Anyone who kept up with the news is aware that the major cause of the financial meltdown was caused by worthless mortgages issued to people who simply were not capable of paying for the homes they bought. But what many people do NOT know is that those mortgages were created thanks to Barak Obama.
As detailed in the American Thinker, Obama represented ACORN in a 1994 suit against redlining. In other words, banks would not issue mortgages to poor people or minorities living in a "redline" district. ACORN was also a driving force behind a 1995 regulatory revision pushed through by the Clinton administration that greatly expanded the Community Reinvestment Act and helped spawn the current financial crisis by forcing banks to issue mortgages to people who could not afford them.
Obama was the attorney representing ACORN in this effort. In a speech to Acorn Obama said, “I’ve been fighting alongside ACORN on issues you care about my entire career.” Indeed he has. Obama was and is fully aware of what ACORN was doing with the money and expertise he provided. He was the attorney representing ACORN in the lawsuit against Citibank that eventually resulted in the financial meltdown.
Case Name
Buycks-Roberson v. Citibank Fed. Sav. Bank Fair Housing/Lending/Insurance
Docket / Court 94 C 4094 ( N.D. Ill. ) FH-IL-0011
State/Territory Illinois
Case Summary
Plaintiffs filed their class action lawsuit on July 6, 1994, alleging that Citibank had engaged in redlining practices in the Chicago metropolitan area in violation of the Equal Credit Opportunity Act (ECOA), 15 U.S.C. 1691; the Fair Housing Act, 42 U.S.C. 3601-3619; the Thirteenth Amendment to the U.S. Constitution; and 42 U.S.C. 1981, 1982. Plaintiffs alleged that the Defendant-bank rejected loan applications of minority applicants while approving loan applications filed by white applicants with similar financial characteristics and credit histories. Plaintiffs sought injunctive relief, actual damages, and punitive damages.
U.S. District Court Judge Ruben Castillo certified the Plaintiffs’ suit as a class action on June 30, 1995. Buycks-Roberson v. Citibank Fed. Sav. Bank, 162 F.R.D. 322 (N.D. Ill. 1995). Also on June 30, Judge Castillo granted Plaintiffs’ motion to compel discovery of a sample of Defendant-bank’s loan application files. Buycks-Roberson v. Citibank Fed. Sav. Bank, 162 F.R.D. 338 (N.D. Ill. 1995).
The parties involved were:
Plaintiff’s Lawyers Alexis, Hilary I. (Illinois)
FH-IL-0011-7500
FH-IL-0011-7501
FH-IL-0011-9000
Childers, Michael Allen (Illinois)
FH-IL-0011-7500
FH-IL-0011-7501
FH-IL-0011-9000
Clayton, Fay (Illinois)
FH-IL-0011-7500
FH-IL-0011-7501
FH-IL-0011-9000
Cummings, Jeffrey Irvine (Illinois)
FH-IL-0011-7500
FH-IL-0011-7501
FH-IL-0011-9000
Love, Sara Norris (Virginia)
FH-IL-0011-9000
Miner, Judson Hirsch (Illinois)
FH-IL-0011-7500
FH-IL-0011-9000
Obama, Barack H. (Illinois)
FH-IL-0011-7500
FH-IL-0011-7501
FH-IL-0011-9000
Wickert, John Henry (Illinois)
FH-IL-0011-9000
Under the Clinton administration, federal regulators began using the act to combat “red-lining,” a practice by which banks loaned money to some communities but not to others, based on economic status. “No loan is exempt, no bank is immune,” warned then-Attorney General Janet Reno. “For those who thumb their nose at us, I promise vigorous enforcement.”
The Clinton-Reno threat of “vigorous enforcement” pushed banks to make the now infamous loans that many blame for the current meltdown, Richman said. “Banks, in order to not get in trouble with the regulators, had to make loans to people who shouldn’t have been getting mortgage loans.”
In short, Obama sued the banks and forced an end to redlining. Clinton and Reno pushed it to the hilt, insuring every poor person the chance for home ownership. These risky mortgages forced lenders to bundle them into the now infamous "derivatives" and sold to Fannie Mae & Freddie Mac. The mortgages did not get paid, resulting in the meltdown that we are still suffering from.
And then what did America do? The attorney who was responsible for the meltdown was elected President of the United States to "fix" the problem.
Recently, Obama stated in yet another speech that "We tried our plan and it worked." And he's correct - his plan DID work. His plan, according to what he has done over the last three decades and what he promised to do ("fundamentally change Amerca") was to destroy capitalism and free markets so a quasi-socialist nanny state could take over. And his plan IS working.
If you need proof, since Obama was inaugurated:
* the unemployment rate jumped from 7.2% to 8.3 %, and has stayed above 8% his entire term of office - his plan "is working"
* the median income in America dropped from $58,000 to $54,000 - his plan "is working"
* the national debt has increased a whopping 51%, from $10 trillion to $16 trillion - his plan "is working"
* gasoline went from $1.85 to nearly $4.00 a gallon - his plan "is working".
Barak Obama desperately wants to finish what he started decades ago. If America re-elects him, then we deserve to lose the American Way of Life. And we will.
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