TableofContentsIntroductionChapter1:AChildhoodofPrivilege,NotHardshipChapter2:TheMythofthe'Rock-StarProfessor'Chapter3:The1997SpeechThatLaunchedObamaChapter4:FortheSlumlord'sDefense,BarackObama,Esq.Chapter5:Obama'sToughestCriticsOnTheLeftChapter6:ThePoorPeopleObamaLeftBehindChapter7:TheMythofObamaAsStateSenateReformerChapter8:Obama'sStatePensionSchemeChapter9:TheArab-AmericanNetworkBehindObamaChapter10:ObamaBringsChicagoPoliticstoWashingtonAppendix-LinkstoRelatedAuthorVideoInterviewsAuthorBio-RichardPollock

TheObamaYouDon’tKnow

Introduction

ByMarkTapscott,ExecutiveEditorTheWashington[D.C.]Examiner19Sep2012

FewifanyofhispredecessorstooktheoathofofficewithhigherpublichopesforhissuccessthanPresidentObamaonJan.20,2009.MillionsofAmericanshailedhiselectionasanendtopartisanship,arenewalofthespiritofcompromiseandareinvigorationofthenation'shighestidealsathomeandabroad.Aboveall,asAmerica'sfirstblackchiefexecutive,Obamasymbolizedthehealingoflong-festeringwoundsthatweretheterriblenationallegacyofslavery,theReconstructionEraandJimCrow.Wewouldbe,finally,onenation.Butafternearlyfouryearsinoffice,Obamahasbecomeasharplypolarizingfigure.HisadmirersbelievehedeservesaspecialplacealongsideWilson,theRooseveltsandLBJasoneofthearchitectsofbenevolentgovernment.HiscriticsbelieveheistryingtoremakeAmericaintheImageofEurope'ssocialdemocracies,replacingAmerica'sethosofindependenceandindividualenterprisewithawelfarestateinflamedbyclassdivisions.InanefforttogetaclearerpictureofObama--hisshapinginfluences,hiscorebeliefs,hispoliticalambitionsandhisaccomplishments--TheWashingtonExaminerconductedafour-monthinquiry,interviewingdozensofhissupportersanddetractorsinChicagoandelsewhere,andstudyingcountlesscourttranscripts,governmentreportsandotherofficialdocuments.Overtheyearsandintwoautobiographies,Obamahaspresentedhimselftotheworldasmanythings,includingradicalcommunityorganizer,idealisticcivilrightslawyer,dynamicreformerintheIllinoisandU.S.senates,and,finally,thecoolpresidentialvoiceofpostpartisanhopeandchange.

Withhisairofreasonablenessandmoderation,hehasprojectedaremarkablylikablepersona.Eveninthemidstofahistoricallydirtycampaignforre-election,hislikabilitynumbersremainimpressive,asseeninarecentAPGFKPollthatfound53percentofadultshaveafavorableviewofhim.Butbeyondthespinandthepolls,astarklydifferentpictureemerges.ItisaportraitofamanquiteunlikehisImage,notavisionaryreformerbutratheraclassicChicagomachinepolwhothrivesonrewardinghimselfandhisfriendswiththespoilsofpublicoffice,andwhouseshispositiontopunishhisenemies.PeterSchweizercapturesthisotherObamawithabracingstatisticinhisbook"ThrowThemAllOut,"publishedlastyear.IntheObamaeconomicstimulusprogram'sDepartmentofEnergyloans,companiesownedandrunbyObamacontributorsandfriends,likeSolyndra'sGeorgeKaiser,received$16.4billion.Thosenotlinkedtothepresidentgotonly$4.1billion.TheEnergyDepartmentisfarfromtheonlyfederalprograminwhichfavoritismhasheavilyinfluencedfederalgrants.ToparaphraseTammanyHall'sGeorgeWashingtonPlunkitt,Obamahasseenhisopportunitiesandtakenthem,overandover.

TheObamaYouDon’tKnowChapter1:AChildhoodofPrivilege,NotHardship

ByRichardPollock,StaffWriterTheExaminer[Washington,D.C]19Sep2012

MichelleObamatoldtheDemocraticNationalConventionthat"BarackandIwerebothraisedbyfamilieswhodidn'thavemuchinthewayofmoneyormaterialpossessions."Itisaclaimthepresidenthasrepeatedinhisbooks,onthespeech-makingcircuitandincountlessmediainterviews.Byhisaccount,hegrewupinabrokenhomewithasinglemom,struggledforyearsasachildinanimpoverishedThirdWorldcountryandthenwasraisedbyhisgrandparentsindifficultcircumstances.Thefactsaren'tnearlysoclear-cut.AnnDunhamwasjust18yearsoldwhenshegavebirthtoObama.ShewasafreshmanattheUniversityofHawaii.HisKenyanfather,BarackHusseinObamaSr.,wasafewyearsolderthanAnn.Theyweremarriedagainstfamilywishes.ObamaSr.doesnotappeartohavebeenwelcomingorcompassionatetowardhisnewwifeorson.ItlaterturnedoutthathewassecretlymarriedtoaKenyanwomanbackhomeatthesametimehefatheredtheyoungObama.HeabandonedObamaJr.'smotherwhentheboywas1.In1964,Dunhamfiledforadivorcethatwasnotcontested.HerparentshelpedtoraisetheyoungObama.Obama'smothermethersecondhusband,anIndonesiannamedLoloSoetoro,whileworkingattheEast-WestCenterinHawaii.Theymarried,andin1967,theyoungObama,thenknownasBarrySoetoro,traveledtoIndonesiawithhismotherwhentheIndonesiangovernmentrecalledhisstepfather.InIndonesia,thefamily'scircumstancesimproveddramatically.

