New Chief of Staff Fannie/Freddy ties

[hispls]

Rep. Rahm Emanuel held paid position on troubled GSE's board from 2000-2002, when Freddie Mac was accused of accounting and campaign finance irregularities.

 

By Jeff Poor

Business & Media Institute

11/6/2008

 

He's President-elect Barack Obama's new chief of staff, according to various Nov. 6 media reports, but Rep. Rahm Emanuel, D-Ill., also has some baggage pertaining to the financial crisis. Will anyone in the media take note?

 

Emanuel, who was a senior adviser for former President Bill Clinton throughout the 1990s, was appointed to the board of Freddie Mac upon his departure from the Clinton administration.

 

"Clinton's going-away gift to Emanuel was a seat on the quasi-governmental Freddie Mac board, which paid him $231,655 in director's fees in 2001 and $31,060 in 2000," Lynn Sweet wrote for the Chicago Sun-Times on Jan. 3, 2002.

During the time Emanuel spent on the board, Freddie Mac was plagued with scandal involving campaign contributions and accounting irregularities...

 

And, since his successful run for the House of Representatives in 2002, Emanuel has been the beneficiary of campaign cash from Freddie Mac and its sister organization Fannie Mae, $51,750 according to the Center for Responsive Politics Web site OpenSecrets.org.

 

Emanuel received $25,000 in contributions from Freddie Mac during his first run in 2002, right at the end of his tenure at the government-sponsored enterprise. Freddie Mac was his third largest overall contributor that year.

 

However, there was an even larger conflict of interest that Sweet pointed out in an editorial column published in the Chicago Sun-Times on Aug. 14, 2003.

 

"Emanuel's trust is supposed to be blind, not stupid," Sweet wrote. "Freshman Rep. Rahm Emanuel (D-Ill.), a former Freddie Mac board member, sits on the very House subcommittee that has oversight of the federal government-sponsored enterprise at the same time that he has outstanding options for 2,500 shares of the company." ...

Although he was compensated handsomely, Emanuel told Sweet his job on the Freddie board was to attend quarterly board meetings and take part in committee meetings, either on the phone or in person.

 

http://sweetness-light.com/archive/e...om-freddie-mac

 

 

More "CHANGE" to come.