Bailout Oversight: House Dems Attacked Regulator in 2004

2004: Congressional Democrats Shoot the Messenger Warning of Problems at Freddie Mac, Fannie Mae
2008: Obama declares problems are result of "Deregulation" by Bush, McCain

"...I'm just pissed off at FHEO (Federal Housing Enterprise Oversight), because if it wasn't for you, I don't think we'd be here today."
--Rep. Gregory Meeks (D-NY) 2004 Congressional hearing
To Almando Falcon, FHEO director who presented the report of widespread accounting irregularities in Fannie Mae and Freddie Mac




"I don't see anything in the report that raises safety and soundness problems."
--Rep. Barney Frank (D-MA) 2004 on Fannie Mae and Freddie Mac irregularities

C-SPAN video footage of a Congressional hearing you will not see in the Mainstream Media.

Democrats insist that the $700 billion bailout will have "oversight".

What happened four years ago when the Federal Housing Enterprise Oversight director issued a report raising the alarm about irregularities at Freddie Mac and Fannie Mae?

Democrats attacked the agency in charge of oversight. Will it be any different with the "New Improved Oversight"?





"...I'm just pissed off at FHEO (Federal Housing Enterprise Oversight), because if it wasn't for you, don't think we'd be here today."
Rep. Gregory Meeks (D-NY) 2004 Congressional hearing
To Almando Falcon, FHEO director who presented the report of widespread accounting irregularities in Fannie Mae and Freddie Mac

"I don't see anything in the report that raises safety and soundness problems."
--Rep. Barney Frank (D-MA) 2004 on Fannie Mae and Freddie Mac irregularities

"I get the feeling that the markets are not worried about the safety and soundness of Fannie Mae..."
--Rep. Lacy Clay (D-MO) 2004 hearing

"Under the outstanding leadership of Frank Raines, everything in the 1992 Act has worked just fine."
--Rep. Maxine Waters (D-CA) 2004 hearing

"But the concern that I have is that you are making very specific--what you have correctly acknowledged--very broad and categorical judgments about the management of this institution, about he willfullness of practices that may or may not be in controversy. You've imputed various motives to the people running the organization. You went to the board and put a forty-eight hour ultimatum on them, without having any specific regulatory authority to put that ultimatum on them. It sounds like some kind of invisible line has been crossed."
--Rep. Artur Davis (D-AL) 2004 hearing
To Almando Falcon, FHEO presenting the report about problems with Fannie Mae, Freddie Mac and Franklin Raines

Thanks to Naked Emperor News, this incredibly incriminating footage on C-Span from 2004 shows a Congressional hearing on oversight of Fannie Mae and Freddie Mac, investigating illegal book keeping of the government backed banking companies.

You’ll notice Democrats like Barney Frank, Maxine Waters, Gregory Meeks and Artur Davis saying Fannie Mae and Freddie Mac were doing just fine, didn’t need to be investigated and beating up on regulators trying to keep Fannie and Freddie honest.

Meanwhile, Republicans like Richard Baker, Ed Royce, Christopher Shays and Don Manzullo predict trouble ahead at Frannie and Freddie, call for more oversight and condemn the incredible profits of the CEOs of these government sponsored financial companies.
--2004 Footage Shows Democrats Defending Fannie/Freddie Illegal Book Keeping While Republicans Call for Oversight

One of the chief roadblocks to the $700 billion bailout is the House Republicans not buying into handouts to the very people that we were warned about four years ago.

The House Republicans are well aware how well "oversight" worked four years ago when the agency responsible exercised some oversight.

Meanwhile, the Mainstream Media cautions their remaining "news" customers not to make the financial bailout into a partisan issue.

Little wonder.


by Mondo
image: amnesty international

PageGate II: Investigation Ordered by Pelosi, Boehner

Mark Foley was anxious to turn over another page

Democratic Speaker Nancy Pelosi moved quickly to snuff out "PageGate II", the revelations that the House Page Board has been getting timely information.

These are the same charges that dogged Republicans last year after the Mark Foley scandal broke. House leadership knew but didn't do anything.

Now it seems that those charges are back, even though the leadership of the House has changed from Republican hands into that of the Democrats.

Two members of the board resigned last week, calling attention to recent misbehavior of the pages that wasn't received by the Board "in a timely manner".

Shelly Moore Capito (R-WV) and Ginny Brown-Waite (R-FL) both quit the Board after revelations of page misconduct that was known by the House leadership, but left the Board out of the loop. This is the same charge hurled at Republicans when the Foley news broke late last year.

“It is with great regret and a heavy heart that I announce my intention to resign as a member of the House Page Board," Capito said through a spokesman.

“I looked forward to the opportunity to reform a very valuable program. Unfortunately, the problems with communication between board members that plagued the program in the past have only continued under new House leadership.

“Members of this board cannot productively tackle problems that may occur with our pages when questionable incidents are held from members of the Page Board.

“There have been numerous occurrences this year in which board members have not received timely information, and it is my belief that to move forward we must start fresh with a truly open dialogue.”

Capito and Waite resigned to protest what they called lax oversight.

Five Congressional pages have been involved in misdeeds recently: two were expelled for shoplifting. The items shoplifted were "a large amount of merchandise; not a stick of gum", according to a spokesman for Capito.

Two pages -- usually high school juniors who serve Congress as messengers -- have been dismissed for allegedly having oral sex in public areas of their Capitol Hill dormitory.

"It wasn't kissing and hugging -- let me put it that way," said Rep. Ginny Brown-Waite, R-Florida, last week. "It did go beyond that. There were not only a young male and female involved, but there were also observers and other page participants who were, let's say, enablers."

Just last week, another page was "involved in a fist fight" and also expelled.

Capito was cheered by news of the investigation.

“I applaud the Minority Leader and the Speaker for addressing this issue in a bipartisan manner,” said Rep. Capito.

“A program designed for young people truly deserves such a bipartisan – even nonpartisan – approach.”

A year ago, questions about what Republican leaders knew about Foley’s communications with former male pages and when they knew it cost GOP candidates at the polls.

Now, with sex and pages in the news on the Democrats’ watch, Pelosi appears to be trying to minimize the political fallout by bringing House Republican Leader John A. Boehner into the loop.

Pelosi and Boehner emerged from a meeting Thursday over allegations of sexual and criminal activity by pages with a rare joint statement directing the House Inspector General to conduct an independent investigation.
“We expect the Inspector General to gather the facts and recommend the appropriate and necessary corrective actions to be taken by the House,” they said. “We will also work together to select a highly regarded, independent entity to conduct a thorough review of the Page Program’s organization and operation, and make recommendations concerning its long-term future.”

The move follows reports that two pages engaged in oral sex in front of other pages at their Capitol Hill dormitory. The criminal allegations involve shoplifting. At least four pages have been sent home this year for misconduct.

Page Gate II: page misconduct and the leadership appears to have known about it without informing the people responsible for oversight of the page program.

We heard about this last year. We were told changes were made and the results would be different.

It appears that something is wrong again. The circumstances are similar.

What remains to be seen is if the media will engage in the same feeding frenzy as a year ago--when the Republicans were running the show.

by Mondoreb
Sources:
Pelosi, Boehner Order Investigation of Page Program
House Investigates Alleged Congressional Page Scandal
Capito Web Site Press Release
Notes, talk with Capito press spokesman, Jonathan Coffin



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