Update: Back in October, the WSJ carried a story about the pressure Ed DeMarco was under as the acting director of the Federal Housing Finance Agency. Obama has been trying to force DeMarco out because he stands in the way of the Obama plan to force banks into forgiving some homeowners’ mortgage debts (with the losses to be foisted on the taxpayer). It is unethical for the White House to put pressure on an independent regulator like DeMarco but that doesn’t stop the White House.
Obama wants to forgive the loans to “redistribute wealth & buy votes.” It would be a mega stimulus without having to go through Congress.
De Marco is a white collar warrior who has taken on the establishment and it is he alone who stands between Obama and more reckless redistribution.
Obama hasn’t given up on eliminating DeMarco who won’t play Chicago ball and has now enlisted MoveOn’s help to remove DeMarco as an obstacle to his planned spending spree.
Here is the latest email from the Obama MoveOn team, operating in true Alinsky-style –
Dear MoveOn member,
President Obama could help twelve million homeowners struggling to pay their mortgage.
But the president needs to hear directly from us.
Here’s the story: Fannie Mae and Freddie Mac hold 60% of mortgages—but the agency that oversees them is run by Bush appointee Ed DeMarco who refuses to allow underwater homeowners to adjust their mortgages to reflect the true value of their home.
Homeowners are struggling to make ends meet. And helping them not only means saving their homes, it will also stabilize the market and help get the economy back on track for everyone.
President Obama has the power to replace DeMarco and make sure Fannie and Freddie provide relief to the millions of Americans struggling with mortgage debt.
That’s why on Thursday, March 15—the same day the Senate banking committee meets in D.C. to discuss the fate of homeowners—we’re organizing big rallies at Obama for America campaign offices around the country. We’ll tell the president: We’re sinking in underwater mortgages—throw the 99% a lifeline to keep us in our homes. In communities without OFA offices, we’ll rally in front of Wall Street bank branches and homes threatened by foreclosure to let the public and the media know that the 99% is standing up to save our homes.
Will you host a Save Our Homes rally on Thursday, March 15?
In late January, MoveOn members organized events at OFA offices calling on President Obama to order a real investigation into Wall Street banks. Just days later, the president did just that! We know that when Obama voters and volunteers get together, the president listens.3
Now, we need him to step up to help struggling homeowners. We’ll support him in taking bold steps—from demanding that Fannie and Freddie readjust mortgages, to replacing anyone who continues holding back the housing recovery.
Can you host a rally in Commack to ask the president to save our homes?
Hosting an event is powerful and easy. Once you sign up, you’ll get the petitions from MoveOn members and all the materials you’ll need for a successful event.
Thanks for all you do.
The fact is that this country is no longer the United States if we become part of a collective in which the government continually redistributes our wealth according to what the government deems appropriate. My house has lost value but I don’t expect any other taxpayer to pay for it – no American should.
If you notice, MoveOn is focused on the 99% slogan, the same slogan used by the Communist Party USA, which happens to be the same slogan used by Obama, the unions, and the Ows. See a pattern here? This is a little too much coordination with questionable people for my tastes. You can’t make this stuff up.
Original Story: 10/28/2012: Obama wants to force banks to forgive some of homeowners’ mortgage debt, foisting these losses on the taxpayer.
Obama would do this by plundering Fannie and Freddie Mac yet again. It would be the grandest Stimulus of all. This new housing bailout (called “principal write-downs”) would add even more debt to taxpayers who already absorbed $141 billion in losses incurred by these housing giants.
Obama and his cronies need something big to make an election splash, but Edward J. DeMarco, the acting director of the Federal Housing Finance Agency, is the Fannie and Freddie regulator who stands in the way. Mr. DeMarco is the conservator of Fannie Mae and Freddie Mac, appointed in 2008.
This thuggish move by Obama would allow him to put through a Stimulus without having to go through Congress. Mr. DeMarco, however, won’t cooperate.
Mr. DeMarco told WSJ reporter, Kimberly Strassel, that when it comes to principal forgiveness, there is no “upside” to taxpayers—the lenders lose whether the borrower fails or succeeds. “If Congress wants to appropriate money” to pay for the program, “that changes the calculus.” Until then, he doesn’t view principal forgiveness as within his “statutory mandate.”
Obama wants DeMarco out of the way as a result. Obama tried to put another nominee up for the job, the Republicans balked, and the nominee was pulled. Next, Mr. DeMarco was assaulted by no less than 17 House Democrats who demanded he step out of the way. Then, no less than Larry Summers was unleashed on him, accusing him of single handedly preventing an economic recovery.
The White House is not supposed to put pressure on an independent regulator, in fact, this behavior is an abuse of our system, but that didn’t stop Obama from putting intense pressure on DeMarco to get his (Obama’s) update to the failed Home Affordable Refinance Program, which makes it easier to refinance Fannie and Freddie mortgages.
It wasn’t enough for Obama. Nineteen House members demanded another sit-down with DeMarco this past Wednesday to assault him yet again. Read here: Under attack by the White House – check out the WSJ article