Investors.com posted a story Friday about ShoreBank in Chicago and the fight to save it. The banks advertising claims, “Van Jones saves at ShoreBank so his money fights for green jobs just like he does.”
According to Investors.com:
“Rep. Judy Biggert, R-Ill., has joined Rep. Spencer Bachus, R-Ala., in a letter to Obama asking for records concerning ShoreBank and how it lined up at least $125 million in capital from major banks to qualify for $75 million from the federal government.
“ShoreBank has a history of making the very kind of risky loans that leftist agitators such as Acorn, with government help, pressured banks to do under the Community Reinvestment Act. Ron Grzywinski, one of the original founders of ShoreBank, was the only banker to testify in front of Congress in support of the CRA of 1977.”
President Obama praised the bank for its investments in Kenya last year when he was visiting Africa.
The article concludes:
“He (President Obama) did run to fundamentally transform America — and if those banks are on Main Street and they follow Obama’s agenda, they get help from those fat cats now in thrall to the government, not to mention all the president’s friends. Pretty sweet deal.”
Do you wonder where the Troubled Asset Relief Program (TARP) money is going and how much has been spent? Well, there is a fantastic website that tells the story. Visual Economics illustrates what has been done with TARP money–so far about $540 billion has been paid out to 829 recipients. Of that money, $194 billion has been paid back. The site also points out that in 2008, Senator Chris Dodd, Chairman of the Committee on Banking, Housing, and Urban Affairs received $854,200 in donations from recipients of TARP money. President Obama received $4.3 million from employees of companies who received TARP money. Remember, TARP money came out of the pockets of taxpayers.
The danger of any TARP-type legislation is that the money will be ultimately be used politically to fund campaigns and reward supporters. Unfortunately, that is where we are.