Tuesday Reads

Posted: July 24, 2012 | Author: | Filed under: 2012 presidential campaign, Barack Obama, corporate greed, Crime, Hillary Clinton, income inequality, Mitt Romney, morning reads, Scott Brown, The Bonus Class, U.S. Economy, U.S. Politics | Tags: , , , , , , , , , | 47 Comments

Good Morning!!

I was working on this post for a good hour last night, and when I went to save what I had written, WordPress logged me out and wiped out the whole thing! I couldn’t begin to recall everything I had written, and I was extremely discouraged to put it mildly.

Next time, I’ll try to remember to save my work more often. For awhile there WordPress had managed to save posts even when they did their stupid logout trick. But not last night. I did my best to redo the stuff I lost, but I know I lost some bon mots.

After a brief truce in deference to the latest mass murder in the U.S., President Obama and Mitt Romney returned to campaigning yesterday. President Obama spoke to the Veterans of Foreign Wars while his challenger raised more millions. The LA Times summarizes the back and forth.

President Obama’s campaign…accus[ed] Romney of harboring a “secret” foreign policy, and pushing him to detail his plans to end the war in Afghanistan and his approach to Russia and Israel. The Romney campaign responded by saying the president had eroded key alliances and promising Romney would “restore the pillars of American strength.”

In a speech to the Veterans of Foreign Wars convention in Reno, Obama portrayed his foreign policy record as one of promises fulfilled, and he took veiled jabs at Romney and other critics of his withdrawal of U.S. troops from Iraq and drawdown of troops from Afghanistan.

Today Romney will speak to the VFW before heading off to London to see the Olympics, attend two posh fundraisers, and meet with some British VIPs. After that he heads to Israel for a meeting with Prime Minister Netanyahu and another fundraiser, and then on to Poland, where he

will visit Gdansk and Warsaw on July 30 and 31 at the invitation of Lech Walesa, the communist-era dissident who in 1983 won the Nobel Peace Prize for his defiance of the communist regime.

There were a couple of good hit pieces on Romney at the Huffington Post yesterday.

Ryan Grim: Mitt Romney Made Over $25 Million In Foreign Income While Governing, Campaigning.

Mitt Romney accumulated more than $25 million in foreign income between 2005 and 2010, while he was governor of Massachusetts and a presidential candidate, according to an analysis of his 2010 tax return.

The 2010 return lists foreign tax payments Romney made dating back to 2000. By Romney standards, the payments were modest through 2004, averaging $37,000 a year. In 2005, however, his foreign tax bill shot up to $333,149 and stayed high for the next three years, before dipping in 2009, as the financial crisis hit hard.

In 2010, Romney’s foreign tax bill was down to $67,173 on declared foreign income of $1,525,982. That’s a 4.4 percent rate. After expenses and various other deductions, Romney declared a net foreign income of $392,000, making his net tax rate 17 percent.

Because the presumptive GOP presidential nominee has so far declined to release his earlier tax returns, HuffPost made a rough calculation of his prior foreign earnings by assuming he paid similar tax rates in previous years.

Read the rest at the link.

Jason Cherkis and Laura Bassett: Bain Capital Created ‘Demoralizing’ Culture of Layoffs At Florida Plant.

When Dade Behring started cutting employees under Bain Capital’s management in the late ’90s, Cindy Hewitt was on the front lines. As a human resources manager for the Dade East plant in Miami, Hewitt had to decide which employees had needed skills and whose jobs were expendable.

News of the latest layoffs trickled down to the Dade company cafeteria. The room could seat more than 1,000, and it had been enough of a draw that it even offered breakfast.

But as the layoffs hit, the mood in the cafeteria could be as somber as a funeral, Hewitt recalled. Multiple members of the same family might be gathered to commiserate over being laid off one by one by one. Some of them had worked for the medical diagnostics company for more than a decade.

Hewitt saw her colleagues crying on a daily basis and loudly celebrating on the rare occasion that someone found a comparable new job. “There was a tremendous sense of loss and this kind of outpouring of grief and mourning as every day they waited for the announcement of who was going next,” she said. “People were on pins and needles. Who’s going next? They’re worried for themselves, worried for their co-workers, worried for their families. They’d talk about how they were going to send their kids to college. It was an incredibly depressing and demoralizing environment.”

There’s lots more at HuffPo.

Here’s some more proof that the rich keep getting richer and the poor get poorer: Yankees Acquire Ichiro Suzuki From Mariners

With a little more than two months remaining in the season, the Yankees acquired Ichiro Suzuki, who became the first Japan-born position player in the majors when he joined the Mariners in 2001, when he was named the rookie of the year and the Most Valuable Player.

