Let's end this week on US fraud and corruption by returning to those posts on the same structures existing in MEXICO----and other Latin American nations taken by REAGAN/CLINTON by Foreign Economic Zones and global neo-liberal economics. CLINTON/BUSH/OBAMA spent these few decades dismantling and downsizing government just so all these third world conditions would allow them to fleece America. Trump will spend his time in office with PENCE as an OPUS DEI Catholic bringing the harsh tryranny and oppression expanding what was started by Bush -----
CORPORATE AND WEALTH PATRONAGE REPLACING OUR DEMOCRATIC REPUBLIC PUBLIC SECTOR----THE ONLY THING GIVING WE THE PEOPLE VOICE AND CONTROL IN OUR GOVERNANCE.
I'm not sure if Baltimore ever left that corporate plantation patronage governance structure but friends across the nation have states that never did have what we see in old-Europe and third world nations----here we see CLINTON/BUSH/OBAMA in Mexico. We see all aspects of society---religious leaders----labor leaders----organized crime as politicians---and VOILA---we have US cities deemed Foreign Economic Zones and their behavior these few decades.
'And so in Mexico: the entrenched power of monopolists, party bosses, cardinals and mafias are reflections of something much deeper -- a perspective that arose from what Cosa Nostra calls the "painful scars of... tyranny and oppression."
According to Alan Riding, author of Distant Neighbors, the system that emerged in the twentieth century merely institutionalized what was already there: a ruling class with absolute authority that rewarded unquestioned loyalty with favors and patronage'.
Chilean Students Demand Education Reform, End to Political Corruption
By: PanAm Post Staff - Apr 20, 2015, 8:53 am
On Thursday, April 16, thousands of Chilean students streamed onto the streets of Santiago to protest against recent corruption scandals plaguing Chile’s political class and delays in education reform.
Chilean education reform has been subject of controversies during the last four years. (@gbastidas)Police reported that about 20,000 people participated in the march, including high school and university students and their teachers, while student organizers estimated that roughly 150,000 demonstrated in the capital.
Protesters displayed a banner with the words “More democracy and less corruption, let Chile decide its education” in front of the emblematic University of Chile in downtown Santiago.
The protest was largely peaceful, but violence broke out at the end when a group of demonstrators started throwing rocks and gasoline bombs at police.
“If the reforms are stuck in the Moneda [presidential palace], we’ll push them with social movements,” Gabriel Boric, an independent congressman and former student leader, wrote on Twitter.
Smaller protests took place in the cities of La Serena, Valparaíso, and Punta Arenas.
“The reforms have been affected by the [political] crisis we’re going through, that’s why it’s important to take to the streets”, said Chilean Students Confederation (Confech) President Valentina Saavedra.
“The massive march today proves Chile wants real educational reform not defined by businessmen or the corrupt.”
President Michelle Bachelet has promised comprehensive educational reform during her 2013 reelection campaign, including moves to remove state funds for private high schools and make higher education completely free by 2016.
However, several elements of planned reforms have been delayed due to congressional gridlock and divisions within the governing New Majority coalition.
President Bachelet herself has been facing corruption allegations, after her son (a junior government minister) met with Banco de Chile officials shortly before his wife’s company secured a US$10 million bank loan, despite holding less than $10,000 in assets at the time.
Two campaign finance scandals involving the SQM mining firm and business group Penta have meanwhile dragged in both government and opposition politicians, as well as prominent members of Chile’s business elite.
Much of the public discontent was based on the high level of corruption that has tainted the highest echelons of business and politics in Brazil.
