Dems Fiddled While Fannie Burned A Hole in Our Wallets

It's time to break out the hammer. It's time we hold the Democrats accountable for their actions (or inaction as the case may be). Nancy Pelosi and her fellow Dems are screaming that the GOP is making the current bailout discussion a political issue and hampering the debate and the patchwork fix they are trying to implement. Newsflash for the Speaker: It is a political issue and you made it one.

The WSJ breaks it down from a hearing called in 2003 about the problems at Fannie and Freddie and the effect it could have if they weren't addressed. The GOP was prescient, the Dems were not only wrong but wrong because they were in bed with the two GSE's that were central to the economic quagmire we now find ourselves in.

Let's start with Rep. Barney Frank (D-MA) who was quite cozy with these two firms:

Rep. Frank: Let me ask [George] Gould and [Franklin] Raines on behalf of Freddie Mac and Fannie Mae, do you feel that over the past years you have been substantially under-regulated?

Mr. Raines?

Mr. Raines: No, sir.

Mr. Frank: Mr. Gould?

Mr. Gould: No, sir. . . .

Mr. Frank: OK. Then I am not entirely sure why we are here. . . .

Rep. Frank: I believe there has been more alarm raised about potential unsafety and unsoundness than, in fact, exists.

Or this from the blowhard from Massachussetts:

Rep. Frank: I do think I do not want the same kind of focus on safety and soundness that we have in OCC [Office of the Comptroller of the Currency] and OTS [Office of Thrift Supervision]. I want to roll the dice a little bit more in this situation towards subsidized housing. . . .

And who did the Speaker choose to argue that it was the GOP who was responsible for this mess and that it has become politicized? Rep. Frank of course. Pure chutzpah.

But what of our distinguished Senators? How about the man who took more money from Fannie than any other Senator?

Sen. Christopher Dodd (D., Conn.): I, just briefly will say, Mr. Chairman, obviously, like most of us here, this is one of the great success stories of all time. And we don't want to lose sight of that and [what] has been pointed out by all of our witnesses here, obviously, the 70% of Americans who own their own homes today, in no small measure, due because of the work that's been done here. And that shouldn't be lost in this debate and discussion. . . .

And "thank you Senator Dodd" said Fannie Mae, "the check is in the mail."

Read it all, it's devastating.

The GOP is staring into the abyss and have been handed this issue with a bow on it. Use it from now until the election and even after. Pound them on it mercilessly, buy ad time during the World Series and the debates. Play the video that has them saying these words, words we should be using against them whenever and wherever possible. If an interviewer asks about abortion, steer the answer back around to the donks failings on Fannie and Freddie. Otherwise, we lose the offensive and most-likely more than a few seats in the House and Senate.

Take the video below and make it into three or four ads that will saturate the markets in battleground states. Let Gov. Palin put Sen, Biden on the defensive by defending his fellow Dems tonight. I want to see Sen. McCain asking Sen. Obama why Fannie chose to give so much money to him as well and to ask it live during the next debate. The gloves have to come off and we need to drag them into the octagon and not stop until November 4th.