Obama Administration

Freddie Mac’s Conflict of Interest and the Betrayal Of The American Homeowner

/ Jack Marshall / 7 Comments

Possible, but expensive.

Though the political implications of this disturbing story, which broke today on NPR, are wide-ranging, this isn’t a political blog.  I will avoid the temptation  to wade into them. That’s fine: the ethical implications are bad enough.

Freddie Mac, the taxpayer-owned mortgage giant, has been doing a Goldman Sachs, betting against the very homeowners it is pledged to serve by making multi-billion-dollar investments that will profit Freddie Mac only if homeowners can’t get out of  expensive mortgages with interest rates well above current rates. Of course, Freddie Mac’s job is supposedly to do the opposite…to help homeowners find cheaper, fairer mortgages. And we were told, by the Obama Administration, that this what it was working to do.

This is called a conflict of interest. And since Freddie Mac, along with its cousin Fannie Mae, is owned by U.S. taxpayers, this is also a massive breach of trust by the Federal government. Freddie and Fannie were bailed out in 2008. The companies insure most home loans in the United States, making banks able to lend at lower risk, and the companies’ rules determine whether homeowners can get refinanced and on what terms. Now we know that Freddie Mac, at least, profits when they fail.  Continue reading →

Stupid Religion Tricks

/ Jack Marshall / 52 Comments

Efforts by religious and anti-religious interest groups to push their beliefs and agendas are unavoidable, if often annoying. When their machinations threaten real harm, they ought to be condemned, opposed, and told to behave. In its response to two recent incidents, our government is batting .500.

The Memorial Power Play

The Obama administration announced its objection to a Republican-backed proposal to add President Franklin D. Roosevelt’s D-Day prayer to the World War II Memorial in Washington. This would block the intent of Congressman Bill Johnson’s bill, the “World War II Memorial Prayer Act of 2011.” Continue reading →

Unethical (and Disgraceful) Website of the Month: Attackwatch.com

/ Jack Marshall / 47 Comments

We've just got to find the White House staff some better role models....

In scary-looking black and red, attackwatch.com is the latest embarrassment from the amateurs  and goof-offs who are inexplicably still employed in Barack Obama’s White House. It is the creation of the campaign arm, announced in a sinister e-mail by the President’s campaign manager, Jim Messina, who wrote:

“Forming the first line of defense against a barrage of misinformation won’t be easy. Our success will depend on a team of researchers and writers to stay on the lookout for false claims about the President and his record, bring you the facts, and hold our opposition accountable.”

The website includes an online snitch form that allows good citizens to report anything that might be regarded as an “attack,” and to finger the pundits, bloggers, journalists or other sources responsible.

Many commentators on the right have called the site Stalinist and compared it to classic totalitarian practices in other nations, in which the good and loyal citizenry have been encouraged to identify enemies of the state who may be “disloyal.” Certainly a program that encourages Americans to report “misinformation” —defined, the site makes clear, as any assertion less than fawning over the President—so they can be held “accountable” encourages such a comparison. “This is a frightening effort by the White House to suppress political speech,” one caller to a Washington D.C. talk show said yesterday.

It’s frightening, all right, though not for that reason. Yes, the site’s language is spectacularly tone-deaf to First Amendment concerns: “stop attacks on the President before they start” is the language of fear, repression and censorship, not patriotism and statesmanship. Nonetheless, I have no fears that a ham-handed, paranoid website and silly volunteer snitch program by an administration that is finally beginning to get at least some of the criticism from the news media that it deserved to get three years ago will intimidate anybody. What is frightening is the naked incompetence and juvenile instincts of the people the President allows to represent and advise him, who don’t understand the culture of the nation they are supposed to govern and how deeply offensive this kind of paranoid, Big Brother-style, enemies list behavior seems to most Americans when it comes from a President.  The fact that he allows this shows that the President doesn’t understand either. This is, after all, the man is supposed to work for and respect the opinions of supporter and critic alike.

Attackwatch.com is merely the latest in the depressing succession of botched U.S. Leadership 101 tests by Barack Obama and his team.  I was searching my knowledge of the Presidents to think of any one of them, before Obama, who would have allowed himself to be heard, recorded or videotaped telling a crowd “If you love me, you gotta help me pass this bill!” as Obama did this week.  [Note: A commenter below was offended that I did not exactly quote the President in my original version here, writing “If you love me, pass this bill!” The key phrase, of course, is the “if you love me,” and to clarify for him and any other “gotcha” fans out there, I cannot imagine a President before Mr. Obama who would say anything beginning with the phrase, “If you love me…!”  because it is unseemly, pandering, narcissistic, and embraces a cult of personality that is antithetical to the political culture of the United States.] I couldn’t think of one; in fact, I couldn’t think of one who wouldn’t have been horrified at the thought of appealing to blind adoration as the justification for a major policy initiative, rather than its value to the nation.  If Attackwatch.com is frightening, that was just sad.

Actually, they are both sad.

And frightening.

In the Aftermath of Biden’s Human Rights Betrayal, Little Integrity From The Media

/ Jack Marshall / 1 Comment

Like Diogenes of Sinope searching for an honest man, Ethics Alarms has been searching for a political progressive, here or anywhere, who will acknowledge the blatant pro-liberal, pro-Obama, anti-conservative, anti-Republican, anti-Tea Party bias of the mainstream media. Obvious examples are routinely explained or rationalized away, even when they are criticized by a media outlet’s own internal ombudsmen and ethicists.