We have shouted from 1990s-----LULU and Brazil's political parties calling themselves WORKER'S PARTY-----were never worker's party---LULU was the same LEFT SOCIAL PROGRESSIVE POSER AS BILL CLINTON and LULU as with DILMA installed the same global Foreign Economic Zone and global Wall Street neo-liberal policies as did CLINTON/BUSH/OBAMA----as did THATCHER/BLAIR. In Latin America these posers took on a communist/socialist political posing while creating in Brazil the same extreme wealth--extreme poverty----systemic banking and corporate fraud and government corruption. SAME 1% AND THEIR 2% USING LEFT POLITICS FOR FAR-RIGHT AUTHORITARIAN EXTREME WEALTH GAINS. I knew LULU and DILMA were posers just as I did CLINTON/OBAMA---
If we go back to pre-American Revolution when American colonists fought to get rid of old-world England, France, Dutch, et al----we saw at the same time Central and South American colonists fighting those same revolutionary war to get rid of what was old-world Spain and Portugal (Brazil). All these global 1% and their 2% were tied to wealth from a thousand years ago---they were the kings and global merchants sending explorers to NORTH AND SOUTH AMERICA---they are the ones sending colonists and slave trading. So, American colonists kicked out their global 1% and 2% and ended slavery----Central and South Americans kicked their 1% and their 2% out-----but WE THE PEOPLE failed to keep our eyes on the prize----freedom and liberty through control of our government. CLINTON/BUSH/OBAMA---as with the politics of Latin America have filled our government with that 5% to the 1% MOVING ALL WEALTH TO THE TOP preparing for global 1% and their 2% to re-colonize the Americas. THAT IS WHAT US CITIES DEEMED FOREIGN ECONOMIC ZONES AND MOVING FORWARD TO ONE WORLD ONE GOVERNANCE IS ABOUT----and it is why we see all this Wall Street fraud/global corporate campus control and all government corruption.
'Since the Workers' Party came to power in 2003, there has been a series of corruption scandals involving politicians from the governing party and also opposition parties. The two biggest are':
What has gone wrong in Brazil?
- 31 August 2016
- From the section Latin America & Caribbean
Image caption Political divisions in Brazil are deepening as more and more politicians are accused of corruption
Brazil's President Dilma Rousseff has been removed from office following an impeachment vote in the Senate.
Here we take a closer look at the problems in Brazil and what went wrong since Ms Rousseff was elected for a second term in October 2014.
President Rousseff under fire
Dilma Rousseff was removed from office following an impeachment vote in the Senate
Dilma Rousseff's approval ratings plummeted after she narrowly won her second presidential election in October 2014.
According to a Datafolha poll (in Portuguese) released on 11 April, 63% of respondents across the country said her government was "bad or terrible", with only 13% saying it was "good or excellent".
Experts say this reflects voters' disillusionment with a deep recession and a corruption scandal involving the state-controlled oil company Petrobras.
The investigation into the corruption scandal, dubbed Operation Car Wash, has implicated important figures from Ms Rousseff's Workers' Party, but also some of her opponents.
Fight against impeachment
Ms Rousseff's supporters took to the streets to protest against what they said was a "coup"
The impeachment trial against Ms Rousseff was based on allegations that she manipulated the government's accounts in 2014 when she was seeking re-election.
Her opponents said what she did was illegal and warranted her impeachment. She argued it was a common practice which previous presidents also engaged in.
Ms Rousseff said her opponents were trying to mount a coup against her and were using the impeachment trial to oust her and her Workers' Party from office.
Brazilians are fed up with corruption in government and want those accused "swept from office"
Much of the public discontent was based on the high level of corruption that has tainted the highest echelons of business and politics in Brazil.
Since the Workers' Party came to power in 2003, there has been a series of corruption scandals involving politicians from the governing party and also opposition parties.
The two biggest are:
- Mensalao: Name given to a corruption scheme in which public funds were illegally used to pay members of Congress in exchange for backing the government in crucial votes. The scandal first broke in 2005. By the time the Supreme Court concluded its trial in 2012, 25 politicians, bankers and businessmen had been convicted, some of whom were top members of the Workers' Party
- Operation Car Wash: Name given to an investigation launched in March 2014 into allegations that Brazil's biggest construction firms overcharged state-oil company Petrobras for building contracts. Part of their windfall would then be handed to Petrobras executives and politicians who were in on the deal. Prosecutors allege that the Workers' Party partly financed its campaigns and expenses through these kickbacks.
President Michel Temer has lost two ministers since he took up office
Operation Car Wash has uncovered a widening corruption scandal with dozens of politicians accused of paying or receiving kickbacks.
One of the most well known politicians to have been named in connection with the investigation is former President Luiz Inacio Lula da Silva.
Brazil's Attorney General has accused him of playing a key role in the scandal, which Lula has denied.
But it is not just members of the Workers' Party who have been named in connection with Operation Car Wash.
Since Michel Temer took over as interim president, two of his ministers have resigned after leaked recordings suggested they had tried to obstruct the investigation.
Both ministers said their words were taken out of context.
A country divided
Ms Rousseff's supporters were distraught when Congress voted to go ahead with her impeachment trial
Image caption But anti-government protesters met the news with celebrations
The political crisis has deepened old political rivalries.
