Firedoglake goes after Rahm, White House deals with Fannie, Freddie

Jame Hamsher of Firedoglake breaks with the liberal pack and says corruption must be opposed everywhere, not just when the other side is doing it. Absolutely. She specifically means Rahm Emmanuel, the White House, and their sleazy dealings with Fannie and Freddie.

Treasury okays unlimited slush fund for Fannie, Freddie

Forget raising the cap to $800 billion for Fannie/Freddie. They announce (on Christmas eve no less) that the slush fund for picking up toxic mortgage is unlimited:

Announcing this on Christmas Eve is a sure sign they wanted to bury it and hope it was ignored.

As Ian Welsh notes, now that the Fed might actually be audited, what better place to stash all those toxic assets than at Fannie and Freddie, where there is no independent auditor since they sacked their own Inspector General?

She finds Rahm’s action indefensible. And has no use for those who just want to be on the side that’s winning. Good.

I think what we’re seeing is a breakdown of the progressive online community into those who are willing to overlook extreme financial malfeasance if “our guys” are the ones doing it, and those who don’t want to be part of “our guys” if that’s the price. Count me in with the latter group, because the hypocrisy of the former is what led to the Bush dead-enders and their irrational embrace of George Bush beyond limit. A small cabal who can only interpret things through personalities is going to lose the rest of the country pretty quickly, because most people actually believe that these continuous bailouts are part of the “enormous problems” we are struggling with.

If you’d like to be part of the “principles before personalities” community, sign up to blog at The Seminal.

The White House responded to her joint call with Grover Norquist for Rahm to resign saying Rahn was in no danger. But they did respond. Hamsher is making real enemies here and deserve the complete support of those who genuinely want to end corruption and bailouts for banksters.


  1. From my place, a bit over a year ago: UUUhhhhmmmm, Mr. President-elect… … about that Chief of Staff appointment: “In Mr. Emmanuel’s case he wakes up each morning thinking he’s a regular on The Sopranos. He likes to think he’s a bad ass who keeps the peace down on the docks and makes sure the right people are in charge of shipping and receiving. Maybe he is a bad ass the way some people are who know who to call when they want things done. Emanuel’s middle name is Israel, and it’s said he’s the Deputy Chief of Mossad for North America. Some say he’s the chief.” His father was an Irgun, the Zionist, pre-Israel Zionist, militia that carried out numerous terrorist attacks on Palestinian civilians, including the bombing of the King David Hotel, terrorist and gun runner who has simply ripened in his old age.

    Are you sure? Wouldn’t it be better if we appointed folks who have the best interests of America, rather than the best interests of Israel, at heart?

  2. I am so glad to see party loyalty finally being superceded by some kind of morality. Both sides have for too long been content to have “their” crooks in office, while decrying the other guy’s crooks.

    Having determined that the system is rotten at its core, are we ready yet to take action? I don’t mean overthrowing anything– that’s unnecessary. Instead, seperate from it. Show the mega-corporate world how irrelevant it really is. Here are five suggestions:

    1) Wherever possible, deal with small, local companies and get to know the owners. Support small, honest businesses.
    2) If you must deal with a mega-corporation (i.e. internet services or cell phones), choose one that is socially conscious, like Google.
    3) Eat local. Know your farmers. Frequent the farmers markets and farm stores. What you can’t buy there, buy at a locally-owned grocery, not a national chain. (In some urban areas, ethnic grocery stores may be the only option.)
    4) Network with other like-minded businesses and people. Know (and share) where to get products and services outside the mega-corporate arena.
    5) Avoid credit. If you must use credit, get it through a community bank, not a mega-bank.
    6) Don’t invest in Wall Street– invest in your local community instead. Whether rental property or a small business, it’s a better investment, and the game ISN’T rigged. If you can’t afford to buy a property, pool your resources with others!
    7) Find and develop relationships where you can do business with a handshake. Integrity has been one of the casualties of corporatization. Adversarial relationships promote somebody getting screwed– avoid them!

    Can it be done? Absolutely. The only mega-corporation I deal with is my cell phone provider. Some say it’s easier in a rural community because we’re smaller. But urban areas have even more small businesses, you just have to hunt for them– and find the ones that operate with integrity. (For example, you know that a national auto service chain will eventually rip you off; not all locally-owned auto mechanics are honest, but you can find some who are.)

    Even when I lived in Los Angeles, I never advertised because once people realized I was always fair, I got all my clients through referrals. When you need a product or service, don’t go to the Yellow Pages, ask your friends and associates instead.

    This may require a little more effort, and you may sometimes have to pay a little more. But often, the local business will be cheaper in the long run. And remember: you’re paying for mega-corporations (and mega-banks and mega-food) through your taxes, too!

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