Welcome to the Health and Fitness weekly diary which is cross-posted from The Stars Hollow Gazette. It is open for discussion about health related issues including diet, exercise, health and health care issues, as well as, tips on what you can do when there is a medical emergency. Also an opportunity to share and exchange your favorite healthy recipes.

Questions are encouraged and I will answer to the best of my ability. If I can’t, I will try to steer you in the right direction. Naturally, I cannot give individual medical advice for personal health issues. I can give you information about medical conditions and the current treatments available.

You can now find past Health and Fitness News diaries here and on the right hand side of the Front Page.

   I made two great discoveries while coming up with these simple and delicious vegetarian skillet suppers. One is that a wok should not be limited to Asian stir-fries. A well-seasoned carbon steel wok makes a great natural nonstick pan that you can get hot enough to obtain a wonderful seared flavor when you cook vegetables, no matter what the seasonings.

   The other thing I discovered is that the cooking water drained off from cooked barley or brown rice can be added to cooked vegetables the way pasta cooking water is sometimes used to moisten and add texture to an accompaniment. The starch in the nutrient-dense water enriches the vegetables like a sauce. Just add more water than the usual proportion that you’d use – say a quart for a cup of brown rice or barley – and drain the grains through a strainer set over a bowl when they’re tender.

~ Martha Rose Shulman

Cross Posted from The Stars Hollow Gazette

This is a state by state breakdown of the foreclosure settlement (h/t Yves Smith):

An astute observation from Lambert Strether:

OMFG, look at the weasel wording in the press release:

   “This agreement is very significant in how it addresses the fraud that these banks committed against many homeowners across our state,” said ___.” This agreement not only provides much needed relief to (STATE) [Ha ha, fill in the blank!!!] borrowers, but it also puts a stop to many of the bad [criminal] behaviors that contributed to the mortgage mess in our state and across the country.”

And then there’s “fraud that these banks committed.” So if it’s fraud (against whom?!) then why is nobody going to jail?

UPDATE Oh, I’m sorry. I forgot. Banksters never go to jail. A banana republic like ours has a two-tier system of justice, and banksters have impunity for all crimes. Unlike you, peasants. My bad, seriously.

And is definitely a top comment:

Google tells it like it is. I google the first phrase as a complete string, a la “This agreement is very significant in how it addresses the fraud“, and the first thing that comes up is indeed Tom Miller’s press release, from 9 minutes ago (10:44AM EST), and two or three down after that, links to Nigerian 419 scams, triggered by the similarities between the Miller’s wording, and the scripts of scam artists. Shocker!

(all emphasis mine)

Some of the propaganda (again h/t Yves Smith):

Settlement Graphic and Settlement Graphic

Click the links but first put all heavy and sharp objects out of reach.

Cross posted from The Stars Hollow Gazette

This is your morning Open Thread. Pour your favorite beverage and review the past and comment on the future.

Find the past “On This Day in History” here.

February 12 is the 43rd day of the year in the Gregorian calendar. There are 322 days remaining until the end of the year (323 in leap years).

On this day in 1924, Rhapsody In Blue, by George Gershwin, performed for first time

Rhapsody in Blue premiered in an afternoon concert on February 12, 1924, held by Paul Whiteman and his band Palais Royal Orchestra, entitled An Experiment in Modern Music, which took place in Aeolian Hall in New York City. Many important and influential composers of the time such as John Phillip Sousa and Sergei Rachmaninoff were present. The event has since become historic specifically because of its premiere of the Rhapsody.

The purpose of the experiment, as told by Whiteman in a pre-concert lecture in front of many classical music critics and highbrows, was “to be purely educational.” It would “at least provide a stepping stone which will make it very simple for the masses to understand, and therefore, enjoy symphony and opera.” The program was long, including 26 separate musical movements, divided into 2 parts and 11 sections, bearing titles such as “True form of jazz” and “Contrast: legitimate scoring vs. jazzing”. Gershwin’s latest composition was the second to last piece (before Elgar’s Pomp and Circumstance March No. 1). Many of the numbers sounded similar and the ventilation system in the concert hall was broken. People in the audience were losing their patience, until the clarinet glissando that opened Rhapsody in Blue was heard. The piece was a huge success, and remains popular to this day.

