Wall Street Hypocrisy Occupies Dems

Corzine Scandal Exposes Democrats’ Delicate Balance Between Attacking Wall Street and Taking Wall Street’s Campaign Cash 

• With the FBI investigating the mysterious $600 million loss of his customers’ money, former New Jersey Governor and Senator Jon Corzine resigned as head of MF Global Friday morning. Corzine, a top Obama campaign bundler who was touted as a possible future Obama treasury secretary, resisted federal regulators who attempted to restrict the type of transaction that may have led to his company’s demise.
• Corzine’s hypocrisy is emblematic of the hypocrisy of his Democrat party. House Democrat Leader Nancy Pelosi has said that “Wall Street and big banks exploited loopholes and harmed America’s families and small businesses” and that Republicans “left Wall Street and the big banks” to “gamble with our money, which compromised our future, our savings, and the American Dream.”
• Funny then that a prominent Democrat fundraiser and prospective cabinet member fought against Wall Street regulations – and won. Funnier still that the party that claims it fights Wall Street is more than happy to go hat-in-hand to take its campaign cash. Will the party that endorses the Occupy Wall Street protests give back the Wall Street campaign cash that occupies their campaign coffers?

BACKGROUND

With the FBI investigating the mysterious $600 million loss of his customers’ money, former New Jersey Governor and Senator Jon Corzine resigned as head of MF Global Friday morning. Corzine, a top Obama campaign bundler who was touted as a possible future Obama treasury secretary, resisted federal regulators who attempted to restrict the type of transaction that may have led to his company’s demise: 

“CORZINE RESIGNS AS HEAD OF BANKRUPT MF GLOBAL”: (“Corzine Resigns as Head of Bankrupt MF Global,” FoxNews.com, 11/4/2011)

FBI INVESTIGATING HOW CORZINE’S COMPANY LOST $600 MILLION: “A government regulator said in court Wednesday that roughly $600 million is missing from the books of bankrupt brokerage MF Global, which is headed by Corzine, a former Goldman Sachs CEO and former Democratic governor of New Jersey and U.S. senator. Corzine’s firm filed for Chapter 11 protection on Monday following a panic from investors over its holdings of risky European debt.

“The FBI and federal prosecutors are now investigating how some $600 million of MF Global customers’ money went missing, CNN learned Tuesday from sources close to the probe.” (Paul Steinhauser, “RNC Calls on Obama to Return Corzine Contributions,”CNN, 11/3/2011)

HYPOCRISY: “FEDERAL REGULATORS WERE SEEKING TO REIN IN THE TYPES OF RISKY TRADES THAT CONTRIBUTED” TO MF GLOBAL’S FAILURE; “CORZINE PUSHED BACK, AND WON”: “Months before MF Global teetered on the brink, federal regulators were seeking to rein in the types of risky trades that contributed to the firm’s collapse. But they faced opposition from an influential opponent: Jon S. Corzine, the head of the then little-known brokerage firm.” (Azam Ahmed, “As Regulators Pressed Changes, Corzine Pushed Back, and Won,” The New York Times, 11/3/2011) 

CORZINE SAID REGULATORS “WERE TRYING TO ‘FIX SOMETHING THAT IS NOT BROKEN'”: “Just three months ago, Mr. Corzine’s firm assured regulators that the proposed rule could cripple the futures brokerage industry by hurting their profitability. In a letter, MF Global told regulators that they were trying to ‘fix something that is not broken,’ adding that the firm was not aware of any brokerage firm like itself that was unable to ‘provide to their customers upon request any segregated funds.'” (Azam Ahmed, “As Regulators Pressed Changes, Corzine Pushed Back, and Won,” The New York Times, 11/3/2011)

CORZINE A TOP OBAMA BUNDLER: “A recent list of top ‘bundlers’ or elite fundraisers released by Obama’s campaign listed Corzine in the highest category — reporting that he had raised more than $500,000 for the campaign.” (Michael Isikoff, “Corzine, Top Obama Fundraiser, Under FBI Investigation,” MSNBC, 11/2/2011)

