Dems Clear the Way for Troubled Waters

December 2, 2011

Increasingly Extremist Democrat Caucus Elevates One of their Most Radical and Ethically-Challenged Members

What once looked like a potentially contentious fight for Rep. Barney Frank’s ranking member spot on the Financial Services committee could now be a snoozer as Democrats clear the way for Rep. Maxine Waters (D-CA), thereby elevating one of their most incendiary members.
Democrats are promoting Waters despite an ongoing ethics investigation into Waters’ use of political influence to secure a bailout for a company linked closely to her husband–drawing attention to Democrat Leader Nancy Pelosi’s increasingly hollow pledge that she would “drain the swamp.”
The move to put Waters in leadership despite her radical views and outlandish statements suggests Pelosi & Co. are embracing the furthest fringes of their party—and illustrates a Democrat party horribly out of touch with the American people.

BACKGROUND

What once looked like a potentially contentious fight for Rep. Barney Frank’s ranking member spot on the Financial Services committee could now be a snoozer as Democrats clear the way for Rep. Maxine Waters (D-CA), thereby elevating one of their most incendiary members:

REP. CAROLYN MALONEY (D-NY) ANNOUNCES SHE WON’T CHALLENGE WATERS FOR FINANCIAL SERVICES SLOT: (Daniel Newhauser, “Carolyn Maloney Won’t Take On Maxine Waters for Financial Services Slot,” Roll Call, 12/1/2011)

EARLIER SPECULATION THAT DEMOCRATIC LEADERS “WOULD LOOK TO SOMEONE OTHER THAN WATERS”: “There are reasons to think Democratic leaders would look to someone other than Waters, the second-ranking Democrat on the panel, to take over for Frank.” (Peter Schroeder, “Maxine Waters in Line to Take Over from Frank on Financial Services,” The Hill, 11/28/2011)

WATERS HAS BEEN LOBBYING HARD FOR THE PROMOTION, WON’T GIVE PELOSI “AN EASY OUT”: “Waters, a California Democrat first elected in 1990, won’t give them an easy out. As soon as Frank made his retirement official, Waters began calling Pelosi and other Democrats on Financial Services to tell them she intended to seek the top Democratic post on the panel in the next Congress, according to Democratic insiders.” (John Bresnahan, “Maxine Waters Lobbying for Top Financial Services Slot,” Politico, 11/28/2011)

WATERS’ ALLIES IN CBC PROMISE “ARMAGGEDON” IF SHE ISN’T PROMOTED:“Waters’ allies, however, have already tossed around some strong rhetoric about the race, with one staffer to a member of the Congressional Black Caucus vowing ‘Armageddon’ should Waters be passed over.” (Daniel Newhauser, “Carolyn Maloney Won’t Take On Maxine Waters for Financial Services Slot,” Roll Call, 12/1/2011)

“MAXINE WATERS AND NANCY PELOSI ARE HOMEGIRLS,” ACCORDING TO REP. EMANUEL CLEAVER (D-MO): (Jonathan Strong and Daniel Newhauser, “Battle to Replace Barney Frank on Financial Services Could be Contentious,” Roll Call, 11/29/2011)

Democrats are promoting Waters despite an ongoing ethics investigation into Waters’ use of political influence to secure a bailout for a company linked closely to her husband–drawing attention to Democrat Leader Nancy Pelosi’s increasingly hollow pledge that she would “drain the swamp”:

WATERS IS “WRESTLING WITH A LONG-RUNNING ETHICS INVESTIGATION”:“Waters is wrestling with a long-running ethics investigation over whether she helped secure federal funding for a bank in which her husband owned stock and previously served as a board member. … An outside attorney is now investigating the matter.” (Peter Schroeder, “Maxine Waters in Line to Take Over from Frank on Financial Services,” The Hill, 11/28/2011)

WHY? WATERS HAD FINANCIAL TIES TO BANK FOR WHOM SHE SET UP MEETING, FEDERAL REGULATORS “TAKEN ABACK” WHEN THEY FOUND OUT:“Top federal regulators say they were taken aback when they learned that a California congresswoman who helped set up a meeting with bankers last year had family financial ties to a bank whose chief executive asked them for up to $50 million in special bailout funds.

“Representative Maxine Waters, Democrat of California, requested the September meeting on behalf of executives at OneUnited, one of the nation’s largest black-owned banks. Ms. Waters’s husband, Sidney Williams, had served on the bank’s board until early last year and has owned at least $250,000 of its stock.

