The scandal of Countrywide's sweetheart loans has already forced the resignation of a top Barack Obama campaign adviser, and is proving embarrassing to two powerful US Senators. But now some are wondering where the information about the tainted loans is coming from. Who is leaking the story?
The tale of the "Friends of Angelo" loan program, named for Countrywide founder Angelo Mozilo, has come out in bits and pieces. No sources have publicly been named, and the material is not apparently available in any public filings with the SEC or FEC. Someone seems to have a list of the "Friends of Angelo" and has been leaking the names out to journalists. Those most damaged by the story have been close to Obama.
We initially learned about the "Friends of Angelo" loan program from the Wall Street Journal the weekend before last. That first story tagged two former Fannie Mae chief executives as receiving favorable loans under the program, one of whom--Democratic power broker James Johnson--was part of a three-man team Obama formed to vet possible running mates. Johnson was forced to step down as an adviser to the campaign following the revelations.
Five days later Portfolio reported that two US senators, among others, were recipients of the FoA largesse. One of them, moderate Democrat from North Dakota Kent Conrad, endorsed Barack Obama in December, before a single primary or caucus had been held. At the time, Hillary Clinton was still viewed as the nominee and most senators were remaining. Only one other had endorsed Obama, while nine senators had endorsed Clinton.
The other senator named in the Portfolio story was Connecticut's Christopher Dodd. Although Dodd's endorsement of Obama came far later than Conrad's, it was seen as a serious blow to the Clinton campaign a week before the Ohio primary. Dodd, a recognized leader on foreign and military affairs, gave Obama creditability in an area where the Clinton campaign believed Obama was vulnerable.
That's certainly suggestive that someone is out to get prominent Obama supporters with this story. It seems unlikely to be a Republican, since these are essentially "inside the Beltway" stories that are unlikely to capture much public attention. This is not a general election story. It reeks more of the smoky room, intra-party knife-fighting.
Posted by guest , Jun 17, 2008 10:32AM
Man, you can hear them Swift Boats revving up from here!!!
Posted by Lowly Assistant , Jun 17, 2008 10:40AM
"smoky room, intra-party knife-fighting." Love it!
Posted by JimBob , Jun 17, 2008 10:40AM
Don't fuck wit the tanning salon mafia
Posted by lemmerdeur , Jun 17, 2008 10:44AM
Carney, you are such a God damned Republican. Just come out and say it: it's Hillary, stupid.
What the Democrats don't understand is that an Obama loss would be the best thing for them. Whoever wins the next election is going to get Jimmy-Cartered. Nixon and Ford blew up the economy and screwed us with an unwinnable war, but it's Carter who is remembered as the loser.
You want to be the FDR who swoops in with the pain and cleans the messes up - and retains an uncontested stranglehold on the three branches for a quarter-century.
Posted by guest , Jun 17, 2008 10:48AM
Oh lemmerdeur, you are such a Demorat, conveniently forgetting the most prominent player (and shameless one at that) in the Vietnam War - LBJ. Or the fact that Carter was quite douchy.
Posted by guest , Jun 17, 2008 10:50AM
I just figured it was Angelo sending a message. Probably 300 of the 535 got something from him.
Posted by guest , Jun 17, 2008 10:55AM
@lemmerdeur:
Didn't JFK and LBJ start the "unwinnable war" that you are referring to?
Nixon deserves the blame for price caps and wage caps. Carter deserves the blame for sucking. And Ford wasn't there long enough to wipe his own cornhole so who cares what he did?
Posted by guest , Jun 17, 2008 11:11AM
Just for the record, Nixon kept that war going, and escalated into Laos and Cambodia. As bizarre as it now seems, Nixon also began the EPA, and for the times, had a decent environmental record.
Posted by guest , Jun 17, 2008 11:19AM
agreed, Nixon deserves the blame for two very Democrat inspired economic policies.
nixon also created OSHA and expanded social security. guy could practically run as a democrat today.
i also seem to recall something about a national health plan but its a little hazy.
Posted by guest , Jun 17, 2008 11:19AM
Nixon was to the left of Clinton on several issues.
I looked up Countrywide donors on Fundrace, no major Hillary donors, so I am not sure who could have had access to the program. One major McCain donor.
Posted by guest , Jun 17, 2008 11:20AM
It's Jim not James. cmon act like you know the industry a little.
Posted by guest , Jun 17, 2008 11:22AM
Nixon instituted wage and price controls too.
Posted by guest , Jun 17, 2008 11:26AM
Ohhh Ohhhh McNamara the QUANT was the one who ginned LBJ up on Vietnam Mac had it all figgered out. Run Vietnam like a corporation. Come to think of it, Vietnam was run like Enron in many ways.
