Former NY Governor Eliot Spitzer pulled the cover off of the whole sub-prime lending mess. The 
Republicans in the Bush Administration used the full power of the federal government to wiretap and trap Spitzer. Since Spitzer was the governor who knew too much, the Republicans had to take him down with a sex scandal.......as if he were the ONLY politician that paid for sex. But with Spitzer it wasn't about the sex. Read Eliot Spitzer's article "Predatory Lenders' Partner in Crime," published by the Washington Post on Thursday 14 February 2008, which happened to be the day after Spitzer was busted. This excerpt was found it on Truthout, but it has also been cited on the Daily Kos.
Republicans in the Bush Administration used the full power of the federal government to wiretap and trap Spitzer. Since Spitzer was the governor who knew too much, the Republicans had to take him down with a sex scandal.......as if he were the ONLY politician that paid for sex. But with Spitzer it wasn't about the sex. Read Eliot Spitzer's article "Predatory Lenders' Partner in Crime," published by the Washington Post on Thursday 14 February 2008, which happened to be the day after Spitzer was busted. This excerpt was found it on Truthout, but it has also been cited on the Daily Kos.How the Bush administration stopped the states from stepping in to help consumers.
Several years ago, state attorneys general and others involved in consumer protection began to notice a marked increase in a range of predatory lending practices by mortgage lenders. Some were misrepresenting the terms of loans, making loans without regard to consumers' ability to repay, making loans with deceptive "teaser" rates that later ballooned astronomically, packing loans with undisclosed charges and fees, or even paying illegal kickbacks. These and other practices, we noticed, were having a devastating effect on home buyers. In addition, the widespread nature of these practices, if left unchecked, threatened our financial markets.
Even though predatory lending was becoming a national problem, the Bush administration looked the other way and did nothing to protect American homeowners. In fact, the government chose instead to align itself with the banks that were victimizing consumers."...
...When history tells the story of the subprime lending crisis and recounts its devastating effects on the lives of so many innocent homeowners, the Bush administration will not be judged favorably. The tale is still unfolding, but when the dust settles, it will be judged as a willing accomplice to the lenders who went to any lengths in their quest for profits. So willing, in fact, that it used the power of the federal government in an unprecedented assault on state legislatures, as well as on state attorneys general and anyone else on the side of consumers."
Read the complete article here on Truthout.org.
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