Barney Franks incompetence politics made financial crisis worse
by Dan Riehl
The document trail below reveals some extremely troubling questions for Representative Barney Frank. Is the GAO report cited below truly the first serious investigation of the mortgage meltdown? Did Congress or the Financial Services committee he chairs have access to mortgage meltdown information from other sources, especially with said GAO report already well on its way to completion?
Why was Barney Frank pushing for his “expanding home ownership bill” in the midst of this looming crisis he already has good reason to suspect was going to get worse? Was he pushing it for purely political purposes prior to the 2008 election, while knowing full well the American housing market was headed for disaster and American taxpayers would be left on the hook as a result of his policies?
While not quite a smoking gun, an examination of the record suggests that while Rep. Barney Frank had good reason to be concerned of a pending meltdown in the housing sector, either out of sheer incompetence, or political maneuvering, he did the exact opposite of what he should have done as a representative of the people of Massachusetts.
Via Mortgage News Daily, on April 24, 2007, problems within the mortgage industry were already coming to light. And it was happening right in front of Barney Frank’s committee.
The chief executives of both Freddie Mac and Fannie Mae as well as the Chairman of the Federal Deposit Insurance Corporation and the Federal Housing Commissioner and Assistant Secretary of the Department of Housing and Urban Development testified last week in a hearing before the U.S. House Committee on Financial Services about solutions to the current subprime mortgage turmoil.
In fact, it led Frank, among others, to request an indepth GAO study of the issue. The details of their concerns at link. So, Frank was obviously aware of serious issues within the mortgage industry in Spring 2007. So, what would be the competent, prudent thing to do? The smart play would be to wait before potentially making things worse, unless of course one was thinking more about politics and 2008.
Subsequent to the hearing, Chairman Barney Frank and Ranking Member Spencer Bachus requested that the Government Accountability Office (GAO) conduct a thorough study of the reasons for the recent surge in foreclosures. In a letter to GAO’s Comptroller General, Frank and Bachus said that it seems clear that the type of mortgages that have been offered to borrowers in recent years is one such factor, but perhaps not the only one.
The two Congressmen instructed GAO to examine the current state of the problem, its causes, and potential solutions, and seek to provide answers to the following questions, as well as any others that the GAO finds to be relevant.
Just one month before the GAO report referenced above was officially released, Frank teamed up with Maxine Waters and the House passed comprehensive FHA reform. A best case scenario would be that Frank acted incompetently, without having seen the pending results of the GAO study. But these studies aren’t done in a vacuum. Had Frank and the Democrats held off just one month, it’s quite possible that passing the FHA reform legislation would have been politically untenable. Consequently, there’s good reason to question if this wasn’t actually a far more sinister action undertaken to appease certain consitutents priot to the 2008 election.
It’s time for Barney Frank to stop dancing and answer the questions presented at top.
Washington, DC – The U.S. House of Representatives today overwhelmingly passed H.R. 1852, the “Expanding American Homeownership Act of 2007,” which will revitalize the Federal Housing Administration (FHA), a federally insured loan program that for over 60 years has been a reliable source of affordable fixed rate mortgage loans, especially for first-time homebuyers. The measure, originally introduced by Representative Maxine Waters, Chairwoman of the Subcommittee on Housing and Community Opportunity, and Barney Frank, Chairman of the Financial Services Committee, will enable FHA to serve more subprime borrowers at affordable rates and terms, recapture borrowers that have turned to predatory loans in recent years, and offer refinancing loan opportunities to borrowers struggling to meet their mortgage payments in the midst of the current turbulent mortgage markets.
The Obama Files - Go to Newzeal.blogspot. Follow the links at newzeal and read for yourself. Then you can decide to look further at other sites on the web about Obama. Do your research and find out for yourself if he is he really who we want to lead this nation?
◦The Obama File 1 Forget Islam-Look at Obama's Socialism!
◦Obama File 2 Barack Obama Was Endorsed by Chicago Marxists
◦Obama File 3 Socialist Unionists Endorse Barack Obama
◦Obama File 4 Obama Was Endorsed by Far Left "New Party"
◦Obama File 5 Barack Obama Courted Chicago Marxists, Peace Activists
◦Obama File 6 Bolshevik Barbara Bolsters Obama
◦Obama File 7 Barack Obama and the Democratic Socialists of America
◦Obama File 8 Baltimore Communists Back Obama
◦Obama File 9 US Communists Explain Backing For Barack Obama
◦Obama File 10 Barack Obama and the Socialist "Mafia"
◦Obama File 11 Communists Muster Latino Vote for Barack Obama
◦Obama File 12 Jan Schakowsky-Barack Obama's Loyal Socialist Supporter
◦Obama File 13 Top Communist Not Fooled By Obama's Critics
◦Obama File 14 Socialist Led Mega-Union Backs Barack Obama
◦Obama File 15 Socialist Octogenarians for Barack
◦Obama File 16 Barack Obama and the Legacy of Harold Washington
◦Obama File 17 Major Union Federation Endorses Barack Obama-More Socialist Links
◦Obama File 18 Will Obama Be the Communist Party's "People's President"?
