Obama’s Sub-Prime Conflict....OOPS!

(edited for copyright purposes-proud patriot moderator Democratic Underground)

I remember my first piggy bank: a little pink piggy, made of plastic, with a little slot at the top. The slot was big enough, perhaps, to fit a half dollar, a great deal of money to me at the time.”A penny earned is a penny saved,” my father told me, as we dropped the first few coins into the opening, and I heard them hit bottom and bounce. And I can’t tell you how excited I was when we broke it open, after a year or so, and I couldn’t fit another penny into the slot.

I tallied up my stash-close to five dollars, I recall- and decided what I would do with my small fortune. I bought a kite, and my imagination soared even higher than my beautiful Chinese box-kite as to what I would save up for next.

My pop gave me a powerful push in the right direction, when it came to savings: A penny saved really was a penny earned.

Unfortunately, this wasn’t the case for the 1,406 people who lost much of their life savings when Superior Bank of Chicago went belly up in 2001 with over $1 billion in insured and uninsured deposits. This collapse came amid harsh criticism of how Superior’s owners promoted sub-prime home mortgages. As part of a settlement, the owners paid $100 million and agreed to pay another $335 million over 15 years at no interest.

The uninsured depositors were dealt another blow recently when the U.S. Supreme Court let stand a lower court decision to put any recovered money toward the debt that the bank owners owe the federal government before the depositors get anything.

(snip)
http://www.consortiumnews.com/2008/022708a.html

are those who use all their threads to bash the candidate they oppose. And you do that day in and day out. I can only guess that you folks haven't a clue as to how many people view you.

don't bear false witness. My threads today were about McClurkin and a poll in FL about how dem voters feel about their votes not being counted. Yesterday I wrote a post condemning the sexism toward Hilary. Don't make false charges.

Thanks for posting this. I'm reading a book right now on the sub-prime mortgage crisis and I have been wondering all day what Sen. Obama's ties are to the banking industry (seeing that they seem to be his top corporate donors).

Is that like "black ops"?

Posted numerous times before and debunked numerous times before. Well done.

Spider Jerusalem Tue Feb-26-08 05:54 PM
Response to Reply #23
47. That just isn't true;

mortgages have been used as a basis for securities for decades. It didn't start with Superior Bank. You obviously a) don't actually know what you're talking about and b) are to lazy to do any research to attempt to verify your claims.

From Wikipedia (sourced partly from a Federal Reserve publication, the 'Asset Securitization Comptroller's Handbook', and partly from Deutsch Bank info):

"Asset securitization began with the structured financing of mortgage pools in the 1970s. For decades before that, banks were essentially portfolio lenders; they held loans until they matured or were paid off. These loans were funded principally by deposits, and sometimes by debt, which was a direct obligation of the bank (rather than a claim on specific assets). But after World War II, depository institutions simply could not keep pace with the rising demand for housing credit. Banks, as well as other financial intermediaries sensing a market opportunity, sought ways of increasing the sources of mortgage funding. To attract investors, investment bankers eventually developed an investment vehicle that isolated defined mortgage pools, segmented the credit risk, and structured the cash flows from the underlying loans. Although it took several years to develop efficient mortgage securitization structures, loan originators quickly realized the process was readily transferable to other types of loans as well."<4>

In February 1970, the U.S. Department of Housing and Urban Development created the transaction using a mortgage-backed security. The Government National Mortgage Association (GNMA or Ginnie Mae) sold securities backed by a portfolio of mortgage loans. <10>

http://www.democraticunderground.com/discuss/duboard.php?az=show_topic&forum=132&topic_id=4785249

Warring Pritzker Clan Splits its Ticket: Obama v. Hillary
by Jason Horowitz | April 16, 2007
| Tags:

* Politics
* 2008 Democrats
* Barack Obama
* Clinton Campaign
* Fund-Raising
* Hillary Clinton
* Obama Campaign
* Penny Pritzker

The support of the warring Pritzker family is split between Barack Obama and Hillary Clinton.
Getty Images
The support of the warring Pritzker family is split between Barack Obama and Hillary Clinton.

The warring (and incredibly wealthy) Pritzker family seems to have carried its feud into presidential politics.

Penny Pritzker, Barack Obama's national finance chair, is the niece of Jay Pritzker, whose death in 1999 sparked an ugly internecine inheritance battle over the Hyatt hotel chain and other enormous family assets.

A plan to pass control of the empire to Penny and two other relatives collapsed in 2001 when another wing of the family filed suit. A settlement was eventually reached, but apparently there are still plenty of grudges, which may explain the division of Pritzker names donating to Hillary Clinton and Obama.