The Rhapsody was performed by Whiteman’s band, with an added section of string players, and George Gershwin on piano. Gershwin decided to keep his options open as to when Whiteman would bring in the orchestra and he did not write out one of the pages for solo piano, with only the words “Wait for nod” scrawled by Grofe on the band score. Gershwin improvised some of what he was playing. As he did not write out the piano part until after the performance, we do not know exactly how the original Rhapsody sounded.

The opening clarinet glissando came into being during rehearsal when; “…as a joke on Gershwin, [Ross] Gorman (Whiteman’s virtuoso clarinettist) played the opening measure with a noticeable glissando, adding what he considered a humorous touch to the passage. Reacting favourably to Gorman’s whimsy, Gershwin asked him to perform the opening measure that way at the concert and to add as much of a ‘wail’ as possible.”

Cross posted from The Stars Hollow Gazette

President Barack Obama presented a compromise addressing the objections of the religious right, so-called pro-lifers and extremest conservatives to the provision in Affordable Care Act requiring religiously affiliated employers to provide contraceptive coverage to women. Women will still be guaranteed coverage for contraceptive services without any out-of-pocket cost, but will have to seek the coverage directly from their insurance companies if their employers object to birth control on religious grounds. Insurers will absorb the cost insuring that access to birth control as well as cancer screening, mammograms and check ups would remain free to all women.

Planned Parenthood and the Catholic Health Association both expressed pleasure about the new plan, however, there were still objections from the Catholic Bishops and right wing politicians who vowed to continue the war on women.

Many of those voicing objections to this provision have cited the 1st Amendment stating that forcing churches to provide something that is opposed by their tenets violates their 1st Amendment right to freely practice their religion. But does it? The First Amendment

Congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof; or abridging the freedom of speech, or of the press; or the right of the people peaceably to assemble, and to petition the Government for a redress of grievances.

Contraception is not about freedom of religion, as Scarecrow at FDL so eloquently explains:

What’s happening here is that the government has chosen to adopt a rule relating to health care.  Proponents often say this, and some media may dismiss this as ducking the religious issue, but it’s not.  It’s consistent with what we’ve done for decades.  Contraception is about health care, mostly women’s health care, and sometimes life-saving health care; but it’s clearly health care.  When government addresses contraception, it does so for health reasons, not religious reasons.  Government can adopt rules to protect women’s health and safety without violating the First Amendment.

What about the “establishment clause”?  This is how the bait and switch happens.  The Catholic Bishops do not believe contraception should be used; it shouldn’t be available at all.  They don’t mean just unavailable to Catholics; they mean not available to anyone. They want the legal rule to be: no contraceptives for anyone, so no insurance coverage for contraception services for anyone.

Religious freedom says they are free to believe contraception is wrong, that it violates their religion.  Government can’t force them to believe otherwise; it can’t force them to exercise a religion they don’t believe, except that government can, for health and safety reasons, require everyone to obey reasonable rules to protect peoples’ health and safety, even if some believe such regulations are inconsistent with their religious beliefs.

Religious freedom doesn’t mean the Catholic Bishops, or any other religious leaders, have the right to impose what they believe on everyone else.  When we cross over to the realm of what the rules should be for everyone, and the pushing is coming from a religious purpose, it’s more likely we’re talking about that other clause, the establishment clause.  And that’s exactly where the Bishops are.

Those who oppose any contraception insurance coverage want to prevent the government from having a rule that requires contraception, or have it adopt a rule prohibiting the coverage of contraception.  And they want this not for health/safety reasons, but for declared religious ones.  In other words, they want a government rule that imposes their religious beliefs on everyone else.  That’s not about the “free exercise” clause; that’s “establishment of religion.”

Constitutional lawyer David Boies, who represented VP Gore and successfully opposed California’s Prop 8. appeared with Lawrence O’Donnell on The Last Word, explaining the constitutionality of the birth control mandate.

Cross posted from The Stars Hollow Gazette

This is your morning Open Thread. Pour your favorite beverage and review the past and comment on the future.

Find the past “On This Day in History” here.

February 11 is the 42nd day of the year in the Gregorian calendar. There are 323 days remaining until the end of the year (324 in leap years).

On this day in 1990, Nelson Mandela is released from prison

Nelson Mandela, leader of the movement to end South African apartheid, is released from prison after 27 years on February 11, 1990.