Before Monday’s game between the two teams at Safeco Field, the Yankees sent minor league pitchers D. J. Mitchell and Danny Farquhar to the Mariners for Suzuki , whose five-year, $90 million contract expires after this season. The Yankees will also receive cash considerations to offset the financial commitment.

Wearing a dark blue suit with gray pinstripes, Suzuki walked down the hallway from the Seattle clubhouse over to the visitors’ side, stopping in the middle to speak at a news conference.

“I am going from a team with the most losses to a team with the most wins,“ he said through his interpreter, “so I am not able to contain my excitement in that regard.“

Once a great player, Suzuki is now just another mercenary.

Scott Brown has pulled another dumb trick. He’s using a line from a famous poem by Langston Hughes, “Let America Be America Again,” to attack President Obama and Elizabeth Warren for saying that governments provide services and infrastructure that support businesses. If that makes no sense to you, you’re not alone. Interestingly, Rick Santorum used the same line during the Republican presidential primaries and was mightily mocked for it. But Scott Brown was probably meeting with Kings and Queens at the time and missed the uproar. Besides, he’s really not all that bright, poor thing.

A new video from Brown, soliciting donations for his neck-and-neck campaign against Democrat Elizabeth Warren, is headlined “Let America Be America Again” – the title of Hughes’ well-known 1935 poem, first published in Esquire magazine, that suggests the American dream never really existed for many Americans, including the lower classes, blacks, Native Americans, and other minority groups.

“There’s never been equality for me/Nor freedom in this ‘homeland of the free,’” Hughes writes in an aside between verses. “America never was America to me.”

The Brown campaign’s two and a half minute video tribute to small business, complete with stirring music and iconic images such as flags and white picket fences, chronicles what it portrays as a change in the United States from the words of John F. Kennedy, Bill Clinton and Lyndon Johnson – Democrats all – as well as Gerald Ford and Ronald Reagan, to current President Barack Obama and Warren, his uber-progressive rival.

watch?v=oqDIjGsBEP8&feature=player_embedded&w=400

Langston Hughes died in 1967 at the age of 65, but chances are if he were still alive today he would not be a Republican. Hughes’s poetry was frequently published in the Communist Party USA newspaper and he was involved in various initiatives supported by leftist organizations. Hughes traveled widely in the Soviet Union in 1932, and was later inducted into the International Union of Revolutionary Writers.

Oh, and BTW, Hughes is believed to have been gay.

USA Today had an interesting article on a polar bear DNA study.

Polar bears split from ancient bears more than 4 million years ago, suggests ancient DNA and the gene maps of multiple bears.

The polar bear genome finding reported in the Proceedings of the National Academy of Sciences journal contradicts earlier gene studies finding much more recent times for the ancestral split, within 600,000 years, between polar bears and grizzly bears, which can still mate and produce viable offspring.

What’s more, the report suggests that polar bear numbers have been on the decline for at least 500,000 years, driven by climate fluctuations.

“Although polar bears ( Ursus maritimus) and brown bears (Ursus arctos) are considered separate species, analyses of fossil evidence and mitochondrial sequence data have indicated a recent divergence of polar bears from within brown bears,” begins the study led by Penn State’s Webb Miller.

For those who are still interested in thinking about the why of mass murders, I suggest reading a 2005 interview with Mark Ames, who wrote a book on school and workplace shootings called “Going Postal: Rage, Murder, and Rebellion — From Reagan’s Workplaces to Clinton’s Columbine and Beyond.”

Ames is a true radical, and so of course he has a radical hypothesis about these horrible murders that have become pretty common in our culture. He argues that they are rooted in Reganomics and the philosophy of greed and avarice that he made popular back in the ugly ’80s. From the interviewer’s introduction:

Ames takes a systematic look at the scores of rage killings in our public schools and workplaces that have taken place over the past 25 years. He claims that instead of being the work of psychopaths, they were carried out by ordinary people who had suffered repeated humiliation, bullying and inhumane conditions that find their origins in the “Reagan Revolution.” Looking through a carefully researched historical lens, Ames recasts these rage killings as failed slave rebellions.

And from Ames himself:

Put it this way: rage murders in the workplace never existed anywhere in history until Reagan came to power. Reagan made it respectable to be a mean, stupid bastard in this country. He is the patron saint of white suckers. He unleashed America’s Heart of Vileness — its penchant for hating people who didn’t get rich, and worshipping people who despise them, and this is the essence of Reaganomics.

