Attempted graft in the 700 B bailout plan

Jim Lindgren comments on the graft embedded in the proposed bailout plan:

Much of the blogosphere is up in arms because of the provision in Senator Dodd’s financial bailout bill that might funnel profits from the bailout plan to ACORN Housing (related to the disreputable activist group ACORN), and other more reputable service organizations.

I have read Dodd’s proposed statute and in some respects, it is far worse than has been reported. Senator Dodd has placed a loophole in the bill that is explicitly designed to siphon off tens or hundreds of billions of dollars to the Housing Trust Fund and the Capital Magnet Fund even if there are no net profits in the $700 billion venture.

Glenn Reynolds comments:

You know, it would be easier for me to believe this was a crisis, if the people in charge were acting like it was a crisis, instead of just an opportunity for graft. Then again, to some of these people, everything is just an opportunity for graft.

Indeed. This is just so sad -- the country is in trouble, and congressional Democrats subtly place deceptive loopholes in the bailout bill... loopholes that will enrich key constituents, even without eventual net profits for the package; in other words, siphoning off money intended to help the country survive this recent crisis, and using these millions [billions] of dollars to ensure political clout [and stuffed ballot boxes via ACORN, etc.], at direct taxpayer expense. Unbelievable. Itemized here, and here.

It's unconscionable. Full credit should go to John McCain and John Boehner for stopping this blatant attempt at robbery. Thank God McCain suspended his campaign to put country first -- he just saved billions from being skimmed off by unscrupulous politicians. Note: Financial Services ranking member Spencer Bachus said that McCain "turned the negotians around" in 48 hours. And Boehner received a standing ovation in a GOP conference meeting, this morning. You won't hear about that on evening news or newswires!

Thanks to Jim Lindgren for the scoop, and hat tip to Glenn.

Note: Further reading:

• Wall Street Journal, Re-Seeding the Housing Mess.
• And, John Boehner, Dems Want to Reward Scandal-Tarnished "Community Organizing" Group in Economic Rescue Bill.