26
Aug
STIMULATE THIS: POLITICAL PAYOFFS OR ECO RECOVERY?
STIMULATE THIS
A sleepy Montana checkpoint along the Canadian border that sees about three travelers a day will get $15 million under President Barack Obama’s economic stimulus plan. A government priority list ranked the project as marginal, but two powerful Democratic senators persuaded the administration to make it happen.
Despite Obama’s promises that the stimulus plan would be transparent and free of politics, the government is handing out $720 million for border upgrades under a process that is both secretive and susceptible to political influence. This allowed low-priority projects such as the checkpoint in Whitetail, Mont., to skip ahead of more pressing concerns, according to documents revealed to The Associated Press.
It wasn’t supposed to be that way.
In 2004, Congress ordered Homeland Security to create a list, updated annually, of the most important repairs at checkpoints nationwide. But the Obama administration continued a Bush administration practice of considering other, more subjective factors when deciding which projects get money.
Today, AP is reporting that the FDIC “may need a lifeline.” We reported last week that the FDIC may already be insolvent.
IS THE DOLLAR DONE?
U.S. thrifts eked out a $4 million profit in the second quarter, but the number of troubled institutions continued to rise, the government said Wednesday.
The Office of Thrift Supervision said the small profit in the April-June period marked the industry’s first positive earnings since the third quarter of 2007. It compared with a loss of $5.4 billion in the year-ago period, and $1.62 billion in the first quarter of this year.
“Problem thrifts” on the agency’s confidential list, those rated by examiners as having significantly low capital reserves and other deficiencies, rose to 40. That’s up from 31 in the first quarter and 17 a year earlier.
Thrifts differ from banks in that, by law, they must have at least 65 percent of their lending in mortgages and other consumer loans _ making them particularly vulnerable to the housing downturn.
MORE ON BERNANKE FROM BASELINE SCENARIO
NY BUSINESSMEN CHARGED in $74 MILLION FRAUD
ALG: ROBERT ROMANO
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On Tuesday, the Southern District Court of New York granted Bloomberg News’ Freedom of Information Act (FOIA) request to the Federal Reserve Board of Governors to produce the details of some $2 trillion in emergency loans that were made by the nation’s central bank in 2008.
The court ruled that the Board must comply with the request and produce the relevant documents to Bloomberg. These include who received the $2 trillion of loans, the terms under which they were received, and what collateral was taken by the Reserve branches in exchange for the loans.
To date, the Board has refused, and withheld much of the records—some 231 pages of documents—claiming certain exemptions of the Act. They argued that documents in possession of branches of the Federal Reserve, including the New York Federal Reserve, were not applicable to the request as they were not agencies of the government.
Unfortunately, Judge Loretta Preska punted by refraining from ruling on whether the Reserve Branches are indeed agencies. But, she did order that the Board had until Monday, August 29th, to produce the 231 pages of documents. And until September 14th to search for records relevant to the request that constitute “Records of the Board” held by the New York Federal Reserve.
WORLD NEWS
Obama Bows to Israel Over Settlements, Iran — Deal to Be Finalized Tomorrow in London by Jason Ditz, Antiwar Forum August 25, 2009
In a deal scheduled to be finalized tomorrow during Prime Minister Benjamin Netanyahu’s visit to London, Israel will accept a resumption of peace talks with the Palestinian Authority. The deal came as a result of President Obama caving to virtually every demand made by Israel.
In essence, the Israeli government will freeze new construction in the West Bank, potentially for as much as a year, while continuing ongoing construction projects. East Jerusalem will reportedly not be part of this freeze. In return, the United States will reportedly back massive new sanctions against the Iranian government and will stop criticizing the growth of the settlements.
The State Department had confirmed yesterday that they were “close” to reaching a deal with Israel, but said that “the Arabs are more difficult to pin down.” Since all the Palestinians have really asked for is a permanent halt to settlement constructions and the US has apparently abandoned that request, its going to be a difficult road to a deal.
The ability to get those sanctions, which would in essence cut Iran entirely out of the international oil and gas market and cripple their economy, passed in the United Nations is likewise in serious doubt. Both Russia and China have previously objected to the most harsh sanctions, and this push is likely to be no different.
LBN: WHAT WAS HE THINKING:
Can an anti-imperialist change his stripes? The International Herald Tribune reports that the hero’s welcome that Col. Muammar Gaddafi gave Abdel Basset Ali al-Megrahi, the only man convicted of the Lockerbie bombing of 1988, may have ruined his reconciliation with the West. The Tribune said the incident was “signature” Gaddafi. After wringing a concession from Western powers and offering his thanks, he appeared to mock them for caving. The incident also spotlights what may be Gaddafi’s naivet: Libyan officials reportedly believed that the celebration at Megrahi’s return was low-key, as Gaddafi did not personally greet Megrahi right away. The move may have scuttled Gaddafi’s chances of proving to America and the U.K. that he’s changed over the last 40 years. As a fellow at the Washington Near East Policy Institute put it, “The very concept of anti-imperialism is still at the heart of Gaddafis discourse.”
QUESTION (DS) Is this a bad thing? Does imperialism still exist in this world? Is slavishly following US or British policy a sign of responsibility and maturity? Does one have to be a bland bureaucrat or mealy mouthed diplomat to be a acceptable in the eyes of the masgters of “western” civilization. Why is it that even now, our “mainstream” elite media cannot acknowledge the many questions about Megahi’s guilt in the Lockerbie bombing, even as a Scottish review panel found major flaws in the case?
UN REFORM: NOT LIKELY SAYS IAN WILLIAMS
The first batch of H1N1 vaccine is on schedule to arrive in the U.S. in mid-October, but the majority of Americans will not be fully immunized against the disease until Thanksgiving, Human Services Secretary Kathleen Sebelius said Monday.
Not all of the vaccine will be ready for mid-October, however.
“We always knew that not all of the vaccine would be ready at the same time, it’s coming from five different manufacturers,” Sebelius said during an afternoon news conference.
Sebelius said it will take until Thanksgiving to fully immunize people against H1N1 because most will need to undergo two vaccinations. The first would be given in mid-October; the second would be administered three weeks later and it takes about two weeks after the second shot to build up full immunity to the virus.
In the meantime, Americans, businesses, public schools and colleges must find ways to minimize the spread of the virus.
Sebelius said businesses of hourly employees should encourage workers to stay home — even if it means losing a day’s pay — and not spread the virus. Schools should encourage sick children to stay home and colleges should find ways to isolate sick students (especially those who are far from home) from dorms and cafeterias.
Schools should also consider “online learning opportunities in the event the disease continues to transmit and schools have to look at closing.” she said.
