Big Banks and Their Lobbyists Putting on a Full Court Press
In many ways, the days of Tammany Hall and Boss Tweed are deep in the rear view mirror. Politics is surely more transparent these days. There are many more stakeholders to be reckoned with: unions, non-profits, civil rights organizations and foundations just to name a few. But thanks in part to the Supreme Court, large corporations will dominate the game. And oh are they good at playing the game. They know where to focus and can contribute directly to the campaigns of congressional members whose job it is to regulate them and their industry. A conflict of interest to be sure; but it’s legal and just part of the game.
In last Sunday’s editorial, the New York Times detailed the dubious fundraising ethics of certain members of congress. Chief among these ethical offenders are those esteemed members of the Financial Services Committee. These powerful congressmen, just days before votes on a seismic regulation overhaul, continue to plan and throw together fundraising events for officials of the very corporations they will regulate. Representatives of the financial industries come from all over the country to meet with elected officials, to dine, and to share their two cents – more like millions of cents. Why now? Because money is flowing and campaigns are ever more expensive.
The banks and their lobbyists sure know how to play the game. Public outcry may be loud for now, but memories are short. Behind the scenes – the lobbyists are getting face time and putting in all those provisions and loop holes that water down high profile legislation. In the end, we are right back where we started before a financial collapse (of our own making) was days away from igniting a worldwide economic catastrophe.
Private interests regularly flood congress with money, biased information, and campaign contributions – this is nothing new. But we should have learned something from being on the brink. Congressional leaders must decline dinner dates with financial heavy-hitters. It’s time instead to soberly contemplate real reform, Indeed, what we really need is a sea change in the way we value risk and reward our executives. Those hard issues cannot be contemplated over gourmet dinners with lobbyists and their clients sipping $250 bottles of wine. Left unfettered, the banks are winning and Main Street is destined to lose again.
Assisted by Zachary Kady
