[John K Matyi] I pulled this out of the blog time vault from September 2008. Has anything changed? You decide. 

[UPDATE] The New York Times, Chairman Rangel, Published: September 14, 2008]

Mounting embarrassment for taxpayers and Congress makes it imperative that Representative Charles Rangel step aside as chairman of the Ways and Means Committee while his ethical problems are investigated.

[John K. Matyi] It is beginning to look like even the New York Times has decided they need to actually publish something that shows corruption in the Democratic Congress. Maybe they decided this after they discovered no one was actually listening to or reading their paper anymore. This looks like a 'slight' problem for Nancy Pelosi who said: "And the Democrats intend to lead the most honest, most open and most ethical Congress in history."

His [Chairman Rangel] latest admission is that as chief of Congress’s tax-writing committee, he was “irresponsible” in failing to disclose $75,000 in rental income and pay federal and state taxes on a villa in the Dominican Republic.

His temporary yielding of the gavel is an urgent necessity for a Democratic Congress elected two years ago on promises of an ethical housecleaning. The villa dealings only add momentum to the investigations of two earlier controversies — Mr. Rangel’s favored treatment in occupying four rent-stabilized apartments in Manhattan, and his improper use of official letterheads to solicit support from charities and corporations for an academic center to memorialize his career in public service.

[John K. Matyi] According to the New York Times Business section just two months ago, the bank regulators were saying, “People are losing their homes because the banks were unfair. Now we’ve got the credit card industry. And people will end up in debt for the rest of their lives, and maybe we ought to do something.” 

The reform would regulate issues like banning “double cycle” billing, in which interest is charged on some already repaid debt, and all would extend the time required, currently 14 days, between a statement mailing and payment due date. Not very important to the Democratic Speaker of the House Pelosi who wants to wait until after the election before allowing a vote.


The New York Times Editorial
Consumer Protection Published: September 13, 2008

Mr. Obama and his running mate, Senator Joseph Biden, should urge House Speaker Nancy Pelosi — who appears to be listening to the bankers more than consumers — to allow a vote on the bill before the November elections. They should sponsor the same legislation in the Senate and invite Senator John McCain, who has pledged to help struggling Americans, to join the fight.

This reform poses a particular challenge to Mr. Biden, who hails from Delaware, a state where financial services are big business. The banking industry has contributed handsomely to his campaigns and once employed his son. The senator voted for the disastrous bankruptcy overhaul three years ago.

That law has made it far harder and costlier for people to declare bankruptcy. It also forces struggling consumers into what is called a “sweatbox of credit card debt.” Customers in financial trouble are forced to pay larger fees and interest rates over a longer period of time before they can finally declare bankruptcy.

Looks like politics as usual to me. We need to watch this one closely. You might like to take a look at Nancy Pelosi's first 100 days as speaker. Remember, not all fairy tales start with 'Once upon a time.' Some start with "If elected I promise."

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