Hillary has the support of the California Pritzkers, a branch that includes Penny's brother, Anthony N. Pritzker -- the director, and co-founder of the Pritzker Group. Jay Pritzker's son John A. Pritzker, who served in various executive positions within the Hyatt Corporation, and his wife Lisa Pritzker, a women's health advocate, are also with Hillary.

Obama has the Chicago Pritzkers behind him. There is Penny, of course, and also her cousin Thomas Pritzker, who, like her, was supposed to inherit the bulk of the family fortune before the lawsuits came. Thomas' wife, Margot, founder and president of WomenOnCall.org, and his mother, Marian, widow of Jay, also contributed to Obama. Karen Pritzker, who is from Chicago but just bought an apartment in Manhattan for $12.5 million, also gave to Obama.

http://www.observer.com/2007/obama-pritzkers-hillary-pritzkers?observer_most_read_tabs_tab=2

from the very same article link you posted:

---------------------------------
One might wonder why Hillary Clinton’s campaign hasn’t jumped on this issue. Maybe it’s because Penny’s little brother, J.B. Pritzker, is a mover and shaker in the Clinton campaign.

In May of 2007, Jay Robert, aka, (J.B.) Pritzker, threw his support behind Hillary Clinton, representing a coup for her campaign by wresting the billionaire out of Obama’s home town of Chicago, and better still, the brother of Obama’s Campaign Finance Chair.

J.B. Pritzker announced he would head a new grassroots organization called Citizens for Hillary Clinton. Pritzker told reporters at the time, the new organization would go into states "where we haven't fully organized" and seek out campaign supporters as well as raise funds.

Apparently the Pritzkers will be sitting at the head table at the Inaugural Ball if either Democrat wins.
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Texas is Obama country! VIVA OBAMA!! http://www.youtube.com/watch?v=0fd-MVU4vtU

Not like the OP was trying to be misleading or anything.


:rofl:

:rofl: I love it when that happens. Nice catch! Very, very nice.

the media is already starting to prod him a little bit, but they can't do too much damage yet.
they want to wait till he's a done deal, and then the ole rw combination echo chamber & slime machine will be pumping these stories out everyday. i don't think they'll hurt him with mainstream democrats, but it will cost him with independents and i have no idea how his more idealist youthful supporters will react. probly they'll just pretend it's not happening, at least as long as they can, until he starts running to the center to try to connect with the moderate repubs, and independents.

Although it didn't have much value as news (Farrakhan maintains his support of Obama....surprise, surprise)the story serves to raise further questions about a possible link between the two men.

same as the old boss

And had nothing to do with this bank's meltdown and those folks losing their life savings.

And need we once again bring up HRC's several years spent on the Wal-Mart board?

Don't you mean a Clinton sub-prime conflict as well,??? glass houses suck, eh?
from the very same article link you posted:

---------------------------------
One might wonder why Hillary Clinton’s campaign hasn’t jumped on this issue. Maybe it’s because Penny’s little brother, J.B. Pritzker, is a mover and shaker in the Clinton campaign.

In May of 2007, Jay Robert, aka, (J.B.) Pritzker, threw his support behind Hillary Clinton, representing a coup for her campaign by wresting the billionaire out of Obama’s home town of Chicago, and better still, the brother of Obama’s Campaign Finance Chair.

J.B. Pritzker announced he would head a new grassroots organization called Citizens for Hillary Clinton. Pritzker told reporters at the time, the new organization would go into states "where we haven't fully organized" and seek out campaign supporters as well as raise funds.

Apparently the Pritzkers will be sitting at the head table at the Inaugural Ball if either Democrat wins.
-----------------------------------



Texas is Obama country! VIVA OBAMA!! http://www.youtube.com/watch?v=0fd-MVU4vtU

On Febraury 20, 2008, Flashpoints Radio produced an investigative report segment into how Penny Pritzker's possible role in the current predatory lending (aka. sub-prime) crisis. According to investigative reporter Tim Anderson, Superior Bank, FSB of Hinsdale, Illinois, which was owned by the Pritzker family and overseen by Penny Pritzker until closed by the Office of Thrift Supervision (OTS) and the Federal Deposit Insurance Corporation (FDIC) was named Receiver. Superior Bank developed the original mortgage securitation package, putting mortgages into a bond and then selling the bond.


http://flashpoints.net/index.html#2008-02-20


http://www.fdic.gov/bank/individual/failed/superior.html