Corey says Kanjo has "Zero" chance of winning

“There is zero chance Paul Kanjorski defeats Lou Barletta. Zero,” Corey O’Brien told POLITICO in an interview. “I may be wrong about that, but I’m not good at negative numbers. Republicans are giddy about this race.”

He said the Massachusetts miracle helps his campaign and Kanjo can't rely on the President's coattails this time out predicting "we’re going to win this primary.”

He then attacked the seniority argument.

“If seniority was the benchmark, you’d never run against anyone. His seniority has gotten us 10 percent unemployment, his seniority has not developed any regional vision for the future… and his seniority has brought a lot of Wall Street money in his coffers,” O’Brien said. “Every single day, I’m chipping away at Kanjorski. People in the 11th district want a change in Washington.”


Senior member of Congress Kanjorski had this to say about the AIG bonuses today:

WASHINGTON - Congressman Paul E. Kanjorski (D-PA), the Chairman of the House Financial Services Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises, expressed aggravation and disappointment about reports that American International Group (AIG) will pay $100 million in bonuses to employees at the very business unit that caused the company to lose tens of billions of dollars and seek a federal bailout. These bonuses only highlight the need for the Kanjorski amendment which will prevent the existence of companies that are deemed "too big to fail," like AIG.

"I am deeply disappointed that AIG has, yet again, failed to halt excessive employee bonuses after receiving access to more than $180 billion in taxpayer money to keep the company afloat," said Chairman Kanjorski. "AIG is a shining example of why we cannot allow companies to become "too big to fail." The Kanjorski amendment will make it so that in the future, companies including AIG, will not be able to become so interconnected that they could severely damage the American economy if they collapse. Last year, I held two hearings on these issues, including one where the then CEO of AIG testified. I will continue to examine these matters as Congress works to ensure that the government swiftly winds down its support for AIG."

Chairman Kanjorski added, "The House passed a Wall Street reform bill which includes this amendment. Just last month, the President expressed his support for a similar proposal. Now, the Senate must do its part by passing Wall Street reform legislation which includes the Kanjorski amendment or similar language in the larger bill. AIG's bonuses only reemphasize that we must take action as soon as possible to better protect the American taxpayers and the American economy. I look forward to the day when the phrase ‘too big to fail' is no longer a part of our vocabulary."

Chairman Kanjorski has been a leader in crafting landmark Wall Street reform legislation to work to prevent future financial crises and better protect every American. H.R. 4173, the Wall Street Reform and Consumer Protection Act, passed in the House in December. The bill includes the Kanjorski amendment which would work to prevent another situation like we encountered with AIG. Specifically, the amendment would empower federal regulators to rein in and dismantle financial firms that are so large, inter-connected, or risky that their collapse would put at risk the entire American economic system, even if those firms currently appear to be well-capitalized and healthy. Therefore, American taxpayers should no longer be on the hook for bailouts, as financial companies would not be able to become "too big to fail."

Here is a picture of Corey and Kanjo in happier times (2008)

via The Scranton Guardian

AIG bonuses

Just about everybody is outraged by insurance giant AIG plans to pay bonuses. Congressman Chris Carney and Paul Kanjorski have put out strong statements on the subject. The company argues that they are just honoring contracts and need to retain the talent that helped run the company into the ground. It's an open question whether or not the government can stop this madness.

I think Iowa Senator Chuck Grassley speaks for many of us:


"But I would suggest the first thing that would make me feel a little bit better toward them if they'd follow the Japanese example and come before the American people and take that deep bow and say, I'm sorry, and then either do one of two things: resign or go commit suicide."

Stephen Colbert is calling out the pitchforks.








via videosift.com

Kanjo will be all over the telly talking about this tomorrow.

CNBC, Squawk Box
7:45 a.m.
Bloomberg TV
8:00 a.m.
MSNBC, 1600 Pennsylvania Avenue
6:00 p.m.

