Tag Archives: stimulus

One Of Many Reasons We Should Not Trust The Government With Our Money

Posted on by

Any time the government starts giving away money, you can almost always bet that there will be corruption. The stimulus plan put into effect to help the country get through the coronavirus crisis is not an exception.

The Daily Caller reported yesterday

  • At least $4 million in PPP loans went to a real estate company at the center of a federal bribery investigation involving a Los Angeles city councilman.
  • Shenzhen New World Group, owned by Chinese billionaire Wei Huang, received two PPP loans for hotels it operates in Los Angeles. 
  • Jose Huizar is accused of accepting more than $800,000 in bribes from a real estate company chairman referred to in a federal indictment as “Chairman E.” 
  • Charging documents against Huizar make it clear that the real estate company in question is Shenzhen New World Group, which is working on a 77-story skyscraper project in Huizar’s district. 

The article continues:

The Real Deal, a website that covers the Los Angeles real estate market, first reported the coronavirus relief loans to Shenzhen New World.

The funds, issued under the Paycheck Protection Program, went to two of Shenzhen New World Group’s limited liability corporations (LLCs), Shen Zhen New World I and Shen Zhen New World II. The LLCs control the L.A. Grand Hotel and Sheraton Universal Hotel, respectively.

California business registration documents show that Huang signed the articles of incorporation for both LLCs in 2010. Shenzhen is proposing to redevelop the L.A. Grand Hotel into a 77-story skyscraper.

The Treasury Department on Monday released a database of PPP loan recipients, showing that both of the LLCs received between $2 million and $5 million each.

The article concludes:

The complaint against Huizar, who has held office since 2005, alleges that the Chinese developer provided the bribes in part because of his position as chairman of the city council’s Planning and Land Use Management Committee.

“HUIZAR was poised to significantly benefit Chairman E’s desire and plans to redevelop Property E and transform it into a 77-story skyscraper, making it the tallest building west of the Mississippi River,” the complaint against Huizar says.

“This project would require official acts from HUIZAR at various stages of the City approval process.”

Huizar’s former aide, George Esparza, pleaded guilty on May 27 to racketeering charges as part of the probe.

According to Esparza’s plea agreement, he said that the Chinese developer began paying Huizar after he introduced a motion to keep the head of the Los Angeles Department of Building and Safety in his position.

Virginia Clark, who is listed as the point of contact on Shenzhen New World’s applications for the skyscraper, did not respond to a detailed list of questions about the PPP loans and the FBI investigation of Huizar.

The Small Business Administration, which approves the PPP loans, did not respond to a request for comment. Huizar’s lawyer also did not respond to a request for comment.

Please follow the link above to the article for further details.

This Is How Media Spin Works

Posted on by

This is a screenshot from The Gateway Pundit illustrating how The New York Times changed its headline to fit the political narrative:

This is how you spin a crisis. I would like to remind everyone that Congress is not losing their income during this crisis. In fact, a number of Congressmen have profited in the crisis. Other than to be re-elected or because they actually care about the fate of average Americans, they have no incentive to pass a relief package. November is a long way away in terms of remembering, but we need to remember the actions of Congress during this crisis when we vote in November. Anyone who held up the package that would provide relief for American workers needs to lose their election bid. Blocking the bill has nothing to do with worker protections–it has to do with funding Planned Parenthood, a major donor to Democrat campaigns. The Democrats are rewarding their campaign donor rather than helping the American people.

I Wondered When I Heard This

Posted on by

Last night Alexandria Ocasio-Cortez was interviewed by Bret Baier on Special Report. During the interview, Representative Ocasio-Cortez accused Republicans of loading up the relief package for the coronavirus with anti-abortion restrictions. Bret Baier did not challenger her statement, and I wondered what was actually going on. The statement on its face makes no sense–the Republicans want to get an economic package through Congress as soon as possible. Why would the Republicans add things to a bill that would make it difficult to pass? Well, I now have the answer–they didn’t. Representative Ocasio-Cortez was lying and Bret Baier chose not to challenger her statement.

Yesterday The Daily Caller posted an article that explains what Representative Ocasio-Cortez was talking about.

The article reports:

House Speaker Nancy Pelosi sought to include a potential way to guarantee federal funding for abortion into the coronavirus economic stimulus plan, according to multiple senior White House officials.

Speaking to the Daily Caller, those officials alleged that while negotiating the stimulus with U.S. Treasury Secretary Steve Mnuchin, Pelosi tried to lobby for “several” provisions that stalled bipartisan commitment to the effort. One was a mandate for up to $1 billion to reimburse laboratory claims, which White House officials say would set a precedent of health spending without protections outlined in the Hyde Amendment.

The Hyde Amendment blocks clinics that perform abortions from receiving federal funding, and Democrats have pushed the Trump administration to end it since he was elected in 2016.

“A new mandatory funding stream that does not have Hyde protections would be unprecedented,” one White House official explained. “Under the guise of protecting people, Speaker Pelosi is working to make sure taxpayer dollars are spent covering abortion — which is not only backwards, but goes against historical norms.”

A second White House official referred to the provision as a “slush fund” and yet another questioned “what the Hyde Amendment and abortion have to do with protecting Americans from coronavirus?”

I wonder how many Americans were mislead when Bret Baier did not challenge the statement by Representative Ocasio-Cortez. This is an example of the reason Americans have to question everything they hear–even if it comes from a generally accurate source.

About Those Stimulus Reports

Posted on by

Yesterday’s Weekly Standard reported that the required reports on the President’s $787,000,000,000 economic “stimulus” (now estimated to cost $831,000,000,000) have not been released.

The article reports:

In its last report, published in 2011, the president’s own Council of Economic Advisors released an estimate showing that, for every $317,000 in “stimulus” spending that had by then gone out the door, only one job had been created or saved.  Even in Washington, that’s not considered good bang for the buck.

Quarterly reports are required by law–the last on was posted in 2011. Where is the transparency the President keeps talking about?

The article concludes:

With only 58.6 percent of Americans currently employed — down 2.4 percent from the time of Obama’s first inauguration — it’s not surprising that the Obama administration doesn’t really want to fulfill it legal responsibilities and release subsequent reports on its failed “stimulus.”  However, it hardly seems fair — to use one of Obama’s favorite words — that the rich and (extremely) powerful think that they can choose whether or not to abide by the laws they spearhead and sign, while the rest of us are forced to obey them. 

Perhaps it’s time for the rich and powerful to do their fair share and obey the laws that they enforce against others.  And perhaps this is something that the House of Representatives might want to look into.

The only thing the stimulus did successfully was increase our indebtedness. It’s time to stop the excessive spending.

Enhanced by Zemanta