Showing posts with label cronyism. Show all posts
Showing posts with label cronyism. Show all posts

Thursday, August 4, 2016

Obama Just Signed A GMO Labeling Law: Here’s What You’re Not Being Told

Submitted by Carey Wedler via TheAntiMedia.org,
Last week, President Barack Obama signed legislation requiring manufacturers of genetically modified (GM) food to provide labeling on their products. But there’s just one problem — err, a couple problems . . . actually a lot of problems. There are a lot of problems with this bill.
The new law originated in the Senate as S. 764, “A bill to reauthorize and amend the National Sea Grant College Program Act, and for other purposes.” Lawmakers commonly insert policies on controversial issues into other, more amenable bills to keep them hidden and ensure their passage.
Sure enough, the new GM labeling bill, focused around a college program, contains language that appears, on its face, to address the concerns of millions of Americans regarding GM foods. While establishment institutions and experts insist they are safe, others worry not enough research has been conducted to guarantee as much.
While the lawmakers who crafted the bill, Sen. Debbie Stabenow (D-Mich.) and Sen. Pat Roberts (R-Kan.), argue it is an appropriate compromise in response to fears surrounding GM products, food advocacy groups found multiple holes in its wording prior to the bill’s passage.
The first — and most contentious — is S. 764’s decree that food companies are not necessarily required to label genetically modified products in text form. While doing so is an option, according to the new law, food manufacturers may also choose to denote GM ingredients with a symbol or a QRC (quick response code) that, when scanned by a smartphone,  will take the consumer to a website detailing further information about the product. The QRC method requires the consumer to have both a smartphone and access to the internet.
While the QRC option sounds high-tech, some lawmakers and activists have criticized its limitations. Rep. Jim McGovern (D-Mass.) argued on the House floor that “It is an intentional measure to deny consumers information,” as reported by The Hill. “The reality is that not every American has access to a smartphone or the Internet.”
Another problem with the bill is its lax standards and broad definitions. For example, the bill stipulates that if a majority of a product contains meat, it need not be labeled as containing GM ingredients, even if other ingredients are genetically modified (in contrast, a pepperoni pizza would need to be labeled if the flour in the pizza came from GM grain). While genetically modified animal meat is only beginning to make its way into the food supply, the new labeling bill establishes a concerning exemption for the future. Eggs will also not be subject to GM labels.
Further, the new law “prohibit[s] a food derived from an animal to be considered a bioengineered food solely because the animal consumed feed produced from, containing, or consisting of a bioengineered substance.” In other words, if an animal ate GM feed throughout its life, food companies would not need to inform the consumer.
Even the FDA, known for its collusion with various powerful industries, expressed concerns about the bill’s language. The agency stressed its opposition to labeling, maintaining GM foods are safe, but still pointed out confusion and conflicts within the bill.
The FDA noted the definition of “bioengineering” “will likely mean that many foods from GE sources will not be subject to this bill. For instance, oil made from GE soy would not have any genetic material in it. Likewise, starches and purified proteins would not be covered.”
Though the language of the bill is vague, it explicitly nullifies the GM labeling law passed in Vermont last year. That bill, which industry lobbyists aggressively attacked, would be overruled by S. 764, which dictates that “state-imposed labeling requirements would be banned,” as noted by Bloomberg. Vermont’s bill only took effect on July 1 of this year.
Yet another issue with the bill stems from the powerful organizations that supported its passage. As Bloomberg reported, Monsanto, Walmart, and the National Corn Growers Association all pushed for the legislation to pass (currently, over 90% of all corn acreage in the United States is used to grow genetically modified crops).
Still another powerful industry lobbying group pushed for S.764’s passage. As Mother Jones reported earlier this year when the bill was still being negotiated, “Grocery Manufacturers Association [GMA], a deep-pocketed trade group funded by major food processors as well as agrichemical/GMO titans like Monsanto, DuPont, and Dow, praised [the proposed law] as the ‘commonsense solution for consumers, farmers and businesses.” The GMA also sued Vermont over its recent GM labeling bill.
While the Organic Trade Association (OTA) did endorse the bill, its support sparked division within the organic food industry. Shortly after the group announced its support, one of its member organizations, the Organic Seed Growers and Trade Organization (OSGTO), responded by withdrawing its membership.
The OSGTO statement accused the OTA of “duplicity,” adding:
“Recent revelations have made clear that the OTA has created numerous close partnerships with Monsanto including intensive lobbying efforts by the notorious biotech-linked lobbyist Podesta Group on behalf of the deal brokered by Senators Stabenow (D-MI) and Roberts (R-KS).”
The statement also accused the OTA of partnering with organic companies run by food conglomerates who lobby Congress for favorable legislation.
In fact, the two lawmakers who crafted the bill, Debbie Stabenow and Pat Roberts, are direct beneficiaries of lobbyists. Stabenow’s sixth largest donor in 2016 was Dow Chemical, which, coincidentally, lobbied for S. 764’s passage. (Stabenow’s other donors include Morgan Stanley, Goldman Sachs and JPMorgan Chase & Co.) Stabenow accepted more money from agribusiness political action committees (PACs) in 2016 than from any other industry PACs.
Similarly, Roberts’ top PAC donations came from special interests. One of his top donors is DuPont, another chemical company that lobbied in favor of S. 764. Like Stabenow, he has received money from other powerful donors, including Goldman Sachs, Koch Industries, and Pfizer.
Congress follows a similar path to Stabenow and Roberts, evident in that lawmakers have attempted to push anti-labeling legislation — often dubbed Deny Americans the Right to Know (DARK) acts — through Congress before. “Big Agriculture” lobbied intensely for the latest version of S. 764 and contributes regularly to political campaigns.
Nevertheless, prior to the bill’s passage, White House spokesperson Katie Hill told Bloomberg, “While there is broad consensus that foods from genetically engineered crops are safe, we appreciate the bipartisan effort to address consumers’ interest in knowing more about their food, including whether it includes ingredients from genetically engineered crops.”
But considering the numerous flaws in the bill, activist organizations remain steadfast in their opposition. As Dana Perls, senior food and technology campaigner for Friends of the Earth, said:
“This bill is a travesty, an undemocratic and discriminatory bill which preempts state laws, while offering no meaningful labeling for GMOs.”
Pursuant to the new law, the United States Department of Agriculture (USDA) has two years to formulate specific standards for labeling, meaning the controversy surrounding the labeling of GM foods is far from over.

Tuesday, April 12, 2016

Joe Scarborough is right, and that’s terrifying: The Democratic Primary has been an undemocratic mess

This morning, the MSNBC host railed against a Dem primary stacked in Hillary Clinton's favor. He has a point

http://www.salon.com/2016/04/11/joe_scarborough_is_right_and_thats_terrifying_the_democratic_primary_has_been_an_undemocratic_mess/


