "too old" considering it happened about 20 years ago. I wouldn't call McCain "truly a dispicable man" despite the fact that I do not want him to be our president and fear his presidency as much as I did Bush's. I would call Cheney a despicable man, but McCain is a man driven by a kind of blind ambition to be president despite having no real plan for bringing this country out of the rut it's in.
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Klarissa9 months ago
//en.wikipedia.org/wiki/Keating_Five
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The Keating Five were five United States Senators accused of corruption in 1989, igniting a major political scandal as part of the larger Savings and Loan crisis of the late 1980s and early 1990s.
The five senators, Alan Cranston (D-CA), Dennis DeConcini (D-AZ), John Glenn (D-OH), John McCain (R-AZ), and Donald W. Riegle (D-MI), were accused of improperly intervening in 1987 on behalf of Charles H. Keating, Jr., chairman of the Lincoln Savings and Loan Association, which was the target of a regulatory investigation by the Federal Home Loan Bank Board (FHLBB). The FHLBB subsequently backed off taking action against Lincoln.
Lincoln Savings and Loan collapsed in 1989, at a cost of $2 billion to the federal government. Some 23,000 Lincoln bondholders were defrauded and many elderly investors lost their life savings.
The substantial political contributions that Keating had made to each of the senators, totalling $1.3 million, attracted considerable public and media attention.
After a lengthy investigation, the Senate Ethics Committee determined in 1991 that Alan Cranston, Dennis DeConcini, and Donald Riegle had substantially and improperly interfered with the FHLBB in its investigation of Lincoln Savings, with Cranston receiving a formal reprimand.
Senators John Glenn and John McCain were cleared of having acted improperly but were criticized for having exercised "poor judgment".
All five of the senators involved served out their terms. -
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72LIAME8 months, 4 weeks ago
RE' USS FORRESTAL---IT WAS HIS PLANE THE "BOMB\" FELL OFF OF---HE WAS IN THE COCKPIT--WAITING TO TAKE OFF..WHY DID THE BOMB "DROP" OFF???
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HOW DID A MAN WHO CAME IN ALMOST DEAD LAST IN HIS CLASS AT THE NAVAL ACADEMY--GET SENT TO NAVY FLIGHT TRIANING???
MAYBE WHEN YOUR DAD IS AN ADMIRLA???? WHY DID HE NOT GET WASHED OUT ???MAYBE BECAUSE HIS DAD WAS AN ADMIRAL???
A CASE COULD BE MADE--MCCAIN IS A SCREW UP,,WITH POWERFUL FRIENDS...
HE TAKES THE SIDE OF MEXICAN WORKERS OVER AMERICANS..HE WANTS CHEAP SCAB LABOR FOR ALL HIS RICH FRIENDS...
NO FRIEND OF THE AMERICAN WORKER.. -
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amervtrn8 months, 4 weeks ago
If you are playing the blame game or fighting the party wars, you are a Loser. This has been coming on for over forty years. Educate yourself. Do not let rhetoric lead you. Those who fail to remember the lessons of the past are condemned to repeat them.There is nothing here we have not seen before.
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Endoscopy8 months, 4 weeks ago
Typical neophile smear story. This video shows only a totally super biased version of what happened. In both houses there is a bipartisan ethics committee. Equal numbers of both parties. These people take their job seriously.
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There were 5 Senators who attended that meeting.
Alan Cranston (D-CA)
Dennis DeConcini (D-AZ)
John Glenn (D-OH)
John McCain (R-AZ)
Donald W. Riegle (D-MI)
Notice that there were 4 Democrats and 1 Republican. These are the Keating 5 that the Liberals like to try and hang around McCains neck.
Problem with this hack job.
2 Senators, John Glenn and John McCain, were exonerated of any ethics violations.
3 Senators,Alan Cranston, Dennis DeConcini, and Donald W. Riegle, were found guilty of ethics charges and were censured.
Three Democrats found guilty. And neophile thinks to try and blame McCain for what he was found NOT GUILTY of doing.