Supporters of the Workers' Party pointed to the achievements the Rousseff administration and that of President Lula brought about, such as lifting millions of people out of poverty and reducing inequality.
They said the allegations against them were a smear campaign designed to drive Ms Rousseff from office and prevent Lula from standing for the presidency in 2018.
They said the massive corruption investigations were a sign that under the Rousseff government, such crimes were being punished rather than swept under the carpet as in previous administrations.
The fact that high-ranking members of the Workers' Party had been convicted, they argued, was proof that there was no immunity.
Opponents of Ms Rousseff accused her of mismanaging the economy and said her government was deeply corrupt.
They said they were fed up with the Workers' Party after its 13 years in power and demanded a clean slate.
Economy in the doldrums
Critics say Brazil's fairytale is over as its once booming economy has tanked
Brazil's economy is going through its worst recession in more than three decades following a drop in prices for Brazilian commodities such as oil, iron ore and soya.
In 2015, the economy shrank by 3.8%, its worst annual performance since 1981.
Inflation reached 10.7% at the end of last year, a 12-year-high.
Unemployment increased to 9% in 2015 and economists predict it could go into double figures in the coming months.
The forecast for 2016 does not look any rosier with GDP expected to decline by 3.8% again and inflation expected to rise.
The American people whether Republican or Democrat understand that today's politicians are NOT working for WE THE PEOPLE---they are working for WE THE GLOBAL CORPORATIONS AND GLOBAL WALL STREET. So, it is not hard for American voters to understand that the massive frauds and government corruption is not coming from low-level criminals but from this global 1% and their 2%----looting all wealth and assets from nations tied to OLD-WORLD THOUSAND YEARS AGO GLOBAL RICH.
We were shouting this in the 1990s because we knew who Clinton and Greenspan were----we new where global neo-liberal economics went---many Americans called it conspiracy theory---while international journalists were using NEW WORLD ORDER several decades ago---MAIN STREAM MEDIA FOLKS. What we are seeing is global 1% and their 2%---each Latin American nation----each European nation---the UK, US, Canada, Autralia----installing this ONE WORLD ONE GOVERNANCE global Foreign Economic Zones with several Asian nations tagging along. These Asian nations of India, China, Japan ---have their thousands of years old-work 1% and their 2% just as Europe. What American people need to fight---AND THEY MUST to retain freedom and justice---is this incoming flood of global rich filling our government agencies---being our city, state, and Federal political REPRESENTATIVES. Believe me, the immigrants caught in the global labor pool from Asia, Latin America, and Africa DO NOT WANT THEIR 1% AND THOSE 2% COMING TO US TO ENSLAVE THEM HERE AS THEY DID OVERSEAS.
The problem is NOT the global labor pool immigrant workers-----the problem is the global 1% and their 2%-----let's give these immigrant workers a break and focus on ending global neo-liberalism CLINTON/BUSH/OBAMA now TRUMP.
Our Latino immigrant families in communities across the nation have fled to the US to escape all this global neo-liberalism. They are captured to these same NGOs, political, religious organization corruptions being brought here to the US. LET'S GET RID OF THE 5% TO THE 1% GLOBAL WALL STREET PLAYERS IN ALL POPULATION GROUPS.
REAL WORLD ORDER
WHO RULES THE WORLD ?
"NOT ALL CONSPIRACIES ARE THEORIES"
There is a plan for the world - a New World Order - devised by a British/American/European financial elite of immense wealth and power, with centuries-old historical roots.
This oligarchy controls the politicians, the courts, the educational institutions, the food, the natural resources, the foreign policies, the economies and the money of most nations. And, they control the major media, which is why we know nothing about them.
Modern democracy, as we know it, is less than 250 years old. For most of history, except for this brief period, the world has been ruled by powerful elites who wielded absolute power over their societies, controlled the wealth and resources of their known world, and dominated their people by force. The New World Order cabal plans to restore this model of totalitarian rule on a global scale.
The endgame will be a one-world government presiding over the earth for the benefit of global oligarchs and their superclass functionaries, leaving the mass of humanity as serfs, to serve the elite, while suffering impoverishment and immiseration. The plan includes scientifically engineered global population reduction (viruses/vaccines/genetically-modified food), cutting the world's population to less than one billion, leaving the earth's resources for the exclusive use of this global oligarchy.