Joe Scarborough is right, and that's terrifying: The Democratic Primary has been an undemocratic messJoe Scarborough (Credit: NBC News)
When Joe Scarborough is absolutely right about the Democratic Party, that is a very bad sign.
While discussing the Wyoming caucuses on his show “Morning Joe” today, Scarborough expressed dismay at the fact that although Bernie Sanders won by nearly 12 points, Hillary Clinton has nevertheless picked up the most delegates (11 to 7). “Why does the Democratic Party even have voting booths?” Scarborough exclaimed in barely concealed outrage. “This system is so rigged!”
It’s hard to argue with the man’s logic. Sanders has won eight of the last nine primaries, which in a normal election year would be considered a sign of unstoppable momentum. In national polls, he is statistically neck-and-neck with Clinton, and he has whipped up unprecedented enthusiasm among young voters. All of this is rendered more impressive when you consider that the party establishment has attempted to stave him off from the get-go, with the debates themselves being scheduled so as to place him (and all other challengers to Clinton, for that matter) at a distinct disadvantage, and with only a handful of elected Democrats even endorsing his campaign.
This brings us to the reason for the discrepancy between Sanders’ impressive performance among voters and his massive disadvantage among party delegates – namely, the fact that superdelegates are overwhelmingly opposed to him. The vast majority of superdelegates are either elected politicians or wealthy individuals who have gained influence through strategically placed campaign donations. The superdelegate position was created, as one of Scarborough’s guests pointed out, because the Democratic Party establishment wanted to prevent a recurrence of their debacle in the 1972 presidential election, when the nomination of perceived left-wing radical Sen. George McGovern caused them to lose to President Richard Nixon in one of the biggest landslides in American history. Because Sanders is viewed as a similarly unelectable option (despite outperforming Clinton in many head-to-head polls against Republicans like Donald Trump and Ted Cruz), the superdelegates have by and large thrown their weight behind Clinton… and shown brazen disrespect to the wishes of their own voters in the process.
This is what allows someone like Scarborough to rhetorically ask his audience, “Can you imagine if it were Republicans that were saying, ‘Listen, you know what? The people aren’t smart enough to be able to pick the nominee.’” Of course, this observation isn’t entirely on-the-level, since the Republican Party is in the process of an electoral corruption of its very own. Although Donald Trump is almost certain to win a plurality of the popular votes in the Republican primaries, he may fall short of the 1,237 delegates required to win his party’s nomination on the first ballot. If that happens, the Republican leadership has made it clear that they will work to nominate either one of Trump’s remaining opponents (Ted Cruz or John Kasich) or a perennial establishment favorite (Mitt Romney or Paul Ryan) instead of respecting the wishes of their voters. The GOP, like the Democrats, is more than comfortable with disregarding the principle of “one man, one vote” when it doesn’t suit their interests.

Monday, March 21, 2016

If Hillary Isn’t Indicted, the Rule of Law and the Republic Are Dead

To paraphrase Ernest Hemingway: How did you lose your Republic? Two ways, gradually and then suddenly. The Romans experienced this when their Republic was extinguished by Empire.
The erosion of the Republic was gradual: slowly but surely, the lower classes’ representation in governance was curtailed; the Oligarchy of the wealthy and powerful cemented their privileges at the expense of the many; Oligarchs rose above the laws that were supposed to apply to all, and executive power was consolidated in top administrators and the wealthy at the expense of the Senate.
When Caesar crossed the Rubicon with his army to seize control of Rome, the Roman Republic ceased to exist. Gradually and then suddenly: this is how Republics become Empires.
We find ourselves in a parallel moment in history: the American Republic has been hollowed into a shell that is maintained for PR purposes. Beneath the propaganda, the Establishment runs the nation for its own benefit. The people are ignored, because they are powerless in this hollow shell of democracy: their only role is to provide bodies, talent and blood for the Imperial armed forces, pay taxes if they have any money, and be content with their food stamps if they don’t.
Here’s the proof:
Testing Theories of American Politics: Elites, Interest Groups, and Average Citizens

Multivariate analysis indicates that economic elites and organized groups representing business interests have substantial independent impacts on U.S. government policy, while average citizens and mass-based interest groups have little or no independent influence.
Here are two articles in the same vein:
America the Banana Republic
The Quiet Coup
The United States has reached a crossing the Rubicon moment: either Hillary Clinton is indicted for knowingly violating statutes regarding State Department security, or the rule of law and the Republic are dead. This is a binary moment: we either let Hillary evade the laws that were established to protect the security of the nation and confess there is no rule of law now for the Oligarchy, or the agencies tasked with defending the nation indict her.
There is no middle ground. If Hillary isn’t indicted, the rule of law, i.e. no one is above the law, is dead.

If you believe Hillary that she didn’t really do anything to violate the spirit or the letter of security laws, please review these statutes:
U.S. Department of State Foreign Affairs Manual Volume 12 – Diplomatic Security
12 FAM 531.1 Top Secret Storage
12 FAM 531.1-1 Domestic
(CT:DS-185; 01-31-2012)
(Uniform State, USAID, OPIC, TDP)

2 FAM 558 CRIMINAL LAWS
(TL:DS-70; 10-01-2000)

Incidents involving intentional or grossly negligent release or mishandling of classified information may be subject to criminal penalties. An illustrative list of criminal statutes establishing penalties of fine and imprisonment for the release of classified information is set forth in 12 FAM 558 Exhibit 558.
Once the Oligarchy is above the law, the Republic is already dead. Once the people have lost the ability to influence the central state’s policies and decisions, the Republic is dead. Once the elected officials can no longer impose the nation’s statues on the Oligarchy (or have lost interest in doing so because they are all corrupted cronies), the Republic is dead. Once the nation’s agencies of law enforcement are stayed from indicting, prosecuting and jailing members of the Oligarchy, be they super-wealthy politicos like Hillary or super-wealthy Wall Street bankers, the Republic is dead.
The Democratic Party bosses and special interests have already selected Hillary as their shoo-in candidate for the Presidency, and these Oligarchs and special interests won’t let any pesky details like laws protecting the security of the nation stand in the way of their Not So Quiet Coup.
The nation’s Deep State, which I have covered extensively, has at least grudgingly approved Hillary as the next neo-conservative (never met an Imperial entanglement or drone strike she didn’t like), neocolonial (we’re going to put the “little people” in their rightful place, i.e. under our management) Imperial President.
A vote for Hillary, unindicted Oligarch, is a vote in favor of the destruction of the rule of law and the Republic. This is the Rubicon every voter must decide to cross or refuse to cross: vote for Hillary (destroy the Republic and surrender to Imperial Oligarchy) or refuse to vote for an unindicted Imperial Oligarch.

Judge Jeanine's Warning To The GOP: "Your Scorn For The Will Of The American People Is Mindboggling; Be Very, Very Careful"

Tyler Durden's picture

http://www.zerohedge.com/news/2016-03-20/judge-jeanine-republicans-plotting-against-trump-proof-they-are-bed-democrats
Two weeks ago, Judge Jeannine Pirro hit it out of the ballpark with her stunningly honest and frank monologue that "there's an insurrection coming" and that "the American people are sick and tired of crony capitalism."
Overnight, she followed it up with another striking rant, this time explaining why the Republican Party's mantra has suddenly become that "Donald Trump must be stopped. "Why?" she asks rhetorically:"why would Republicans try to sabotage their own front-runner and risk a Democrat winning the White House?" Her answer, which is absolutely accurate: "The Republican establishment, elected officials and party leaders are in bed with the Democrats!"
She explained:
“If Hillary wins, nothing is lost for them, it’s business as usual. The lobbyists keep their offices on K Street, the pharmaceutical companies keep paying them, the unions keep adding to their pensions and the lawmakers get their reelection bribes – I mean contributions – while we the underclass work two and three jobs and rack up a debt our children and grandchildren will have to pay for generations!”
Instead of supporting Trump – “the guy who keeps winning” – party leaders have talked about creating a so-called “‘unity ticket’ of other candidates to make sure he doesn’t win,” said Judge Jeanine. “To scare you into submission, they predict Trump cannot win the general election.”
It’s because “party elders are petrified of Trump,” Judge Jeanine explained. “The man is beholden to no one. He wins, and it’s game over for the elite.”
Her latest clip is below:

