Poo-Poo on Paulson, A Manchurian Candidate for Treasury Secretary?

Town Hall ^ | 06.03.06 | Jonathon Burns

[Coleus]

For anyone who has seen The Manchurian Candidate, the recent nomination of Hank Paulson for Treasury Secretary should be a big scare. In the film, private interests brainwash a candidate for the presidency. By using psychological triggers, the private (or I suppose we could call them “special”) interest manipulates the unknowing candidate as a puppet to do their bidding.  On Tuesday President Bush announced his nomination of Henry “Hank” Paulson for Treasury Secretary. Paulson, currently the CEO of financial giant Goldman Sachs, is generally well-regarded by his peers on Wall Street. During his tenure, Goldman has seen some of the greatest share-price gains in the company’s history.

But.

Paulson is also an environmental leftist who has used his company to pursue and support his conservation efforts at the expense of shareholders. His use of company assets to promote personal environmental goals has led to the criticism that his personal interests have at times been ahead of his principal duty as CEO: protecting shareholder investments and increasing profitability in both the short and long terms. Shareholder advocate Free Enterprise Action Fund has led the charge against Paulson.  “Paulson is extremely weak on property rights...He has basically used corporate assets to pursue his personal interests. When the conservative base finds out what Paulson really stands for, they're going to be up in arms,” said Fund portfolio manager Steven Milloy.

While it isn’t clear whether or not Paulson was kidnapped and brainwashed by lefty environmental groups, it’s clear he “drank the Kool-Aid” a long time ago. Paulson is troubling because it isn’t clear how much sway environmentalist groups have over him, or how much his own environmentalist views will affect his execution of office. In Thursday’s Wall Street Journal, columnist David Wessel raised some interesting points when he wrote, “…given [Paulson’s] record in using Goldman’s power and money toward environmental ends, he just might use his clout to push the administration toward dealing with climate change or even – don’t mention it before the elections – considering an energy tax.”  The buzz around Washington is that unlike outgoing Treasury Secretary John Snow, Paulson will be given a great deal of latitude in crafting policy. If this is true, and if Paulson is, as suggested by Lawrence Kudlow, being named “deputy president for economic policy,” then having an environmentalist “sleeper” in the cabinet is quite the coup for enviros, and reason for panic for anyone who derives their income from the American economy.

It’s hardly a secret that Paulson believes in man-made global warming. Last year, Goldman Sachs issued an eight page statement in which it laid out its environmental policy. The brief stated that the company believed in the UN Intergovernmental Panel on Climate Change’s (IPCC) assertion that global warming is a threat, and that market forces could not be counted on to solve the problem. Paulson and company support massive regulation. Goldman Sachs supported the McCain-Lieberman legislation proposal dubbed “Kyoto-Lite” by critics. The legislation, which was handily defeated in the Senate, would have capped U.S. carbon dioxide emissions to 2000 levels within five years. Experts estimated Kyoto-Lite to cost the U.S. economy hundreds of billions of dollars and countless jobs.  Equally troubling, Paulson has presided over two groups now under investigation for alleged financial misdeeds and dirty deals which occurred on his watch.  Paulson is the outgoing Chairman of The Nature Conservancy (TNC), a secretive environmentalist group based in Arlington, VA. TNC is the richest environmental group in the world with assets exceeding 3 billion dollars. It has been under scrutiny since 2003, when the Washington Post broke a story alleging inappropriate tax breaks claimed by major benefactors, private side deals for “conservation easements” and drilling for oil in the habitat of an endangered bird.  “The financial scandals at The Nature Conservancy are only the tip of the iceberg. The Nature Conservancy has served as the agent for turning millions of acres of productive private land into federally-owned land and has made huge profits from doing so,” said Myron Ebell, energy expert at the Competitive Enterprise Institute.

During Paulson’s tenure at Goldman, the firm spent 35 million dollars on 672,000 acres of land in southern Chile, which it then donated to The Wildlife Conservation Fund. Paulson’s daughter sits on the board of the environmental group, which has links to The Nature Conservancy. The Nature Conservancy was paid a hefty sum for helping facilitate the deal.  Goldman announced in November of 2005 that it would apply pressure on clients in “environmentally sensitive” areas, and committed itself to investing one billion dollars in alternative energy. Furthermore, the firm announced it would be establishing the Center for Environmental Markets to study free-market solutions to environmental problems. Goldman promised to endorse “stringent federal regulation.”  Goldman Sachs is currently under investigation by the Securities and Exchange Commission for allegedly aiding lender Fannie Mae in cooking their books; Fannie Mae executives are alleged to have falsely reported their profit numbers to line their pockets.