I hate to sound like a Clintonite here, but let’s remember Hillary Clinton became the most hated human being alive because she tried to give most Americans the opportunity to lead longer, healthier lives, while these same Americans adored goons like Sam Walton, George W. Bush, Ronald Reagan, Donald Trump — everyone who has dedicated their lives to transferring wealth, health and pleasure from the masses to a tiny elite. Liberals are hated in America precisely because they want to help people, which is seen as “patronizing.”

You can see how this kind of cultural insanity, unleashed by Reaganomics after decades of New Deal (relative) harmony, could make someone snap, when the cognitive dissonance suddenly strikes on a very personal level, and you realize that you’ve been screwed hard by your own dominant ideology.

Here’s an interesting 2007 review of Ames’ book by Ed Vulliamy from The Guardian UK.

Ames also wrote a lengthy analysis of One L. Goh’s rampage at Oikos University in Oakland, CA.

For a more mainstream take on the recent events in Aurora, Colorado, check out this piece by Dave Cullen, author of the book “Columbine.” He points out that just about everything the media immediately assumed about Harris and Klebold was wrong and that we still know almost nothing about James Holmes or his motives. Obviously, I agree.

Finally, here’s a piece that provides some support for Mark Ames’ argument that our culture has just plain turned mean and is getting meaner all the time: The Elites Are Unanimous: Lower Everyone’s Wages and Standard of Living — Except They Don’t Say it Out Loud

That’s it for me for today. What are you reading and blogging about?

Breaking . . . Mother of James Holmes Makes Clarifying Statement

Posted: July 23, 2012 | Author: | Filed under: Crime, The Media SUCKS | Tags: , , , , , , , , | 32 Comments

For the past few days, the corporate media has been reporting on a phone call made to Arlene Holmes, the mother of alleged mass murderer James Holmes. ABC News’ placed a call to the Holmes family home in San Diego, CA in the early morning hours after the shootings in Aurora, CO. ABC reported that Mrs. Holmes immediately said, “You have the right person.” Since that time, multiple media sources have reported over and over again that Arlene Holmes was not surprised to learn that her son had gone on a murderous rampage.

Personally, I never interpreted Mrs. Holmes’ words in that way. I assumed that she was saying that, yes, she was the mother of a man named James Holmes who lived in Aurora, CO. It turns out that my interpretation was the correct one.

Today, Lisa Damiani, the Holmes family attorney, read a statement from Arlene Holmes in which she attempted to clarify the media narrative. She explained that the reporter asked her if she was Arlene Holmes and if she had a son, James Holmes, who lived in Aurora, CO. She then said “You have the right person,” indicating that she did have a son by that name. She then asked the reporter why he was calling and he told her about the shooting and asked for a comment. She told the reporter that she needed to find out of the person in custody was really her son. She the said that she would call the police or go to Colorado.

UPDATE: The full statement is reproduced at the end of this post.

I have to say that I am disgusted with the way the media covers horrible stories like this. Can any of us possibly imagine what it would be like to be awakened by a phone call from a national news organization announcing that your son has committed an unspeakable crime? The cold-blooded way that the media confronts families is sickening to me.

I am as fascinated by stories like this as anyone, but I try my best to be fair in evaluating what I read and hear. Unfortunately, the media narrative has probably been set in stone already and will continue to be reported again and again, as people judge this family and hold them responsible for their son’s actions.

I was also surprised to learn from the press conference that the family has not been contacted by Aurora police. It may be that James doesn’t want police to contact them. He’s an adult and legally can make his own decisions.

Another interesting thing the attorney said was that the family does not wish to discuss their relationship with James at this time. I don’t want to read anything into this, but the statement is suggestive that there may have been some kind of difficulty. I don’t want to be guilty of the same behavior that I’m criticizing, so I’m going to wait until there is more information.

TMZ has a breaking news story on this now. As soon as someone publishes the full statement, I’ll link to it here.


UPDATE: Here is the full statement from Arlene Holmes from Politico:

Arlene Holmes, the mother of Colorado theater shooting suspect James Holmes, says that ABC News mischaracterized her when it reported that her initial statement to the reporter, “you have the right person,” was a reference to her son.

“This statement is to clarify a statement made by ABC media. I was awakened by a call from a reporter by ABC on July 20 about 5:45 in the morning. I did not know anything about a shooting in Aurora at that time,” Holmes said in a statement this afternoon, read to the national press by attorney Lisa Damiani. “He asked if I was Arlene Holmes and if my son was James Holmes who lives in Aurora, Colorado. I answered yes, you have the right person. I was referring to myself.”

“I asked him to tell me why he was calling and he told me about a shooting in Aurora,” she continues. “He asked for a comment. I told him I could not comment because I did not know if the person he was talking about was my son, and I would need to find out.”