* * *
And the full transcript:
So, you don't like Donald Trump. You're going to create a "unity ticket" of other candidates to make sure he doesn't win.
Say again? You want to stop one of the biggest vote-getters in your own party's Republican Party primary history?
Yet ‘Donald Trump must be stopped’ is the Republican Party’s mantra! Hey, I didn't always like my party’s choice for president, but I generally supported him.
Good that Trump is a white male otherwise they'd be accused of being racist, and lucky Trump's not gay otherwise the Republican Party would be accused of being homophobic.
So let me see if I understand this. The guy who keeps winning, despite his being called a misogynist, a racist, and a xenophobe, who has more than 50 percent of the delegates,  with even as many as 17 other Republicans in those primaries and the Republican Party's mission is to block Trump's nomination?
What are you guys smoking?
Okay, you like Ted Cruz. Good for you. But he needs to win 80% of the remaining Republican delegates. Keep dreaming guys – it ain't gonna happen.
John Kasich. Nice guy. Absolutely no path to the nomination.
So I say to myself, ‘Self, why?’ Why would Republicans try to sabotage their own front-runner and risk a Democrat winning the White House? And I keep coming up with the same answer: the Republican establishment, elected officials and party leaders are in bed with the Democrats!
So if Hillary wins, nothing is lost for them, it’s business as usual.
The lobbyists keep their offices on K Street, the pharmaceutical companies keep paying them, the unions keep adding to their pensions and the lawmakers get their reelection bribes – I mean contributions – while we the underclass work two and three jobs and rack up a debt our children and grandchildren will have to pay for generations!
To scare you into submission, they predict Trump cannot win the general election. If not, pray tell why does he keep winning primaries and drawing crowds like we've never seen in American primary history?
An election note primer: Trump already has 678 delegates. He needs 1237 to win. He's won 6 closed and 13 open primaries and caucuses – one where Independents and Democrats – or just Independents vote. Why is this important?
It tells you Trump, besides winning the base, appeals to Independents and Democrats as well. Does that not bode well for the general election, especially against an establishment politician most consider untrustworthy and dishonest.
They say he's divisive. Yet the looting and burning and riots in Ferguson happened long before Trump!  Black Lives Matter, Occupy Wall Street, moveon.org – all before trump. The 'what do we want – dead cops, when do we want them – now' chant, all before Trump.
It's astonishing, Republicans plotting against their own front-runner!
If the establishment had exercised this energy to get evangelical votes to Romney in 2012 he might have won! But then again, it wasn't that important because either way, either party the establishment wins – their jobs, their offices, their lifestyles intact – as they continue on their treadmill of DC money and power.
The party elders are petrified of Trump.  The man is beholden to no one. He wins and it's game over for the elite. With Hillary, the game goes on.
Heads up, Washington. We're not listening to you anymore because we're fed up. You haven't fixed a damn thing. We can't take it anymore: the lies, the corruption, the debt, the taxes, the invasion, the freebies, the lack of accountability, sanctuary cities, religions forced to violate their own faith, by providing birth control and abortifacts at the altar of Obamacare and your saying one thing and doing another.
The patronage games and the free ride on our backs are over. You're not listening. For us, it's not just an election – it's the selection of Supreme Court justices and the direction our country takes for generations. 
We don’t want anything more than what our Founding Fathers intended. The slippery slope into socialism doesn't work for us. We want an America where law enforcement, the military and our allies are not the enemy.
Boys, your arrogance is astonishing. And your condescension and scorn for the will of the American people is both mind-boggling and reminiscent of another time in our history.
From the beginning, we knew this would be a political revolution. Be careful boys, be very, very careful.  You don't want to make this a different kind of revolution.

Saturday, February 27, 2016

NY Times To Hillary: Release Those Damn Bank Speech Transcripts

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http://www.zerohedge.com/news/2016-02-27/ny-times-hillary-release-those-damn-bank-speech-transcriptsHillary Clinton is under the microscope. And rightfully so.
At a time when the American electorate has definitively rejected the entrenched political establishment in favor of two so-called “protest candidates” in Donald Trump and Bernie Sanders, voters want to know why they should elect the former First Lady and Secretary of State.
Why, Americans seem to be asking, is Clinton entitled to be President? Why should it be a foregone conclusion that another member of the country’s political aristocracy gets to stroll into the Oval Office? Republican voters soundly rejected the status quo when Jeb Bush’s campaign fell flat in the face of the Trump juggernaut, but Clinton is a larger-than-life figure (and we don’t necessarily mean that in a good way) who large swaths of the electorate are still inclined to vote for if only because “more of the same” sounds better than “who the hell knows” when it comes to where the country goes starting in 2017.
But perhaps more than ever, America is fed up with business as usual inside the Beltway and if there’s anyone who embodies that concept, it’s Clinton. She’s widely viewed as dishonest and there are serious questions about whether special interests and state actors exercise undue influence over decisions via contributions to the Clinton family charities, through paid speeches, and through who knows what other channels.
More specifically, Americans want to know what Clinton told audiences at speeches she made behind closed doors at events sponsored by Wall Street. This is critical because Clinton has pledged to rein in big banks and go beyond Dodd-Frank to address TBTF. Below, find an Op-Ed from The New York Times, whose editorial board wants Clinton “show voters those transcripts.”
*  *  *
“Everybody does it,” is an excuse expected from a mischievous child, not a presidential candidate. But that is Hillary Clinton’s latest defense for making closed-door, richly paid speeches to big banks, which many middle-class Americans still blame for their economic pain, and then refusing to release the transcripts.
A televised town hall on Tuesday was at least the fourth candidate forum in which Mrs. Clinton was asked about those speeches. Again, she gave a terrible answer, saying that she would release transcripts “if everybody does it, and that includes the Republicans.”
In November, she implied that her paid talks for the Wall Street firms were part of helping them rebuild after the 9/11 attacks, which “was good for the economy and it was a way to rebuke the terrorists.”
In a debate with Bernie Sanders on Feb. 4, Mrs. Clinton was asked if she would release transcripts, and she said she would “look into it.” Later in February, asked in a CNN town hall forum why she accepted $675,000 for speeches to Goldman Sachs, she got annoyed, shrugged, and said, “That’s what they offered,” adding that “every secretary of state that I know has done that.”
At another town hall, on Feb. 18, a man in the audience pleaded, “Please, just release those transcripts so that we know exactly where you stand.” Mrs. Clinton had told him, “I am happy to release anything I have when everybody else does the same, because every other candidate in this race has given speeches to private groups.”
On Tuesday, Mrs. Clinton further complained, “Why is there one standard for me, and not for everybody else?”
The only different standard here is the one Mrs. Clinton set for herself, by personally earning $11 million in 2014 and the first quarter of 2015 for 51 speeches to banks and other groups and industries.
Voters have every right to know what Mrs. Clinton told these groups. In July, her spokesman Nick Merrill said that though most speeches were private, the Clinton operation “always opened speeches when asked to.” Transcripts of speeches that have been leaked have been pretty innocuous. By refusing to release them all, especially the bank speeches, Mrs. Clinton fuels speculation about why she’s stonewalling.
Her conditioning her releases on what the Republicans might or might not do is mystifying. Republicans make no bones about their commitment to Wall Street deregulation and tax cuts for the wealthiest Americans. Mrs. Clinton is laboring to convince struggling Americans that she will rein in big banks, despite taking their money.
Besides, Mrs. Clinton is not running against a Republican in the Democratic primaries. She is running against Bernie Sanders, a decades-long critic of Wall Street excess who is hardly a hot ticket on the industry speaking circuit. The Sanders campaign, asked if Mr. Sanders also received fees for closed-door speeches, came up with two from two decades ago that were not transcribed: one to a hospital trade association, and one to a college, each for less than $1,000. Royalties from a book called “The Speech,” Mr. Sanders’s eight-hour Senate floor diatribe against President Obama’s continuation of Bush-era tax cuts for the wealthy, were donated to the nonprofit Addison County Parent/Child Center in Vermont.
The hazards of Mrs. Clinton, a presidential hopeful, earning more than $200,000 each for dozens of speeches to industry groups were clear from the start. Mrs. Clinton was making paid speeches when shehired consultants to vet her own background in preparation for a run. If they didn’t flag this, they weren’t doing their jobs.
Public interest in these speeches is legitimate, and it is the public — not the candidate — who decides how much disclosure is enough. By stonewalling on these transcripts Mrs. Clinton plays into the hands of those who say she’s not trustworthy and makes her own rules. Most important, she is damaging her credibility among Democrats who are begging her to show them that she’d run an accountable and transparent White House.