The problem with Paulson is not just the nature of his passion – for he’s clearly misguided on global warming regulatory policy and other environmental policies – but the fact that he sees fit to use other people’s money to support his passions. Paulson is a rich guy - $500 million rich by some estimates.  If he wants to spend his own money to bankroll a free-market environmentalist non-profit or invest in alternative energy, so much the better - this is a free country. But for Paulson to steer Goldman down that road, and to spend the firm’s money on projects unrelated to profit, is wrong. As Treasury Secretary, whose money will he be willing to sacrifice to support his passions?  OK, so Paulson may not be the Manchurian Candidate of Treasury Secretaries, but the question is, who spiked his Kool-Aid?  Jonathon Burns is an investigative journalist, philosopher and researcher based in Missouri.

[Coleus]

Henry Paulson: EMILY's Man?

"EMILY's List, the nation's largest grassroots political network, is dedicated to taking back our country from the radical right wing by electing pro-choice Democratic women to federal, state, and local office." That's how Emily's List describes itself. It surely doesn't sound like a group that shares President Bush's stated goal of building "a culture of life." Yet Emily's List is one of the groups supported by Henry Paulson, the President's new nominee to be Secretary of the Treasury. The Wall Streeter also backed the Senate campaign of New York's Chuck Schumer (Democrat-Liberal).

Schumer has been led the way in grilling any Bush judicial nominee he even suspects of "deeply held beliefs" that might include respect for human life. Of course, George W. Bush might not be president at all if Henry Paulson's choice had prevailed in 2000. Paulson donated to Sen. Bill Bradley's (D-NJ) presidential campaign. Bradley ran against then-Vice President Al Gore (D) in the primaries--attacking Gore for having formerly supported the idea that taxpayers should not be forced to pay for abortions. The Bush Administration is reportedly long on loyalty among its appointees; had Paulson had his political way, someone besides the President and his party would now be doing the appointing and confirming.

[neodad]

Great. Sounds like another crappy nominee.

[cherry]

I guess I just don't understand that the biggest proponents of the Demos if a Republican.....I keep thinking of how Dubya kept having Clintoon join relief efforts for the Tsunami and the Hurricanes, almost like he was enabling the ex42 to stay in the public spotlight.....

[Beagle8U]

If anyone was the slightest upset about Harriet Meir's, they should be screaming insane over this eco-twit nutball!!

The freaking Nature Conservancy is also tied in with the UN!

[cryptical]

"EMILY's List, the nation's largest grassroots political network, is dedicated to taking back our country from the radical right wing by electing pro-choice Democratic women to federal, state, and local office."

If I recall correctly, EMILY's list has never backed a winner. I'm all for leftists choosing badly, and backing their choice with cash.

[rvoitier]

When listening to Brit Hume's blub about the nomination being made I got a feeling in my gut when he read the gushing support by schumer.

[Mr. Silverback]

ProLife Ping!

If anyone wants on or off my ProLife Ping List, please notify me here or by freepmail.

[sauropod]

Paulson is also an environmental leftist who has used his company to pursue and support his conservation efforts at the expense of shareholders. His use of company assets to promote personal environmental goals has led to the criticism that his personal interests have at times been ahead of his principal duty as CEO: protecting shareholder investments and increasing profitability in both the short and long terms.

Which is why upChuckie Schumer supports him.

[Beagle8U]

This guy is dangerous and is expected to sail through confirmation if the grass roots base don't do something fast!

I don't know if it would be worse putting Al Gore in that position or not, I think it would be a toss up between Paulson, Gore, JFK Jr., and Ruth Buzzy Ginsburg!

If anyone cares anything about abortion, property rights, hunting and fishing, farming, or access to public lands, they better do some research on this nutball before he gets confirmed!
I'm not joking even a little bit.

[hosepipe]

[ A Manchurian Candidate for Treasury Secretary? ]

Could be the Manchurian candidate is one WHO SELECTED AN OFFERED HIM...
Who would THAT be?