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I didn’t have a chance to post on it yesterday, but Maria and a couple of friends sent this, SPREADING THE VIRUS
HOW ACORN & ITS DEM ALLIES BUILT THE MORTGAGE DISASTER
While you read the article, please do keep in mind that Community Reinvestment Act,
a law that allows groups like ACORN to force banks into making high-risk loans to low-credit customers
is still active. None of the legislation has repealed the CRA to date:
The CRA’s ostensible purpose is to prevent banks from discriminating against minorities. But Rep. Marge Roukema (R-NJ), who chaired the subcommittee, was worried that charges of discrimination had become an excuse for lowering credit standards. She warned that new, Democrat-proposed CRA regulations could amount to an illegal quota system.
FOR years, ACORN had combined manipulation of the CRA with intimidation-protest tactics to force banks to lower credit standards. Its crusade, with help from Democrats in Congress, to push these high-risk “subprime” loans on banks is at the root of today’s economic meltdown.
When the role of ACORN and congressional Democrats in the mortgage crisis is pointed out, Democrats reply that banks subject to the CRA represent only about a quarter of the loans that led to our current troubles. In fact, the problem goes way beyond the CRA.
As ACORN ran its campaigns against local banks, it quickly hit a roadblock. Banks would tell ACORN they could afford to reduce their credit standards by only a little – since Fannie Mae and Freddie Mac, the federal mortgage giants, refused to buy up those risky loans for sale on the “secondary market.”
That is, the CRA wasn’t enough. Unless Fannie and Freddie were willing to relax their credit standards as well, local banks would never make home loans to customers with bad credit histories or with too little money for a downpayment.
So ACORN’s Democratic friends in Congress moved to force Fannie Mae and Freddie Mac to dispense with normal credit standards. Throughout the early ’90s, they imposed ever-increasing subprime-lending quotas on Fannie and Freddie.
But then the Republicans won control of Congress – and Rep. Roukema scheduled her hearing. ACORN went into action to protect its golden goose.
IT struck as Roukema aired her concerns at that hearing. Pro testers, led by ACORN President Maud Hurd, stood up and began chanting, “CRA has got to stay!” and “Banks for greed, not for need!” The protesters then demanded the microphone.
With the hearing interrupted and the demonstrators refusing to leave, Roukema called the Capital Police, who arrested Hurd and four others for “disorderly conduct in a Capital building” – a charge carrying a penalty of a $500 fine, six months in prison or both. As the police arrived, two of the protesters menacingly approached Roukema’s desk, still demanding the hearing microphone.
Requests to the Capital Police to release the activists from Sen. Ted Kennedy (D-Mass.) and Rep. Joe Kennedy (D-Mass,) failed. Then Rep. Maxine Waters (D-Calif.) showed up at the jail and refused to leave until the protesters were released; the Capital Police relented.
Meanwhile, instead of repudiating ACORN’s intimidation tactics, Rep. Kennedy berated Roukema for arresting one of his constituents and accused the Republicans of preparing for “an all-out attack on CRA.” He also promised to introduce legislation to expand the CRA’s coverage to mortgage bankers and large credit unions.
THIS little slice of political life from 1995 had a variety of ripple effects. Above all, ACORN’s intimidation tactics, and its alliance with Democrats in Congress, triumphed. Despite their 1994 takeover of Congress, Republicans’ attempts to pare back the CRA were stymied.
Instead, Democrats like Rep. Barney Frank (D-Mass.) and Reps. Kennedy and Waters allied with the Clinton administration to broaden the acceptability of risky subprime loans throughout the financial system, thus precipitating our current crisis.
ACORN had come to Congress not only to protect the CRA from GOP reforms but also to expand the reach of quota-based lending to Fannie, Freddie and beyond. By steamrolling the GOP that March, it had crushed the last potential barrier to “change.”
Three months later, the Clinton administration announced a comprehensive strategy to push homeownership in America to new heights – regardless of the compromise in credit standards that the task would require. Fannie and Freddie were assigned massive subprime lending quotas, which would rise to about half of their total business by the end of the decade.
And where is Obama in all this?
As Kurtz states in his article, Obama
- Was an ally of ACORN during his community organizing days
- As a young lawyer, he offered leadership training to the activists who were forcing Chicago banks into high-risk subprime loans
- Channelled money from the Woods Fund (over $200,000) and the Chicago Annenberg Challenge
Additionally, the Obama campaign has paid $832,000 to an Acorn affiliate, while
Obama was perfectly aware of ACORN’s intimidation tactics – indeed, he oversaw a Woods Fund report that boasted of managing to fund the radical group despite its shocking behavior.
And as a lawmaker, in Illinois and in Washington, he has continued to back ACORN’s leglislative agenda.
As readers of this blog are well aware, ACORN is deeply involved in voter registration fraud. Just yesterday Rick Moran noted yet one more instance of ACORN’s criminality: Shelby Holliday, doing the investigative work that the lamestream media has forsaken, shows ACORN vans driving newly-registered people to polls in Ohio where they aren’t required to show ID or proof of residency in order to cast their ballot, in the absence of Republican election observers who were not allowed to be there. One Christopher Barkley of Cleveland estimates that he registered to vote “10 to 15” times after ACORN relentlessly pursued him; another man, Freddie Johnson, filled out voter registration cards a total of 72 times over the course of 18 months.
Betsy links to Obama and Acorn: Community organizers, phony voters, and your tax dollars, which lists equally egregious violations of the law in Michigan, Indiana and Texas.
This is what Obama stands for. This is who Obama allies himself with. This is why Obama is not suited for any position of leadership, least of which the Presidency.
ACORN Ohio Honored By Dems With Wellstone Award
Even CNN is starting to notice
Instapundit points out that CNN doesn’t notice the Obama affiliation.
State By State, Fraud By Electoral Fraud: Connecticut, Florida, Indiana, Missouri, Nevada, New Mexico, North Carolina, Ohio, Pennsylvania, Texas and Wisconsin.
The Anchoress has the map:
She also has the Department of Justice‘s phone number, which is (202) 514-3204.
Regarding those denials from the Obama campaign, read this: Obamacorn
Obama’s Web site proclaims, “Barack was never an ACORN trainer and never worked for ACORN in any other capacity.” Then how is it that Chicago ACORN leader Toni Foulkes sang Obama’s praises for his work for ACORN in his article, “Case Study: Chicago — The Barack Obama Campaign,” which appeared in Social Policy magazine in 2004?
Foulkes said ACORN first recognized Obama’s talents as a community organizer when he was organizing on Chicago’s far south side with the Developing Communities Project.
Foulkes wrote: “When he returned from law school, we asked him to help us with a lawsuit to challenge the state of Illinois’ refusal to abide by the National Voting Rights Act . . . . Obama took the case, known as ACORN vs. Edgar . . . and we won.”
Then Illinois Gov. Jim Edgar balked at implementing the new federal “Motor Voter” law out of concern that allowing people to register via postcard and blocking the state from pruning voter rolls might invite vote fraud. We wonder where he got that idea.
Foulkes says that “Obama then went on to run a voter registration project with Project VOTE in 1992 that made it possible for Carol Mosely Braun to win the Senate that year. Project Vote delivered 50,000 newly registered voters in that campaign (ACORN delivered about 5,000 of them).”
Buckeye Institute Files State Rico Action Against ACORN; Little Miss Attila notes that “with a couple of exceptions, this non-partisan voter fraud is occurring generally in battleground states.”
Special thanks to Larwyn for the links & the logo.