Do They Frankly Own the Place? You Betcha!
This post is cross posted at The Sunlight Foundation blog.
Earlier this week, Ryan Grimm reported on the words of Sen. Dick Durbin describing the power of the bankers and financial sector over Congress. Durbin remarked about the banking industry's relation with Congress by saying, "they frankly own the place." You would think that this might be an exaggeration, or just a rhetorical bit of anti-bank populism, but if you look at the numbers, Durbin isn't wrong. From 1997 to 2008, financial sector lobbying -- represented by the finance, insurance and real estate industries -- has amounted to fully 15% of all lobbying spending in Washington.
Since 1997, the financial sector has spent a combined total of $3.6 billion on lobbying the federal government. The total lobbying expenses have increased by 260% since 1997. Over that same time financial sector corporate profits have gone through the roof, with the financial sector reporting up to 40% of corporate profits in recent years.
Over these eleven years, the industry has gotten pretty much whatever it desires. This is just a sampling of the things obtained by the financial sector: the deregulation of financial derivatives and credit default swaps, the elimination of the line between investment banks and commercial banks, the increased hardship for those filing for bankruptcy, and the total free hand for Fannie Mae and Freddie Mac to muddle their books and evade responsibility. And all of this has been fueled by the 3,000 or so finance sector lobbyists meeting with, calling up, and emailing congressional offices and executive branch agencies.
| Lobbying Expenses by the Financial Sector (1997-2008) | |
|---|---|
| 2008 | $459,312,006 |
| 2007 | $419,754,990 |
| 2006 | $375,133,174 |
| 2005 | $371,666,173 |
| 2004 | $338,123,874 |
| 2003 | $324,385,802 |
| 2002 | $267,586,799 |
| 2001 | $235,049,868 |
| 2000 | $230,368,026 |
| 1999 | $213,801,725 |
| 1998 | $209,659,907 |
| 1997 | $177,374,000 |
It is likely and that there have been tens of thousands, if not more, unreported contacts between financial sector lobbyists and government officials. These contacts have no doubt been aided by the high number of former officials who have taken the revolving door to lobby for the finance sector. According to a report by Essential Information and the Consumer Education Foundation, at least 142 former government officials lobbied on behalf of finance sector firms since 1998. These revolving door lobbyists include at least five former congressmen and dozens of top aides to congressmen, senators, and key congressional committees.
The Obama administration is taking a first step in requiring agency officials to report lobbying contacts as they relate to funds distributed from the American Recovery and Reinvestment Act. Seeing as how the financial sector has been running wild through Washington over the past 11 years -- getting whatever it pleases and blocking whatever it doesn't -- Congress, and the administration, should consider requiring the disclosure of these unseen lobbying contacts to help provide the public and officials with better information about the nature of the Washington lobbies, particularly the financial sector lobby.
Both Congress and the people would do better without a single lobby owning the place. Disclosing their lobbying contacts would be a first step in that direction.
All data obtained through the Center for Responsive Politics (CRP) site OpenSecrets.org.
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Think 'tip of the iceberg' when you look at these figures for lobbying/bribery from the financial world and other interests.
It get's worse, a lot worse. The Saudi government has spent much more than the finance world and they have been doing it for a long time. Saudi influence on various US administrations and virtually all members of the Senate and House of representatives has been widespread. Using 'gifts' to spouses of voting members or to the favorite charities/foundations of the members our oil ally has been able to compromise and influence decisions increasingly over the decades.
The word in the Oil Patch was that GW was a miserable failure in the oil business. Some good hearted company ( Saudi) bought up his bad debt and paper and took the small (to them) loss.Of course GW looked real good and would owe the Saudis forever,
The worst thing to me is this isn't just Republicans, it is accross the board.
Senator or congressman X's wife or son, or brother in law is a "Consultant" for some foreign Corporation. and of course gifts and secret bank accounts.
Does anyone think the Swiss Banks secracy laws just protect old Nazis'
WHY dosen't the mainstream NEWS ask these questions?