This conspiracy to impose a global totalitarian society has been shrouded in almost total secrecy. To begin to understand the elite's endgame, we must learn about the plan's origins and development, and about the individuals, organizations, and institutions that fund, control, and benefit from it. This website may be a helpful guide on a journey to discover what the global elite have in store for future generations.
The US was the world standard-holder in working globally to install freedom and justice. We were the model for other nations----we trained other national leaders in BEST PRACTICES IN BUSINESS-----we spread the ideal of Rule of Law, US Constitutional Right for citizens. When CLINTON/BUSH/OBAMA gained control and killed all that with far-right wing public policy---they killed that standard globally as well. This is what has made governments around the world filled with corruption and guess what?
THOSE SAME GLOBAL WALL STREET 1% ARE NOW GOING TO SUGGEST THAT ONE WORLD ONE GOVERNANCE WILL END ALL THAT CORRUPTION AND INJUSTICE.
It was all those incompetent 99% that made a mess of today's governance not the 5% to the 1%!
Governments lose trust as corruption soars
by Charles Riley @CRrileyCNN July 9, 2013: 5:22 AM ET
More than one in four people around the world have paid a bribe in the past year, according to a new survey.
Have you recently paid a bribe to a local politician, judge or police officer?If so, you're not alone. More than one in four people around the world have paid a bribe in the past year, according to a global survey conducted by Transparency International.
Released Tuesday, the survey finds that corruption is a growing problem, with a majority of respondents saying that the situation has deteriorated in their country over the past two years.
The survey also shows that in many countries, people are losing trust in government institutions.
Political parties are seen as the most corrupt class of organization in some 51 countries. Thirty-six countries name the police as the most corrupt, while another 20 countries say the judiciary is their biggest source of trouble.
More than 50% of people think that their government is controlled by small groups and special interests.
In Cyprus, Greece, Lebanon, Russia, Tanzania and Ukraine, that number jumps above 80%.
"The majority of people around the world believe that their government is ineffective at fighting corruption and corruption in their country is getting worse," Transparency International said in the report, which was based on a survey of 114,000 people in 107 countries.
Certain countries are in more trouble than others. Liberia and Sierra Leone rank at the bottom, with more than three in four of those surveyed saying they had paid a bribe in the past year.
Bribery rates were over 50% in Cambodia, Senegal, Cameroon, Ghana, India, Tanzania, Kenya, Libya, Mozambique, Uganda, Yemen and Zimbabwe.
At the other end of the spectrum, Australia, Belgium, Portugal, Malaysia, Finland, Denmark and Croatia were among the countries reporting a bribery rate of less than 5%.
Somewhere between 5% and 9.9% of respondents in the United States and United Kingdom said they had paid a bribe.
The surveys suggest that corruption cuts across societies and demographics.
Some large, sophisticated economies have governments that are perceived to be under the control of a select few. According to the survey results, Italy, Spain, Belgium and Israel fall into this category.
So what's to be done? Transparency International says authorities must make sure corrupt officials do not escape punishment.
"Impunity is anathema to the fight against corruption and, especially in the judiciary and law enforcement sectors, is a direct challenge to the rule of law," the group said.
LAS VEGAS is of course home of our GREAT BIG LYING, CHEATING, AND STEALING SENATE LEADER HARRY REID. It is not the Democratic Party---it is the people we have allowed to gain control. The Republican Party is just as captured. The problem is worse for Democrats because CLINTON NEO-LIBERALISM IS FAR-RIGHT WING ECONOMICS---KILLING WE THE PEOPLE.
'The banks are scamming main street, even willing to take less than the value posted, from an investor. It is like the real estate market is a closed market, among investors and banks, sort of like futures markets are closed markets between banks and speculators.
'Nothing is real anymore, in any market. It is a massive scam, and in real estate, the perfect market for this scam to take place is Las Vegas. Usually, houses go to the investors for less than the asking price, and the cronies and bankers are happy with this arrangement'.
This is of course what is happening to all US cities deemed Foreign Economic Zones----the Wall Street bankers and development corporations are controlling everything in these cities---filling it with fraud, corruption, pay-to-play-------just as with Wall Street Baltimore Development controlled by a very, very, very far-right neo-conservative and global 1% and their 2% Johns Hopkins!
The Great Las Vegas Real Estate Scam
- Feb. 15, 2012, 10:10 AM
My family decided to take a trip from Reno to Las Vegas to see how the real estate market was behaving in the city most hit by the real estate bubble.
We own and don't have to worry about getting a mortgage if we decide to move to Las Vegas for the health of one family member. But we pretty much came to the conclusion that the real estate market is a total scam in Las Vegas.
