Ever heard of Jamie Gorelick?
She’s a good name for you to know if you are one of those people walking around with the idea that George Bush should be blamed for 9/11 and the economic collapse.
Turns out Gorelick played a major role in both, made millions of dollars in the process and is being considered by Obama for FBI Director.
She’s famous for putting up the wall between the CIA and the FBI and possibly preventing the 9/11 plot from being uncovered and she encourged Fannie and Freddie to make more stupid loans so that they could be bundled and sold as securities –the cause of the collapse of the housing bubble and the economic meltdown.
“In 2001, Gorelick made the annoucement that Fannie was buying subprime loans encouraged by the Community Reinvestment Act (CRA) and bundling them as securitized financial instruments. Securities made from bundles of guaranteed mortgages were to contribute to the economic collapse in 2008. (H/T CNSNews)
“Fannie Mae will buy CRA loans from lenders’ portfolios; we’ll package them into securities; we’ll purchase CRA mortgages at the point of origination; and we’ll create customized CRA-targeted securities,” she said in 2001. “This expanded approach has improved liquidity in the secondary market for CRA product, and has helped our lenders leverage even more CRA lending. Lenders now have the flexibility to use their own, customized loan products.”
In remarks before the American Bankers Association on Oct. 30, 2000, Gorelick explicitly how the procress would work and what Fannie Mae would do to make it feasible for banks to lend to low-income applicants.
“We will take CRA loans off your hands–we will buy them from your portfolios, or package them into securities–so you have fresh cash to make more CRA loans,” she said. “Some people have assumed we don’t buy tough loans. Let me correct that misimpression right now. We want your CRA loans because they help us meet our housing goals.”
She also doctored the records at Fannie Mae to make it possible for her and several other executives to get bonuses. Her’s was worth $800,000.
“Here’s another “fun” Jamie Gorelick story. She was a member of the 9/11 commission but did not share her “wall memo” with anyone until, Attorney General John Ashcroft was blasted for the “wall” while he was testifying before the 9/11 commission and said:
“Although you understand the debilitating impact of the wall, I cannot imagine that the commission knew about this memorandum, so I have declassified it for you and the public to review,” he said. “Full disclosure compels me to inform you that its author is a member of this commission.”