Posted 06/21/2010 06:13 PM ET
Amidst all the political jockeying over the BP catastrophe, the main players are missing what is really uppermost on America’s mind: It’s the spill rate, stupid. It’s jobs, stupid. It’s the economy, stupid. And none of it is happening.
All eyes in Washington, Wall Street, and Main Street were turned this week to the congressional show trial featuring beleaguered BP CEO Tony Hayward.
Hayward was a disaster. He played dumb. He stonewalled. And he never got honest about the colossal failure of human judgment at BP that caused this catastrophe.
But folks, seriously, what did you expect? Before this thing is said and done, Hayward and others at BP may very well be criminally indicted by the Justice Department.
Hayward could eventually do hard time for all I know. So, of course, he stonewalled. Thank Eric Holder.
What Hayward should at least have done is talk about the progress being made in capping the spill rate, which is gradually going down.
To most Americans, and especially those in the Gulf, it’s the spill rate of capture that matters most.
Hayward also should have talked about the new BP relief well, which could be up and running in less than a month, to end this disaster.
That would be great news for America, and her economy and stock market. Plus, he could have mentioned that BP is hiring thousands of workers to fill new jobs in the cleanup effort.
But Hayward was lawyered to the gills, which doesn’t make anyone happy, including me. And that’s precisely why these congressional show trials leave me bored, tired and depressed.
And oh, by the way, what’s the role of Congress in this catastrophe? What exactly is it doing besides presiding over show trials?
Doesn’t it have oversight authority when it comes to the Minerals Management Service that utterly failed to regulate the safety of BP’s deep-water drilling operations?
Why aren’t more people talking about this? And why in the world hasn’t Congress suspended the Jones Act, thereby allowing foreign-flag tankers into the Gulf area? What is it waiting for?
We’re basically two months into this never-ending disaster. The Gulf cleanup could have been greatly aided by at least 15 foreign countries that were instead spurned after offering their tankers and other equipment.
Why aren’t we accepting these offers of help?
And where, really, is the president in all this? Speaking to the nation from the Oval Office earlier in the week, he failed to declare a Jones Act waiver, and he made no call for a task force of hands-on oilmen from the likes of Exxon Mobil and other big oil sisters who actually know what they are doing.
more at link below
Obama housing adviser Franklin Raines
Former Clinton and Obama budget adviser Franklin Raines owns a key carbon-emissions patent he developed as CEO of the government-sponsored mortgage giant Fannie Mae, positioning him and his partners to make millions of dollars if it is used in any carbon-capping scheme implemented by the Obama administration. Raines and his associates led Fannie Mae and Congress to believe Fannie Mae owned the patent, despite public records to the contrary.
Raines and his partners carried out their plan by quietly filing for and receiving a second nearly identical carbon-emissions patent that superseded the first patent, according to government records. The second patent was never assigned to Fannie Mae or any other party.
As WND reported, an Enron-like accounting scandal enabled Raines to earn $90 million in his five years as Fannie Mae CEO, from 1999 to 2004.
Another $90 million fleeced from sharteholders as well as the taxpayer!
This is a scandal this is allowed to continue because of its ties with Barney Frank & his circle of lobbyists.
Harry Reid & his Dummycratic lobbyists buddies included want hit your pocket with another tax!
They’ve done it with OLD & I mean OLD laws on the books for example an old communications law.
Take a look at your cell phone bill…..thank Harry Reid for that!
Hey er um Mr. umm oh hell Barry …..What happened to “There WILL BE NO LOBBYISTS in my White House? Now your have your advisors gettin’ in on the action too. Trying to make it look ok…or have
you forgotten about the term “conflct of interest.”
(Story continues below)
Raines and his associates applied for the first patent, U.S. Patent No. 6904336, entitled “System and Method for Residential Emissions Trading,” Nov. 8, 2002, while Raines was Fannie Mae CEO. The first patent was issued June 7, 2005.
Be the first to see the full documentation of how your life could be changed by climate-related laws, taxes and regulations, in “Climategate”
In three separate assignments made in April and July 2004, Raines and his associates assigned the first patent to Fannie Mae and to CantorCO3e, a London- and San Francisco-based international company self-described as “a leading global provider of financial services to the world’s environmental and energy markets.”
Carlton Bartels, the chief executive of Wall Street trading and investment firm Cantor Fitzgerald and head of the spin-off CantorCO3e organization, was one of Raines’ partners listed as an “inventor” and co-owner of the patent.
On Dec. 21, 2004, Raines accepted “early retirement” as Fannie Mae CEO while Securities and Exchange Commission investigators pursued their inquiry into accounting irregularities under Raines’ management.
On April 28, 2005, Raines and his partners, including Bartels, applied for a second carbon emissions patent issued Nov. 7, 2006, as U.S. Patent No. 7133750.
The second patent was nearly identical to the first. Only a few sentences in the claims were modified, making the substantive meaning and intent of the second patent no different than the first.
