Having just attended a settlement for the sale of our home, while at the table, I had the opportunity to talk to the lender for the buyers who was very savvy about the way government-backed mortgage lenders are enforcing and writing policies. I asked him whether policies at the government-sponsored lending agencies had changed. Here is what he said and what every American needs to know if we are to remain free:

Fannie and Freddie, the Democrat controlled GSEs (Government Sponsored Enterprises) who used to all but force lenders to lend without documentation or credit are now more strict than any other lender!

Isn't it obvious what is happening? This new crackdown is aimed to make it look as though the Bush administration caused the whole problem by not regulating anything. But for decades, Fannie/Freddie had all but caused the entire banking problem by 1) refusing to regulate lending and 2) by enforcing the CRA, which forced banks and other lenders to lend without checking documents and without requiring down payments. People on welfare were getting mortgages. People with bad credit were getting mortgages. Millions of illegal aliens were even fraudulently getting mortgages.

Now, the Obama administration, which contributed mightily to this mess via ACORN, the quasi-criminal organization that Obama aided and abetted, is trying to take credit for getting the economy back on track. Due to the near media blackout on this subject, Americans are being led to believe a colossal lie, namely, that Obama is the savior who will solve the banking problem that was supposedly caused by the "lack of regulation" due to conservative principles in action.

Am I trying to exonerate Bush? Not on your life! Bush, while claiming conservative credentials, was operating like a Big Government socialist with regard to lending policies. His HUD web site has a section headed "Zero-Downpayment Option:"

Zero Percent Downpayment Option. The Administration proposes a zero downpayment mortgage option in the Federal Housing Administration (FHA) that would allow first-time buyers with a strong credit record to finance 100 percent of their home purchase including closing costs. The Budget also proposes a program called Payment Incentives, which would allow borrowers with limited or weak credit histories to purchase homes by initially paying higher mortgage insurance premiums that would gradually be reduced after a period of timely payments. In 2006, these new mortgage programs will help more than 250,000 families to buy a home of their own.

I am not trying to imply that Bush deliberately wanted to give the GOP a bad name. What is clear, however, is that he did give the GOP a bad name, and worse, he gave conservatism a bad name by claiming to be a conservative and behaving like a big-government Marxist.

If Bush had operated on conservative principles and used his bully pulpit to make a huge fuss (as well he should have) about the insane policy of lending to anyone without documentation or down payments, he would have come out smelling like a rose. In fact he probably could have prevented the present debacle.

However, the fact that he cooperated with the disastrous policies and even took the initiative in promoting them, proves that he was in no way a conservative and, whether out of naivete or out of a desire to get along with the enemy, or even out of a desire to garner Hispanic votes at America's expense, he did help bring down America financially. The fact that the GOP and Republican legislators did not try to rein him suggests that key GOP "leaders" are nothing but a bunch of socialists or are only looking out for their own political security.

This is why every legislator, regardless of their party, who voted for the Bush bailout and subsequent bailouts must be thrown out on their ear, regardless of how "conservative" they once seemed to be. They do not deserve a second chance and we the people deserve a break.

Your job from here on out is to make sure these bailout bottom feeders never get a job in government again. Your other job is to tell everyone you know that the banks were brought down by socialist government policies that either forced banks to give mortgages to bad risk borrowers or actually participated in such suicidal lending practices, as Fannie/Freddie once did.

What Obama is doing now by cracking the whip on Fannie/Freddie, or by having them discipline themselves, is exactly what Clinton did with welfare. Clinton promoted the idea of “welfare reform,” making it look like the Democrats had done something good. Yet it was the Democrats themselves who had given birth to the miscreant system in the first place under President Lyndon B. Johnson. The media blacked out this fact so well that younger people never learned about it. Listening to Clinton and his pets in the media people could easily have thought the Republicans came up welfare. And the toothless GOP said nothing to controvert that myth.

Likewise, now comes the “savior” Obama pretending to be regulating the lending industry by allowing Fannie and Freddie and other government-sponsored lenders to use the sound banking practices that had always been in place until the Democrats destroyed these practices and forced lenders to use practices everyone with half a brain knew would eventually fail.

If mortgage lending gets back on a sound footing, it is your sacred duty not to allow the Democrats (or RINOs like Bush, Cheney and McCain) to take any credit for it.

And if job losses are slower than expected, let’s not dare to let the Democrats or the “bailout RINOs” take a stitch of credit.

Left on its own, the free market would be humming like a well-oiled machine. With government involvement it can only fail.

The mainstream media will never breathe a word of any of this; it's our duty to spread the word ourselves.

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Pat Henry said:

Two in the Bush It is not necessary to merely imply Bush was working against true conservatives. It is glaringly obvious to anyone awake and thinking. This leads to a further connection: both the liberal Left and neo-con (and fellow traveler) Right are pincers against the middle class. What is hard to tell is whether the possibility of voting them both out is still possible. Clearly, a transcendence and new unity above the old wineskins in needed to do this. God help us (literally). We should have recognized this earlier. Bush I was a helper to the China one-child policy, and publicly touted the Fabian Socialist New World Order: see this 2.5 hour video http://video.google.com/videoplay?docid=1070329053600562261&ei=2jEWSr-dLp62-gHfrMiyAg&q=endgame+blueprint+for+global+enslavement The New American showed the Trotskyite roots of deceptively self-named "neo-conservatism." But the depopulation agenda has yet to be sufficiently exposed, as the above film does.

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June 24, 2009
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