In the first paragraph of its initial report on Friday, ABC News reported that it had identified the correct James Holmes because his mother “told ABC News her son was likely the alleged culprit, saying, ‘You have the right person.'”

I don’t know who the reporter was that made the phone call to Arlene Holmes and then twisted her meaning; but he or she should be fired. Brian Ross had previously reported that a Tea Party leader named Jim Holmes might have been the shooter. He should be fired too.

Saturday Reads

Posted: July 21, 2012 | Author: | Filed under: 2012 presidential campaign, Barack Obama, Crime, Hillary Clinton, Mitt Romney, morning reads, U.S. Politics | Tags: , , , , , , , , , , , , , , , , , , , , | 23 Comments

It’s Saturday morning and our country is once again saddened by a horrible, violent crime. The shootings in Colorado yesterday were tragic. Even more tragic is the fact that mass shootings have become almost commonplace in our country, but none of our so-called leaders respond by actually taking action to prevent more such massacres in the future.

I feel heartsick not only for all of the victims and their families but also for the family of the perpetrator. I can’t begin to imagine how horrible it would be to lose a family member so senselessly or to have a family member commit such a horrific crime. If only this time politicians would stand up to the bloodthirsty NRA, but I know it’s not going to happen.

I’m not going to link to any more articles about yesterday’s murders. I just can’t stand to read about it right now. So let’s see what else is happening.

Chris Cilizza asks “Who had the worst week in Washington? Rep. Michele Bachmann.”

Anytime you are compared to former senator Joseph McCarthy — he of “red scare” infamy — it’s probably not very good for your political career.

That’s the situation Rep. Michele Bachmann (Minn.) found herself in this past week after it came to light that she and four other House Republicans had sent letters to the inspectors general of the departments of Homeland Security, State and Justice, asking them to look into whether the Muslim Brotherhood has tentacles within the U.S. government.

Bachmann focused her attack on Human Abedin, long-time friend and aide to Hillary Clinton and wife of former Rep. Anthony Weiner. She also slimed fellow Minnesota Rep. Keith Ellison.

In an interview with radio host Glenn Beck on Thursday, Bachmann asserted that Ellison, the first Muslim elected to Congress, has a long record of being associated with the Muslim Brotherhood.

Ellison, DFL-Minneapolis, said in a subsequent interview Thursday night with CNN’s Anderson Cooper that he has no ties to the Brotherhood, a fundamentalist Islamic movement that recently came to power in Egypt and that some say maintains ties to the Palestinian terrorist group Hamas.

Bachmann offered no evidence of ties between Ellison and the Muslim Brotherhood during the Beck interview. Bachmann’s spokesman, Dan Kotman, cited a 2009 Fox News report that Ellison had a trip paid for by the Muslim American Society, a group described by an expert quoted in that report as “the de facto arm of the Muslim Brotherhood in the U.S.”

It’s simply beyond me why anyone would support this woman or vote for her, yet she is one of the top fund-raisers in the House of Representatives.

I watched some of the British Open today. Please don’t get mad at me. I can’t help rooting for Tiger Woods. I find it so hard to resist a comeback story, and Woods has slowly been recovering his pre-scandal form.

LYTHAM ST. ANNES, England — From the time he arrived in northwest England on Sunday, it was clear Tiger Woods had a game plan for Royal Lytham & St. Annes.

He had fond memories of the place, having been low amateur here in 1996 and calling it one of his favorite courses on the Open Championship rota. He enjoyed the challenge of avoiding the numerous pitfalls of the old links. Without saying so, he appeared determined to put an end to his four-year major championship victory drought.

Part of the plan was to stay out of the numerous bunkers that give Royal Lytham its teeth. The wind was down and the course was soft, but getting into those hazards is, well, hazardous.

It obviously wasn’t part of the plan when Woods’ approach to the par-4 18th found a greenside bunker. His caddie, Joe LaCava, said the shot was one of his best of the day. But the wind played a factor, the ball drifted into the sand and … uh-oh.

Then Woods holed the shot for a birdie.

A thunderous roar echoed around the 18th green as Woods gave a fist pump. He had made his statement at the Open Championship.

The tournament continues through the weekend, and I’ll probably watch a little more of it. The scenery relaxes me if nothing else.

I’ll just give you two Mitt Romney links this morning. First, this column by conservative political handicapper Charlie Cook from early in the week: Red Alert.