Thursday, August 20, 2015

Lehman's Gift To Jeb Bush For Funneling Pension Money: A $1.3 Million Consulting "Job"

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http://www.zerohedge.com/news/2015-08-19/lehmans-gift-jeb-bush-funneling-pension-money-13-million-consulting-job
Submitted by Mike Krieger via Liberty Blitzkrieg blog,
At this point, it almost feels like kicking someone while he’s down. Jeb Bush can’t even stand up to Donald Trump, let alone his own growing series of scandals.
In the latest revelation from David Sirota and team at International Business Daily, we learn that:
For Florida taxpayers, the move by the administration of then-Gov. Jeb Bush to forge a relationship with Lehman Brothers would ultimately prove disastrous. Transactions in 2005 and 2006 put the Wall Street investment bank in charge of some $250 million worth of pension funds for Florida cops, teachers and firefighters. Lehman would capture more than $5 million in fees on these deals, while gaining additional contracts to manage another $1.2 billion of Florida’s money. Then, in the fall of 2008, Lehman collapsed into bankruptcy, leaving Florida facing up to $1 billion in losses.

But for Jeb Bush personally, his enduring relationship with Lehman would prove lucrative. In 2007, just as he left office, Bush secured a job as a Lehman consultant for $1.3 million a year, Bloomberg reported.

Next time, please just ride off into the sunset and paint landscapes with your brother.
Weeks after Bush took the Lehman job, the Florida State Board of Administration (SBA) — a three-member body that makes investment decisions about state pension funds and whose ranks had recently included one Jeb Bush — gave Lehman additional business: SBA purchased $842 million worth of separate investments in Lehman’s mortgage-backed securities. Over the course of one year from June 2007 to June 2008, the SBA would shift an additional $420 million of pension money into the same fund in which the state had begun investing under Bush.

In short, during Bush’s first year working for Lehman, his former colleagues in Tallahassee, the state capital, moved vast sums of Florida pension money into the doomed Wall Street investment bank, even as warnings about its financial troubles began to emerge.

“This is a breathtaking conflict of interest going on here,” said Craig Holman, governmental ethics lobbyist with Public Citizen, a good-government group. “This cost Florida very dearly, and it enriched Jeb Bush.”

Jeff Connaughton, author of the book “The Payoff: Why Wall Street Always Wins,” said the transactions illustrate a larger culture that dominates the politics of finance.

Florida originally began investing money in Lehman in 2005, while Bush was the highest profile member of the SBA, which oversees the $150 billion pension fund. The Bush-led SBA that year committed $176 million to Lehman; in 2006, as Florida moved another $87 million into the Lehman investment, the firm hired Jeb Bush’s cousin, George Herbert Walker, to run the firm’s investment management division.

The next year, Lehman offered the outgoing Florida governor the consulting job. Bush had worked briefly at a Texas-based bank after college, but he lacked significant Wall Street experience.
Fortunately for Jeb, being a crony doesn’t take any real skill.
Most of the investment losses that hit Florida starting in July 2007 were tied to the Lehman mortgage-backed securities bought the year Bush began his employment at the firm.
Screen Shot 2015-08-19 at 2.37.07 PM
*  *  *
For related articles, see:
Jeb Bush Calls Iraq War a “Good Deal,” Expresses Support for Torture and NSA Spying While Campaigning in Iowa
How Jeb Bush’s Recent Speech Bashing Lobbyists Was Organized by Lobbyists
Election 2016 Data Released – Jeb Bush Receives 3% of Funds from Small Donors vs. Bernie Sanders at 81%
A Message to the Peasants – Jeb Bush Says Americans Need to Work Longer Hours
Jeb Bush’s Deep Love Affair with Lobbyists and Cronyism While Governor of Florida Exposed
Poor Jeb Bush – Poll Numbers Plunge in Home State of Florida and Remain Dismal in Ohio and Pennsylvania
Jeb Bush Doubles Down on His Love Affair with the NSA in Recent Interview
An Oligarch Dilemma – Recent Poll Shows 42% of Republican Primary Voters Couldn’t Support Jeb Bush
Jeb Bush Exposed Part 1 – His Top Advisors Will Be the Architects of His Brother’s Iraq War
Jeb Bush Exposed Part 2 – He Thinks Unconstitutional NSA Spying is “Hugely Important”

