 That rumbling sound you hear is Honest Abe rolling in his grave. | | Item 1
1. FEC Admits Obama Got Preferential Mortgage Rate The Federal Election Commission has closed its file on a complaint alleging that then-Sen. Barack Obama received a below market rate mortgage loan in 2005 for a $1.65 million home in Chicago. But while the FEC ruled that no laws were violated, the agency did confirm that Obama received the discount rate. And the lending institution has acknowledged that Obama got preferential loan terms due to his position in the Senate. The complaint was filed in July 2008 by Judicial Watch, a non-profit educational foundation that works to combat government corruption. It stated that Obama received a home loan of $1.32 million at a rate of 5.625 percent from Northern Trust in Illinois, although the average going rate at the time, according to two different surveys, was between 5.93 and 6 percent. The Washington Post, which first raised questions about the loan, noted that "Obama paid no origination fee or discount points, as some consumers do to reduce their interest rates." The Post calculated that the favorable rate would save Obama $300 a month, amounting to at least $108,000 over the life of the 30-year loan. Judicial Watch contended that these preferential loan rates constituted an illegal corporate campaign contribution to Obama. Northern Trust Vice President John O’Connell "essentially admitted the company provided Obama preferential loan terms because of his position in the U.S. Senate," according to a statement from Judicial Watch. O’Connell told the Post: "A person’s occupation and salary are two factors; I would expect those are two things we would take into consideration." Judicial Watch's complaint also cited a report from the Center for Responsive Politics that Northern Trust employees contributed $71,000 to Obama’s political campaigns since 1990. The FEC based its decision to exonerate Obama largely on the fact that Northern Trust claims it provided preferential terms to other "similarly situated" but unnamed borrowers in addition to Obama. The Judicial Watch statement concluded: "For the FEC to base its decision to excuse Obama on the fact that a few other unnamed borrowers also received sweetheart mortgages seems irresponsible . . . "The fact is, Northern Trust's [vice president] admitted Obama received the loan, in part, based on his position. This is improper and almost certainly constitutes an illegal campaign contribution (or gift). In our view, the FEC’s response is inadequate." The loan enabled Obama and his wife Michelle to buy a mansion with six bedrooms, four fireplaces, a four-car garage, 5 1/2 baths, wine cellar, music room, library, solarium and granite-floored kitchen. | |
Item 2. Rahm Reverses Course on Immigration
As a major force behind the Democrats' takeover of Congress in the 2006 elections, Rep. Rahm Emanuel was seen as stalling House consideration of immigration reform for fear of a backlash against Democratic candidates.
But now as President Barack Obama’s chief of staff, "Emanuel is removing roadblocks that stand in the way of some of the legislative agenda benefitting immigration, ethnic minorities and their advocates," Politico.com reported.
Frank Sharry, head of America’s Voice — an organization working for immigration reform, including earned citizenship for undocumented immigrants — told Politico: "Emanuel is a symbol of going from running away from immigration to someone who now says, 'Lean into immigration. It will help Democrats.'"
Emanuel recently engineered increased benefits for legal immigrant children and pregnant women in the State Children’s Health Insurance Program. Emanuel warned key senators that the bill would not be signed without those benefits.
Emanuel also promised Hispanic and black legislators that the Obama administration would have the next Census director report to White House staffers as well as to the Commerce secretary on the 2010 count, which will determine future political representation and the allocation of federal funds. The Bureau is legally under the control of the Commerce Department.
"On both issues, Emanuel showed an appreciation for the high Hispanic voter turnout and support for Democrats in 2008," Politico observed.
Rep. William Lacy Clay, a Missouri Democrat who oversees the House subcommittee on the Census, said: "I do welcome the president’s and Rahm’s and the entire White House team’s involvement" in the 2010 Census.
But Republicans have expressed concern that the White House will bring politics into the Census.
"They are going to move it from Commerce and from the Census Bureau and put it into the White House, and you will have politics come back into the process, when the Census Bureau has worked for decades to rid itself of political influence," Rep. Marsha Blackburn, a Tennessee Republican, told Newsmax.
"I just find that so very unfortunate and I’m tremendously disappointed and very very concerned
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