Here's How Paul Kanjorski's Oversight Is Taking Care Of The Mortgage Mess

In this article from Roderick's column Borys writes about the o"Brien/Kanjorski battle.

For example, early on in their campaign, Mr. O'Brien was chastising Mr. Kanjorski for failing to support Mr. Obama's initial economic stimulus proposal. More recently, he has accused Mr. Kanjorski of being too cozy with Wall Street. The congressman counters that he's pushing greater regulation of the financial sector.

Tell me if this video shows greater regulation or more abuse by the financial sector.



Those Indymac boys were given deal by the FDIC, and borrowers were strong-armed.

Mayor Leighton Has His Own Scandal

Tom Leighton tried to make an issue with John Yudichak about Bonusgate that has by all measures blown up in his face. Yudichak is no more tied to Bonusgate than happy hour is tied to a Betty Ford clinic. There's a southern saying "Don't insult the alligator before you cross the stream."

Leighton shouldn't pick on Yudichak until he vets his own record. This editorial that appeared in the Times Leader on October 9, 2009 represents that journey across the stream.

By The Times Leader, Wilkes-Barre, Pa.
Publication: The Times Leader (Wilkes-Barre, Pennsylvania)
Date: Friday, October 9 2009

Oct. 9--IN THE INTEREST of transparency and good government, Wilkes-Barre city officials should post all city-owned properties available for sale on its Web site. Ditto for city employment opportunities.

The issue of public access to information, or more precisely the lack thereof, emerged last week when it became public knowledge that Mayor Tom Leighton brokered a deal to sell the former Old River Road Bakery site to a buyer who also happens to be a campaign donor.

The 1.14-acre business property, assessed at $478,300, is slated to change hands for $38,000. Another potential buyer said he might have paid more if city officials had let him know the property was available.

Despite the mayor's assertions, the availability of this property apparently was not widely known. A cash-starved city that found it necessary to raise property taxes by 31 percent this year should optimize every opportunity to maximize returns.

Adding the Web postings to existing advertising in newspaper and real estate publications will aid in that effort while not imposing a hardship or cost to the city. City Council should take the lead on this front and make it happen.

With a widespread federal corruption probe in full swing, all Northeastern Pennsylvania school districts and municipalities should strive to make more information and documents readily available to the public -- a step to help ensure operations remain clean and above board. Ideally, job postings, meeting minutes and upcoming agenda items should be listed on every public body's Web site.

One would think that a Mayor who owns a real estate firm with an appraisal arm would know the true value of a property and seek that value for the taxpayers. It may not be Bonusgate but it sure smells of "Donorgate."

Leighton made this claim at a debate held at the Burke Auditorium in the McGowan School of Business at King’s College.

“I closed that budget deficit,” he said. “I identified problems and found solutions. I made difficult decisions even if they were politically unpopular. I believe in an open government and accountability.”

Yes, Tom you did close the deficit and your solution was a 31% tax increase. On the issue of open government and accountability I would watch out for those alligators.

Every Day We Get A Little Bit Close To Socialism

When Rick Santelli launched his rant on the President over the Porkulus Spendulus package Obama's Press Secretary Robert Gibbs was quick to fire back. If you look at Rick Santelli's background he was speaking about financial terms that a part of his forte. Rick's Revolt became a movement for Chicago Tea Parties all over the country.

"Maybe I could have chosen some words better, but I think at the end of the day, what this boils down to is you have to treat everybody fairly," he said the next day on NBC's "Today."

He is quoted in this article by Phil Rosenthal. “I think most Americans would rather come up with a way to give a major tax break or subsidy to a first-time buyer that qualifies, help them with their down-payment. … I think the incentive is wrong here. … Really, at the end of the day the bait-and-switch on all these packages is they were originally about jobs, then all of a sudden the stimulus plan turned into a spending package. If you want to help people … make it so it is [about] job creation because that’s what’s going to stop the slide and that’s all that’s going to stop the slide.”

Santelli said the issue, in his view, isn’t political. It’s philosophical.

“I wasn’t for the first stimulus package under the Bush administration,” he said. “I’ve been very consistent on this. I understand what derivatives and toxic assets are. I was in that business. These things are complicated and I don’t know that the taxpayers should own them.”

The point, he said, was to encourage debate.

“I want the new administration to win this one,” Santelli said. “We are all Americans. We want to win this one. It’s a question whether spending our children’s money is going to make us win or not, or is it going to take its own time to heal, like a cold going away. And all this money we’re spending isn’t going to get a very good return and when it’s over, we’re going to be in the hole deep.”

This article found on Robin Ashley's real estate site illustrates an important point in the debate over the financial bailout plan for the mortgage industry.

Communities in the Fort Lauderdale real estate area and throughout South Florida market, hit hardest by the foreclosure epidemic are slated to receive tens of millions of federal dollars to fix abandoned and foreclosed properties and help low- to moderate-income people buy homes.

Notice the federal money is directed at a particular soci-economic group and does not appear to be available for everyone. We’re looking more socialist everyday it seems.

