#1 Deal May Be Dead: Democrats Blaming McCain
09-25-2008, 08:39 PM
- Join Date
- Aug 2005
Obama, McCain Leave White House Without Deal on $700 Billion Bailout
After days of bipartisan negotiations and meetings today at the White House, the deal to bail out staggered investment banks may be dying amid partisan finger-pointing.
Republicans blamed Democrats. Democrats blamed Republicans. And a key Democrat even pointed an accusatory finger at Republican presidential nominee Sen. John McCain, R-Ariz.
House Financial Services Chairman Barney Frank, D-Mass., told Democratic colleagues that McCain's sudden heightened involvement in the negotiations has destroyed the chance of an agreement, sources told ABC's George Stephanopoulos.
Frank compared McCain's involvement to "Richard Nixon blowing up the Vietnam peace talks in 1968."
A senior McCain adviser told ABC News' David Chalian, "It is clear that there is not yet an agreement, but we're working with all parties with the common goal of getting an agreement. When we have an agreement, we'll have a debate."
Other Democrats pointed fingers at House Republicans, who they said were reneging on matters they thought had been settled, such as on the issue of helping homeowners with foreclosures.
House Republicans are saying Democrats never included them in negotiations and were trying to jam the agreement's "principles" down their throats. And many are concerned about the U.S. government purchasing apparently toxic assets.
Sources tell ABC News' George Stephanopoulos that Treasury Secretary Henry Paulson fears the deal is falling apart.
As Democrats met in the White House's Roosevelt Room after the meeting with Bush, Paulson told them, "Please don't blow this up," according to sources.
Sources say Frank was livid, saying, "Don't say that to us after all we've been through!"
09-25-2008, 08:47 PM
- Join Date
- Aug 2005
Wild White House meeting sets back deal
A high-profile White House meeting on Treasury’s $700 billion Wall Street rescue plan ended on a sour, contentious note Thursday after animated exchanges among lawmakers laced with presidential politics just weeks before the November elections.
“I can’t invent votes,” House Republican Leader John Boehner warned the administration about the lack of support in his conference for the massive government intervention. And House Financial Services Committee Chairman Barney Frank (D-Mass.) angrily accused House Republicans — with the tacit support of Republican presidential candidate John McCain — of crafting an alternative to undercut Treasury Secretary Henry Paulson.
Both McCain and his Democrat rival, Sen. Barack Obama, left without any joint endorsement. A beleaguered President Bush had to struggle to maintain order and reassert himself.
And when Democrats left after the meeting to caucus in the Roosevelt Room, Paulson pursued them, begging that they not “blow up” the legislation.
The former Goldman Sachs CEO even went down on one knee as if genuflecting, to which Speaker Nancy Pelosi (D-Cal.) is said to have joked, “I didn’t know you were Catholic.”
The White House meeting had been called at the urging of McCain, but Democrats made sure Obama had a prominent part. And much as they complained later of being blindsided, the whole meeting turned out to be something of an ambush on their part—aimed at McCain and House Republicans.
“Speaking professionally,” said one Republican aide, “They did a very good job.”
When Bush yielded early to Pelosi and Senate Majority Leader Harry Reid (D- Nev.) to speak, they yielded to Obama to speak for the assembled Democrats. And it was Obama who raised the subject of the conservative alternative and pressed Paulson on what he thought of the idea.
House Republicans felt trapped—squeezed by Treasury, House Democrats and a bipartisan coalition in the Senate. And while McCain spoke surprisingly little after asking for the meeting, he conceded that it appeared there not the votes for the core Paulson plan without major changes.
Within hours at the Capitol Thursday night, meetings were called to try — in Reid’s words – “to put the train back on track.” Democrats may feel stronger and more united after the White House session. But the wild session left doubt about the ability of Congress to move quickly on the matter, even after leaders of the House and Senate banking committees reached a bipartisan agreement Thursday on the framework for legislation authorizing the massive government intervention.
09-25-2008, 10:08 PM
- Join Date
- Jun 2008
Is it possible that the Republicans are trying to prevent the socialism-ization of Wall Street?
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