In 1944, Mandela, a lawyer, joined the African National Congress (ANC), the oldest black political organization in South Africa, where he became a leader of Johannesburg’s youth wing of the ANC. In 1952, he became deputy national president of the ANC, advocating nonviolent resistance to apartheid–South Africa’s institutionalized system of white supremacy and racial segregation. However, after the massacre of peaceful black demonstrators at Sharpeville in 1960, Nelson helped organize a paramilitary branch of the ANC to engage in guerrilla warfare against the white minority government.

In 1961, he was arrested for treason, and although acquitted he was arrested again in 1962 for illegally leaving the country. Convicted and sentenced to five years at Robben Island Prison, he was put on trial again in 1964 on charges of sabotage. In June 1964, he was convicted along with several other ANC leaders and sentenced to life in prison.

Imprisonment

Mandela was imprisoned on Robben Island where he remained for the next eighteen of his twenty-seven years in prison. While in jail, his reputation grew and he became widely known as the most significant black leader in South Africa. On the island, he and others performed hard labour in a lime quarry. Prison conditions were very basic. Prisoners were segregated by race, with black prisoners receiving the fewest rations. Political prisoners were kept separate from ordinary criminals and received fewer privileges. Mandela describes how, as a D-group prisoner (the lowest classification) he was allowed one visitor and one letter every six months. Letters, when they came, were often delayed for long periods and made unreadable by the prison censors.

Whilst in prison Mandela undertook study with the University of London by correspondence through its External Programme and received the degree of Bachelor of Laws. He was subsequently nominated for the position of Chancellor of the University of London in the 1981 election, but lost to Princess Anne.

In his 1981 memoir Inside BOSS secret agent Gordon Winter describes his involvement in a plot to rescue Mandela from prison in 1969: this plot was infiltrated by Winter on behalf of South African intelligence, who wanted Mandela to escape so they could shoot him during recapture. The plot was foiled by British Intelligence.

In March 1982 Mandela was transferred from Robben Island to Pollsmoor Prison, along with other senior ANC leaders Walter Sisulu, Andrew Mlangeni, Ahmed Kathrada and Raymond Mhlaba. It was speculated that this was to remove the influence of these senior leaders on the new generation of young black activists imprisoned on Robben Island, the so-called “Mandela University”. However, National Party minister Kobie Coetsee says that the move was to enable discreet contact between them and the South African government.

In February 1985 President P.W. Botha offered Mandela his freedom on condition that he ‘unconditionally rejected violence as a political weapon’. Coetsee and other ministers had advised Botha against this, saying that Mandela would never commit his organisation to giving up the armed struggle in exchange for personal freedom. Mandela indeed spurned the offer, releasing a statement via his daughter Zindzi saying “What freedom am I being offered while the organisation of the people remains banned? Only free men can negotiate. A prisoner cannot enter into contracts.”

The first meeting between Mandela and the National Party government came in November 1985 when Kobie Coetsee met Mandela in Volks Hospital in Cape Town where Mandela was recovering from prostate surgery. Over the next four years, a series of tentative meetings took place, laying the groundwork for further contact and future negotiations, but little real progress was made.

In 1988 Mandela was moved to Victor Verster Prison and would remain there until his release. Various restrictions were lifted and people such as Harry Schwarz were able to visit him. Schwarz, a friend of Mandela, had known him since university when they were in the same law class. He was also a defence barrister at the Rivonia Trial and would become Mandela’s ambassador to Washington during his presidency.

Throughout Mandela’s imprisonment, local and international pressure mounted on the South African government to release him, under the resounding slogan Free Nelson Mandela! In 1989, South Africa reached a crossroads when Botha suffered a stroke and was replaced as president by Frederik Willem de Klerk. De Klerk announced Mandela’s release in February 1990.

Mandela was visited several times by delegates of the International Committee of the Red Cross, while at Robben Island and later at Pollsmoor prison. Mandela had this to say about the visits: “to me personally, and those who shared the experience of being political prisoners, the Red Cross was a beacon of humanity within the dark inhumane world of political imprisonment.”

Cross posted from The Stars Hollow Gazette

This is your morning Open Thread. Pour your favorite beverage and review the past and comment on the future.

Find the past “On This Day in History” here.

February 10 is the 41st day of the year in the Gregorian calendar. There are 324 days remaining until the end of the year (325 in leap years).