The strategic decision by the Romney campaign not to define him personally—not to inoculate him from inevitable attacks—seems a perverse one. Given his campaign’s ample financial resources, the decision not to run biographical or testimonial ads, in effect to do nothing to establish him as a three-dimensional person, has left him open to the inevitable attacks for his work at Bain Capital, on outsourcing, and on his investments. It’s all rather inexplicable. Aside from a single spot aired in the spring by the pro-Romney super PAC Restore Our Future, not one personal positive ad has been aired on Romney’s behalf. The view that any day or dollar spent on talking about anything other than the economy is a waste has been taken to such an extreme that Romney has no positive definition other than that of being a rich, successful, and presumably smart businessman. People see and feel the reasons for firing Obama every day in the economic statistics and the struggle that so many Americans face daily. The Romney campaign seems focused on reinforcing a message that hardly needs reinforcing, while ignoring a clear and immediate danger to its own candidate’s electability.

The attacks on Bain, outsourcing, and his investments are sticking to Romney like Velcro, and it’s hard to see how that will change until he picks his running mate. Romney has lost control of the debate and the dialogue. Instead of voters focusing on the economy, they are now hearing about investments and accounts in Switzerland and the Cayman Islands, as well as about outsourcing and layoffs….if I were a Republican, I would be very concerned about the events of the past two weeks, questioning both strategy and tactics as well as the underlying assumptions that have led to the campaign decisions made so far.

Second, check out this slideshow of photos of “Sad Mitt Romney” at Mother Jones. In number 8, he looks like he’s about to cry–maybe because of mean bully Obama’s attacks on his “success.”

Sorry–I threw in another link there, but you don’t have to click on it.

Here’s a knee-slapper from Raw Story: Top tea partier demands Obama prove he doesn’t smoke crack and have gay sex

The president of Tea Party Nation declared on Thursday that if Mitt Romney is to release his tax returns, President Barack Obama should release medical records to prove he’s not a drug addict who smoked crack and had gay sex with a lifelong con-man.

Judson Phillips, whose for-profit group is better known to Tennessee as the “Tea Party Nation Corporation,” explained in an essay that also went out in a mass email to his followers that the American people must know whether the president had secret financial support in college due to his status as a “foreign student” — and dredged up a long-disproved story of Obama’s alleged encounter smoking crack and having sex with a gay prostitute.

At The Nation, Ari Melber reports:

A new campaign calling for “a woman moderator” for the presidential debates has drawn over 115,000 supporters online, through the social action website Change.org, and the Commission on Presidential Debates is taking notice. Janet Brown, the commission’s executive director, told The Nation she knew of the petition’s popularity and her colleagues “welcome” the input “regarding moderator selection.”

The petition, which was started by three high school students in New Jersey, Emma Axelrod, Sammi Siegeland and Elena Tsemberis, casts the paucity of female moderators as an issue of equality. “We were shocked to find out that it has been twenty years since a woman last moderated a presidential debate,” the petition notes, in reference to the 1992 debate led by ABC News’s Carole Simpson. The students started the effort in conjunction with their civics class, and it is now “the largest elections-related petition” on Change.org, according to Michael Jones, the site’s deputy campaign director. A related effort on UltraViolet.org, a new organizing platform for women’s rights, has drawn another 50,000 supporters.

Now that is something I’d like to see–as long as the moderator isn’t Barbara Walters or Diane Sawyer.

I’m sure you’ve heard that George Zimmerman has “gone rogue” again. He has again set up his on website talking to the media and generally appears to be ignoring his attorney’s advice. You’ll recall that he did that with his previous attorneys and they resigned from his case in a nationally televised news conference. On JJ’s Thursday night post, Northwestrain linked to an interesting wordpress blog called the Frederick Leatherman Law Blog. It’s run by an attorney who has been commenting on the Trayvon Martin case. I found his latest post fascinating. He thinks Mark O’Mara, Zimmerman’s attorney, should resign.

GZ is the quintessential difficult client. He is paranoid, secretive, fearful, angry, stubborn, doesn’t trust anyone, controlling, believes he’s smarter than anyone else, manipulative, and probably delusional. It’s absolutely clear that he does not feel any emotional distress or regret for having killed TM.

His claim that TM died as part of “God’s Plan” exhibits a frightening dissociation from reality and a willingness to kill without any sense of responsibility or regret, if he deems it necessary to do so. In other words, if he should find himself in another situation where he believes he is cornered and needs to kill someone to save face or save his ass, I believe he’s likely to do so and excuse what he did as just carrying out God’s will.

I think he is a danger to himself or others and he belongs in a secure mental health facility or a jail. He needs a thorough mental health evaluation.

I fear that Mark O’Mara is a potential victim and I am concerned about his safety. He’s clearly lost control of GZ despite his protestations to the contrary. GZ clearly sees O’Mara in the way and O’Mara has to be very careful how he handles the “uncharted waters” (his words) in which he finds himself.

