Posted on 09/24/2008 10:01:04 AM PDT by SeafoodGumbo
Today the New York Times launched its latest attack on this campaign in its capacity as an Obama advocacy organization. Let us be clear about what this story alleges: The New York Times charges that McCain-Palin 2008 campaign manager Rick Davis was paid by Freddie Mac until last month, contrary to previous reporting, as well as statements by this campaign and by Mr. Davis himself.In fact, the allegation is demonstrably false. As has been previously reported, Mr. Davis separated from his consulting firm, Davis Manafort, in 2006. As has been previously reported, Mr. Davis has seen no income from Davis Manafort since 2006. Zero. Mr. Davis has received no salary or compensation since 2006. Mr. Davis has received no profit or partner distributions from that firm on any basis -- weekly, bi-weekly, monthly, bi-monthly, quarterly, semi-annual or annual -- since 2006. Again, zero. Neither has Mr. Davis received any equity in the firm based on profits derived since his financial separation from Davis Manafort in 2006.
Further, and missing from the Times' reporting, Mr. Davis has never -- never -- been a lobbyist for either Fannie Mae or Freddie Mac. Mr. Davis has not served as a registered lobbyist since 2005.
Though these facts are a matter of public record, the New York Times, in what can only be explained as a willful disregard of the truth, failed to research this story or present any semblance of a fairminded treatment of the facts closely at hand. The paper did manage to report one interesting but irrelevant fact: Mr. Davis did participate in a roundtable discussion on the political scene with...Paul Begala.
Again, let us be clear: The New York Times -- in the absence of any supporting evidence -- has insinuated some kind of impropriety on the part of Senator McCain and Rick Davis. But entirely missing from the story is any significant mention of Senator McCain's long advocacy for, and co-sponsorship of legislation to enact, stricter oversight and regulation of both Fannie Mae and Freddie Mac -- dating back to 2006. Please see the attached floor statement on this issue by Senator McCain from 2006.
To the central point our campaign has made in the last 48 hours: The New York Times has never published a single investigative piece, factually correct or otherwise, examining the relationship between Obama campaign chief strategist David Axelrod, his consulting and lobbying clients, and Senator Obama. Likewise, the New York Times never published an investigative report, factually correct or otherwise, examining the relationship between Former Fannie Mae CEO Jim Johnson and Senator Obama, who appointed Johnson head of his VP search committee, until the writing was on the wall and Johnson was under fire following reports from actual news organizations that he had received preferential loans from predatory mortgage lender Countrywide.
Therefore this "report" from the New York Times must be evaluated in the context of its intent and purpose. It is a partisan attack falsely labeled as objective news. And its most serious allegations are based entirely on the claims of anonymous sources, a familiar yet regretful tactic for the paper.
We all understand that partisan attacks are part of the political process in this country. The debate that stems from these grand and sometimes unruly conversations is what makes this country so exceptional. Indeed, our nation has a long and proud tradition of news organizations that are ideological and partisan in nature, the Huffington Post and the New York Times being two such publications. We celebrate their contribution to the political fabric of America. But while the Huffington Post is utterly transparent, the New York Times obscures its true intentions -- to undermine the candidacy of John McCain and boost the candidacy of Barack Obama -- under the cloak of objective journalism.
The New York Times is trying to fill an ideological niche. It is a business decision, and one made under economic duress, as the New York Times is a failing business. But the paper's reporting on Senator McCain, his campaign, and his staff should be clearly understood by the American people for what it is: a partisan assault aimed at promoting that paper’s preferred candidate, Barack Obama.
Statement by Senator John McCain, May 25, 2006:
Mr. President, this week Fannie Mae's regulator reported that the company's quarterly reports of profit growth over the past few years were "illusions deliberately and systematically created" by the company's senior management, which resulted in a $10.6 billion accounting scandal.
The Office of Federal Housing Enterprise Oversight's report goes on to say that Fannie Mae employees deliberately and intentionally manipulated financial reports to hit earnings targets in order to trigger bonuses for senior executives. In the case of Franklin Raines, Fannie Mae's former chief executive officer, OFHEO's report shows that over half of Mr. Raines' compensation for the 6 years through 2003 was directly tied to meeting earnings targets. The report of financial misconduct at Fannie Mae echoes the deeply troubling $5 billion profit restatement at Freddie Mac.
The OFHEO report also states that Fannie Mae used its political power to lobby Congress in an effort to interfere with the regulator's examination of the company's accounting problems. This report comes some weeks after Freddie Mac paid a record $3.8 million fine in a settlement with the Federal Election Commission and restated lobbying disclosure reports from 2004 to 2005. These are entities that have demonstrated over and over again that they are deeply in need of reform.
For years I have been concerned about the regulatory structure that governs Fannie Mae and Freddie Mac--known as Government-sponsored entities or GSEs--and the sheer magnitude of these companies and the role they play in the housing market. OFHEO's report this week does nothing to ease these concerns. In fact, the report does quite the contrary. OFHEO's report solidifies my view that the GSEs need to be reformed without delay.