On this day in 1937, Roberta Flack is born in Black Mountain, North Carolina, and was raised in Arlington, Virginia.

During her early teens, Flack so excelled at classical piano that Howard University awarded her a full music scholarship. She entered Howard University at the age of 15, making her one of the youngest students ever to enroll there. She eventually changed her major from piano to voice, and became an assistant conductor of the university choir. Her direction of a production of Aida received a standing ovation from the Howard University faculty. Flack is a member of Delta Sigma Theta sorority and was made an honorary member of Tau Beta Sigma by the Eta Delta Chapter at Howard University for her outstanding work in promoting music education.

Flack became the first African-American student teacher at an all-Caucasian school near Chevy Chase, Maryland. She graduated from Howard University at 19 and began graduate studies in music, but the sudden death of her father forced her to take a job teaching music and English for $2800 a year in Farmville, North Carolina.

Flack then taught school for some years in Washington, DC at Browne Junior High and Rabaut Junior High. She also taught private piano lessons out of her home on Euclid St. NW. During this period, her music career began to take shape on evenings and weekends in Washington, D.C. area night spots. At the Tivoli Club, she accompanied opera singers at the piano. During intermissions, she would sing blues, folk, and pop standards in a back room, accompanying herself on the piano. Later, she performed several nights a week at the 1520 Club, again providing her own piano accompaniment. Around this time, her voice teacher, Frederick “Wilkie” Wilkerson, told her that he saw a brighter future for her in pop music than in the classics. She modified her repertoire accordingly and her reputation spread. Subsequently, a Capitol Hill night club called Mr. Henry’s built a performance area especially for her.

When Flack did a benefit concert for the Inner City Ghetto Children’s Library Fund, Les McCann happened to be in the audience. He later said on the liner notes of what would be her first album “First Take” noted below, “Her voice touched, tapped, trapped, and kicked every emotion I’ve ever known. I laughed, cried, and screamed for more…she alone had the voice.” Very quickly, he arranged an audition for her with Atlantic Records, during which she played 42 songs in 3 hours for producer Joel Dorn. In November 1968, she recorded 39 song demos in less than 10 hours. Three months later, Atlantic reportedly recorded Roberta’s debut album, First Take, in a mere 10 hours. Flack later spoke of those studio sessions as a “very naive and beautiful approach…I was comfortable with the music because I had worked on all these songs for all the years I had worked at Mr. Henry’s.”

Flack’s version of “Will You Still Love Me Tomorrow” hit number seventy-six on the Billboard Hot 100 in 1972.

Flack’s Atlantic recordings did not sell particularly well, until Clint Eastwood chose a song from First Take, “The First Time Ever I Saw Your Face”, for the sound track of his directorial debut Play Misty for Me; it became the biggest hit of the year for 1972 – spending six consecutive weeks at #1 and earning Flack a million-selling gold disc. The First Take album also went to #1 and eventually sold 1.9 million copies in the United States. Eastwood, who paid $2,000 for the use of the song in the film, has remained an admirer and friend of Flack’s ever since. It was awarded the Grammy Award for Record Of The Year in 1973. In 1983, she recorded the end music to the Dirty Harry film Sudden Impact at Eastwood’s request.

Flack soon began recording regularly with Donny Hathaway, scoring hits such as the Grammy-winning “Where Is the Love” (1972) and later “The Closer I Get to You” (1978) – both million-selling gold singles. On her own, Flack scored her second #1 hit, “Killing Me Softly with His Song” written for Lori Lieberman in 1973. It was awarded both Record Of The Year and Best Pop Vocal Performance, Female at the 1974 Grammy Awards. Its parent album was Flack’s biggest-selling disc, eventually earning Double Platinum certification.

In 1999, a star with Flack’s name was placed on Hollywood’s Walk of Fame. That same year, she gave a concert tour in South Africa, to which the final performance was attended by President Nelson Mandela.

In 2010, she appeared on the 52nd Annual Grammy Awards, singing a duet of “Where Is The Love” with Maxwell.

Flack is also a spokesperson for the American Society for the Prevention of Cruelty to Animals; her appearance in commercials for the ASPCA featured The First Time Ever I Saw Your Face.