One agent proceeded to tell us that the banks have given up on Las Vegas and have allowed the market to crash to the bottom. That of course is a ridiculous statement to make. The banks never give up anything when it comes to greed, which is why our nation is struggling.
The problem is, bank owned properties have declined from 18,000 on the Las Vegas market to about 1,600 if I am to believe the agent's figures. What this means is that the banks are holding onto a huge inventory of unsold homes as well as contributing to the slowdown because of robosigning. There are empty homes everywhere. So, what is the scam?
Well, the scam is that the banks put the properties they do want to sell on the market for 30 days. If there are no buyers, which is often, there is a bidding war after the 30 days among investors. I would say that the investors come in with low ball offers and often get the properties for a steal, for a "wholesale" price.
While main street is shut out of this market, or perhaps is not interested, the crony investors of the banks get the deals, and you wonder where those investors are getting the cash to make the offers. I am guessing that some get loans, big loans from the banks, as a line of credit. I am pretty sure that these investors are better risks for the banks than main street.
But in playing this game, the banks are pretty well destroying the ability of main street to get ahead. The banks are more willing to manipulate the market with very little participation from main street. Main street should not trust these banks, because real supply and demand would be crushing these house prices.
The banks are scamming main street, even willing to take less than the value posted, from an investor. It is like the real estate market is a closed market, among investors and banks, sort of like futures markets are closed markets between banks and speculators.
Nothing is real anymore, in any market. It is a massive scam, and in real estate, the perfect market for this scam to take place is Las Vegas. Usually, houses go to the investors for less than the asking price, and the cronies and bankers are happy with this arrangement.
Some fellows have warned that the US is like the Roman Empire. You have to wonder when you look at the military budget, the huge expenditures, and the little help that affords a growing underclass.
One thing I did notice was that there were a large number of folks living multigenerationally, This undermines the plan of the banks to get main street into expensive loans. This terrifies the banking sector. But we really can't feel bad for a sector that is more interested in a quick buck than it is about making America strong.
But in order for the scam to continue to work, you have to have renters and folks that buy gasoline. As long as people buy food and gasoline, the speculation in the futures continues unabated. As long as people rent, there will be investors willing to buy up all the available American dream with the help of the scoundrel banks.
While I am personally for cram downs for homeowners who bought in the ponzi cycle, I am against this idea to let private capital buy real estate in bulk. That program just admits to the fact that the investors are getting the wholesale deals even now. Others don't get wholesale, even if they have cash.
The banks have not given up their desire to keep prices artificially high, for the retail customer in Las Vegas. That is the scam.
The only way to beat the banks is for fewer people to rent these properties that are going to be scarfed up by the bankers' friends.
Las Vegas is an exciting city, but that is on the strip and in the casinos dotting the city throughout. In the real estate market, there is a lot of suffering by those who bought in the bubble, and there is continuing suffering by those who want to buy but who cannot get the same deal as the privileged class.
What is going on in the Las Vegas real estate market is both disgusting and wrongheaded. To the extent that it is happening elsewhere is proof that the banks are hurting this nation, are unpatriotic and are deserving of being wound down, one at a time, unless they do something to help.
If they cannot afford to help by offering great deals to all citizens, they need to be dismantled as they are pretty useless to main street.
And one more thing. The United States should help qualified buyers with a down payment. That is the sticking point with mortgages, the inability of many to save for a substantial down payment. This should not be a down payment that is 3 percent, or even 10 percent, because mortgages fail with that little down.
The government should attempt to help with a 20 percent down payment in a fixed and stable mortgage if there is any hope of the housing market healing in the bubble areas.
If our government is too poor to do this, then expect an underclass of folks who are being gouged by rent not reflected in the decline of housing values, and who will be a drag on the US economy for as far as the eye can see.
I don't claim to have all the answers to a very difficult problem. But I know that with the decline in wages that is ongoing in a globalized society, down payment assistance is very necessary for the well being of our economy. The decline of America can be stopped, but only by a real effort to get families into homes.
Germany should help Greece, and the US government should help homeowners. Failure of either or both will show the way to a very unstable future.
I would suggest that multi generational families be helped with a down payment assistance. It is the only way to encourage a conservation of resources, and stability of multiple incomes in one household. Families cannot be treated as being "retail" any longer. The idea of retail and wholesale home buyers is such a joke that it should be made illegal.