Truth be told I think the Republicans realized long ago the US as concieved the founding fathers is DEAD and GONE, They have in the most part played the game and sided with the winner.
I think we should ALL accept the reality, We have lost America. just as sure as if Washington had lost the Revolutionary war.
The only question is WHAT DO WE NOW?
Vote out all the incumbants in 2010 and then again in 2012 this will certainly make a point that if you want a career in pollitics you must work for the people or your out!
Not everyone in there is a cartelist centrist.
There are good people like Kucinich--and Durbin.
Vote out everyone who's not a real progressive.
That includes Arlen Specter.
Checked durbin's record?
no matter who we vote in or out we only get to 'vote' for the Dem or Repub they choose. There is an endless supply of self serving hacks for sale.
It's time for President Obama to make good on his promise to put an end to crippling lobbyist control over the legislative branch.
will Congress pass a law that takes money away from themselves?
keep on dreaming.will NEVER happen.
the corporations and the rich own us. the evidence is staggering.
the United Corporations of America for the rich is doing just fine (for the rich).
WHERE WERE THESE ARTICLES BEFORE NOW.
Big Oil, the "Big Three", and Big Tobacco all "owned" Washington at one time, too.
I wouldn't be filing that reciept away just yet. A lot of people are pushing to reregulate the banking and financial industry. But you can't wave a magic wand and undo 30 years of destroying our legal system in 100 days.
NEVER happen.
they own America. the peons are easily pacified and made dunber by the pathetic excuse of the educational system.
The banks own Washington, do they? Well, the banks are broke, cuz WE bailed them out. So technically WE own the banks. Therefore , we also own Washington. So listen up Congress: "The American taxpayers are now in charge. Step away from the lobbyist! Repeat- step away from the lobbyist!"
Don't think so. The Banks own the Legislature. They give them lots of money, probably more than we will ever know. and When they at last don't get elected they go to work for the Banks or Wall Street. Remember Congress created this Government. They have the power. They are corrupt.
They are bought and paid for. And not by you and I.
I think the last time we faced this kind of threat to our freedom was 1775.
you betcha.
except now we can't even revolt. that's a joke of an idea that would be shut down before it even started.
welcome to the United Corporations of America, serving the rich.
ENOUGH! Not another dime for these crooked banksters, period. I will be letting the WH know.
http://www.whitehouse.gov/contact
Yes kids its true. The banks own the U.S. government. And finally FINALLY people are talking about it out loud. Voting doesn't help. We need to throw a siege around Washington.
good luck with that.
not that it will work. revolution or any efficient protest would be over before it began.
Siege around washington? Won't that make our rulers mad at us?
Thanks for posting the ugly numbers.
Do They Frankly Own the Place? You Betcha!
On Dec. 23, 1913, Congress adopted the Federal Reserve Act,
and they've owned it ever since.
This is the real day of infamy for the U.S.
Very good. Most Americans do not realize that Woodrow Wilson destroyed our country when he solld us out in 1913.
Abolish the Fed. Public finance for campaigns. Vote out the dirtbag congresscritters and senacrroks regardless of party affiliation.
Wake up!
YESSIR.
respectfully, that's a joke.
The rich own America. why would they give it up?
Aren't those mainly unwritten understandings? Aren't they kind of like oral contracts, "here have this money, and you know what my (company/benefactors) wants (wink)?" I don't expect that any of these types of contracts will be disclosed. And I don't think they can be eliminated until we make money only one factor of important decisions, kind of like the companies I've read about who have a triple bottom line. But, in this country, if you have the money you can do anything, own anything, build anything with no thought to the larger impact of those choices or the amount of resources used. You can't blame lobbyists or the people who gladly take their money in exchange for political favors, because profit is king. Our economy is crashing because that just isn't good enough. And it's giving us the chance to change the circumstances that easily lead to bribery in our political system. Then again, if you can get these people to disclose their backroom dealings, all the better.
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