Cross posted from The Stars Hollow Gazette

The biggest banks involved in mortgage fraud have agreed to a $26 billion settlement along with 49 states attorneys general. Oklahoma is the only hold out because the state’s Attorney General, Scott Pruitt, did not believe that the banks should face any penalty. The agreement will “help borrowers owing more than their houses are worth, with roughly one million expected to have their mortgage debt reduced by lenders or able to refinance their homes at lower rates. Another 750,000 people who lost their homes to foreclosure from September 2008 to the end of 2011 will receive checks for about $2,000. The aid is to be distributed over three years.”

Yves Smith at naked capitalism notes that while the final terms of the agreement have not been released but some of the details have been leaked:

   1. The total for the top five servicers is now touted as $26 billion (annoyingly, the FT is calling it “nearly $40 billion”), but of that, roughly $17 billion is credits for principal modifications, which as we pointed out earlier, can and almost assuredly will come largely from mortgages owned by investors. $3 billion is for refis, and only $5 billion will be in the form of hard cash payments, including $1500 to $2000 per borrower foreclosed on between September 2008 and December 2011.

   Banks will be required to modify second liens that sit behind firsts “at least” pari passu, which in practice will mean at most pari passu. So this guarantees banks will also focus on borrowers where they do not have second lien exposure, and this also makes the settlement less helpful to struggling homeowners, since borrowers with both second and first liens default at much higher rates than those without second mortgages. Per the Journal:

      “It’s not new money. It’s all soft dollars to the banks,” said Paul Miller, a bank analyst at FBR Capital Markets.

   The Times is also subdued:

       Despite the billions earmarked in the accord, the aid will help a relatively small portion of the millions of borrowers who are delinquent and facing foreclosure. The success could depend in part on how effectively the program is carried out because earlier efforts by Washington aimed at troubled borrowers helped far fewer than had been expected.

   2. Schneiderman’s MERS suit survives, and he can add more banks as defendants. It isn’t clear what became of the Biden and Coakley MERS suits, but Biden sounded pretty adamant in past media presentations on preserving that.

   3. Nevada’s and Arizona’s suits against Countrywide for violating its past consent decree on mortgage servicing has, in a new Orwellianism, been “folded into” the settlement.

   4. The five big players in the settlement have already set aside reserves sufficient for this deal.

Yves goes on to enumerate the top 12 reasons why this settlement really stinks. These are her top 5:

1. We’ve now set a price for forgeries and fabricating documents. It’s $2000 per loan. This is a rounding error compared to the chain of title problem these systematic practices were designed to circumvent. The cost is also trivial in comparison to the average loan, which is roughly $180k, so the settlement represents about 1% of loan balances. It is less than the price of the title insurance that banks failed to get when they transferred the loans to the trust. It is a fraction of the cost of the legal expenses when foreclosures are challenged. It’s a great deal for the banks because no one is at any of the servicers going to jail for forgery and the banks have set the upper bound of the cost of riding roughshod over 300 years of real estate law.

2. That $26 billion is actually $5 billion of bank money and the rest is your money. The mortgage principal writedowns are guaranteed to come almost entirely from securitized loans, which means from investors, which in turn means taxpayers via Fannie and Freddie, pension funds, insurers, and 401 (k)s. Refis of performing loans also reduce income to those very same investors.

3. That $5 billion divided among the big banks wouldn’t even represent a significant quarterly hit. Freddie and Fannie putbacks to the major banks have been running at that level each quarter.

4. That $20 billion actually makes bank second liens sounder, so this deal is a stealth bailout that strengthens bank balance sheets at the expense of the broader public.

5. The enforcement is a joke. The first layer of supervision is the banks reporting on themselves. The framework is similar to that of the OCC consent decrees implemented last year, which Adam Levitin and yours truly, among others, decried as regulatory theater.

She goes on to explain how there are no constraints on servicers cheating to reduce their losses and will face no consequences when caught as in the past. With the law suits against Countrywide somehow “folded into the deal”, Bank of America, who is by far the worst offender in the chain of title disaster, gets a “special gift”: “that failing to comply with a consent degree has no consequences but will merely be rolled into a new consent degree which will also fail to be enforced”. As David Dayen at FDL News Desk explains:

As far as the release goes, AG offices that signed onto the lawsuit claimed it was narrowly crafted to only affected foreclosure fraud, robo-signing and servicing (which I don’t feel is all that narrow, but I’m trying to just-the-facts this – ed). The lawsuit that New York AG Eric Schneiderman filed last Friday, suing MERS and three banks for their use of MERS, was preserved fully. There was a last-minute request by the banks to dissolve that lawsuit, but it was not successful. In addition, Schneiderman reserves the right to sue other servicers for their use of MERS along the same lines as the current lawsuit. [..]