The media’s coverage of the recent toadying remarks of Vice-President Biden to the Chinese, as he gave a pass to China’s  long-time policy of limiting families to one child, has been a particularly vivid and disgraceful case in point. Despite the fact that Biden’s remarks were a shocking diplomatic gaffe and human rights betrayal, they were almost solely criticized by Republicans and conservative pundits, and only fleetingly covered at all by the mainstream media. While the so-called “conservative media” kept Biden’s gaffe in the news, the rest either covered the coverage, as in “Right Wing Critics Attack Biden,” or framed the criticism of Biden as a pro-life vs. pro-choice dust-up, as if anyone but a lunatic could describe a program limiting births by law  as “pro choice.” Continue reading →

Biden’s China Gaffe

/ Jack Marshall / 15 Comments

Homer Simpson made some comments in China yesterday,,,wait, my mistake. It was Joe Biden.

I saw the transcript of the Vice President’s remarks in China yesterday, and several thoughts went through my mind:

 How craven. How callous.What a betrayal of decency and American values!

————

 This is what happens when a once-great country is a trillion dollars  in debt to a human rights monster.

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I hesitate to speculate what other nations that look to the U.S. as the champion of human rights must think when they hear the American Vice-President call forced abortion “a policy which I thoroughly understand.” Continue reading →

The S.E.C.’s Betrayal and Why Regulation Can’t Cure Unethical Cultures

/ Jack Marshall / 11 Comments

Your SEC at work....

I awoke this morning to read that a former U.S. Securities and Exchange Commission official has credibly claimed that the S.E.C. destroyed thousands upon thousands of records of enforcement cases in which it had decided not to file charges or to launch full-blown probes. The case records dumped included prominent Wall Street firms such as Goldman Sachs, Citigroup, Bank of America, Morgan Stanley and SAC Capital.

Here’s is how Rolling Stone concluded its excellent report on the scandal:

“Forget about what might have been if the SEC had followed up in earnest on all of those lost MUIs(“Matters Under Inquiry”). What if even a handful of them had turned into real cases? How many investors might have been saved from crushing losses if Lehman Brothers had been forced to reveal its shady accounting way back in 2002? Might the need for taxpayer bailouts have been lessened had fraud cases against Citigroup and Bank of America been pursued in 2005 and 2007? And would the U.S. government have doubled down on its bailout of AIG if it had known that some of the firm’s executives were suspected of insider trading in September 2008?” Continue reading →

The Raymond Jefferson Mystery: Isn’t There Ethics Training for Obama Administration Officials?

/ Jack Marshall / 12 Comments

 

Raymond Jefferson's government ethics tool box

Based on the sorry Raymond Jefferson scandal, I would assume that the answer to that question is: “What’s ethics training?” Sure, there are reams and reams of government ethics regulations; I’ve read a lot of them. Apparently there is no one making sure that high-ranking officials have read them or understand them, however.

Jefferson, the Assistant Secretary of the Labor Department’s Veterans’ Employment and Training Service appointed by President Obama to oversee a job-training program for veterans, has resigned following an inspector general’s finding that he violated federal procurement rules and ethics principles by fast-tracking lucrative consulting contracts to his friends. Jefferson, says the report from the Labor Department’s inspector general, engaged in “a pattern of conduct . . . which reflects a consistent disregard of federal procurement regulations, federal ethics rules and the proper stewardship of appropriated dollars.” Continue reading →

Fact Checker Ethics, Part II: Validating Deceit, and Practicing It Too

/ Jack Marshall / 24 Comments

Et tu, Fact Checker?

In its review of Washington Post “Fact Checker” Glenn Kessler’s shameful refusal to call the Democratic dissembling on Social Security, Ethics Alarms saved the best—which is to say, worst—for last.

Beginning with a statement typical of Obama Administration and Democratic leadership positioning on the subject, Rep. Xavier Becerra’s (D-Calif.) “Social Security has never contributed a dime to the nation’s $14.3 trillion debt…not one penny to our federal budget deficit this year or any year in our nation’s history,” Kessler gives a brief history of Social Security, why it has no more money, and concludes with this nonsense:

“Becerra is sincere in his convictions and his statement is true, so far as it goes. Yes, Social Security in the past has not contributed to the nation’s debt. But it’s basically a meaningless fact and actually distracts from the long-term fiscal problem posed by the retirement of the baby boom generation and the shrinking of the nation’s labor pool.” Continue reading →

Fact Checker Ethics: Alibis For Obama, Part I

/ Jack Marshall / 3 Comments

The Washington Post “Fact Checker,” Glenn Kessler, is among the most biased of the breed. On the issue of the Obama Administration’s outright dishonesty on Social Security, however, he is embarrassing his paper and the entire Fact-Check community.

Lately, his strategy has been to bury obvious dishonesty by the Obama Administration and Democrats regarding Social Security in technical details, excusing straightforward misrepresentation (how’s that for an oxymoron?) and encouraging readers to shrug, give up, and move on

How nice for the President to have political allies posing as objective truth-tellers. Continue reading →

Attention FCC: What the News of the World Scandal Reveals About Rupert Murdoch

/ Jack Marshall / 1 Comment

Rupert Murdoch

Concluding that the News of the World scandal in Great Britain shows that Rupert Murdoch has less than a sufficient reverence for ethics, journalistic or otherwise, is an intellectual achievement well within the powers of Forrest Gump.  Concerns about the integrity of the Australian media magnate have been voiced since he first stuck his kangaroo’s nose in the American media tent. As is too often the case here, legitimate points were minimized by their linkage to political bias: was Murdoch bad for American journalism because he was unethical, or because he was conservative? His most vocal critics, being from the Left, regard the two as the same, which allowed Murdoch to accumulate defenders on the political right who should have been just as wary of his methods and ethical deficit.

Now his flagship tabloid, The News of the World, has folded in the midst of a still-unfolding scandal. You can read details here; the important thing to know is that the tabloid was essentially lawless. Continue reading →