With regards to finance of the mess we are in.
The CRA created under Carter and signed in 1977 and modified in 1992 under Clinton and went into effect in 1995 caused the sub prime loans and FORCED banks to have a good CRA rating if they wished to expand and add new branch offices. So they made bad loans as a cost of doing business forced on them by the banking regulators.
In 2000 Clinton asked congress to modify the regulations. In 2003 Bush requested congress to look into the problem that Fannie Mae and Freddy Mac were getting into.problems. In 2005 and 2006 the same thing happened. The Democrats howled and charged all kinds of mean and nasty things on the part of the man bringing the facts of his investigation to congress. There are videos of them. Barney Frank said that there is nothing wrong with Fannie and Freddy. Threats of a filibuster in the senate can kill any bill if the party out of power wants it killed. So in 2005 the bill was reported out of committee and that was all.
What did McCain say?
I join as a cosponsor of the Federal Housing Enterprise Regulatory Reform Act of 2005, S. 190, to underscore my support for quick passage of GSE regulatory reform legislation. If Congress does not act, American taxpayers will continue to be exposed to the enormous risk that Fannie Mae and Freddie Mac pose to the housing market, the overall financial system, and the economy as a whole.
I urge my colleagues to support swift action on this GSE reform legislation.
The Democrats refused to listen to McCain and the rest is history. Thank you Liberals and Democrats for creating this mess in the first place and then refusing to fix it while it was still easier to do..
Typical neophile smear job full of twisted facts. Are you proud of smearing an honorable man. Of course you have no concept of honor from the stories I see you push here at Propeller. And you are a scout. -
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Will13139 months ago
but .. but .. there were DEMOCRATS involved too..
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yes they were and all of them Democrat and Republican should have shared a cell with Mr. Keating..
BILLIONS AND BILLIONS that one cost us.. .. kinda like today..
but hey ... deregulation is good..-
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mivan49 months ago
You guys SOOOOOO very badly need to get a clue. McCain was acquitted of ALL wrong doing in the Keating case, but three Democrats went to JAIL. Now Obama and Dodd are the top donation getters from Freddie Mac and Fannie Mae! and the two have supported Fannie and Freddie by RESISTING OVERSIGHT proposals that both McCain and Bush had presented earlier! Follow the money - THINGS THAT MAKE YOU GO UMMMM..
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Osbama_lin_BidenComment removed: User banned.1 Reply
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cowboygrandpa8 months, 4 weeks ago
Will1313:
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Yeah !!!!!!
FTA Of the five senators John McCain was the closet friend of Keating. He took his policy making decisions from him.
Also FTA: Keating was a nasty guy who had a reputation of buying politicians.
Boy does that speak to the maverick McCain.
Did you notice how often McCain was blinking his eyes, almost as if he couldn't believe that he'd been busted.
But hey, the neocons see this clown as an honorable man !!!!!
Speaks to their moral depravity !!!! -
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Endoscopy8 months, 4 weeks ago
5 Senators
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4 Democrats and 1 Republican.
3 Democrats found guilty in the ethics committee shown in this very biased story.
1 Republican and 1 Democrat found innocent of any wrong doing.
When McCain and Glenn walked out of that meeting they did absolutely nothing to help Keating.
Three Democrats tried to help Keating.
So why the smear job on one of the two Senators who were found innocent of any wrong doing?
Liberal smear tactics. The author of this piece is obviously leaving out the important information of the results of that hearing.
Then they try to place the blame on a bill that did some deregulation. That idea came from moveon.org. When asked about how that deregulation caused the sub prime loan mess they went to a couple of higher placed experts who in the end said there is no connection. They lied and the talking points lies are still going the rounds. Hold your heads up high and tell more lies liberals. It is what you do best.
This whole story is just a carefully edited smear job that uses a few facts and makes a big lie.