If he pushes too hard in an effort to regain control, assuming he ever had control, things could get ugly.

I couldn’t agree more. I think O’Mara is destroying his reputation because he craves the media attention that goes along with this case. But Zimmerman is obviously a very sick man with almost no ability to control his impulses. O’Mara should cut and run.

Finally, have you heard that Elizabeth Warren may be asked to give the keynote speech at the Democratic Convention? Steve Kornacki writes:

Early in the week, NBC News and the New York Post reported that Chris Christie would be the Republicans’ featured speaker at their Tampa convention. Mitt Romney’s campaign has refused to confirm the report, though, and Christie himself was mum on the subject when questioned on Thursday. Also on Thursday, the Boston Globe reported that an Obama campaign official had confirmed that Elizabeth Warren was a candidate to deliver the Democratic keynote speech in Charlotte.

There’s no guarantee they’ll be chosen, but Christie and Warren are unusually obvious and logical candidates for the slots. Both have exploded onto the national scene during the Obama presidency by articulating their parties’ basic message and values with more charisma and precision than anyone else – including, arguably, their parties’ nominees.

That would be quite a contrast!

Now what are you reading and blogging about today?

Major New Boston Globe Article Recounts Circumstances of Romney’s Bain Departure

Posted: July 20, 2012 | Author: | Filed under: 2012 presidential campaign, Mitt Romney, Team Obama, The Bonus Class, U.S. Economy, U.S. Politics | Tags: , , , , , , , , , , | 9 Comments

I know everyone is focused on the Colorado shooting, but I feel as if I need to post this new information about Mitt Romney’s tenure at Bain Capital.

New interviews and public records research by Boston Globe reporters Beth Healy and Michael Kranish make it clearer than ever that Romney was still in control of the company during his “leave of absence” to manage the 1999 Winter Olympics in Salt Lake City.

Interviews with a half-dozen of Romney’s former partners and associates, as well as public records, show that he was not merely an absentee owner during this period. He signed dozens of company documents, including filings with regulators on a vast array of Bain’s investment entities. And he drove the complex negotiations over his own large severance package, a deal that was critical to the firm’s future without him, according to his former associates.

Indeed, by remaining CEO and sole shareholder, Romney held on to his leverage in the talks that resulted in his generous 10-year retirement package, according to former associates.

“The elephant in the room was not whether Mitt was involved in investment decisions but Mitt’s retention of control of the firm and therefore his ability to extract a huge economic benefit by delaying his giving up of that control,” said one former associate, who, like some other Romney associates, spoke only on condition of anonymity because they were not authorized to speak for the company.

Romney originally planned to take a leave of absence, while contributing part-time to Bain. It was agreed that “five managing directors” would be in charge while he was away. Romney was technically no longer involved in investment decisions, but he had legal control of the firm.

Basically, Romney wanted a huge golden parachute, and retaining control of Bain gave him leverage. He was still the boss, even if he had let go of micromanaging every new project and decision. The reporters talked to

James Cox, a professor of corporate and securities law at Duke University, [who] said Bain’s continued reference to Romney as CEO and sole shareholder indicated that Romney was still the final authority. Moreover, Cox said, Romney would likely have been updated regularly about Bain Capital’s profits while he was negotiating his severance package. As a result, Cox said, Romney’s statement that he had no involvement with “any Bain Capital entity” appears “inconsistent” with his actions.

“If he is 100 percent owner, I just find it incredible that what I would call ‘big decisions’ — acquisitions, restructuring, changes in business policy — that they would not have passed on to him on an informational basis, not asking for formal approval but just keeping him in the loop,” Cox said.

Romney’s departure left Bain in a somewhat chaotic state. The remaining partners were worried about their ability to raise funds for takeovers without their former boss. Some of the partners chose to leave Bain and begin their own firms “rather than go through the limbo transition.”

I seems quite clear that Romney has lied on disclosure forms on which he has stated that after February 11, 1999 he “was not involved in the operations of any Bain Capital entity in any way.”

What I can’t understand is why he didn’t just lay out all these facts and simply deal with any criticisms about investments that Bain made between 1999 and 2002. He benefited financially from those decisions anyway–and is still benefiting from Bain investments. But now he looks dishonest as well as ruthless toward workers who suffered when Bain outsourced their jobs or drove their employers into bankruptcy.