Other lawsuits, like Delaware AG Beau Biden’s lawsuit against MERS, Missouri AG Chris Koster’s criminal indictments against DocX, and Nevada AG Catherine Cortez Masto’s suit against LPS and its employees would be able to go forward as well because the banks are not a party to them. However, it’s unclear whether any of those AGs will be able to work their way up the chain to indict bank officers for the same conduct; the likely answer, I assume, would be no. In California, Kamala Harris preserved the right for state officials and large pension funds to sue under the state’s False Claims Act over mortgage backed securities that later fell in value.

The status of Massachusetts AG Martha Coakley’s suit against five banks for foreclosure fraud is unknown. In all likelihood, the Nevada/Arizona suit against Bank of America for failing to follow their responsibilities in the Countrywide settlement will be folded into the deal.

In that settlement, BofA promised to deliver $8.5 billion in relief for Countrywide borrowers who fell victim to deceptive practices in the mortgage process. In reality, only $236 million was ever spent. Weak settlement terms allowed BofA to take credit merely for offering loan modifications to borrowers. And the Nevada suit alleged that BofA immediately started abusing borrowers who tried to get relief under the deal. But that suit is now gone.

As to the role of new Federal task force, if it were to be taken seriously this settlement should have not been completes until the task force’s investigation was finished. A good investigation takes charges that are easy to prove to help get the more evidence for the more difficult ones. By letting the banks walk. As Yves sees it, and she is correct, the investigations in Nevada and Missouri led to criminal charges and arrests that might have led to deals to catch the criminals “higher up the food chain.” There is plenty of evidence of bankruptcy-related filings, such as inflated and bogus fees, and even substantial, completely made up charges that has been ignored that could have led to a bigger settlement and prosecutions. By cutting a deal on robosigning the deeper chain of title problem has now been covered up making it even more difficult to address the on going fraud at high levels, the banks themselves.

So the bottom line is the banks have three years to hand out $5 billion in cash to about one million homeowners that will amount to about $2000 each for the loss of their homes through fraud. They will suffer no other consequences and there will be no further means to prosecute them, even if there is clear evidence of complicity in fraud related to robosigning. There is still the issue of 10 million underwater homeowners with $700 billion in negative equity that will continue to drag on the housing market and the economy for years to come. It would seem the Obama administration has once again screwed the vast majority of Americans to protect the Banks and Wall St. and his supporters are cheering this as another reason to reelect him. I see no reason for the Republicans to worry about another four years of Obama.

Up Date: If you’re one of the victims of the banking ghouls, you might not want to visit the new website for “The National Mortgage Settlement” The picture alone might make you want to do something you’d regret. The site details the agreement. David Dayen gives a brief synopsis of some of the gorier detail:

$750 million in a payment to the federal government;

$4.5 billion in direct payments to the states, of which $1.5 billion will go to those $2,000 checks to borrowers, and $2.75 billion to state foreclosure prevention services like legal aid, mandatory mediation and other programs. So the hard money comes to $5.25 billion.

$20 billion in “direct consumer relief”;

$3 billion to help current underwater borrowers refinance, and $17 billion in “credits” for principal reductions. HUD estimates that the dollar value of this will come to $32.3 billion in the end, as we’ve discussed. HUD Secretary Donovan has alternately said that a “substantial” amount of this money will come from MBS investor loans, and also that the large majority would come out of bank-owned loans. Also second liens have to be reduced along with firsts at least pari passu (on equal terms).

In addition, officials are touting the nationwide servicing standards that will be ushered in with this deal. Left out of this is the fact that the CFPB now has control over the servicing market, and can regulate national standards all by themselves.

The site mentions what the settlement doesn’t cover:

Release any criminal liability or grant any criminal immunity.

Release any private claims by individuals or any class action claims.

Release claims related to the securitization of mortgage backed securities that were at the heart of the financial crisis.