Over $540 million will be granted to organizations in the State of Florida by the U.S. Department of Housing and Urban Development (HUD). The so-called “”neighborhood stabilization grants” were awarded Friday to the nation’s communities most affected from the real estate slump. I just did not realize that those communities were specific to low- to moderate-income neighborhoods. In fact in my experience, those neighborhoods were mostly inhabited by renters.

How is it now in this interim “bailout“, that federal money is being sent to help those neighborhoods and to spur on homeownership in low- to moderate-income sector? Albeit this money was passed out last September so one might say that Obama isn't to blame for that one.

Well, this article details Obama's Mortgage Resuce Plan, the one Robert Gibbs said Santelli didn't know what he was talking about.

President Barack Obama's massive housing and mortgage industry rescue played to mixed reviews yesterday among a sampling of New Hampshire real estate and mortgage lending experts.

Getting the most early attention the day after the plan was unveiled was a provision that will allow homeowners whose homes are valued at less than their mortgage balances to refinance at lower interest rates. To qualify, the loans must be backed by Fannie Mae or Freddie Mac and mortgage balances must be no more than 105 percent of value of the property.

Kurt Strandson, president of Radiant Mortgage, Inc., of Hooksett, said the new provision "leaves out a lot of people," especially when closing costs and escrowed money is included in the loan principle.

Overall, said Strandson, while details will not be revealed until March 4, "I have not seen anything in it so far that really sticks out as a means to help the amount of people that it was speculated to have accomplished."

Real estate broker Karen Coulters of Weare said further loosening of current rules to allow refinancing for mortgages that exceed 105 percent of property values would be "dangerous." She said "a lot of people who are in a good position" could say, "Why don't I just default on mine because if people are getting a break, then why am I making my payments on time?"

Mr. President, are you listening???? If the mainstream media stopped giving you a pass and started asking the tough questions we would really see this plan for what it is. Of course, enjoy their "pro bono" work for you now. The honeymoon never lasts forever.

National Association of Realtors Gives Paul Kanjorski $890,000.00!

According to an article by Aaron Blake in The Hill posted 09/21/2008 he states that the National Association of Realtors has spent nearly "$4 million combined in seven battleground districts this year."

In looking at the race between Lou Barletta and Paul Kanjorski the article states "The PAC also spent another $60,000 on radio ads and $220,000 on direct mail for Kanjorski, who is one of the most vulnerable Democrats in the House in his matchup against Hazleton Mayor Lou Barletta (R).

The Realtors have now spent $890,000 total on Kanjorski. That investment is second only to the $990,000 the PAC spent in April and May on failed New Mexico GOP congressional candidate Monty Newman, who is a realtor."

Over 22% of their total spend for races was placed with Paul Kanjorski. In this time of economic and financial crisis it begs the question- What favors were curried of Paul Kanjorski to warrant such an investment?

With a quick search it wasn't that hard to find an answer. Paul Kanjorski introduced the Community Choice in Real Estate Act. Interests who want this bill to become law included these interests and specific groups: insurance companies, brokers & agents, real estate agents, an other real estate services.

A summary of the act goes as follows: To amend the Bank Holding Company Act of 1956 and the Revised Statutes of the United States to prohibit financial holding companies and national banks from engaging, directly or indirectly, in real estate brokerage or real estate management activities, and for other purposes. In effect, prohibits financial holding companies and national banks from engaging, directly or indirectly, in real estate brokerage or real estate management activities. This bill holds up the old adage -with every investment the investor expects a positive return. This bill wasn't bringing home the bacon, the whole pig, lipstick and all came with it.

This bill is not a new effort from Paul Kanjorski. If you read this articleyou will see he attempted to introduce similar legislation as far back as 2001. He proposed it again in 2003. The congressmen is persistent while maintaining campaign contributions "don't influence the way he does his job" or curry favors.

When you cut through the haze with polarized sunglasses you see clearly the proposal would protect a significant amount of business for realtors and related services by preventing large banking conglomerates to enter real estate brokerage and property management. The NAR charges allowing such a practice would lead to higher costs to consumers, large-scale consolidation in the real estate industry, and potential conflicts of interest should banks be able to steer homebuyers to their own insurance and loan products.

Banks wanting to make loans...It reminds me of the James Lipton Commercial for Geico where he says..Human beings behaving humanly. Brilliant.

Paul Kanjorski claims the money doesn't curry favors. Look at this article "CFAL Commends Reps. Ney and Kanjorski on New Bill Establishing Tough Uniform National Mortgage Lending Standards" Business Wire, March 15, 2005.

It states " CFAL, which represents many of the nation's leading nonprime mortgage lenders, has long advocated passage of legislation creating uniform federal standards to replace the current confusing and conflicting patchwork of differing state and local laws now regulating mortgage lending. CFAL believes that such legislation must provide all mortgage borrowers -- regardless of where they live or who regulates their loan originator -- with equally strong and effective protections to stop improper practices by unscrupulous mortgage brokers and lenders."

This statement brings me back to the Community Choice in Real Estate. This bill has been declared "DEAD" since the 107th Congress. Paul, if contributions don't influence why are you trying so hard? Back to my buddy Foghorn, of Paul's efforts, "That dog's as subtle as a hand grenade in a barrel of oat meal."