Government’s view of the economy could be summed up in a few short phrases: If it moves, tax it. If it keeps moving, regulate it. And if it stops moving, subsidize it.�� —Ronald Reagan
In order to understand how Barack Obama and ACORN are among those who are responsible for the mortgage meltdown. You first have to understand what ACORN is and how Barack Obama was affiliated with them...and make no mistake; Barack Obama was most definitely affiliated with ACORN.
The Roots of ACORN From a comprehensive and thoroughly researched piece by Stanley Kurtz in the National Review titled, Inside Obama’s ACORN, we come to understand that ACORN has its roots in the anti-capitalist tenets of the 1960s radical left group the National Welfare Rights Organization. This groups’ goal was to force a radical reconstruction of what they described as “America’s unjust capitalist economy�� by forcing the elimination of eligibility restrictions for those trying to attain inclusion on the welfare roles, thus creating an overloaded system, a crisis, so as to affect that reconstruction.source:wikapedia
Over the years, ACORN "morphed" its mission into one that champions a diverse set of objectives, all with an overriding goal based on the tenets of anti-capitalism and the destruction of the US Capitalist system. The group targets privately owned companies in their pursuit of cleverly public mandated "living wage" laws that have literally driven companies from some areas where jobs are badly needed.
They continue their campaign to eliminate welfare role eligibility restrictions(ie. illegal aliens) as they push to roll back welfare reform. And, in an area directly related to our subject, they actively employ coercive tactics to manipulate financial institutions into abandoning best business practice by affording low-interest loans to unqualified/minority borrowers.
In 1977, the Community Reinvestment Act was signed into law by President Jimmy Carter. This law requires financial institutions to offer credit, including home ownership opportunities, to under-served populations. Simply put, the Community Reinvestment Act forced financial institutions to offer credit – mortgages – to unqualified borrowers. To add teeth to this law, provisions were included to punish financial institutions that did not embrace the horrific business practice of lending money to those unable to pay it back. source:Congressional record
Because of the Community Reinvestment Act, any financial institution that wants to expand or merge,and any financial institution that has earned the right to grow because of its utilization of good business practices,has to prove it has complied with the Community Reinvestment Act. Otherwise the growth move can be blocked through regulation set-up to enforce the law.
ACORN, under the guise of affecting “affordable housing for the poor�� routinely employs intimidation tactics (both physical and verbal), public charges of racism and threatens to use the Community Reinvestment Act to block business expansion. These actions have enabled ACORN to extract hundreds of millions of dollars in loans and “organizational contributions�� (read: extortion) from America’s financial institutions.
The actions of ACORN by their intimidation of financial institutions that make up the mortgage banking industry, serve as the chief catalyst for the mortgage crisis and the financial meltdown we are experiencing today. By coercing the mortgage banking industry into lending to those who were unqualified to borrow.
ACORN instigated the collapse of the housing market and, as a result, is directly responsible for qualified borrowers(you and I) being nearly unable to secure legitimate lines of credit today.
But how does this relate to Barack Obama?
Barack Obama’s Connection to ACORNWhen a young Barack Obama was first starting in his career as a “community organizer,�� he caught the eye of Madeleine Talbot, the Chicago chapter head of ACORN. Talbot was so impressed with Obama’s organizational skills in his effort to attain asbestos abatement at a low-income housing project that she invited Obama to help train her own staff in the art of community organizing.
In an article by Toni Foulkes, a Chicago ACORN leader and a member of ACORN’s National Association Board, published in Social Policy titled, Case Study: Chicago. The Barack Obama Campaign shows that Barack Obama is a key figure in ACORN’s yearly leadership-training seminars. Foulkes also exposes the fact that the much-touted Project Vote campaign which Obama takes credit for organizing was, in fact, in direct partnership with ACORN!
Barack Obama was retained to represent ACORN in a legal action regarding an Illinois law addressing what has come to be known as “motor-voter�� voter registration. He was intentionally and specifically sought because of his days working with Madeleine Talbot.
After Obama officially left ACORN and began to craft his political career he tapped into his time at ACORN to field his volunteer staff. Having trained many of the ACORN leaders in Chicago there was a cadre of enthusiasm for his candidacies throughout the organization. This includes his 1996 congressional campaign, his 2000 State Senate campaign, his 2004 US Senate campaign and today’s 2008 presidential campaign. It should be noted here that Obama sought and received endorsements from ACORN’s political arm for his political contests.
A minimal effort into researching then Illinois State Senator Barack Obama’s pet projects reveals that on several occasions he introduced legislation complimentary to ACORN’s goals including legislation addressing the municipal living wage and the financial sector. And when Obama sat on the boards of the Woods Foundation and the Joyce Foundation he was afforded the wherewithal to direct grants to ACORN, which he did.Source: Chicago Tribune
HotAir.com’s Ed Morrissey, points out that, “It’s important not to get too carried away with the ACORN connection in the collapse. The real trigger came when Fannie Mae and Freddie Mac began buying up all of these loans and converting them into securities.��
"But a gun doesn’t shoot without bullets and ACORN’s manipulation of the mortgage banking community in securing low-interest loans for unqualified borrowers manufactured the “bullets�� that were shot by the gun owned by Fannie Mae and Freddie Mac." With the assistance of Congressman Bernie Franks and Senator Dodd, the two responsible for oversight of the "Freddies"!
The mortgage crisis and the subsequent financial meltdown that has caused hundred-point slides in the stock market in recent days, was started with training people. Community activists and their coordinators were taught how to coerce financial organizations into employing bad business practices by providing loans to people who could never, ever pay them back.
Barack Obama trained Madeleine Talbot’s budding ACORN staff how to organize people to action. He returned yearly to provide leadership-training seminars. And after ACORN employed the practice of coercing financial institution into providing low-interest loans to unqualified recipients Obama served as their legal counsel.
Of course, like every other legitimate charge brought against the Democrat "messia", this will be denied, but the Internet has all the facts for those who are willing to research it as I did.
Despite these facts I must say I believe we have a majority of voters who have welcomed the government "cradle to grave" concept, and this smooth talking con-man will occupy the Oval Office!