Wednesday, August 19, 2015

We Are The Government: Tactics For Taking Down The Police State

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http://www.zerohedge.com/news/2015-08-18/we-are-government-tactics-taking-down-police-stateSubmitted by John Whitehead via The Rutherford Institute,
“The people have the power, all we have to do is awaken that power in the people. The people are unaware. They’re not educated to realize that they have power. The system is so geared that everyone believes the government will fix everything. We are the government.”—John Lennon
Saddled with a corporate media that marches in lockstep with the government, elected officials who dance to the tune of their corporate benefactors, and a court system that serves to maintain order rather than mete out justice, Americans often feel as if they have no voice, no authority and no recourse when it comes to holding government officials accountable and combatting rampant corruption and injustice.
We’re impotent in the face of SWAT teams that break down doors and leave toddlers scarred for life. We’re helpless to prevent police shootings that leave unarmed citizens dead for no other reason than the police officer involved felt “threatened.” We shrug dismissively over the plight of fellow citizens who have their heads cracked, their bodies broken and their rights violated for failing to jump to attention when a police officer issues an order. And we fail to care about the thousands of individuals who have been punished with extreme sentences for nonviolent offenses and are forced to spend their lives as modern-day slaves in bondage to private prisons and the profit-driven corporations they serve.
Make no mistake about it: virtually anything and everything is a crime nowadays (feeding the birds, growing vegetables in your front yard, etc.) to such an extent that if a prosecutor, police officer and judge were so inclined, you could be locked up for any inane reason.
This is tyranny dressed up in the official garb of the police state. It is the self-righteous, heavy-handed arm of the law being used as a decoy to divert your attention to the so-called criminals in your midst (the fisherman who threw back small fish into the ocean, the mother who let her child walk to the playground alone, the pastor holding Bible studies in his backyard) so that you don’t focus on the criminal behavior being perpetrated by the government (bribery, cronyism, electoral fraud, slush funds, graft, pork, theft, and on and on).
In the face of such abject injustice, outright corruption and overt inequality, it’s hard to feel empowered to believe the average citizen can make a difference. It’s hard to persuade anyone to stand against tyranny when all you can promise them as a reward is persecution, prosecution and a one-way trip to the morgue. And when the outcome seems to be a foregone conclusion—the government always wins—it can seem pointless, even foolhardy, to dare to challenge the system. As such, it’s far easier to buy into the political process, even though elections amount to nothing of consequence.
There are also those who subscribe to the notion that an armed revolution is the only thing that will save America. These armed resistors are making themselves easy targets and will be the first to be taken down by militarized police who are trained to kill and armed to the teeth with every kind of weapon imaginable, from grenade launchers and sniper rifles to armored vehicles and Black Hawk helicopters.
So how do you not only push back against the police state’s bureaucracy, corruption and cruelty but also launch a counterrevolution aimed at reclaiming control over the government using nonviolent means?
You start by changing the rules and engaging in some (nonviolent) guerilla tactics.
Employ militant nonviolent resistance and civil disobedience, which Martin Luther King Jr. used to great effect through the use of sit-ins, boycotts and marches.
Take part in grassroots activism, which takes a trickle-up approach to governmental reform by implementing change at the local level (in other words, think nationally, but act locally).
And then, while you’re at it, nullify everything the government does that is illegitimate, egregious or blatantly unconstitutional.
Various cities and states have been using this historic doctrine with mixed results on issues as wide ranging as gun control and healthcare to “claim freedom from federal laws they find onerous or wrongheaded.”
Where nullification can be particularly powerful, however, is in the hands of the juror.
As law professor Ilya Somin explains, jury nullification is the practice by which a jury refuses to convict someone accused of a crime if they believe the “law in question is unjust or the punishment is excessive.”
According to former federal prosecutor Paul Butler, the doctrine of jury nullification is “premised on the idea that ordinary citizens, not government officials, should have the final say as to whether a person should be punished.”
Imagine that: a world where the citizenry—not the government or its corporate controllers—actually calls the shots and determines what is just.
In a world of “rampant overcriminalization,” where the average citizen unknowingly breaks three laws a day, jury nullification acts as “a check on runaway authoritarian criminalization and the increasing network of confusing laws that are passed with neither the approval nor oftentimes even the knowledge of the citizenry.”
Indeed, Butler believes so strongly in the power of nullification to balance the scales between the power of the prosecutor and the power of the people that he advises:
If you are ever on a jury in a marijuana case, I recommend that you vote “not guilty” — even if you think the defendant actually smoked pot, or sold it to another consenting adult. As a juror, you have this power under the Bill of Rights; if you exercise it, you become part of a proud tradition of American jurors who helped make our laws fairer.
In other words, it’s “we the people” who can and should be determining what laws are just, what activities are criminal and who can be jailed for what crimes.
Not only should the punishment fit the crime, but the laws of the land should also reflect the concerns of the citizenry as opposed to the profit-driven priorities of Corporate America.
Unfortunately, for thousands of Americans who are serving life sentences for nonviolent crimes as a result of harsh mandatory sentencing laws passed by “tough on crime” politicians, the punishment rarely fits the crime.
As I point out in my book Battlefield America: The War on the American People, with every ill inflicted upon us by the American police state, from overcriminalization and surveillance to militarized police and private prisons, it’s money that drives the police state. And there is a lot of money to be made from criminalizing nonviolent activities and jailing Americans for nonviolent offenses.
This is where the power of jury nullification is so critical: to reject inane laws and extreme sentences and counteract the edicts of a profit-driven governmental elite that sees nothing wrong with jailing someone for a lifetime for a relatively insignificant crime.
Of course, the powers-that-be don’t want the citizenry to know that it has any power at all.
They would prefer that we remain clueless about the government’s many illicit activities, ignorant about our constitutional rights, and powerless to bring about any real change. Indeed, so determined are they to keep us in the dark about the powers vested in “we the people” that the U.S. Supreme Court ruled in 1895 that jurors had no right during trials to be told about nullification.
Moreover, anyone daring to educate a jury about nullification runs the risk of prosecution. Just recently, for example, 56-year-old Mark Iannicelli was charged with seven counts of jury tampering for handing out jury nullification fliers outside a Denver courtroom. Now Iannicelli is not being accused of advocating for or against any case in progress, nor is he charged with targeting any particular members of the jury. Nevertheless, Iannicelli could be sentenced to one to three years in prison because he dared to educate the jurors about an option that no judge or prosecutor ever mentions in court: the right to acquit someone who may be guilty if they also believe that the law is unjust.
Such intimidation tactics proved less successful when used against Julian Heicklen, who was accused of jury tampering for handing out nullifications pamphlets in Manhattan. A federal district court judge found Heicklen not only innocent of the charge of jury tampering, but went so far as to warn that the law—18 U.S.C. § 1504—raises significant First Amendment concerns (“the First Amendment squarely protects speech concerning judicial proceedings and public debate regarding the functioning of the judicial system, so long as that speech does not interfere with the fair and impartial administration of justice”).
Jury nullification has played a significant role in our nation’s history. It was championed early on by John Hancock and John Adams and relied on at various points since then to push back against laws deemed egregious, unjust or simply out of step with the times. Most recently, jury nullification has become a popular tactic to thwart laws that mandate harsh punishments for those convicted of possessing even minimal amounts of marijuana.
For instance, in one case I worked on years ago, a jury refused to convict a 54-year-old man who had been charged with possession of marijuana. Prosecutors claimed that a SWAT team, doing an area-wide land and air sweep, had spotted two marijuana plants growing in the hollow of a dead tree on the man’s 39-acre property. Had the man been found guilty, he would have been sentenced to jail and his 90-year-old mother, blind, deaf and dependent on him for care, would have had to be institutionalized.
In delivering his closing arguments, the prosecutor warned the jury that disagreement with the laws against pot possession and disapproval of police tactics are not valid reasons to nullify a case. Of course, those are exactly the reasons why more Americans should opt for nullification.
In an age in which government officials accused of wrongdoing—police officers, elected officials, etc.—are treated with general leniency, while the average citizen is prosecuted to the full extent of the law, jury nullification is a powerful reminder that, as the Constitution tells us, “we the people” are the government.
For too long we’ve allowed our so-called “representatives” to call the shots. Now it’s time to restore the citizenry to their rightful place in the republic: as the masters, not the servants.
Jury nullification is one way of doing so.
The reality with which we must contend is that justice in America is reserved for those who can afford to buy their way out of jail.
For the rest of us who are dependent on the “fairness” of the system, there exists a multitude of ways in which justice can and does go wrong every day. Police misconduct. Prosecutorial misconduct. Judicial bias. Inadequate defense. Prosecutors who care more about winning a case than seeking justice. Judges who care more about what is legal than what is just. Jurors who know nothing of the law and are left to deliberate in the dark about life-and-death decisions. And an overwhelming body of laws, statutes and ordinances that render the average American a criminal, no matter how law-abiding they might think themselves.
As I’ve said before, when you go into a courtroom, you’re going up against three adversaries who more often than not are operating off the same playbook: the police, the prosecutor and the judge.
If you’re to have any hope of remaining free—and I use that word loosely—your best bet remains in your fellow citizens.
They may not know what the Constitution says (studies have shown Americans to be abysmally ignorant about their rights), they may not know what the laws are (there are so many on the books that the average American breaks three laws a day without knowing it), and they may not even believe in your innocence, but if you’re lucky, they will have a conscience that speaks louder than the legalistic tones of the prosecutors and the judges and reminds them that justice and fairness go hand in hand.
That’s ultimately what jury nullification is all about: restoring a sense of fairness to our system of justice. It’s the best protection for “we the people” against the oppression and tyranny of the government, and God knows, we can use all the protection we can get.
Most of all, jury nullification is a powerful way to remind the government—all of those bureaucrats who have appointed themselves judge, jury and jailer over all that we are, have and do—that we’re the ones who set the rules.
If they don’t like it, they can get another job.