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tehranchik9 months ago
Isn't this what we've all been waiting for? Let's see how far it goes. How many will turn a blind eye? No big deal. How is this guy even in the running? Who made him one of the choices?
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$3.4 billion----seems like peanuts compared to what we're dealing with today - eh? and he's still here. Mc didn't do what was best for Joe citizen then - what makes anyone think he'll do what's best for any of us now?
Just an after thought - let's ask Palin what she thinks.-
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not2needy9 months ago
We all know that republicans think anything another republican does is acceptable.
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In 1990 3.4 billion was probably like 10 billion today!
McCain has never been for anyone but himself. This week Rolling Stone magazine did a wonderful biographical article about McCain that every republican should be MADE to read before going to the polls. He's been an awful person since he was a child. -
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lfergie8129 months ago
tehranchik
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The web site is just getting started.
http://my.barackobama.com/page/invite/keatingvideo -
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Endoscopy8 months, 4 weeks ago
Check the facts first by googling "keating 5". This is a lie and a smear job. one of two senators that were found not guilty of any ethics violations is smeared this way. Three Democrats were found guilty and censured. Why not talk about how corrupt the Democrats were in this instance.
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This is a case of investigate, look for the guilty and blame the innocent. That is supposed to be part of a joke about projects but you liberals have done it for real.
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Spadecaller9 months ago
The msm cares more about phony stories when they target Obama, but when they are based on substantiated fact that is squarely related both to todays's financial crisis and John McCain's shady record, they remain silent.
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I am preparing 47 letters addressed to people that I know suggesting that they join me in boycotting the sponsors that advertise on Fox and CNN. I will be sending a copy of this letter to both networks and the companies listed.
WE need to take whatever action we can to expose msm for its pandering, complicity, and yellow journalism. The freedoms that are constitution guarantees are dwindling fast as our nation continues to look the other way. This is not the time to remain silent.-
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not2needy9 months ago
Well, i rarely watch CNN and never watch FOX so it won't take much for me to boycot either of them! They have been bought and paid for by big business republicans though, so whether we watch or not, they still have their fat paychecks.
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PsychoHosebeastComment removed: User banned.1 Reply
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beavith18 months, 4 weeks ago
if McCain is a moron on the economy, Os plan's show that he's a vegetable. his policies are destructive to capital formation.
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that's a bad thing when capital formation is being strangled by non existent credit. -
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Endoscopy8 months, 4 weeks ago
Try and explain away the speech from the floor of the senate when the Democrats were stonewalling reforming Fannie Mae and Freddy Mac in 2005. If this had been acted on there probably not be the nightmare we have now.
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I join as a cosponsor of the Federal Housing Enterprise Regulatory Reform Act of 2005, S. 190, to underscore my support for quick passage of GSE regulatory reform legislation. If Congress does not act, American taxpayers will continue to be exposed to the enormous risk that Fannie Mae and Freddie Mac pose to the housing market, the overall financial system, and the economy as a whole.
I urge my colleagues to support swift action on this GSE reform legislation.
-----------------------------
Such a foolish man financially. The Democrats are always right. LOL
The compassion that was put into the CRA in 1977 and upgraded in 1992 by Democrats cause the sub prime loans to come into existence. Then when things started to get out of control the compassionate Democrats fought the good fight to keep their plan intact. They won and the country lost. But lets not talk about that. Lets try and blame McCain. Point the finger elsewhere. Never take responsibility. Clinton even says the Democrats did it.
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Charlson9 months ago
The key to all the Savings and Loans scandals (Keating and the Bush Family), is DEREGULATION.
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It's deregulation that allowed the Savings and Loan industry the opportunity to steal and defraud their investors. And now it's the same type of deregulation of the credit and mortgage industry that's allowed this scandal to develope. Ah yes, McBush the Deregulator.-
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Grrr9 months ago
And it's deregulation that let these CON bastages buy all of our broadcasting and news. Which is how they sell the rest of their rotten deregulation schemes and outright smash-and-grab heists to the dupes that keep voting for them. And there's nothing new about any of it. Come November they will STEAL another election, and because there is no outrage on the TV, nothing will happen, except we'll be a third world country for the rest of our lives.