“Treasury officials said the session with nearly a dozen senior banking regulators was intended to allow minority-owned banks and their trade association to discuss the losses they had incurred from the federal takeover of Fannie Mae and Freddie Mac. But Kevin Cohee, OneUnited’s chief executive, instead seized the opportunity to plead for special assistance for his bank, federal officials said.” (Eric Lipton, “Congresswoman, Tied to Bank, Helped Seek Funds,” The New York Times, 3/13/2009)

RESULT: BANK RECEIVED $12 MILLION TARP BAILOUT: “While OneUnited did not get the $50 million it requested, the bank did become among the first minority-owned institutions to receive a cash infusion — $12 million — in December through the Treasury’s bank bailout effort, called the Troubled Asset Relief Program.” (Eric Lipton, “Congresswoman, Tied to Bank, Helped Seek Funds,” The New York Times, 3/13/2009)

A PATTERN OF BEHAVIOR? 2004 LOS ANGELES TIMES REPORT DOCUMENTED THAT WATERS’ FAMILY MEMBERS MADE MORE THAN $1 MILLION FROM DOING BUSINESS WITH COMPANIES REP. WATERS AIDED: (Chuck Neubauer and Ted Rohrlich, “Capitalizing on a Politician’s Clout,” Los Angeles Times, 12/19/2004)

DAUGHTER KAREN WATERS CHARGED CANDIDATES FOR SLOTS ON HER MOTHER’S SLATE MAILER: “Daughter Karen Waters has charged candidates for spots on her mother’s ‘slate mailer,’ a sample ballot that many voters in South Los Angeles use to guide their choices.” (Chuck Neubauer and Ted Rohrlich, “Capitalizing on a Politician’s Clout,” Los Angeles Times, 12/19/2004)

PELOSI’S PROMISE: “WHEN I CAME IN, I SAID WE’RE DRAINING THE SWAMP, AND WE DID”: (Mike Memoli, “Draining the Swamp? Dems on Defensive,” The Chicago Tribune’s “The Swamp”, 8/2/2010)

The move to put Waters in leadership despite her radical views and outlandish statements suggests Pelosi & Co. are embracing the furthest fringes of their party—and illustrates a Democrat party horribly out of touch with the American people:

IRONIC PEARLS FROM WATERS: WE SHOULD BRING “GANGSTA” BANKS IN AND “TAX THEM OUT OF BUSINESS”: “[Obama needs to] bring the gangstas in, put them around the table and let them know that if they don’t come up with loan modifications and keep people in their homes, that they’ve worked so hard for, we’re gonna tax them out of business.” (“Maxine Waters: ‘Gangsta’ Banks Should Be Taxed Out of Business,” Fox Nation, 9/1/2011)

WATERS SAID SHE WAS ABOUT “SOCIALIZING” OIL COMPANIES, “BASICALLY, TAKING OVER, AND THE GOVERNMENT RUNNING ALL OF YOUR COMPANIES”: “Guess what this liberal would be all about? This liberal would be about socializing … uh, umm. … Would be about, basically, taking over, and the government running all of your companies.” (“Top 10 Outrageous Maxine Waters Quotes,” Human Events, 8/27/2011)

MAXINE TO THE TEA PARTY: “GO STRAIGHT TO HELL”: “And as far as I’m concerned, the ‘tea party’ can go straight to Hell.” (Nia-Malika Henderson, “Maxine Waters to Tea Party: Go to Hell,” The Washington Post, 8/22/2011)

DEMS SHOULD HAVE MADE GOP “WALK THE PLANK” IN FIGHT OVER GIVING DEMS NEW CREDIT CARD: “We didn’t raise any revenue and they didn’t close any tax loopholes. I believe the Democratic Party and the president of the United States should not have backed down. We should have made them walk the plank.” (Michael Muskal, “Rep. Maxine Waters Says It’s Time for Obama to Fight,” Los Angeles Times, 8/18/2011)

WATERS DENOUNCED FLAG-WAVING AT A TEA PARTY RALLY: “I was amazed. I really was. I didn’t say anything to anybody. I just watched—the Republicans were out there—they were having a great time. They were laughing, they were waving the American flag, they were egging them on, and I thought that was outrageous behavior. I really did.” (“Top 10 Outrageous Maxine Waters Quotes,” Human Events, 8/27/2011)

WATERS SAYS NO CRISIS AT FANNIE MAE OR FREDDIE MAC, OCT. 2004: “MR. CHAIRMAN, WE DO NOT HAVE A CRISIS AT FREDDIE MAC, AND IN PARTICULAR AT FANNIE MAE, UNDER THE OUTSTANDING LEADERSHIP OF MR. FRANK RAINES”: (Sean Hannity, ” ‘Reckless Endangerment’ Chronicles Government’s Role in Financial Meltdown,” Fox News, 7/14/2011)

NOT MAKING THIS UP: MORE MAXINE ON FANNIE/FREDDIE IN SEP. 2003: “IF IT AIN’T BROKE, WHY DO YOU WANT TO FIX IT?”: “Secretary Martinez, if it ain’t broke, why do you want to fix it? Have the GSEs [government-sponsored enterprises] ever missed their housing goals?” (“What They Said About Fan and Fred,” The Wall Street Journal, 10/2/2008)