The U.S. Patent and Trademark Office records make clear that the second patent was never assigned to any other party, meaning Raines and the other individuals listed on the patent as “inventors” retained all ownership rights.
Rader, Fishman & Grauer PLLC, the law firm serving as attorney to Raines and his partners for the second patent, told WND client-attorney privilege prevented the law firm from commenting.
Raines could not be reached for comment.
Patent office explains
Jennifer Rankin Byrne, spokeswoman for the U.S. Patent and Trademark Office, explained to WND regarding the two patents that “one application is a continuation of the other,” such that the two patents are “essentially for the same invention.”
“Basically – the second patent is what’s called a ‘continuation’ of the first application,” she explained in an e-mail to WND. “What this means is that this is a second application for the same invention claimed in a prior application and filed before the original application becomes abandoned or granted. Sometimes the continuation application will have additional claims beyond what was included in the original application, or improvements to the invention in the original application.”
Rankin Byrne confirmed the second patent superseded the first patent.
The U.S. Patent and Trademark Office extension division confirmed to WND there was no record of any assignments for the second patent and that assignments made for the first patent do not automatically carry forward to the second.
Fannie Mae misled
In response to a WND inquiry, Fannie Mae spokeswoman Janis L. Smith referred WND to a May 25 letter sent by Fannie Mae general counsel Alfred M. Pollard to Reps. Darrell Issa, R-Calif., and Jason Chaffetz, R-Utah, of the House Committee on Oversight and Government Reform.
In the letter, Pollard explained that the first patent “was granted on June 7, 2005, to Fannie Mae and a joint owner, CO2e.com LLC.”
Pollard’s letter appears aimed at explaining to Issa and Chaffetz why Fannie Mae was pursuing a carbon-emissions patent, an issue apparently outside the authority of the mortgage government-sponsored entity.
Pollard, apparently unaware of the second patent, made no reference to it in the letter.
Moreover, Pollard’s letter implies Raines was acting in his capacity as Fannie Mae CEO when he applied for the patents, since the language of the letter makes no distinction between Raines and Fannie Mae applying for the patents.
“In filing the patent application, Fannie Mae did not intend to enter the energy trading business,” Pollard explained to Congress. “Residential emission trading, if developed in the market, would be conducted by others in the financial industry or other subject matter experts. Similarly, Fannie Mae did not pursue a patent out of a desire for potential royalties, but instead with the hope it could help facilitate the implementation by others of its original concept that residential builders could leverage their investments in building energy efficient houses.”
He continued, writing as if Fannie Mae and CO2e.com were the patent applicants, listed as “inventors,” rather than third parties that received a beneficial interest in the patent through an assignment process: “Fannie Mae and CO2e.com LLC opted to protect this business method through the joint filing of a patent application to allow the concept to be implemented by industry participants without their having to fear patent and royalty claims by others, should others obtain a patent on the concept if Fannie Mae and CO2e.com LLC did not.”
Contrary to these representations, Fannie Mae and CO2e.com are not listed as applicants or inventors on either patent.
Issa and Chaffetz did not respond to a WND request for comment. Issa’s office said it is aware of the story and is looking into it.
Raines at Fannie Mae
As WND reported, Raines and two other top Fannie Mae executives agreed to pay $24.7 million, including a $2 million fine, to settle a civil lawsuit filed in December 2006 accusing them of manipulating Fannie Mae earnings, allowing executives to pocket hundreds of millions in bonuses from 1998 to 2004.
Raines was forced to give up Fannie Mae stock options valued at $15.6 million as part of the settlement.
On July 17, 2008, the the Washington Post ran a profile piece on Raines stating he “has been quietly constructing a new life for himself” in which he takes “calls from Barack Obama’s presidential campaign seeking his advice on mortgage and housing policy matters.”
Prior to the settlement, the Office of Federal Housing Enterprise Oversight, known as OFHEO, the government regulator that oversees Fannie Mae and Freddie Mac, had sought $100 million against Raines and the other two executives, plus restitution totaling more than $115 million in bonus money tied to the accounting scheme.
Fannie Mae separately paid a $400 million civil fine in a settlement with OFHEO and the SEC in an agreement to make top-to-bottom changes in its accounting procedures to avoid future accounting scandals.
The SEC accused Fannie Mae under Raines’ leadership of misstating earnings for three and a half years, leading to an estimated $9 billion earnings restatement that wiped out 40 percent of Fannie Mae’s profits from 2001-2004, according to Business Week.
Central to the Raines accounting scandal was a strategy to “cook the books” of Fannie Mae to show the type of earnings that would trigger hundreds of millions of bonuses to Raines and other key Fannie Mae executives.
When the scandal surfaced, Raines resigned from Fannie Mae in December 2004 with a $19 million severance package.
Fannie Mae accounting manager Roger Barnes charged that the mortgage giant had been manipulating its earnings through “cookie jar” accounting to justify payment of hundreds of millions of dollars in bonuses to top executives.