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Endoscopy8 months, 4 weeks ago
Another believer in the moveon.org lie. When backed into a corner they had to admit that that bill had nothing to do with this problem. But the lie is out there and all good libs will repeat it ad nauseum. So what if it is a lie.
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Lets not look at the compassionate CRA that the Democrats made in order for those less fortunate be able to get mortgages. So what if many can not repay the loans. Banks were forced to use those regulations to get a good CRA rating in order to grow and expand. So they made the bad loans as a cost of doing business. The CRA created a housing demand that caused the price of housing to climb and when too many foreclosures impacted the building industry then down it came.
Per Census Bureau, In the First Quarter of 2008, there were 129.3 Million Homes in the US. Of these, 18.5 Million were Vacant. That is a whopping 14.3% of all US Homes were sitting empty. 12.5% in the North East, 13.9% in Mid West, 16.3% in South and 12.7% in the West.
These figures started to grow in 2006 as foreclosures started having an impact. They grew steadily until now. The figures for today are probably worse. 1995 was the year that the CRA went into full effect. Look at the following link to see what happened to housing prices.
http://mysite.verizon.net/vodkajim/housingbubble/
Notice how the inflation adjusted price starts to grow in 1997. In 2006 the foreclosures were starting to have an impact and then down it came. Any bank holding mortgages or paper for mortgages has to value them at the current sale price of the property. This burst affects all real estate to some degree. Banks watched helplessly as the paper that was effectively money turned into a loss. Resale is less than the loan so that paper is a net loss on the books. Down went many banks. Fannie and Freddy taken over by the government. Lehman Brothers bankrupt. Others propped up. Now the big bailout.
Thank you for such compassion Democrats.
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Tangent0018 months, 4 weeks ago
NOBODY was censured. They all got varying degrees of wrist slaps.
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Progressive9 months ago
The Keating scandal brings to mind the old saw, "Fool me once, shame on you, fool me twice, shame on me" in that McCain got away with his sleazy associations as a Senator before and now is trying to fool all the people again with the same shady tactics applied to the current economic crisis. The ethics committee that got him off with a hand slap last time was never informed of the questionable Keating investment that netted Cindy McCain $15 million.
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Bucotch8 months, 4 weeks ago
McCain has every right to bring up relevant issues with Obama. Things that have been skimmed over by the one sided media. A lot of people have no idea unless they're really
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keeping up and doing their own research. If all they're doing is watching the one sided
candy coated crap on certain networks then they're brain washed and don't have a clue.
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not2needy9 months ago
Anti, i agree! I would love to know how they both stand on the issues. Sadly, i don't think McCain has a stand on any of the issues, which accounts for his personal attacks rather than issue related ads. This has put Barack in a position of having to defend himself constantly, which doesn't free him up to talk about the issues as much as he wants to either.
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You know when Karl Rove says that McCain has crossed the line, it has to be bad!
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Republicrat1844Comment removed: User banned.
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Grrr9 months ago
His involvement with Keating doesn't bother me nearly as much as all the other blatant lies he's perpetrated before and since then. Heck, that was just politics.
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I've got to admit, the Rolling Stone article this month is a real eye-opener, even for a GOP basher like myself. I thought highly of him in 2000, and apparently if the truth had been generally known back then, I wouldn't have.
The man is a liar, a crook, and a cad.
http://www.propeller.com/story/2008/10/01/make-bel...