Tuesday, June 23, 2015

White House Lies (Again): Jonathan "Stupidity Of The American People" Gruber Called "Our Hero"

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http://www.zerohedge.com/news/2015-06-23/white-house-lies-again-jonathan-stupidity-american-people-gruber-called-our-hero
Submitted by Mike Krieger via Liberty Blitzkrieg blog,
Jonathan Gruber, the Massachusetts Institute of Technology economist whose comments about the health-care law touched off a political furor, worked more closely than previously known with the White House and top federal officials to shape the law, previously unreleased emails show.

The emails show frequent consultations between Mr. Gruber and top Obama administration staffers and advisers in the White House and the Department of Health and Human Services on the Affordable Care Act. They show he informed HHS about interviews with reporters and discussions with lawmakers, and he consulted with HHS about how to publicly describe his role.

The White House has described Mr. Gruber as having a limited role in crafting the law. President Barack Obama in 2014 said Mr. Gruber was “some adviser who never worked on our staff.” Mr. Gruber told Congress last year he disagreed with the widespread characterization of his role as the “architect” of Mr. Obama’s health-care plan.

“Thank you for being an integral part of getting us to this historic moment,” according to Sept. 9, 2009 email to Mr. Gruber from Jeanne Lambrew, a top Obama administration health adviser who worked at HHS and the White House. In a November 2009 email, she called Mr. Gruber “our hero.”

– From the Wall Street Journal article: MIT Economist Jonathan Gruber Had Bigger Role in Health Law, Emails Show
Pretty much anyone reading this post will be intimately familiar with Jonathan “stupidity of the American voter” Gruber. In case you need a refresher, here’s an excerpt from last fall’s piece, Video of the Day – Obamacare Architect Credits “Lack of Transparency” and “Stupidity of the American People” for Passage of Healthcare Law:
An architect of the federal healthcare law said last year that a “lack of transparency” and the “stupidity of the American voter” helped Congress approve ObamaCare.

He suggested that many lawmakers and voters didn’t know what was in the law or how its financing worked, and that this helped it win approval.

“Lack of transparency is a huge political advantage,” Gruber said. “And basically, call it the stupidity of the American voter or whatever, but basically that was really, really critical for the thing to pass.”
Although the mindset above clearly represents the Obama Administration’s opinion of the unwashed masses, it naturally went into damage control mode after Mr. Gruber’s comments went viral, insisting that the economist played only a very minor role in crafting and selling Obamacare. Similar to most things that come out of Obama’s mouth, this was a boldfaced lie.
The Wall Street Journal reports that:
Jonathan Gruber, the Massachusetts Institute of Technology economist whose comments about the health-care law touched off a political furor, worked more closely than previously known with the White House and top federal officials to shape the law, previously unreleased emails show.

The emails, provided by the House Oversight Committee to The Wall Street Journal, cover messages Mr. Gruber sent from January 2009 through March 2010. Committee staffers said they worked with MIT to obtain the 20,000 pages of emails.

The emails show frequent consultations between Mr. Gruber and top Obama administration staffers and advisers in the White House and the Department of Health and Human Services on the Affordable Care Act. They show he informed HHS about interviews with reporters and discussions with lawmakers, and he consulted with HHS about how to publicly describe his role.

The administration has sought to distance itself from the economist in the wake of his controversial statements in a 2013 video, where he said the health law passed because of the “huge political advantage” of the legislation’s lacking transparency. He also referred to the “stupidity of the American voter.”

Republicans seized on the comments as evidence that supporters of the law purposely misled the public about its costs. Mr. Gruber received nearly $400,000 from HHS for his work focusing on health-policy computer models, according to public records.
Cronyism pays very, very well in America.
The White House has described Mr. Gruber as having a limited role in crafting the law. President Barack Obama in 2014 said Mr. Gruber was “some adviser who never worked on our staff.” Mr. Gruber told Congress last year he disagreed with the widespread characterization of his role as the “architect” of Mr. Obama’s health-care plan.

“His proximity to HHS and the White House was a whole lot tighter than they admitted,” said Rep. Jason Chaffetz (R., Utah), chairman of the House oversight committee. “There’s no doubt he was a much more integral part of this than they’ve said. He put up this facade he was an arm’s length away. It was a farce.”

Mr. Chaffetz on Sunday sent a letter to HHS Secretary Sylvia Mathews Burwell requesting information justifying the department’s sole-source contract with Mr. Gruber for his work on the health law.

Mr. Gruber declined to comment.

One email indicates Mr. Gruber was invited to meet with Mr. Obama. In a July 2009 email, he wrote that Mr. Orszag had “invited me to meet with the head honcho to talk about cost control.”

“Thank you for being an integral part of getting us to this historic moment,” according to Sept. 9, 2009 email to Mr. Gruber from Jeanne Lambrew, a top Obama administration health adviser who worked at HHS and the White House. In a November 2009 email, she called Mr. Gruber “our hero.”

Mr. Gruber also informed HHS about interviews he had with health policy reporters such as Ezra Klein, previously of the Washington Post and now with Vox Media. In a November 2009 email, Mr. Gruber let a top HHS official know the conversation went well and the story would post soon.
Mainstream media on the case as usual.
In a Sept. 23, 2009, email, Mr. Gruber emailed Ms. Lambrew saying “pharma is going to be a huge winner from this bill—maybe $15 billion/year in incremental revenue. Any way to go after them harder for financing?”
You want to know who wasn’t a huge winner? The stupid American voter.
Here’s some proof:
Yep, You Guessed It – Obamacare Website Funneling Private Consumer Info to Private Companies
ObamaFraud: GAO Study Finds Almost All Fake Applicants are Approved for Subsidized ObamaCare
The Obama Administration is Forcing Insurance Companies to Keep Quiet About ObamaCare Problems
Woman Touted as Obamacare Success Story is Now Kicked Off Obamacare
Humana Warns of “‘Adverse ObamaCare Enrollment Mix”
Computer Security Expert Claims he Hacked the ObamaCare Website in 4 Minutes
Serfs Up – Average Healthcare Premiums Have Soared 39%-56% Post Obamacare

Tuesday, April 28, 2015

Government Watchdog Calls The Clinton Foundation "A Slush Fund"



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http://www.zerohedge.com/news/2015-04-28/government-watchdog-calls-clinton-foundation-slush-fund
Submitted by Mike Krieger via Liberty Blitzkrieg blog,

The hits keep on coming. Just last week, in the post, More Clinton Foundation Cronyism – The Deal to Sell Uranium Interests to Russia While Hillary was Secretary of State, I referred to the Clinton Foundation as “a veritable clearinghouse for cronyism masquerading as a charity.” Here’s the full opening paragraph to the piece:
If you looked at the U.S. economy under a microscope, what you’d see is a gigantic cancerous blob of cronyism surrounded by tech startups and huge prisons. If you zeroed in on the cancerous tumor, at the nucleus you’d see a network of crony institutions like the Federal Reserve, intelligence agencies, TBTF Wall Street banks and defense contractors. Pretty close to that, you’d probably find the Clinton Foundation. A veritable clearinghouse for cronyism masquerading as a charity.
Unsurprisingly, I’m not the only one who has come to such a conclusion. In a New York Post article from Sunday that is generating a lot of buzz, Bill Allison, a senior fellow at nonpartisan, nonprofit government watchdog group the Sunlight Foundation, is quoted saying:
It seems like the Clinton Foundation operates as a slush fund for the Clintons.
In case you’re wondering what might prompt Mr. Allison to make such a claim, it’s not just the recent pay-to-play scandals that have emerged. It appears that based on Clinton Foundation tax filings, very little of the charity’s donations are going to, well, charity. In fact, this so called “charity” is so shady, a charity watchdog recently put it on its “watch list” of problematic nonprofits. The New York Post reports:
The Clinton Foundation’s finances are so messy that the nation’s most influential charity watchdog put it on its “watch list” of problematic nonprofits last month.