Kanjo says the world economy almost collapsed

From the Motley Fool:

Congressman Paul E. Kanjorski of Pennsylvania reveals some shocking information regarding a bank run which occured right here and indeed brought this country and the entire world economy to within three hours of complete and systemic financial collapse. In this video, Congressman Kanjorski reveals (at about the 2:15 mark) that the move to raise the move to guarantee money market funds up to $250,000 was an emergency measure to stave off a massive run on the banks that removed $550 billion from the system in a matter of just a couple of hours. Treasury then injected $105 billion to no avail, and shut the system down to prevent a panic continuation of this electronic bank run. By "their" [read Treasury's] estimation, had they not shut it down and issued the guarantee, money market withdrawls would have reached $5.5 trillion by two 'o'clock that afternoon!! He then indicates Treasury's assessment that the run not only would have destroyed the U.S. economy immediately, but would have collapsed the world economy within 24 hours.


Kanjorski: "The Treasury opened its window to help. They pumped a hundred and five billion dollars into the system and quickly realized that they could not stem the tide. We were having an electronic run on the banks. They decided to close the operation, close down the money accounts, and announce a guarantee of $250,000 per account so there wouldn't be further panic and there. And that's what actually happened. If they had not done that their estimation was that by two o'clock that afternoon, five-and-a-half trillion dollars would have been drawn out of the money market system of the United States, would have collapsed the entire economy of the United States, and within 24 hours the world economy would have collapsed.""It would have been the end of our political system and our economic systems as we know it."




Rep. Kanjorski: $550 Billion Disappeared in "Electronic Run On the Banks"

Carney votes against the bailout, again

Washington, D.C.—Congressman Christopher P. Carney issued the following statement after voting for both the TARP Reform and Accountability Act, which passed in the U.S. House of Representatives by a vote of 260 to 166, and TARP Funds Disapproval Resolution, which passed by a vote of 270 to 155:

.

“I voted for the TARP Funds Disapproval Resolution because I could not, in good conscience, burden taxpayers with $350 billion dollars of further debt. The American people deserve a better explanation from the financial services industry as to where the $350 billion dollars from the first half of the bailout, which I did not support, have gone.

.

“We were promised accountability when the first portion of bailout funding was released, but still have not received it. I voted against the bailout before because I was concerned about the lack of accountability, and I am voting for the TARP Funds Disapproval Resolution now because Wall Street has yet to provide the public with a clear plan of how they plan to spend an additional $350 billion dollars.

.

“We do still need oversight of the federal bailout funds. That is why I voted in support of the TARP Reform and Accountability Act of 2009. This legislation would give significantly greater oversight of the federal dollars that have been loaned to financial services institutions since October 3, 2008, when Congress passed the initial bailout package.

.

“We live in the greatest country in the world, one that was founded on principles of a free and fair market economy. Thus far, the bailout has relied too much on the U.S. Treasury to solve the problems that have been brought on by greed. Yes, we need to see trading and credit markets stabilized, but not by increasing the debt our grandchildren will shoulder.

.

“We can look to our community banks as an example: they are subject to stricter regulations than Wall Street behemoths and do not have nearly the amount of toxic debt that their larger counterparts incurred over the last few years. Our small banks went about things the right way because they have always been held accountable to a higher standard.

.

“Congress has a role here, not by taking control, but by mandating and conducting oversight. The federal government should not be giving more money to bail out the financial services industry when it hasn't unfrozen the credit crunch or given our economy the boost it needs.”

Economic Human Rights Speaker Series

NEPA Organizing Center to Host Presentation on the Economic Crisis

The Center will be hosting Chris Caruso, PhD candidate in Cultural Anthropology at the CUNY Graduate Center, on Wednesday, December 17th at 6:00 p.m. as part of our Economic Human Rights Speaker Series.

Mr. Caruso will be clearly outlining the roots and manifestations of the present housing market collapse and economic crisis, and we invite the public to attend this presentation and discussion.
Any local residents, organizations, or community leaders interested in participating are encouraged to join us on Dec. 17th or to contact us at www.nepaorganizingcenter.org.

YouTube weekend

I have mixed feelings on the the auto bailout. On the one hand the free market means you have the freedom to fail but we can't really afford to lose millions of jobs and a big chunk of our industrial base. Plus I hate corporate welfare. As far as the fate of the CEO's and the other suits.....

.

David Bowie ~ Panic In Detroit (Live)

The bailouts

The latest focus is on the auto industry wanting some government money after the failure of Bear Stearns

Fannie Mae and Freddie Mac
Goldman Sachs
Morgan Stanley
American International Group
Boscovs

And many others. Today Citigroup has been added to the list.