Nothing causes third world instability then citizens not able to hold on to housing or having a major asset like owning a home fall to systemic Wall Street fraud and US cities deemed Foreign Economic Zone frauds and government corruptions. This of course has been a free-for-all in cities like Baltimore and here we have OAKLAND, CA. Oakland is tied to global GOOGLE and San Fran as well as global IVY LEAGUE STANFORD UNIVERSITY.
So, like Baltimore OAKLAND has been drained of its wealth with the same systemic fraud and corruption through CLINTON/BUSH/OBAMA. Yes, Obama did further deregulate HUD if that is possible allowing for even MORE fraud and corruption in our housing market and yes this created yet another subprime mortgage loan fraud bubble and burst for housing insecurity.
OAKLAND below is being treated as a Foreign Economic Zone with no US Rule of Law shifting city real estate with total disregard to citizen rights or city sovereignty and as in Baltimore it is global 1% and their 2% getting city center handed to them on a platter.
'Obama Is Pushing For Further Corruption Of HUD’s Subsidized Housing Programs
Making matters worse, in the latest federal budget proposals released by the Obama administration during the first week of February, Obama is pushing for the further weakening of the rules and regulations for Public Housing Authorities (PHAs) all across the nation'.
See the NON-PROFIT housing development corporations-------all illegal---all unconstitutional-----all full of corruption with the Wall Street Baltimore Development 'labor and justice' organizations pushing these as HOUSING JUSTICE FOR LOW-INCOME COMMUNITIES. These same 'labor and justice' organizations exist in Mexico----Brazil----they were the same pushing European nations into sovereign debt ----all working for the global 1% and their 2%.
Corruption is rampant at HUD and affordable housing projects
by Lynda Carson (tenantsrule [at] yahoo.com)
Thursday Feb 12th, 2015 12:14 AM
What is happening at Effie’s House and EBALDC is just one bright shining example of what is happening throughout the City of Oakland in the many subsidized housing projects owned by numerous non-profit housing developers that are members of the East Bay Housing Organizations (EBHO)!
Corruption is rampant at HUD and affordable housing projects
By Lynda Carson - February 12, 2015
Oakland - As important as HUD and it’s subsidized housing programs are to veterans, the poor, elderly and disabled, corruption is rampant from the top to the bottom in the realm of HUD and it’s tax payer subsidized housing programs. Corruption that is unfair to the homeless and low-income persons on the waiting lists trying to get into a so-called affordable housing project.
As just one example, the East Bay Asian Local Development Corporation (EBALDC) is one of Oakland’s largest nonprofit housing developers using tax credits to fund it’s subsidized housing projects for the poor, in addition to providing housing to low-income tenants with Section 8 vouchers, and Shelter Plus Vouchers. Additionally, EBALDC receives funding from the Home Program, and federal subsidized Section 8 Project-Based Vouchers in addition to grants and funding from numerous other federal programs being used to subsidize and fund it’s many so-called affordable housing sites, and programs.
Politically active like many others in the multi-billion dollar affordable housing industry, public records from the Federal Election Commission (FEC) reveal that during 2012 EBALDC gave $100 to Obama For America.
In it’s website EBALDC claims to have developed 1,918 homes to house around 3,600 people in the East Bay. EBALDC also claims that the organization directly manages 1,126 residential rental units in 19 properties, and have developed and manage more than 300,000 square feet of commercial space at their properties.
What is not being told to the public and tax payers who subsidize EBALDC’s rental properties in Oakland and the East Bay is that EBALDC has been providing tax payer subsidized housing to some of it’s employees in their numerous subsidized housing sites.
Additionally, it appears that it is totally legal to provide subsidized housing to the friends and relatives of EBALDC’s employees, and often they get preferential treatment over persons on the housing waiting lists including the homeless, elderly, and disabled desperately seeking affordable housing. In comparison, these types of activities are totally prohibited in public housing projects all across the nation.
The rules and regulations are not nearly as rigid for the non-profit housing developers receiving federal funds in the so-called affordable housing industry as they are for the nation’s 3,100 Public Housing Authorities (PHAs) that provide public housing, and Section 8 vouchers to the poor.
The PHAs receive their funding from the Department of Housing and Urban Development (HUD) to fund their programs. Many affordable housing developers receive funding from local PHAs that provide Section 8 Project-Based Vouchers to the non-profit housing developers in the affordable housing industry. The Project-Based Vouchers are used to fund long-term subsidized housing projects owned by non-profit organizations in the affordable housing industry.