And there's a lot more than that in this month's issue.-
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jordan119 months ago
His involvement with Keating doesn't bother me nearly as much as all the other blatant lies he's perpetrated before and since then. Heck, that was just politics.>>>>
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What bothers me about Keating is that his career was nearly ruined because of the consequences of deregulation. And yet, he kept right on voting for every piece of deregulation that crossed his desk. It's as though he didn't give a damn about the thousands of Americans who were wiped out, & gave no thought to how it could happen again to other Americans. He voted for deregulating the banking and lending industry, damn it! And of all the Senators who did, HE should have known better given what happened to him over Keating.
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Eagle_Eye9 months ago
I am looking forward to tommorrow nights debate, all it seems McCain/Palin can do is make personal attacks and making it a personal issue instead of addressing the national issue.
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I also love how Sarah keeps sicking her high heel into her mouth. -
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Grrr9 months ago
qe is right. Read that Rolling Stone article, it's all in there. But yeah, there was some major cover up regarding her drug use.
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Personally, I like the idea that even Nancy Reagan detested him. -
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OldBetty8 months, 3 weeks ago
You saw it for the first time now because it was history that had already been settled and the Obama campaign thought it was irrelevant since no charges were leveled. It probably would have stayed as something you would read only if you looked for past information on McCain except for McCain's campaign pushing the idea that Obama "pals around with terrorists." Of course, the "terrorists" turned out to be one aging 60's radical, 30 years beyond that time and living a mainstream life. who shared position on a board(concerned with education) funded by Annenberg money (conservative republican), lives in Obama's neighborhood and hosted one party to introduce candidate Obama in 1995. Palin continues to use the phrase, even in the light of this information. Bringing up the Keating 5 is justified once someone has established "guilt by association" as a valid campaign technique.
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Tcaros9 months ago
Bush is the absolute worse president in the history of our country.
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There is a large part of the population that believe he actually lost the 1st election, but was helped by fraud - Diebold or the intelligence folks.
After he assumed office he attacked the Constitution and kept the US at war to retain Executive power and undue influence over the judiciary.
The sad part is that we wasted 8 years and are in a worse mess now.
Vote out Republicans that voted with Bush. -
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aacr1Comment removed: User banned.14 Replies
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Tcaros9 months ago
"At Keating's behest, four senators--McCain and four other Senators met with Ed Gray, chairman of the Federal Home Loan Bank Board, on April 2, 1987. Those four senators attended a second meeting at Keating's behest on April 9 with bank regulators in San Francisco. They stalled the regulators in taking action.
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Regulators did not seize Lincoln Savings and Loan until two years later. The Lincoln bailout cost taxpayers $2.6 billion, making it the biggest of the S scandals. In addition, 17,000 Lincoln investors lost $190 million"
This sounds alot like what just happened. McCain is for deregulation. Vote against these folks and watch the economy go back to Clinton days of surplus and good home values. -
Osbama_lin_BidenComment removed: User banned.2 Replies
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Tcaros9 months ago
It is shady.
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The McCain's are elitists. These people believe they are entitled to things because of birth or familial associations. They do not care if you lived in a box.
It's likely the economic crash and the timing were manufactured by Bush and his rich banking buddies. I thnk they are robbing our country and using the money to uncercut our form of government. They want to move to a one world governing body that controls everything through money, power, and greed. -
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Klarissa8 months, 4 weeks ago
In 1988, inspired by a vacation visit four years earlier to substandard medical facilities on Truk Lagoon,[19][15] Cindy McCain founded the American Voluntary Medical Team (AVMT).[3] It was a non-profit organization that organized trips for doctors, nurses, and other medical personnel to provide MASH-like emergency medical care to disaster-struck or war-torn third-world areas such as Micronesia, Vietnam (before relations were normalized between them and the U.S.[19]), Kuwait (arriving five days after the conclusion of the Gulf War[19]), Iraq, Nicaragua, India, Bangladesh and El Salvador.[10][33][34][35][36]
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She led 55 of these missions over the next seven years,[18] with each being of at least two weeks' duration.[36] AVMT also supplied treatment to poor sick children around the world.[37] In 1993, Cindy McCain and the AVMT were honored with an award from Food for the Hungry.[10]
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