I'm dismayed that some of my conservative friends are blaming the unions for the collapse of Detroit. Did the unions cause the collapse of the big financial companies? I know a few people that work for CitiBank and not one of them belong to a union and they are hourly employees.



I haven't read a liberal or conservative blogger or talked to a Republican or Democratic voter that agrees with what is going on but we keep hearing the same mantra that Margaret Thatcher was famous for when I lived in England, "There is no alternative."






I can't get my arms around what has happened in the last month and I'm an Economics major. As a rule I don't like it when the government goes into panic pass mode because they usually get it wrong, think the Patriot Act or the MCA.

As a minimum we should expect some accountability from these companies such as the firing the top management of these not now going concerns and limits on any future compensation for their successors. The auto execs showed how tone deaf they are to the mood of the country by flying into Washington on private jets with while asking for a hand out. This past week's exchange between Congressman Paul Kanjorski and GM CEO Rick Wagoner shows how arrogant and out of touch these guys are. Kanjo asked Wagoner a simple question that he couldn't answer.
"How Much money do you need until March 30th?" And he couldn't give a straight answer.


Auto CEOs Tell Congress Why They Need $25b

Bailout Boscovs

A few weeks ago when I was ranting about the $700 Billion bailout of the banks and Wall Street I asked what I then thought was the facetious question, What the hell, why don't they also bail out Boscovs?

Another lesson in be careful what you ask for. The feds (Republicans) are still busy nationalizing the commanding heights of the economy (socialism) and now the state and local governments are getting in on the act.

W-B, Scranton to loan Boscov’s $3 million each
Gov. Ed Rendell (Democrats) also secures $35 million to aid family regain Boscov’s chain.

State and city money is said not to be at risk because they are using federal funds in the Community Development Block Grant (CDBG) program administered by HUD. According to the TL story the money comes from a pool of money that is separate from the CDBG funds that are used to pave streets and tear down vacant buildings, etc. We will see about that.


Is a local department store chain really too big to fail?

Buy a Cadillac and get GM Stock

"What is good for the country is good for General Motors, and what's good for General Motors is good for the country." -Charles Wilson, the head of General Motors and later Dwight D. Eisenhower's Secretary of Defense


A car dealer in Maryland is offering customers 100 shares of GM stock if you buy a used Cadillac which I think is a creative idea. GM stock closed yesterday at $2.79 so if you drop $40K for one of those boats you get a $279 lottery ticket. GM's 52 week high was $29.95 and it looks like the government is not going to let the auto companies go under so it's not a bad bet. Even if the share price recovers only half it's value you can make a tidy profit. I would say the odds are better than buying a PA lottery ticket or pushing some buttons on a slot machine at Mohegan Sun that you would win some money.

Retirement savings

We just got the last of our 3rd quarter 401(k) and IRA statements today. It's a bloodbath and may get worse. How ya doin'?

The business end of a breadline

A guest post.


TO HELL WITH THE BAILOUT!!!


By Mean Old Man



I'm angrier than Sarah Palin at a PETA rally over the way the Liberals in the congress are trying to shove the Wall Street bailout down our throats!!! Our beloved country is becoming so sissified that we have to be coddled for every damned mistake that we make!!!

I'd like to say that in my day we didn't have bailouts but I'd be lying to you. In my day we saw the birth of the bailout, what with the Commie FDR stealing the election from good ol' Herbert Hoover (now there was a President!!) back in 1932. Once the original elitist took the oath of office he threw the blanket of government all over our lives!! The WPA, CCC, and the NRA (not to be mistaken with the National Rifle Association--a great true American organization); all those acronyms were thrown into our lives faster than a groundhog falls after a blast from Thelma Jean's shotgun.

It used to be that before FDR's time if a bank failed it failed. Throwing your money in was a risk that you took and if your money was lost it was lost; and you loved it!!!--I remember my sainted Mom managed to put a few dimes a month into the local bank so that my stupid brother Hugh (who was a Liberal, by the way) could get a suit for his graduation. By the Fall of '29 she had saved a whooping $15 dollars and my old man wanted to withdraw it so that he could buy a new rifle. Well, ol' Ma would have none of that, so she hid the bank book to make sure that Pops couldn't get his hands on it. She had put the cash in the bank in the first place so that he couldn't find it during one of his annual household searches for beer money. To make a long story short, the crash came that October and all of Ma's money was gone. I love my Mom, but you know what? Serves her right!!! Anyone that would trust his or her hard earned money to some crooked banker has what's coming to them!!!

