The AP is carrying a story that would have been merely annoying had I not just watched the “Big Lie” video presentation from the good folks at iCaucus.org. The Independence Caucus has unveiled part of their research into the financial backroom dealing that keeps incumbents elected, wreaks havoc on our electoral system, and completely skirts around the McCain-Feingold Campaign Finance Reform Act.
Their research basically shows how 25 institutions (Fannie Mae, Freddie Mac, two auto companies, and 21 banks) have received 93% of all the TARP monies that were supposed to go to all the banks across the nation. One problem: the vast majority of the banks haven’t seen a red cent from the stimulus package. Out of over 8,500 banks, 21 got 93%, 553 got about 5%, and the rest has not been dispersed.
But you wouldn’t believe where a good portion of the money has gone…right back into the coffers of our Representatives, on both sides of the aisle. The money was contributed to the election campaigns of these people, and was almost evenly divided between Democrats and Republicans. Basically, it was payback for passing the stimulus bill. The folks at the Independence Caucus explain how it works.
So now back to the story from the AP. Why did the Banks need to be stress tested? The government has never needed to “stress test” the banks before now. Banks have always been required by law to have stress tests conducted by independent auditors at regular intervals. But lo and behold, the government stress test, required by Congress, conveniently finds that the banks need additional government money, which in turn will fuel an additional round of campaign finance kickbacks.
It’s well past time to stop this madness.