The Clinton family’s mega-charity took in more than $140 million in grants and pledges in 2013 but spent just $9 million on direct aid.

The group spent the bulk of its windfall on administration, travel, and salaries and bonuses, with the fattest payouts going to family friends.

On its 2013 tax forms, the most recent available, the foundation claimed it spent $30 million on payroll and employee benefits; $8.7 million in rent and office expenses; $9.2 million on “conferences, conventions and meetings”; $8 million on fundraising; and nearly $8.5 million on travel. None of the Clintons is on the payroll, but they do enjoy first-class flights paid for by the foundation.

Charity Navigator, which rates nonprofits, recently refused to rate the Clinton Foundation because its “atypical business model . . . doesn’t meet our criteria.”

Charity Navigator put the foundation on its “watch list,” which warns potential donors about investing in problematic charities. The 23 charities on the list include the Rev. Al Sharpton’s troubled National Action Network, which is cited for failing to pay payroll taxes for several years.
It was the Federalist which first broke the story about the Clinton Foundation spending more money on salaries and travel than grants. It reported the following back in March:
When anyone contributes to the Clinton Foundation, it actually goes toward fat salaries, administrative bloat, and lavish travel.

Between 2009 and 2012, the Clinton Foundation raised over $500 million dollars according to a review of IRS documents by The Federalist (2012, 2011, 2010, 2009, 2008). A measly 15 percent of that, or $75 million, went towards programmatic grants. More than $25 million went to fund travel expenses. Nearly $110 million went toward employee salaries and benefits. And a whopping $290 million during that period — nearly 60 percent of all money raised — was classified merely as “other expenses.” Official IRS forms do not list cigar or dry-cleaning expenses as a specific line item. The Clinton Foundation may well be saving lives, but it seems odd that the costs of so many life-saving activities would be classified by the organization itself as just random, miscellaneous expenses.
Since then, the Clinton Foundation has tried to defend itself, but this is the Federalist’s response, published today:
After a week of being attacked for shady bookkeeping and questionable expenditures, the Clinton Foundation is fighting back. In a tweet posted last week, the Clinton Foundation claimed that 88 percent of its expenditures went “directly to [the foundation’s] life-changing work.”

There’s only one problem: that claim is demonstrably false. And it is false not according to some partisan spin on the numbers, but because the organization’s own tax filings contradict the claim.

In order for the 88 percent claim to be even remotely close to the truth, the words “directly” and “life-changing” have to mean something other than “directly” and “life-changing.” For example, the Clinton Foundation spent nearly $8.5 million–10 percent of all 2013 expenditures–on travel. Do plane tickets and hotel accommodations directly change lives? Nearly $4.8 million–5.6 percent of all expenditures–was spent on office supplies. Are ink cartridges and staplers “life-changing” commodities?

But what if those employees and those IT costs and those travel expenses indirectly save lives, you might ask. Sure, it’s overhead, but what if it’s overhead in the service of a larger mission? Fair question. Even using the broadest definition of “program expenses” possible, however, the 88 percent claim is still false. How do we know? Because the IRS 990 forms submitted by the Clinton Foundation include a specific and detailed accounting of these programmatic expenses. And even using extremely broad definitions–definitions that allow office supply, rent, travel, and IT costs to be counted as programmatic costs–the Clinton Foundation fails its own test.

If you take a narrower, and more realistic, view of the tax-exempt group’s expenditures by excluding obvious overhead expenses and focusing on direct grants to charities and governments, the numbers look much worse. In 2013, for example, only 10 percent of the Clinton Foundation’s expenditures were for direct charitable grants. The amount it spent on charitable grants–$8.8 million–was dwarfed by the $17.2 million it cumulatively spent on travel, rent, and office supplies. Between 2011 and 2013, the organization spent only 9.9 percent of the $252 million it collected on direct charitable grants.

While some may claim that the Clinton Foundation does its charity by itself, rather than outsourcing to other organizations in the form of grants, there appears to be little evidence of that activity in 2013. In 2008, for example, the Clinton Foundation spent nearly $100 million purchasing and distributing medicine and working with its care partners. In 2009, the organization spent $126 million on pharmaceutical and care partner expenses. By 2011, those activities were virtually non-existent. The group spent nothing on pharmaceutical expenses and only $1.2 million on care partner expenses. In 2012 and 2013, the Clinton Foundation spent $0. In just a few short years, the Clinton’s primary philanthropic project transitioned from a massive player in global pharmaceutical distribution to a bloated travel agency and conference organizing business that just happened to be tax-exempt.
Now here’s the money shot:
Screen Shot 2015-04-27 at 3.14.34 PM
So are you ready?
Screen Shot 2015-02-20 at 1.43.43 PM

