MoveOn.org Bankrolled By Mortgage Mess Fat Cats
Wachovia is on the ropes financially because of two Liberal Activists
This has the potential to be the Democrats’ Enron of 2008.
The recent troubles of Wachovia are directly linked to its $25.5 billion purchase of Golden West Financial in 2006. Golden West was run by two longtime liberal activists – Herb and Marion Sandler.
Golden West was the holding company for one of the nation’s largest S&Ls: World Savings.
World Savings was one of the largest originators of option-adjustable rate mortgages, dumping $122 billion dollars of these onto the books of Wachovia in the process of the buyout. In addition, World Savings had a huge portfolio of Home Equity Lines of Credit/Loans, that are not entitled to relief in foreclosure auctions on the property they were given unless the auction yields a higher price than the original mortgage. That means many of these Home Equity Loans may end up with zero value.
Herb and Marion Sandler pocketed nearly $2 BILLION from Golden West sale to Wachovia.
Now Wachovia is frantically trying to sell itself to avoid going into receivership – mostly because of the toxic mortgages the Sandlers sold to it in 2006.
The Sandlers donated $2.5 million to MoveOn.org in 2004.
As a married couple, they have donated over a million dollars to Congressional Democrats over the last 4 election cycles, according to Open Secrets.
They pledged $15 million to Human Rights Watch in 2005.
They bankrolled two pro-Obama 527 groups this spring called VoteHope and PowerPac.org.
They created a new “media” organization called ProPublica, hiring out-of-work former journalists to dig up dirt and launch smears against GOP candidates and Conservative media personalities under the guise of “Investigative journalism”.
This is the Democrats’ Enron times a thousand. If Wachovia continues its slide, the Sandlers are the reason why. They knew what they were doing when they sold in 2006. This is true Democrat wealth redistributionism. Sinking a huge super-regional bank by selling it toxic assets, while funneling tens of millions into the coffers of left-wing advocacy groups to further undermine capitalism and promote socialism in America.