◦Obama File 19 Obama '08 "All the Way With DSA"
◦Obama File 20 Young Communist League Backs Barack Obama-Again
◦Obama File 21 Top Communist Criss-Crosses the US for Obama
◦Obama File 22 Barack Obama, Danny K Davis and the Marxist New Party
◦Obama File 23 Alice Palmer-Obama's Soviet Sympathising Patroness
◦Obama File 24 Obama's Major Socialist Supporter
◦Obama File 25 CCDS Marxist-Leninists Come Out for Obama
◦Obama File 26 William McNary, Yet Another Obama Radical?
◦Obama File 27 Reds, Radicals, Terrorists and Traitors-Progressives For Obama
◦Obama File 28 Top US Communist-Elect Obama "Go On to Change the World"
◦Obama File 29 Senior US Socialist Jose LaLuz, Manipulates Latino Vote for Obama
◦Obama File 30 Former Terrorists Bill Ayers and Bernardine Dohrn Involved in Key Pro-Obama Organisation
◦Obama File 31 Grey Power! Ageing Texan Radicals for Obama
◦Obama File 32 Toxic Trio! Ayers, Davidson, Klonsky Linked to Pro-Obama Organisation
◦Obama File 33 More Weathermen For Obama
◦Obama File 34 Black Radicals for Obama
◦Obama File 35 Even More Weathermen For Obama-Connections, Connections, Connections
◦Obama File 36 How Socialist Was Obama's "New Party"?
◦Obama File 37 Obama's Mentor, Frank Marshall Davis- Was He Still a Communist?
◦Obama File 38 Barack Obama, Frank Marshall Davis, Vernon Jarrett-One Degree of Seperation ◦Obama File 39 Barack Obama, Carol Moseley Braun and the Chicago Socialist Machine
◦Obama File 40 Bill & Bernardine's Buddy Bert, Backs Barack
◦Obama File 41 Obama Was a New Party Member-Documentary Evidence
◦Obama File 42 Obama's Socialist Neighbour, Jackie Grimshaw
◦Obama File 43 Former Weatherman Terrorists, Marxists, New Party Veterans, Unite Behind Obama
◦Obama File 44 More On Barack Obama and the Socialist New Party
◦Obama File 45 Obama's Cuddly Old, Terrorist Friendly, Socialist Friend and Neighbour-Rabbi Arnold Wolf
◦Obama File 46 The Axelrod Axis-Who Is Behind the Man Behind Obama?
◦Obama File 47 The Paid Soviet Agent Behind Axelrod and Obama
◦Obama File 48 Obama's Subtle Sermon-Advice to Socialist Allies
◦Obama File 49 How Communists, Socialists and Obama Can Change America
◦Obama File 50 Communist Party Strategy for Obama's America
◦Obama File 51 Top Communists Used Influence for Obama Victory
◦Obama File 52 Communists Celebrate Obama Victory, Plan Steps to Socialism
◦Obama File 53 Why Did Obama Appoint A Socialist To His "Transition Team"?
◦Obama File 54 Communist Party Leader On Obama "We Are Speaking To A Friend"
◦Obama File 55 Former Weatherman Terrorist and Comrade Discuss Obama-"Lenin Would Be Impressed"
◦Obama File 56 Son of Atom Bomb Spy "Don't Mourn Obama's Leanings -- Organize to Push Him the Other Way..."
◦Obama File 57 Obama's Socialist Ally Joins Powerful Congressional Committee
◦Obama File 58 Hilda Solis-Obama's Labor Secretary's Socialist Connections
◦Obama File 59 Top Socialist's Memo To Obama
◦Obama file 60 Institute For Policy Studies Plans Obama's America
◦Obama File 61 Institute for Policy Studies and the Obama "Movement"
◦Obama File 62 Obama "Understands What Socialism Is", Works With "Socialists With Backgrounds in the Communist Party"
◦Obama File 63 Obama's "Energy Czar" and the Socialists-Foreign and Domestic
◦Obama File 64 Symbolic? Socialist Singer Seeger Serenades Obama
◦Obama File 65 Obama's "Brains Trust"? More From the Institute for Policy Studies
◦Obama File 66 Socialist Leader-Use Obama Presidency to Create a "Permanent Progressive Majority"
◦Obama File 67 Breaking! Communist Leader Claims Obama Considering Nationalisation of Finance, Energy, Private Businesses
◦Obama File 68 Obama, Antonio Villaraigosa and the Harry Bridges Connection
◦Obama File 69 The Communists, Obama and the Cesar Chavez Holiday Campaign
◦Obama File 70 Obama's Socialist Attack Hounds to "Block" Blue Dog Democrats
◦Obama file 71 Former Terrorist Mark Rudd, Assesses Obama's Progress
◦Obama File 72 Obama Appoints "Former" Communist To White House "Green Job"
◦Obama File 73 Weather Alert! Obama's "Green Jobs" Czar Linked to Former Terrorist Supporters?