One might even say that the so-called affordable housing industry has totally corrupted the original intent of the public housing program that it cannot compete with, and has been desperately trying to destroy in it’s efforts to grab as much federal funding as is possible for it’s own for profit housing projects. Currently the affordable housing industry is moving as fast as possible to promote the privatization of public housing, and many non-profit housing developers are seeking federal funding through the Rental Assistance Demonstration program (RAD) in the effort to grab as many public housing units as is possible to add to their own empire.
Corruption In Affordable Housing
Indeed, corruption is rampant in the affordable housing industry. As an example, Effie’s House is a 21 unit subsidized housing project owned by EBALDC in Oakland. EBALDC got it’s hands on the property in a sweetheart deal back in 1997 through the City of Oakland when the owner at that time could not afford to replace a broken boiler system in the building. The tenants spent around a year or more without any heat or hot water in the building before EBALDC took control of the property.
Fast forward to 2014. During October of 2014, Katherine Mull, a well compensated Property Manager for EBALDC who works in their main office and oversees their commercial properties jumped ahead of the line on the housing “waiting list” and moved into a studio apartment at Effie’s House. Top management at EBALDC gave her the title of “On-site Manager” at Effie’s House, and one of the first things Katherine Mull did when moving in was to allow her boyfriend to move into the subsidized housing unit with her. A boyfriend who was also allowed to jump ahead of all the others on a waiting list to move into the subsidized housing project. Management declines to state whether or not the boyfriend went through any back-ground checks, or an income certification process before moving into the building.
Since Danny Chen is the Property Manager at Effie’s House and can be found on-site in the building office 4-days a week at the location, and notices to the tenants advising them not to bother Katherine Mull unless it is an emergency, the tenants are not certain what Katherine Mull actually does at Effie’s House as the so-called On-site Manager.
The tenants generally call 911 when there is a real emergency, or they contact Property Manager Danny Chen. Additionally, the tenants have also been advised by notice not to call Mull on her cell phone, and have been told by management that if they lose the keys to their apartment that it is not an emergency. Being too poor to afford a locksmith when losing their keys and finding themselves locked out of their homes is definitely an emergency for the tenants at Effie’s House, no matter what EBALDC may falsely claim.
According to state law property managers are required to have a real estate license, but a check of the records for the Department of Real Estate reveals that property manager’s Katherine Mull and Danny Chen do not have a real estate license.
What is happening at Effie’s House and EBALDC is just one bright shining example of what is happening throughout the City of Oakland in the many subsidized housing projects owned by numerous non-profit housing developers that are members of the East Bay Housing Organizations (EBHO).
Obama Is Pushing For Further Corruption Of HUD’s Subsidized Housing Programs
Making matters worse, in the latest federal budget proposals released by the Obama administration during the first week of February, Obama is pushing for the further weakening of the rules and regulations for Public Housing Authorities (PHAs) all across the nation. The President is pushing for the expansion of the Moving To Work (MTW) demonstration program that has already totally corrupted around 35 housing authorities across the nation. There are currently around 35 MTW housing authorities and they do not have to abide by the normal rules and regulations that around 3,100 other housing authorities have to abide by. MTWs are allowed to mix all of their administration fees, public housing funding and Section 8 funding from HUD into one big slush fund. A slush fund that lacks transparency, and makes it very difficult to follow where all the money is really going.
Authorized by Congress in 1996, the Moving To Work (MTW) demonstration program was created for a limited number of PHAs to try out new and different ways to save money, and find cheaper methods to deliver housing services. However, MTWs have morphed into agencies that have become notorious for abusing the funding from Congress. Funding that was meant to assist the poor.
As an example, HUD was under fire by an April 19, 2012, report that was issued on May 21, 2012 by the Government Accounting Office (GAO), that ridicules any assertions by HUD that an MTW's activities can be evaluated properly.
The GAO is an investigative arm of Congress with the power to examine matters related to the receipt and use of funding by Congress, and the GAO believes that MTWs are not regulated enough to properly evaluate how they are operating.
As was reported by the National Low-Income Housing Coalition (NLIHC), during a March 29, 2012 oversight hearing of THUD and DOT programs in Washington D.C., HUD Inspector General David Montoya (IG) publicly criticized the Public Housing Authority of Philadelphia, as an example of the corruption of MTWs.