CORZINE WAS ONCE TOUTED AS A REPLACEMENT TO TREASURY SECRETARY TIM GEITHNER: “There was speculation in the financial press at the time that Corzine might be a candidate to replace Tim Geithner as Secretary of the Treasury.” (Michael Isikoff, “Corzine, Top Obama Fundraiser, Under FBI Investigation,” MSNBC, 11/2/11)

Corzine’s hypocrisy is emblematic of the hypocrisy of his Democrat party. House Democrat Leader Nancy Pelosi has said that “Wall Street and big banks exploited loopholes and harmed America’s families and small businesses” and that Republicans “left Wall Street and the big banks” to “gamble with our money, which compromised our future, our savings, and the American Dream”:

PELOSI TAKES THE LEAD ON HYPOCRISY: “For eight years, President Bush and his Republican allies ignored growing risks in the financial markets as Wall Street and big banks exploited loopholes and harmed America’s families and small businesses. Their failure to regulate financial markets and control these risks left Wall Street and the big banks to gamble with our money, which compromised our future, our savings, and the American Dream.” (“Dodd-Frank Wall Street Reform and Consumer Protection Act,” Democratic Leader Nancy Pelosi Web site, accessed 11/04/2011)

Funny then that a prominent Democrat fundraiser and prospective cabinet member fought against Wall Street regulations – and won. Funnier still that the party that claims it fights Wall Street is more than happy to go hat-in-hand to take its campaign cash. Will the party that endorses the Occupy Wall Street protests give back the Wall Street campaign cash that occupies their campaign coffers?:

Corzine Personal Donations to Incumbents and Select National Party Committees

(CQMoneyLine, accessed 11/03/2011)

DEMS RECEIVED $197.3 MILLION FROM SECURITIES AND INVESTMENT INDUSTRY SINCE 2006: (“Securities and Investment: Long-Term Trends,” OpenSecrets.org, Accessed 11/4/2011)

DEMS RECEIVED $39.2 MILLION FROM COMMERCIAL BANKS SINCE 2006:(“Commercial Banks: Long-Term Contribution Trends,” OpenSecrets.org, Accessed 11/4/2011) 

DEMS RECEIVED $12.1 MILLION FROM FINANCE AND CREDIT COMPANIES SINCE 2006: (“Finance/Credit Companies: Long-Term Contribution Trends,” OpenSecrets.org, Accessed 11/4/2011) 

DEMS RECEIVED $155.5 MILLION FROM REAL ESTATE INDUSTRY SINCE 2006:(“Real Estate: Long-Term Contribution Trends,” OpenSecrets.org, Accessed 11/4/2011) 

“OBAMA AT WAR WITH SELF OVER WALL ST.”: “First, the White House signaled it would make anger toward Wall Street central to President Barack Obama’s reelection campaign. But then, Obama warned against demonizing all of Wall Street — only a few days before he sympathized with the Occupy Wall Street protesters who do exactly that.” (Carrie Budoff Brown, “Obama at War with Self Over Wall St.,” Politico, 11/4/2011) 

“ZIGZAGS BETWEEN EMBRACING THE BUSINESS COMMUNITY AND VILIFYING IT HAVE SHADOWED [OBAMA’S] PRESIDENCY: “The White House’s Wall Street whiplash stretches to the earliest days of the administration, with Obama conciliatory one minute and confrontational the next.

“His zigzags between embracing the business community and vilifying it have shadowed his presidency, exposing him to charges from Wall Street that he’s out to get them and from liberals that he coddles Big Business. Based on his own statements, Obama himself can appear undecided about which way to go — an incoherence that has left both sides dissatisfied as he seeks reelection.” (Carrie Budoff Brown, “Obama at War with Self Over Wall St.,” Politico, 11/4/2011)