Release claims against Mortgage Electronic Registration Systems or MERSCORP.

Release any claims by a state that chooses not to sign the settlement.

End state attorneys general investigations of Wall Street related to financial fraud or the financial crisis.

We still don’t have any specific answers to the letter that Nevada AG Masto sent to the settlement negotiators. What Davyen finds really annoying is that the specific details haven’t been released to the  public who really deserves to know how badly they are being screwed.

I may have a separate article later as more specifics trickle down

Cross posted from The Stars Hollow Gazette

President Barack Obama has announced the appointment of Jeremiah Norton, a JP Morgan Chase & Co. executive, to the five-member board of the Federal Deposit Insurance Corp. once again putting an insider in  a position to protect the banks at the expense of tax payers. The announcement was made late Friday in the usual news dump but this is not new except that Norton is now the “official” nominee.

Jeremiah O. Norton, 34, who is an executive director in the bank’s JPMorgan Securities unit, previously served as a policy adviser in the U.S. Treasury Department during the administration of President George W. Bush. Before that, he was an aide to a Republican congressman, Edward Royce of California.

Norton joins two Democrats and a fellow Republican whose confirmations to FDIC leadership posts have been delayed by Senate Republicans who have complained that Obama used a recess appointment to install Richard Cordray, a former Ohio attorney general, as director of the Consumer Financial Protection Bureau without formal Senate approval. Cordray, in his role as consumer bureau director, also has a seat on the five-member FDIC board.

His name was mentioned back in late December in an article from the American Banker. In an article by bmaz at emptywheel

Oh, and in case you had any question on what side of the 1%/99% divide Barack Obama and his Administration are on, yet another answer was given today with the announcement of their proposed selection for the critical “independent” seat on the Federal Deposit Insurance Corporation (FDIC):

   The Obama administration is considering nominating Jeremiah Norton, an executive director for JPMorgan Chase’s investment bank, to sit on the FDIC’s board of directors.

Who is Jeremiah Norton? Well, as this quote states, he executive director of the investment banking shop and one of Obama’s buddy, Jamie Dimon’s, right hand men. Oh, and before that, Norton was former Goldman Sachs honcho Henry Paulson’s right hand man in the Bush Treasury Department and assisted Paulson in getting Goldman Sachs a backdoor bailout through AIG.

Norton was one of the chief architects of TARP who helped convince Paulson that the banks were “Too Big To Fail” and “helped craft the takeover of Fannie and Freddie” and he isn’t without opposition form the right:

Norton himself had initial doubts about the plan. “This is crazy,” he reportedly said at the time. But ultimately he and Jester sold Paulson on TARP, (Andrew Ross) Sorkin explains. “Based on the work of Jester, Norton, and assistant secretary for financial institutions David] Nason, [Paulson] wanted to forge ahead and invest $250 billion of the TARP funds into the banking system,” Sorkin wrote. Norton contributed similarly to the government takeover of Fannie and Freddie. “It was a difficult decision, the secretary didn’t want to be here, to go into the firms,” Norton [told C-SPAN in 2008. But, he concluded, “this action was necessary to prevent systemic risk that would harm the broader economy.”

Norton still might encounter some objections from the right, as both TARP and the government conservatorship of Fannie and Freddie have come under growing fire from the tea party wing of the GOP. What’s more, the Congressional Budget Office recently raised the cost of TARP in 2012, and the government control of Fannie and Freddie has extended well beyond the 15-month “timeout” that Norton, Paulson and others had originally envisioned.

This is the second time that the White House has taken the Senate GOP leadership’s advice on FDIC leadership, having already followed Senate Minority Leader Mitch McConnell’s (R-KY) recommendation to pick Thomas Hoenig for another key FDIC post whose nomination brings ant- TBTF positions to the table:

Hoenig is a vocal critic of large banks, technically known as “systemically important financial institutions,” or SIFI, under the recent Dodd-Frank regulatory reform of the financial system. Of course, they’re more popularly known as the “too big to fail” banks that are a focus of the Occupy Wall Street protests.

Under Dodd-Frank, the FDIC will be responsible for unwinding failing big banks.

In a June speech, Hoenig — who headed the Federal Reserve Bank of Kansas City — called those institutions “fundamentally inconsistent with capitalism.”

