***UPDATE 2/4/08***************************
I just came across this article in Salon.com. Mind you, Salon.com, like most other media outlets have been very kind to Obama. The fact that they did this article is worth the mention in of itself. Here is a sneak peek:
Obama’s dealings with his hinky friend have never led him afoul of the law, but they show that, despite his high-minded politics, he was no purer — or no savvier — than Illinois’ biggest hacks in his weakness for a generous contributor. He wouldn’t even say no when Rezko cooked up a deal to help the newly elected senator buy a gracious Georgian-revival home.
Rezko, after all, built part of his fortune by exploiting the black community that Obama had served in the state Senate, and by milking government programs meant to benefit black-owned businesses. But Obama took Rezko’s money even after the businessman was sued by the city of Chicago for failing to heat his low-income apartments, and even after Rezko was caught using a black business partner to obtain a minority set-aside for a fast-food franchise at O’Hare Airport. (more…)
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I got this e-mail yesterday from a reader and I thought I would share it with you. The topic is about the Obama/Rezko issue. Here is what that reader had to say:
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I have a question to ask you cause I am going a bit nuts. This is specific to
the Rezko/Obama issue. There is something that has disturbed me and I want a
check to see if I am reading something that is not there.
As someone who has worked in affordable housing for over 30 years, there is a
key element that is missing. The magnitude of the foreclosures and losses of
public funds. These projects are typically designed to have reserves to protect
from operating losses and guarrantees. Obama as the attorney for the non profit
had the responsibility to make sure the reserves were funded. In most tax
credit projects, the “developer fee” is used to fund these reserves. Obviously,
the developer, the city and the attorneys were negligent when funding and
structuring the projects in funding and planning for oversight of the reserves.
Mr. Rezko basically walked away with about 6.1 million in fees .
This is the disturbing aspect of Senator Obama’s role. He was asked this
question by the Sun Times:
Q: Many Rezmar government-financed housing deals have ended up in legal
battles, including foreclosure. Several Rezmar buildings are now boarded up,
and others are in need of major repairs. Taxpayers have lost millions of
dollars on these deals. While Senator Obama has called Mr. Rezko a legal
client, campaign contributor and a friend, there’s ample evidence that Mr.
Rezko was a slum landlord. Was the senator aware then that Mr. Rezko’s projects
were deeply mired in physical and financial problems? Does the senator think it
is fair to characterize Mr. Rezko as a slum landlord?
Senator Obama in his answer, please remember this is a self proclaimed
community organizer first then politician, was the following:
A: Housing partnerships in which low-income-housing tax credits are syndicated
frequently struggle financially. The reasons for the problems such partnerships
struggle are complex but frequently include urban crime, demographic changes and
social factors outside the control of any developer or owner. Senator Obama was
not otherwise aware of financial and physical problems attributable to
misconduct by Mr. Rezko.
Translation, it was the tenants fault. It was the “demographics” aka low income
African Americans. But no criticism of Rezko. No concern for the loss of
housing. No action taken to make good the units lost. This is negligence and in
my opinion, backing the man who gives you money before your community.
Now I am sure you can claim it was not illegal. You can claim it was innuendo.
But, my case which no one has disputed, you don’t take the side of the
landlord, slumlord, over the community or the tenants. Which side are you on?
His answer is the traditional answer given by people who oppose affordable
housing, filled with all the stereotypical missinformation.
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This is article the writer was referring to:
Sun-Times’ questions, and Obama campaign’s answers
Sphere: Related Content
February 2nd, 2008 at 11:09 am
The answers to the writers questions are right in the article you linked along with several others that have been written about this topic. He says repeatedly that he did not know about any slum activities being done by Rezko. He also says repeatedly that the deals that he took part in he was fresh-out junior lawyer and had no power over them whatsoever.
If you think Obama is a liar then just call him that. But it is not true that he has not answered everything there is to answer about this case. And this has been written about extensively, especially here in Chicago. There is no “there” there. If there was it would have come out long ago.
February 2nd, 2008 at 11:14 am
Somehow this writer has taken the response to one question as evidence of Obama’s fight position on affordable housing. If you want ton understand his position on affordable housing look to his past actions and present statements on the issue. If they are internally consistent, then his position has iintegrity.
In addition the language does not need translation.
Low income developments do fail more often than others. That is why government help is necessary for the developments to work. He is responding to a question about Rezko, it is unecessary to express concern for the tenants, which for all we know never existed because of demographic factors outside the developers control.
Answers to specific questions may not include evidence of our entire life experience and beliefs. I am a Chemical Engineer, every question I answer does not ndicate my Chem E background, why would Obama’s every statement evidence his past community organization efforts.
I have not researched his position, but I would not try to determine from an issue concerning the transaction by him and his family to purchase a home. Since I know his early career was used to organize laid of factory workers for their benefit, I expect him to be pro affordable housing for all.
February 2nd, 2008 at 11:40 am
He says repeatedly that he did not know about any slum activities being done by Rezko.
Here is one part of the interview I did find puzzling:
Now if it is true that “Rezmar’s buildings were often cited for code violations, including lack of heat in the winter”, and “…Obama did follow up on constituency complaints about housing as matter of routine”, how is it that Obama did not know about the mess tennants were facing?
Wizz, I know you are an Obama disciple, so I will let you continue to do what you do. This is not worth having a long heated conversation, but I think that it is worth the mention.
February 2nd, 2008 at 4:13 pm
Its a very unfortunate truth about brotha Obama. He dubs himself as a fighter and defender for the oppressed and the needy, but when we look beyond the surface, we find a man that is not who he say he is.
This is despicable and he has yet to fully account for this act of poor character in the name of financial gain. Good post.
February 2nd, 2008 at 5:45 pm
Wizz, I know you are an Obama disciple…
I wasn’t going to say anything at first but as the resident Obama supporter I couldn’t resist.
This is despicable and he has yet to fully account for this act of poor character in the name of financial gain.
What the hell are you talking about…. Seriously. Because you obviously are not talking about this Rezko crap… What act and financial gain are speaking of.