John introduced initial initial story here, of revelations in the New York Times that the Obama administration is pressuring New York AG Eric Schneiderman to get on board with the corrupt (in my opinion) deal to give mortgage-fraud-immunity to Bank of America in exchange for pocket money (or lint).
Well, the reactions are starting. Here's the estimable Yves Smith, at Naked Capitalism (my emphasis):
Corrupt Obama Administration Pressuring New York Attorney General to Support Mortgage WhitewashNote this: "[R]egulators and the AG are supposed to be independent." This is yet another gift from Bush II — the corrupted Attorney General's office, in which the "independent" judicial arm of the executive branch has been irretrievably packed with hacks who think they swore an oath to the administration, not the (ahem) Constitution.
It is high time to describe the Obama Administration by its proper name: corrupt.
Admittedly, corruption among our elites generally and in Washington in particular has become so widespread and blatant as to fall into the “dog bites man” category. But the nauseating gap between the Administration’s propaganda and the many and varied ways it sells out average Americans on behalf of its favored backers, in this case the too big to fail banks, has become so noisome that it has become impossible to ignore the fetid smell.
The Administration has now taken to pressuring parties that are not part of the machinery reporting to the President to fall in and do his bidding. We’ve gotten so used to the US attorney general being conveniently missing in action that we have forgotten that regulators and the AG are supposed to be independent. As one correspondent noted by e-mail, “When officials allegiances are to El Supremo rather than the Constitution, you walk the path to fascism.”
Revealingly, one of the Administration’s allies said: “Wall Street is our Main Street.” ... The latest example is its heavy-handed campaign to convert New York state attorney general Eric Schneiderman to a card carrying member of the “be nice to our lords and masters the banksters” club.
Obama has failed to clean house and is clearly continuing yet another toxic Bush II practice. "Bygones" is my enduring painful reminder of the Ally McBeal program, painful thanks to Team Can't You Just Let It Go?
Smith spells out exactly why "corruption" is the correct word, and why so many state AGs, even the ones most on board with the proposed "sellout" are having more-than-second thoughts. Please read through.
I expect other responses to be as striking. This is August, and many are on vacation. Paul Krugman, for example, is hauling a yardarm or something. But wait till he gets back.
My own comment is this, something I've said for a while — Their hubris is our friend; it will sink them. Now "they" is starting to include the Dems, NeoLiberal coalition. And Obama is starting to act like he's bulletproof, against all evidence.
More as it develops. Be assured, there will be more.
GP