Posted by guest , Jun 17, 2008 11:33AM
Carter is remembered as losing the war in Vietnam? Carter wasn't even ELECTED until 76 and took office in 77.
Perhaps you mean Carter is remembered for just being a loser. And for pardoning draft dodgers.
Posted by miami , Jun 17, 2008 11:34AM
'It wreaks more?'
Say no to Crack, Johnny Boy!
Posted by guest , Jun 17, 2008 11:37AM
When Nixon took office there were over 500,000 US troops stations in vietnam. By 1972 there were less than 50,000. Monthly casualties dropped from over 1,200 to under 30.
Posted by guest , Jun 17, 2008 11:40AM
Hey Hey Lemmerdeur! How much crack did you smoke today?
Posted by guest , Jun 17, 2008 11:40AM
Yes, OSHA was enacted under Nixon in 1970, but it was a long-standing piece of Democratic legislation. Still, it had Republican support and the President signd it.
Posted by lemmerdeur , Jun 17, 2008 12:30PM
Semantics, folks. Dealbreaker is about finance, and in terms of FINANCE, it was the Viet Nam war that gave us reduced productivity, a negative BoP, a massive budget deficit, and eventually high inflation. The effects of these economic woes did not create widespread popular disapproval until Carter. Regardless of the fact that Carter was an ineffective wuss, there wasn't much he could do, as most of the late-1970s pain was baked in by 1974-75.
If you are a Republican hopeful in the mid-1970s, thinking about a run in 1980, and you see the economic troubles building up, do you want a fellow Republican to win the 1976 race, or a Democrat?
Sure, throw LBJ in there as well, this isn't a Republican/Democrat thing, it's about TIMING.
Here's another example for those of weak wit: Would you rather be Giuliani coming in as mayor at the beginning of a long-term Wall Street boom, or would you rather be whoever replaces Bloomberg, coming in after a Wall Street bust and facing a fiscal crisis?
Posted by guest , Jun 17, 2008 12:52PM
Actually Giulliani's claim to fame was not attributable to either boom or bust on the street (and he saw busts in the middle of his term). His claim to fame was tough enforcement of laws minus the liberal pansy dithering pc bullshit.
The liberals were so shit scared out of their pants - and so incompetent - that they had to get in a Republican to set their city right. Yes, in a city where 95% of the people are Democrats.
Oh, and that is what they will get back to after one Barry H Obama term. So bring it on. Would love to see all the liberals going weepy and voting Repub again.
Posted by guest , Jun 17, 2008 1:05PM
yeah nobody anywhere who i know in NYC gave giuliani credit for the economy. i can't even remember what he did with taxes, but i do remember what he did with times square, alphabet city, and Twilo.
@12:52, are you positing Barry O'B is going to be America's David Dinkins?
Posted by guest , Jun 17, 2008 2:29PM
Im in the mortgage industry. Don't assume it came from Hillary. You've no idea how many people Angelo has screwed over and how many people hate him. There are more than a few people at C-wide or used to work there that would leak such a list if given the opportunity.
Posted by guest , Jun 17, 2008 2:29PM
Im in the mortgage industry. Don't assume it came from Hillary. You've no idea how many people Angelo has screwed over and how many people hate him. There are more than a few people at C-wide or used to work there that would leak such a list if given the opportunity.
Posted by guest , Jun 17, 2008 2:30PM
Im in the mortgage industry. Don't assume it came from Hillary. You've no idea how many people Angelo has screwed over and how many people hate him. There are more than a few people at C-wide or used to work there that would leak such a list if given the opportunity.
Posted by cauxion , Jun 17, 2008 6:16PM
I think we veered off of the topic just a bit but that is ok. I agree with 2:30 pm in that Angelo had many enemies in the finance/mortgage world. I also think that this smells of political back-stabbing, which would not surprise me one bit.
I now live in Washington, D.C. and many of my close friends work on Capitol Hill. Our semi-weekly happy hours have been quite interesting as of late. This "scandal" has definitely replaced our normal discussions on foreign policy, the economy and the daily shenanigans of our chosen "leaders of the free world"... Actually, from some of the cap hill whispers that I've been hearing, this latest thing with Angelo ties in to the rest of our topics, so maybe "replace" is not the correct word.. Something to ponder perhaps.
I will be keeping my eye on this story to see how it develops but this is very interesting to say the least.
Posted by guest , Jun 17, 2008 6:51PM
There were years of cost-cutting under Giuliani. Yeah, revenue to the City went into "free-fall" at the end of Koch's term ('89), the full recession dogged Dinkins, and Giuliani came in before the end of the years of shrunken revenue. Giuliani did get some good years, until 9/11/2001, when bad times started again. Bloomberg's been the man with the good years.