Wednesday, April 8, 2015

Inside the Cushy, Fabulously Compensated Life of an Ex-Congressman

Former representatives reap bountiful harvests from their Capitol Hill experience and old-fashioned cronyism.
http://www.alternet.org/news-amp-politics/inside-cushy-fabulously-compensated-life-ex-congressman
Photo Credit: Flickr/Gage Skidmore
As the latest chapter in the curious saga of Congressman Aaron "Fly Me" Schock recently came to an end, there was an unintentionally, darkly comic moment. It happened just after the Downton Abbey fanboy announced his resignation from the House of Representatives.
In an interview, his father, Dr. Richard Schock, told a Chicago TV station, "Ten years from now, whatever he's doing, he'll be successful at it. I promise you that. Two years from now, he'll be successful... if he's not in jail."
Now that's a proud dad for you—assuming my boy's not in the slammer, he'll be on top of the world. But Papa Doc may have a point. In fact, what do you want to bet that if Aaron Schock's not in jail, he'll soon be back on Capitol Hill, a success once again, pulling in an even heftier paycheck, not as an elected official but as a privileged member of the lobbying class -- pressing the flesh, making deals, and facilitating fat campaign contributions for the GOP the same way he did while a congressman, plying the rich with concert tickets, fancy dinners and other assorted perks?
Look at former House Majority Leader Eric Cantor -- an even bigger Republican money magician --- defeated in a primary in his Virginia home district by an upstart who made the incumbent's obeisance to the financial industry a central issue of his campaign. Remember the Wall Street Journal's headline? "Eric Cantor's Loss a Blow to Wall Street."
Turns out it was a glancing blow at best. Eric's back and Wall Street's got him. As the Times' Mark Leibovich wrote, just weeks after his primary fiasco, Cantor was "the latest example of Washington's upward-failing, golden-parachuted, everybody-wins calculus." Sure enough, September came and with it news that Cantor was joining the boutique global investment bank Moelis & Company. The Times commented when the announcement first appeared in the Wall Street Journal:
Mr. Cantor has no previous experience in high finance or investment banking. But the reason for his new job is clear: The Moelis founder Ken Moelis told the Journal that he was hiring Mr. Cantor in part for his ability to open doors -- an admission that Mr. Cantor will now be paid to trade on the influence and friendships he developed as a House leader.
As if to prove that last point, just a few weeks ago, Cantor threw a party to open the new Washington office for Moelis, and the hobnobbing fun was intense. There they all were, toasting their boy Eric: House Speaker John Boehner; the new House majority leader, Kevin McCarthy; Majority Whip Steve Scalise; Deputy Whip Patrick McHenry and chair of the House Republican Conference, Cathy McMorris Rodgers -- not to mention, according to Politico.com, "a few House Democrats and a handful of GOP senators."
A fellow former member of the Virginia congressional delegation, Tom Davis, toldPolitico, "Eric will find very quickly that you don't have to be a member of Congress to be an influencer. He's got one of the best Republican Rolodexes in the country..." To that end, Cantor already has held a meet and greet for Chris Christie in Richmond and given advice to Wisconsin Governor Scott Walker.
This is what ex-members of Congress and their staffs do nowadays. Rarely do they follow the example of ancient Rome's Cincinnatus and go back to the farm -- or take that teaching job at the local university or join a hometown law practice. They stay in DC to reap the bountiful harvest that comes from Capitol Hill experience and good old fashioned cronyism.
As a result of November's midterm elections and retirements, at the beginning of the year nearly 50 members of the House and a dozen senators got the old heave-ho but competition for their services within the Beltway was, as the National Law Journalreported, "hot."
The legal newspaper observed, "Firms usually want big names from leadership of industry regulation-focused committees, but with collegial, bipartisan reputations." Washington headhunter Ivan Adler told the paper that bidding starts at a million for a retired senator, $500,000 or more for a former House member. And three years ago, investigative journalist Lee Fang found that when they join the lobbying world, "Lawmakers increased their salary by 1,452 percent on average from the last year they were in office to the latest publicly available disclosure."
A quick look at a few February and March editions of the congressional newspaper The Hill tells the tale:
February 24—"Recently retired Rep. Henry Waxman (D-California) is headed to K Street. Waxman Strategies, a consulting firm owned by his son Michael, announced the move on Tuesday. The veteran congressman will serve as the chairman of the firm... Waxman served 40 years in Congress, including high-profile roles on the House Energy & Commerce Committee and the Committee on Oversight & Government Reform... He will focus on clients in the healthcare, environment, energy, technology and telecommunications arenas, including helping those involved in congressional investigations."
February 27—"Former Sen. Mark Pryor (D-Arkansas) will be joining the K Street ranks at law and lobby firm Venable, a partner at the firm confirmed to The Hill on Friday. Pryor lost his Senate seat in last year's elections after a bitter battle with Republican Rep. Tom Cotton. Immediately after, headhunters began sizing him up for potential private-sector positions."
March 11 -- "Former Rep. Phil Gingrey (R-Georgia) has popped up on K Street. Law firm Drinker Biddle & Reath announced on Wednesday that he would be joining the government and regulatory affairs practice as a senior advisor... Gingrey, a doctor specializing in obstetrics and gynecology, served on the House Energy and Commerce Committee in addition to the panel's health subcommittee... At the firm, he will work on issues not just in the healthcare space, but also trade, education, energy and telecommunications."
March 12 -- "The former chairman of the powerful tax panel, ex-Rep. Dave Camp (R-Michigan), is the latest to join K Street. PricewaterhouseCoopers (PwC) announced on Thursday that Camp would become a senior policy advisor within the firm's Washington national tax services practice. He retired at the end of the last congressional session, after serving 12 terms. Before his departure, however, Camp released draft legislation that would overhaul the nation's tax system."
March 16 -- "Former Rep. Tom Latham has joined a boutique consulting and lobbying firm, Hecht, Spencer & Associates, adding his name to the shop. Rebranding the firm as Hecht, Latham, Spencer & Associates, Inc., the Iowa Republican who retired at the end of the last congressional session will serve as a partner."
Latham was chair of the House Appropriations Subcommittee on Transportation and Housing and Urban Development, among other assignments. Meanwhile, the Atlanta Journal-Constitution reported that Georgia Republican and former House member Jack Kingston "has launched his post-Congress career at the powerhouse lobbying firm Squire Patton Boggs... As an 11-term veteran and high-ranking member of the Appropriations Committee, Kingston's experience and contacts made him a sought after prize in Beltway circles."
You get the picture: In the words of the Times' Mark Leibovich, each of these fellows is, "in some sense, living proof of the thing that most voters loathe about Washington: the notion that membership in its political class guarantees a win-for-life lottery ticket." He quoted these statistics from the Atlantic magazine: In 1974, three percent of retiring members became lobbyists; now it's half of all senators and 42 percent of House members.
Legally, there is an official cooling-off period: departing senators have to wait two years to become a registered lobbyist and do business with their former colleagues; representatives a year. Some have suggested making the bans longer, perhaps as much as six years. Not a bad idea, but the reality is, many of them don't bother registering at all, getting away with calling themselves consultants or advisers -- a lobbyist in all but name.
Certainly the money's just as good. Take former South Dakota Senator Tom Daschle, also the former Senate majority leader and non-lobbyist supreme. At The Intercept, Ken Silverstein reports that in 2003, a year before he lost his bid for re-election, Daschle's net worth was listed as between $400,000 and $1.2 million. Then he began "consulting" and presto: "During the two years prior to his failed nomination to head Health and Human Services he netted $5.2 million, mostly from healthcare, energy, private equity and telecommunications companies." Last fall, Daschle and his wife -- who's a highly successful and wealthy DC insider herself -- sold their seven-bedroom, seven-bathroom DC home for $3.25 million. And they're building a South Carolina vacation home on land they bought for $1.3 million.
All this without Tom Daschle ever signing up as an official lobbyist (although he has recently said he will register with the Department of Justice under the Foreign Agents Registration Act—he's working for the government of Taiwan).
The plutocrats continue buying government by picking up ex-members of Congress like so many players in fantasy baseball, using them to keep smashing up what's left of both democracy and a middle class nurtured by organized labor and decent wages. "The corporate campaign created a political consensus that churns out business-friendly policies no matter which party is in power," Ken Silverstein writes. "It also changed the nature of government employment. Fifty years ago, people came to Washington drawn by a sense of public service, however they defined it, and they often stayed in the public sector over much of their careers. Now working in government is a brief way station on the road to better things. Many of those who come to DC with little wealth leave in a position to become rich, and those who come rich are able to become richer."
And that's one more reason why this stinks. For not only have the monied interests captured our representatives with their campaign contributions and assorted favors, they have lassoed them in before they even leave office with the promise of massively profitable jobs when the incumbents exit. Forget about the interests of the average voter; elected officials are already thinking about the next gig and how to please the billionaires who will be signing their future paychecks. Let's face it: a new tax break or government contract always makes a nice thank-you gift.
What a breath of fresh air if a legislator's attitude was more like the one expressed by soon-to-be-departing Senate Minority Leader Harry Reid. Asked if he'd go into the lobbying trade, last week he told the The New York Times, "I'd rather go to Singapore and have them beat me with whips."
A worthy sentiment, but hang on. In 2013, Reid's net worth was estimated by the Center for Responsive Politics at a little more than $4.5 million. The Washington Post estimates that, "in the last campaign cycle, lobbyists gave his political and leadership committees $1.3 million." His sons and son-in-law have all worked in the lobbying industry. And The Hill reports, "More than two-dozen prominent K Streeters used to call Reid their boss on Capitol Hill."
Lest we forget, after cold hard cash and influence-peddling, hypocrisy is Washington's currency of choice.