Montoya (IG) stated that the PHA in Philadelphia is an MTW demonstration program that was legally allowed to use $1.1 million of it's funding to fight against the oversight of the IG's office, and was allowed to use money to hire outside legal counsel to shadow "IG staff" that were auditing the housing authority, when it should have used the money on housing poor people instead.
Since it was legal for that MTW to operate in such a way, apparently all other MTWs are allowed to abuse funds that were meant to be used for housing needs, to fight against audits by the HUD Inspector General's office.
At the same hearing, Montoya (IG) also stated that removing the MTW status from the PHA in Philadelphia would be a first good step to resolve the problems the IG is aware of at that housing authority since 2004, according to a March 30, release by the National Low-Income Housing Coalition (NLIHC).
According to the GAO report, the information available from HUD about MTWs varies, and the GAO report further revealed that HUD has declined to specify in it's rules and regulations that the performance information from an MTW must be quantifiable and outcome oriented. The lack of rules and regulations has corrupted and hampered efforts to determine if MTWs are functioning properly, and places hundreds of millions of dollars in federal funding at risk of misuse, and abuse.
Further expansion of the MTW program would only jeopardize millions of dollars more in tax payer subsidies that are meant to assist the poor, but may be used for other reasons.
HUD has not established a process to assess compliance with statutory requirements for MTWs, and the report further states that HUD lacks the assurance needed to determine that an MTW is complying with the statute that governs how an MTW is supposed to operate.
Additionally, "HUD has not identified the performance data that would be needed to assess the results of similar MTW activities or the program as a whole, and has not established performance indicators for the program," according to the GAO.
The MTW program is wide open to corruption and abuse, and according to the GAO report, "HUD has not done an annual assessment of program risks despite its own requirement to do so and has not developed risk-based monitoring procedures."
Additionally, the GAO report reveals that HUD cannot verify the accuracy of information being self-reported by MTWs to HUD, and the GAO reports that HUD does not have any policies or procedures active that are needed to verify what is actually going on in an MTW housing authority.
Recent Report Exposes Major Corruption In HUD
According to public records, a February 4, 2015 testimony of David A. Montoya, Inspector General (IG), reveals that there has been massive fraud occurring in the upper ranks of management in HUD.
Recent shocking revelations in the testimony of David. A. Montoya before the U.S. House of Representatives Committee on Financial Services Subcommittee on Oversight and Investigations reveals that HUD officials have been trying too cover up serious violations of ethical, lobbying and other violations at HUD including the hiring of convicted criminals for key housing positions.
During the committee meeting Montoya revealed that since 2013 HUD officials have allegedly been involved in major ethical violations, hiring violations, and illegal lobbying. This included the hiring of Debra Gross, an affordable housing insider from the Council of Large Public Housing Authorities (CLPHA) who was put in charge of regulatory reform at HUD while still holding a position in the organization (CLPHA) that lobbies Congress and the President on behalf of the affordable housing industry, and public housing authorities across the nation.
It is a good thing for people to lobby Congress and the President for full funding for HUD’s subsidized housing programs meant to assist the poor, but the breakdown in HUD’s polices in recent years reveals how corrupt the system has become.
According to Montoya’s testimony there has been an institutional breakdown in HUD’s policies, which appears to reflect the corruption occurring in HUD’s housing programs from the top to the bottom of the nation’s so-called affordable housing industry.
Despite on-going massive budget cuts to HUD’s housing programs, HUD has done great work for many years in the effort to promote public housing and the Section 8 voucher program that assists the poor with their housing needs. However, since members of the affordable housing industry including members from Bridge Housing and other multi-billion dollar so-called non-profit housing organizations have totally infiltrated the upper ranks of management at HUD, the lobbyists have been promoting reform changes in HUD’s subsidized housing programs that are detrimental to the needs of the poor. The members of the affordable housing industry that have infiltrated HUD are pushing for reforms that are resulting in the privatization of our nation’s 1.2 million public housing units.
Additionally, the affordable housing industry is lobbying Congress and HUD for Rental Assistance Reform (RAR) that will result in higher rents for the poor in HUD’s subsidized housing programs. Reforms being pushed for by the so-called affordable housing industry will also result in Section 8 vouchers being taken away from the poor so that they can be converted to Project-Based Vouchers that the non-profit housing developers can use to fund their own so-called affordable housing projects.
Unfortunately for the poor, most non-profit housing developers have “minimum income requirements” at their so-called affordable housing projects that discriminate against the poor.