I join as a cosponsor of the Federal Housing Enterprise Regulatory Reform Act of 2005, S. 190, to underscore my support for quick passage of GSE regulatory reform legislation. If Congress does not act, American taxpayers will continue to be exposed to the enormous risk that Fannie Mae and Freddie Mac pose to the housing market, the overall financial system, and the economy as a whole.
I urge my colleagues to support swift action on this GSE reform legislation.
I’ll be over here waiting for the NYT to report that David Gregory’s (NBC/MSNBC) wife worked for Fanny Mae till a week ago.
It makes a very interesting comparison to look at the polite, measured, but firm language in the McCain press releases compared to the tirades from Obama calling people “liars” and “smear merchants”.
You can see which candidate is presidential and which is the angry adolescent.
I was amazed that they did away with the uptick rule last year. It was the rule designed after the crash of 1929 to keep bear raids from demolishing a struggling company overnight, at the time, specifically banks. Getting rid of that rule would be a short sellers dream, especially a large organized group like the one Anthony Elgindy ran, or market maker/extortionists like the Fiero brothers.
Chris Cox was not a good choice for cleaning up the Toon crash.
Now they are a parody of a news organization. The National Enquirer has more credibility than that rag.
LOL.
I like the copy... “Unamed American Colonist sources who spoke on condition of anonymity...”, that had me rolling.
The Slimes has just issued a rebuttal:
Source: McCain aide’s firm paid by Freddie Mac
By THE ASSOCIATED PRESS
Published: September 24, 2008
Filed at 2:03 p.m. ET
WASHINGTON (AP) — Almost up until the time it was taken over by the government in the nation’s financial crisis, one of two housing giants paid $15,000 a month to the lobbying firm of John McCain’s campaign manager, a person familiar with the financial arrangement says.
The money from Freddie Mac to the firm of Rick Davis is on top of more than $30,000 a month that went directly to Davis for five years starting in 2000.
The $30,000 a month came from both Freddie Mac and Fannie Mae, the other housing entity now under the government’s control because of the nation’s financial crisis.
All the payments were first reported by The New York Times, which posted an article Tuesday night revealing the $15,000 a month to the firm of Davis Manafort. The newspaper quoted two people with direct knowledge of the arrangement.
On Wednesday, the campaign of McCain’s Democratic presidential rival, Barack Obama, accused Davis and the McCain campaign of not telling the truth about Davis’ continuing financial relationship with Freddie Mac.
Campaign spokesman Dan Pfeiffer said it was troubling that Davis’ firm ‘’continued to be compensated by Freddie Mac until as recently as last month, but that the firm did little work and apparently was being paid simply to provide access to the McCain campaign.’’
The McCain campaign said the $15,000 a month went to Davis’s firm, not to Davis.
‘’Mr. Davis has received no salary or compensation ... no profit or partner distributions ... neither has Mr. Davis received any equity in the firm based on profits derived since his financial separation’’ from the firm in 2006, the campaign said in a statement posted on its Web site.
In that statement, the McCain campaign mischaracterized what the Times reported, alleging that the Times story said Davis was paid by Freddie Mac. In fact, the newspaper said that Freddie Mac paid Davis’s firm.
A person familiar with the contract says the $15,000 a month in payments to Davis’ firm started around the end of 2005 and continued until the past month or so. The person spoke to The Associated Press on condition of anonymity.
Freddie Mac and Fannie Mae paid Davis $30,000 a month after recruiting him to run a newly created group, the Homeownership Alliance. The five years of payments followed McCain’s failed bid for the presidency in 2000.
The connection between Davis and the housing giants that figure centrally in the global financial crunch emerged after the McCain campaign unleashed a sharp attack on Obama.
McCain has tied Obama to Fannie and Freddie’s troubles and has called on Jim Johnson and Franklin Raines — both Obama supporters and former Fannie Mae executives — to return large golden parachute payments they received from the corporations after leaving.
McCain’s campaign released a new television ad that says Raines is among those advising Obama on housing policy.
Obama’s campaign released a statement from Raines, who says he is not an Obama adviser.
Robert McCarson, a former spokesman for Fannie Mae, criticized the McCain campaign’s attack on Obama, given the five years of payments to Davis.
‘’It’s either idiocy or hubris’’ on the McCain campaign’s part, McCarson, a Democrat, said in an interview.
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Robert McCarson, a former spokesman for Fannie Mae, criticized the McCain campaign’s attack on Obama, given the five years of payments to Davis.
‘’It’s either idiocy or hubris’’ on the McCain campaign’s part, McCarson, a Democrat, said in an interview.
The connection between Davis and the housing giants that figure centrally in the global financial crunch emerged after the McCain campaign unleashed a sharp attack on Obama.
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