“Corporate executives, members of the executive branch and all federal judges are subject to strict conflict of interest rules. But not the people who write the laws.”
I didn’t know this until I watched this evening’s 60 Minutes broadcast. I’m so outraged that I can barely type. If there’s one thing that can unite the Tea Party and Occupy Wall Street, it’s this.
Here’s the video and the transcript from 60 Minutes. And here’s a video of a very uncomfortable Nancy Pelosi.
Finally, some juicy excerpts from the transcript:
Congressman Bacchus
In mid September 2008 with the Dow Jones Industrial average still above ten thousand, Treasury Secretary Hank Paulson and Federal Reserve Chairman Ben Bernanke were holding closed door briefings with congressional leaders, and privately warning them that a global financial meltdown could occur within a few days. One of those attending was Alabama Representative Spencer Bachus, then the ranking Republican member on the House. Financial Services Committee and now its chairman.
These meetings were so sensitive– that they would actually confiscate cell phones and Blackberries going into those meetings. What we know is that those meetings were held one day and literally the next day Congressman Bachus would engage in buying stock options based on apocalyptic briefings he had the day before from the Fed chairman and treasury secretary. I mean, talk about a stock tip.
While Congressman Bachus was publicly trying to keep the economy from cratering, he was privately betting that it would, buying option funds that would go up in value if the market went down. He would make a variety of trades and profited at a time when most Americans were losing their shirts.
Congressman Boehner
During the healthcare debate of 2009, members of Congress were trading healthcare stocks, including House Minority Leader John Boehner, who led the opposition against the so-called public option, government funded insurance that would compete with private companies. Just days before the provision was finally killed off, Boehner bought health insurance stocks, all of which went up.
Congresswoman Pelosi (Kroft is the 60 Minutes interviewer)
Kroft: Madam Leader, I wanted to ask you why you and your husband back in March of 2008 accepted and participated in a very large IPO deal from Visa at a time there was major legislation affecting the credit card companies making its way through the– through the House.
Nancy Pelosi: But–
Kroft: And did you consider that to be a conflict of interest?
Pelosi: The– y– I– I don’t know what your point is of your question. Is there some point that you want to make with that?
Kroft: Well, I– I– I guess what I’m asking is do you think it’s all right for a speaker to accept a very preferential, favorable stock deal?
Pelosi: Well, we didn’t.
Kroft: You participated in the IPO. And at the time you were speaker of the House. You don’t think it was a conflict of interest or had the appearance–
Pelosi: No, it was not–
Kroft: –of a conflict of interest?
Pelosi: –it doesn’t– it only has appearance if you decide that you’re going to have– elaborate on a false premise. But it– it– it’s not true and that’s that.
Kroft: I don’t understand what part’s not true.
Pelosi: Yes sir. That– that I would act upon an investment.
RobMcAnneny says:
to be transparent here, my understanding is that almost all of the laws passed contain provisions put in at the very end which exempt members of congress from being held to them, plus many staff members of the committees. Has been going on for a very long time. ouch.
November 14, 2011, 10:33 am