In his 26-page testimony before OFHEA, Barnes detailed multiple Fannie Mae deviations from Generally Accepted Accounting Practices and his repeated efforts to bring the irregularities to a wide range of Fannie Mae managers and executives, all without positive result.
Barnes said he left Fannie Mae in October 2003 because he felt “forced out” once Fannie Mae excluded him from working on the OFHEA investigation.
“As a result of Fannie Mae’s refusals to take the concerns I had raised about financial and accounting practices seriously, and the retaliation I faced for raising these concerns, I had no choice to but to separate from the Company in October 2003,” Barnes said on page 25 of his written October 6, 2004, testimony to the Subcommittee on Capital Markets, Insurance and Government Sponsored Enterprises of the U.S. House of Representatives Committee on Financial Services.
Still, the OFHEA report on the Raines scandal cited Barnes 34 times in the first 80 pages of the 200-page document.
Barnes, an African American, reportedly received a $1 million settlement after threatening a whistleblower lawsuit charging racial discrimination, according to USA Today.
WND also reported that despite having served as Fannie Mae chief executive officer, Raines was named in a housing scandal as one of the “Friends of Anthony” in a low-income mortgage deal arranged by Anthony Mozilo, the former chief executive of the now-bankrupt sub-prime mortgage broker Countrywide Financial Corp.
Raines was also a repeat customer at Countrywide while he was Fannie Mae chief executive, receiving four home loans between 1999 and 2003 totaling nearly $4 million.
One of Raines’ properties included a 98-year-old seven-bedroom stucco colonial with a pool, a movie theater and a shared tennis court, overlooking a national park.
This guy Raines is a white collar theif as you can see above, and he continues to get away with whatever
he chooses, equaling a pennystock CEO prone to reverse splits. I wonder why that is?
I have at least 4 reasons. I welcome others!
Get Jerome Corsi’s “The Obama Nation,” autographed by the author, exclusively from WND’s online store.
Be the first to see the full documentation of how your life could be changed by climate-related laws, taxes and regulations, in “Climategate”
See how deep corruption runs in all of today’s science … in “Hijacking Science.”
HYSTERIA: Exposing the secret agenda behind today’s obsession with global warming
Read the book that started it all: Al Gore’s “Earth in the Balance”
“Global Warming or Global Governance? What the media refuse to tell you about so-called climate change”
“The Sky’s Not Falling! Why it’s OK to chill on global warming”
“I’m pro-choice – on light bulbs” – Bumper sticker sends Congress message over its banning Edison’s invention
Obama adviser spun Enron-like accounting scandal
Look who’s advising Obama! Fannie Mae, Freddie Mac execs
This site has it laid out (below) pretty well, but…..you know there had to be a but! When a President willfully degrades the United States continuously amongst other heads of state & appoints to his cabinet with full knowledge that people such as himself are Socialists & Marxists. That is a Treason! Look at the witch hunt McCarthy orchestrated back in the 50’s. For the ones unaware look him it up!
I’m not condoning a witch hunt…(but should I? hmmm…) at this point just merely stating that neither house years ago as well as the American People would put up with any of this garbage.
Another thing is that we’re not 100% sure this guy is even a U. S. citizen in the qualification sense of holding the Office, nor has it ever been willfully provided. (Something to hide Bo?)
The dual citizen doesn’t qualify him, which is the latest story leaking from that big ole
white building on PennsylvaniavAve. It won’t be the White House to this writer until
some is in there that is worthy of being called Mr. President.
This needs to be added to the LIST BELOW.
The Case For Impeachment
Why Obama Should Be Impeached
Obama swore to uphold the constitution.
It is unconstitutional to force people to buy anything ( Health Care ) from others.
It is unconstitutional to dictate what health care procedures are allowable.
It is unconstitutional to hard wire our bank accounts to the IRS and take our money without due process.
It is unconstitutional to appoint Czars that are not answerable to congressional oversight.
It is unconstitutional to fund organizations that further his election funded with taxes.
It is unconstitutional to give away US sovereignty to the UN.
It is unconstitutional to own parts of businesses.
It is unconstitutional to dictate salaries in the private sector.
Obama has done all of the above: All are violations of the constitution and high crimes.
Obam’s vote has allowed live babies to die after they are born.
Obama tried to bring the Census into the White House so he could rig it.
He wants to set up a national youth corps answerable to him.
Obama’s health care is systematically trying to reduce the life spans of Millions of old people by:
Reducing Early Cancer Detection,
Taxing Wheelchairs, Pacemakers, Heart Valves, Other Medical Devices,
Cutting Nursing Homes,
Cutting In Home Health Care,
Refusing Life Saving Treatment With No Appeal
Instituting Coercive End Of Life Panels
All to save money and buy votes ( of those now here illegally that he will try to legalize in 2010 ) to maintain permanent power.
Obama is a tyrant that will enslave the young, kill off the old, and in effect reduce the entire United States to one large forced labor camp/holding pen where one’s life is only valuable to the degree they can be taxed or bought off to vote to keep them in power. We are not cattle waiting for the slaughter.