◦Obama File 74 Communists Honor Obama's Former Pastor-More Dots Connected
◦Obama File 75 American Rights at Work-Obama's Socialist Labor "Commissars".
◦Obama File 76 Leon Despres Dies-Obama's Socialist "Trailblazer" Moves On To Subvert Heaven?
◦Obama File 77 Sam Webb Lays Out Communist Agenda for Obama Administration
◦Obama File 78 Hard Evidence! Proof That Obama's Hawaii and Chicago Communist Networks Were Linked?
◦Obama File 79 Filling In the Gaps-More on Obama and Chicago Democratic Socialists of America
◦Obama File 80 Michelle and Barack's Black Panther Mentor
◦Obama File 81 Former Weather Underground Terrorists and '60s Maoists Nurtured Obama's "Green Jobs" Czar
◦Obama File 82 Exclusive! Obama, the Communist Van Jones and the Demos Connection
◦Obama File 83 Obama's Man Van Jones-Many Roads Lead to Cuba, Communism
◦Obama File 84 Why Was Obama's "Brain" Valerie Jarrett So Happy to Hire Communist Van Jones? Was it Fate?
◦Obama File 85 Security Implications? Obama's Man Axelrod Was Mentored by Marxist Radicals
◦Obama File 86 Obama "Czar" Ron Bloom's Socialist Vision for US Industry
◦Obama File 87 Obama's Socialist Appointees-Where is the Spotlight?
◦Obama File 88 Parallel Lives? Obama's "Go To" Man, Patrick Gaspard and New York Socialism
◦Obama File 89 Deepak Bhargava "Advancing Change in the Age of Obama"
◦Obama file 90 Alice Palmer re-examined-Was Obama's First Political Boss a Soviet "Agent of Influence"
◦Obama File 91 Barack Obama and the Socialist Healthcare Scamsters
◦Obama File 92 Some Christmas Reading for Your Senators-Obama, Young, Conyers and Socialized Healthcare
◦Obama File 93 Obama's Marxist Doctor, Once Supported Google Health Advisor
◦Obama File 94 Concert or Coincidence? Obama and the Committees of Correspondence Connections
◦Obama File 95 Obama's Socialist Advisers Push Immigration Reform to "Create a Governing Coalition for the Long Term"
◦Obama file 96 Coincidence? Obama, Frank Marshall Davis and the Earl Durham Connection
◦Obama File 97 Obama and the Weissbourds - Was There a Frank Marshall Davis Connection?
◦Obama File 98 Obama Science Czar Holdren's Pro - Soviet Associations
◦Obama File 99 Security risk? Obama "Science Czar" John Holdren and the Federation of American Scientists
◦Obama File 100 Obama's "Faith Adviser" Jim Wallis, Mixes With Socialists Radicals and "Truthers"
◦Obama File 101 Who's Been Fibbing Then? Evidence That Obama Was Deeply Involved in Socialist New Party "Sister Organization"
◦Obama File 102 America's Little Lenin? Joel Rogers and the Obama Movement
◦Obama File 103 Barack Obama's "Respectable" Socialist Mentor - Abner Mikva
◦Obama File 104 Radical Royalty - Obama's Federal Reserve Pick - Sarah Bloom Raskin
◦Obama File 105 "A Pattern of Socialist Associations" - Obama's Supreme Court Nominee, Elena Kagan (the Early Years)
◦Obama File 106 Obama's Supreme Court Nominee, Elena Kagan's Socialist Associations (the Middle Years)
◦Obama File 107 Neil Abercrombie, Yet Another Covert Socialist in the Obama "Orbit"
◦Obama File 108 Pro Obama "JournoLista" Outed - New "Can of Worms" Opened
◦Obama File 109 "JournoList" - the Soros, Google, Free Press and Obama Connections
◦Obama File 110 Collusion! How Socialist Harold Meyerson Kickstarted the Obama Propaganda Machine
◦Obama's Church: It's Hidden Ties to Black Extremism and Communism Part 1
◦Obama's Church: It's Hidden Ties to Black Extremism and Communism Part 2
◦Obama's Church: It's Hidden Ties to Black Extremism and Communism Part 3
◦Obama's Church: It's Hidden Ties to Black Extremism and Communism Part 4
◦Obama's Church: It's Hidden Ties to Black Extremism and Communism Part 5
◦Obama's Church: It's Hidden Ties to Black Extremism and Communism (Final)
◦Pelosi Dossier 1 Nancy Pelosi and the Radical Hallinan Clan