Saturday, September 03, 2011

Rough Waters

Extortion [ik-stawr-shuhn] noun
1. an act or instance of extorting.
2. Law. the crime of obtaining money or some other thing of value by the abuse of one's office or authority.
3. oppressive or illegal exaction, as of excessive price or interest

It's rather difficult to conjure up any other term than "extortion" when listening to Rep. Maxine Waters (D-CA) demand that some banks change the way they do business.

At a Town Hall event in Los Angeles, Rep. Maxine Waters (D-CA) said the president should use the bully pulpit to, "bring the gangstas in, put them around the table and let them know that if they don't come up with loan modifications and keep people in their homes, that they've worked so hard for, we're gonna tax them out of business."

One would think it would behoove the banks to modify loans when homeowners run in to an unexpected financial crisis, and thus be in a position to miss mortgage payments. The last thing banks want is to stockpile an inventory of foreclosed houses. But for a member of the Federal government's legislative branch to suggest that private business acquiesce to their demands or face financial ruin?

Words fail.


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