CNN also published an important article about Romney and Bain today. The author is Roberta Karmel, a former SEC commissioner who is now Centennial Professor of Law at Brooklyn Law School. Karmel has been quoted in the Boston Globe’s previous articles on Romney’s separation from Bain. Karmel explains in detail why Romney can’t avoid responsibility for Bain between February 11, 1999 and early 2002 when he officially resigned as CEO and presumably transferred some of his shares to the new managing partners.

The contradictory representations in the Government Ethics Office and SEC filings are at best evasive and at worst a violation of federal law. A federal statute — 18 U.S.C. § 1001 — provides that anyone who “in any matter within the jurisdiction of the executive, legislative, or judicial branch of the Government of the United States, knowingly and willfully — (1) falsifies, conceals, or covers up by any trick, scheme, or device a material fact; (2) makes any materially false, fictitious, or fraudulent statement or representation” shall be fined or imprisoned. Violations of federal securities laws, including the making of false statements in a 13D filing, are independently punishable under the securities laws….

Romney is not now claiming his 13D filings were inaccurate or false, but he is claiming that although he was chief executive officer, managing director, chairman and president of Bain Capital, he was not really there, but in Utah managing the Winter Olympics. Nevertheless, he was earning more than $100,000 in salary from Bain. Since he will not release his income tax returns for 1999-2002, we have no idea how high this salary really was.

If Romney was not “involved” in the operations of Bain Capital, why was he being paid? As sole shareholder, why did he keep himself on as CEO? Also, at least with respect to the Stericycle deal, he invested as an individual along with the Bain entities. Why is Romney’s story about his relationship to Bain and its investment activities at odds with the documents his firm filed?

There’s much more, so if you’re interested, be sure to check out the entire article. I assume the Obama campaign will quickly latch onto this new information. Will Romney try to explain, or will he continue to resort to the “pathos of the plutocrat” as described in Paul Krugman’s latest column–whining because he isn’t getting the deference that he feels is his due as one of the super-rich? Krugman:

Like everyone else following the news, I’ve been awe-struck by the way questions about Mr. Romney’s career at Bain Capital, the private-equity firm he founded, and his refusal to release tax returns have so obviously caught the Romney campaign off guard. Shouldn’t a very wealthy man running for president — and running specifically on the premise that his business success makes him qualified for office — have expected the nature of that success to become an issue? Shouldn’t it have been obvious that refusing to release tax returns from before 2010 would raise all kinds of suspicions?

By the way, while we don’t know what Mr. Romney is hiding in earlier returns, the fact that he is still stonewalling despite calls by Republicans as well as Democrats to come clean suggests that it could be something seriously damaging.

Anyway, what’s now apparent is that the campaign was completely unprepared for the obvious questions, and it has reacted to the Obama campaign’s decision to ask those questions with a hysteria that surely must be coming from the top. Clearly, Mr. Romney believed that he could run for president while remaining safe inside the plutocratic bubble and is both shocked and angry at the discovery that the rules that apply to others also apply to people like him. Fitzgerald again, about the very rich: “They think, deep down, that they are better than we are.”

Stay tuned….

Queen Ann Lays Down the Law on Mitt’s Taxes as Obama Opens a New Campaign Front

Posted: July 19, 2012 | Author: | Filed under: 2012 presidential campaign, Austerity, Barack Obama, corporate greed, Medicare, Mitt Romney, Team Obama, U.S. Economy, U.S. Politics | Tags: , , , , , , , | 39 Comments

Thanks to Delphyne, who posted this link on the morning thread: Ann Romney: We’ve Given ‘All You People Need To Know’ About Family Finances

Mitt Romney’s wife is reinforcing her husband’s refusal to make public several years of tax returns, telling ABC News “we’ve given all you people need to know” about the family’s finances.

“You know, you should really look at where Mitt has led his life, and where he’s been financially,” she said in her interview with Robin Roberts. “He’s a very generous person. We give 10 percent of our income to our church every year. Do you think that is the kind of person that is trying to hide things, or do things? No. He is so good about it. Then, when he was governor of Massachusetts, didn’t take a salary in the four years.”

Roberts pressed: “Why not show that, then?” and reasoned that people could “move on” if her husband released his returns.

Romney responded, “Because there are so many things that will be open again for more attack… and that’s really, that’s just the answer. And we’ve given all you people need to know and understand about our financial situation and about how we live our life. And so, the election, again, will not be decided on that. It will be decided on who is gonna turn the economy around and how are jobs gonna come back to America.”