But then the silver spoon-fed FDR comes along and says "I can fix this; I'll just use the hard earned tax dollars of the common folks to insure these losers who use banks." Real smart, real commie. Damn!!!!

It used to be that when you failed in this country you got up by yourself and if you didn't you were going to be stomped on. That's what made America great! Washington wasn't looking for a handout at Valley Forge, Ol' Hickory wasn't asking for charity during the Battle of New Orleans, Honest Abe wasn't reviewing stock options during the Battle of Antietam. These were real Americans who knew what the stars and stripes stood for; not wimpy crybabies depending on the milk of Lady Liberty's bosom to survive. Double Damn!!!!

Now it seems as if everybody is at the troth wanting to drink--even some Republicans!! Our great President is even in on it (I needed a double six pack of Steg to accept the news). As far as the next President is concerned, well you know where I stand on Barack but McCain ain't no better with his support of this Bolshevik bailout.

So, all you leftists who read this anarchists web site I am going to let you in on a little secret: I AM VOTING FOR AND URGING ALL GOD FEARING, LOYAL AND PATRIOTIC AMERICANS TO VOTE FOR THE HONORABLE BOB BARR OF GEORGIA FOR PRESIDENT OF THE UNITED STATES!!! Of course, even I know that he doesn't have a prayer of winning, but whoever wins we are going to end up having to fend for ourselves anyway. Besides, it will be good for the young punk kids to finally experience the joys of misery. No more cell phones, I pods that play hippy music, computers and on and on. Say goodbye to all of that you hoodlums and say hello to the breadline!!!!

So, all you prissy liberals enjoy the failing economy. Maybe you could use your bank books and stock certificates to fire up the old stove this winter to keep your pinko butts warm. As for me, I'll be sitting by the fire resting after a heaping helping of Thelma Jean's Opossum Casserole topped off by her champion biscuits; thinking of the greenbacks that I have stored safely on my property (be your own banker and you'll be your own creditor), popping open a Steg and listening to the soothing sounds of Perry Como and his version of Brother Can you Spare a Dime spinning on the ol' trusty victrola.

That's my bailout; that's my America. Good Luck all you subversives, say goodbye to your commie credit cards and welcome to my world. I hate you all!!!!!

Nigerians In Washington

Dear American:


I need to ask you to support an urgent secret business relationship with a transfer of funds of great magnitude.


I am Ministry of the Treasury of the Republic of America. My country has had crisis that has caused the need for large transfer of funds of 800 billion dollars US. If you would assist me in this transfer, it would be most profitable to you.

I am working with Mr. Phil Gram, lobbyist for UBS, who will be my replacement as Ministry of the Treasury in January. As a Senator, you may know him as the leader of the American banking deregulation movement in the 1990s. This transactin is 100% safe.

This is a matter of great urgency. We need a blank check. We need the funds as quickly as possible. We cannot directly transfer these funds in the names of our close friends because we are constantly under surveillance. My family lawyer advised me that I should look for a reliable and trustworthy person who will act as a next of kin so the funds can be transferred.

Please reply with all of your bank account, IRA and college fund account numbers and those of your children and grandchildren to wallstreetbailout@treasury.gov so that we may transfer your commission for this transaction. After I receive that information, I will respond with detailed information about safeguards that will be used to protect the funds.

Yours Faithfully Minister of Treasury Paulson

From JudiPhilly

Why aren't these guys at work?

I spotted Senators Joe Lieberman, Arlen Specter and Lindsay Graham at the Senator John McCain event in Scranton today. Senator Bob Casey was also in town to hand out a check for the new Medical School. A check of the news shows that Senators Barack Obama and Joe Biden are also on the campaign trail.


With the government about to pass a $700 billion bank bailout that has to be approved by the Congress shouldn't they be in Washington working on it? The Seante is in session.

I just read that the plan is now going to include foreign banks. What the hell, why don't they also bail out Boscovs?


If you have bad assets you'd like the government to take off your hands. And remember, when estimating the value of your 1997 limited edition Hanson single CD "MMMbop", it's not what you can sell these items for that matters, it's what you think they are worth. The fact that you think they are worth more than anyone will buy them for is what makes them bad assets.


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