“They are inherently destabilizing to global markets and detrimental to world growth,” he said. “So long as the concept of a SIFI exists, and there are institutions so powerful and considered so important that they require special support and different rules, the future of capitalism is at risk and our market economy is in peril.” [..]

Hoenig’s criticism of Fed policy made him a favorite among Congressional Republicans. Last fall, as Republicans prepared to assume control of the House after their midterm win, Hoenig was invited to speak to Republican members of Congress behind closed doors.

He also testified earlier this year before the House subcommittee on monetary policy chaired by Ron Paul, a noted Fed critic and presidential candidate, who would like to abolish the central bank altogether.

Republicans’ previous praise for Hoenig may make it difficult for them to block his confirmation, even if they oppose his views on the Volcker rule and bank regulation, said Boston University law professor Cornelius Hurley, a former counsel to the Fed Board of Governors.

“A brilliant political step, Hoenig’s nomination puts Senate Republicans in a very difficult spot in voting on his vice-chairmanship,” said Hurley. “His experience and point of view on systemic risk may foretell a pivot away from the failing policies of (Treasury Secretary)Timothy Geithner and (and former Obama adviser) Larry Summers toward more meaningful structural reform of our financial system.”

Obama keeps trying to make “deals with the devil” that will only continue toprotect the banks and harm the economy.  

Cross posted from The Stars Hollow Gazette

This is your morning Open Thread. Pour your favorite beverage and review the past and comment on the future.

Find the past “On This Day in History” here.

February 9 is the 40th day of the year in the Gregorian calendar. There are 325 days remaining until the end of the year (326 in leap years).

On this day in 1950, Joseph Raymond McCarthy, a relatively obscure Republican senator from Wisconsin, accuses State Department of being infiltrated by communists. McCarthy announces during a speech in Wheeling, West Virginia, that he has in his hand a list of 205 communists who have infiltrated the U.S. State Department. The unsubstantiated declaration, which was little more than a publicity stunt, suddenly thrust Senator McCarthy into the national spotlight.

Asked to reveal the names on the list, the reckless and opportunistic senator named officials he determined guilty by association, such as Owen Lattimore, an expert on Chinese culture and affairs who had advised the State Department. McCarthy described Lattimore as the “top Russian spy” in America.

These and other equally shocking accusations prompted the Senate to form a special committee, headed by Senator Millard Tydings of Maryland, to investigate the matter. The committee found little to substantiate McCarthy’s charges, but McCarthy nevertheless touched a nerve in the American public, and during the next two years he made increasingly sensational charges, even attacking President Harry S. Truman’s respected former secretary of state, George C. Marshall.

Wheeling speech

McCarthy experienced a meteoric rise in national profile on February 9, 1950, when he gave a Lincoln Day speech to the Republican Women’s Club of Wheeling, West Virginia. His words in the speech are a matter of some debate, as no audio recording was saved. However, it is generally agreed that he produced a piece of paper that he claimed contained a list of known Communists working for the State Department. McCarthy is usually quoted to have said: “The State Department is infested with communists. I have here in my hand a list of 205-a list of names that were made known to the Secretary of State as being members of the Communist Party and who nevertheless are still working and shaping policy in the State Department.”

There is some dispute about whether or not McCarthy actually gave the number of people on the list as being “205” or “57”. In a later telegram to President Truman, and when entering the speech into the Congressional Record, he used the number 57. The origin of the number 205 can be traced: In later debates on the Senate floor, McCarthy referred to a 1946 letter that then-Secretary of State James Byrnes sent to Congressman Adolph J. Sabath. In that letter, Byrnes said State Department security investigations had resulted in “recommendation against permanent employment” for 284 persons, and that 79 of these had been removed from their jobs; this left 205 still on the State Department’s payroll. In fact, by the time of McCarthy’s speech only about 65 of the employees mentioned in the Byrnes letter were still with the State Department, and all of these had undergone further security checks.

At the time of McCarthy’s speech, communism was a growing concern in the United States. This concern was exacerbated by the actions of the Soviet Union in Eastern Europe, the fall of China to the communists, the Soviets’ development of the atomic bomb the year before, and by the contemporary controversy surrounding Alger Hiss and the confession of Soviet spy Klaus Fuchs. With this background and due to the sensational nature of McCarthy’s charge against the State Department, the Wheeling speech soon attracted a flood of press interest in McCarthy.