Queen Ann has spoken, and that’s that, you people. Ann’s attitude puts me in mind of this famous quote from Leona Helmsley: “We don’t pay taxes. Only the little people pay taxes…”

Meanwhile, President Obama is opening a new campaign front today in Florida. The Bain attacks were just a warm-up for an even more lethal attack in which the consequences of Mitt Romney’s stated support of the Ryan budget will spelled out in detail. From MSNBC’s First Thoughts:

Here comes Medicare: The past few weeks on the presidential campaign trail have featured aggressive attacks and counterattacks. On outsourcing by Bain Capital. On Mitt Romney’s post-1999 association with that firm, as well has his tax returns. On charges of “crony capitalism” in the Obama administration. And on President Obama’s views about business. And today when Obama begins a two-day swing through the crucial state of Florida — with all of its seniors — he’ll introduce another attack: hitting Romney on Medicare and the Ryan budget. Per the campaign, the president “will discuss his commitment to strengthening Medicare, and a new report tomorrow that highlights the devastating impact Mitt Romney’s Medicare plan could have on the 3.4 million Floridians that rely on Medicare.” Bottom line, per the campaign’s guidance: Obama will argue that Romney — through his support for the Ryan budget plan — advocates ending Medicare “as we know it.” Obama starts his Florida swing with a 1:25 pm ET event in Jacksonville, and then he heads to West Palm Beach at 6:20 pm. Tomorrow in the Sunshine State, he hits Ft. Myers and Winter Park.

As Ed Kilgore wrote this morning, Jonathan Chait predicted this two-front strategy last month.

I strongly suspect that Obama is currently in the first stage of a two-part assault on Romney. The first is to define his motives and perspective: a rich man who sees the world from the perspective of the CEO suite and blithely assumes what is good for people like himself is good for everybody.

This is the essential predicate for part two, which I would guess (I have no inside information) will dominate the last half of the campaign. Part two is Romney’s fealty to the Bush-era low-tax, anti-regulatory ideology and the radical Paul Ryan plan. The average undecided voter pays little attention to politics and might not understand why a candidate would return to failed Bush-era policies or slash the social safety net in order to clear budgetary headroom for keeping taxes on the rich low. Defining Romney’s business career is a way of making sense of those choices.

This morning, Chait announced that phase two begins today.

Greg Sargent explains why stage two is necessary:

Keep in mind: A focus group convened by the pro-Obama Priorities U.S.A. found that voters simply refused to believe that Romney or Ryan would really transform Medicare into a quasi-voucher program while also cutting taxes for the rich. This is what the assault on Romney’s Bain years is really about. It’s an effort to establish an image of Romney that will make it easier for voters to accept that this is indeed the agenda Romney has embraced and would carry out as president.

As the Obama campaign will point out, Republicans expect Romney to essentially rubber-stamp the Ryan’s agenda. ”We want the Ryan budget,” Grover Norquist recently said. “Pick a Republican with enough working digits to handle a pen to become president of the United States.”

The attacks on Romney’s business background and core rationale for running for president may enable the Obama campaign to fight Romney to a draw on the economy — by persuading swing voters who are unhappy with Obama’s performance that Romney certainly doesn’t have the answers to their economic problems, and could even make things worse.

I heard on the Morning Joe show today that Obama’s Bain attacks aren’t working because polls still show Obama and Romney deadlocked after weeks of the Obama campaign pounding Romney on Bain, outsourcing, and tax evasion. But I agree with Jamelle Bouie that it’s way too early to know for sure whether the attacks will work.

In the summer of 2004 it seemed that the Swiftboat attacks weren’t hurting Kerry, but only political junkies like us are really paying attention right now. The real tests will come after the conventions and during the debates. Bouie writes:

Given the extent to which commentators have analogized this controversy to the Swift Boat attacks on John Kerry, it’s worth looking back at how the former nominee fared during the period in which he absorbed withering attacks on his military record. The Swift Boat ads aired from the beginning of May until the end of August. During this period, according to Gallup, Kerry held a small lead among likely voters.

Kerry’s position began to decline in August, but even then, he ended the month with only a small deficit. George W. Bush didn’t begin to build a large lead until the fall. The growth in Bush’s lead corresponded with a decline in Kerry’s net favorability. It’s possible Kerry was unaffected by the Swift Boat attacks. But it’s also possible that they didn’t begin to have an impact until later. It’s also too early to say whether the attacks on Bain will work. But there’s a chance they’ll have the most effect after the conventions, as undecided voters begin to make a choice, and draw on overall impressions built up over months as they make their decision. Given the new $8 million ad buy from Crossroads — meant to deflect Obama’s attacks on Bain — it’s clear Republicans see long-term danger here.

I have to say, this campaign is getting a lot more interesting. I’m not thrilled with either of the candidates, but I have no problem saying that Romney is much much more horrible than Obama. I probably won’t end up voting for either of these candidates, but as a true political junkie I love watching a hard fought campaign.

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