AccordingtoObamainhisautobiography"DreamsfromMyFather,"Lolo'sbrother-in-lawwas"makingmillionsasahighofficialinthenationaloilcompany."Itwasthroughthisbrother-in-lawthatObama'sstepfathergotacovetedjobasagovernmentrelationsofficerwiththeUnionOilCo.ThefamilythenmovedtoMenteng,thenandnowthemostexclusiveneighborhoodofJakarta,wherebureaucrats,diplomatsandeconomicelitesreside.ApopularIndonesiatravelsitedescribesMenteng:"DesignedbytheDutchColonialGovernmentin1920s,Mentengstillretainsitsgracefulexistencewithitsbeautifulparks,cozystreetcafesandluxurioushousingcomplexes."In1971,hismothersentyoungObamabacktoHawaii,wherehisgrandmother,Madelyn,knownasToots,wouldbecomeoneofthefirstfemalevicepresidentsofaHonolulubank.Hisgrandfatherwasinsales.Obama'sgrandparentsmovedthesameyearintoPunahouCircleApartments,asleeknew10-storyapartmentbuildingjustfiveblocksfromtheprivatePunahouSchool,whichObamawouldattendfrom1971to1979.Obamaexplainsin"DreamsfromMyFather"thathisadmissiontoPunahoubegan"thestartofsomethinggrand,anelevationinthefamilystatusthattheytookgreatpainstoleteveryoneknow."Tohiscredit,ObamadidnotdownplayPunahou'supscalestatus,notinginhisautobiographythatit"hadgrownintoaprestigiousprepschool,anincubatorforislandelites.ItsreputationhadhelpedswaymymotherinherdecisiontosendmebacktotheStates."Obamaalsoadmittedinthebookthathisgrandfatherpulledstringstogethimintotheschool."Therewasalongwaitinglist,andIwasconsideredonlybecauseoftheinterventionofGramps'sboss,whowasanalumnus."TheschoolstillfeaturesalushhillsidecampusoverlookingtheWaikikiskylineandthePacificOcean.Itwasoneofthemostexpensiveschoolsontheisland,andbothObamaandhishalfsisterMayaSoetoro-Ngreceivedscholarships.WhiletheDunhamswerenotamongthewealthiestfamiliesontheisland,heneverthelessstudiedandsocializedwiththechildrenofthesocialandfinancialelite.Obamahassaidhedidn'tfitinattheschool.Butthat'snothowotherHawaiiansrememberit.

AssociatedPresswriterSudhinThanawalareportedfromHonoluluin2008that"classmatesandteacherssayObamablendedinwell.Heservedontheeditorialboardoftheschool'sliterarymagazine,playedvarsitybasketballandsanginthechoir.Hewentontheoccasionaldate."Inhisrecentbook"BarackObama:TheStory,"WashingtonPostreporterDavidMaranisssaidthefuturechiefexecutiveoftensmokedmarijuanawithprepschoolfriends,rollingupthecarwindowstoseek"totalabsorption,"or"TA."Theycalledthemselvesthe"ChoomGang."EdwardShanahan,aretirednewspaperjournalistwhonoweditsdownstreet.netandmakesnoefforttoconcealhisadmirationforObama,retracedhisHawaiiyearsshortlyafterthepresidentwaselected.ShanahanwrotethatObamalivedina"well-offneighborhoodneartheUniversityofHawaiiwhereBarry,ashewasknown,residedinacomfortablehomewithhismotherandherparentsbeforeshetookhimtoIndonesia."Sanahansaid"ourtourendeduponthelush,exquisitelymaintainedandaltogetherinvitingcampusofPunahouSchool,whichwecanimaginewasaplaceofgreatcomfortforObama."Tellingly,Obamahasneverlivedinablackneighborhood.MaranissreportedinhisbookthatwhenleftistactivistJerryKellmaninterviewedObamaforacommunityorganizingjobinChicago,heaskedObamahowhefeltaboutlivingandworkingintheblackcommunityforthefirsttimeinhislife.Obamaacceptedthejobbutchosenottoliveamongthosehewouldbeorganizing.Instead,hecommuted90minuteseachwaydailyfromhisapartmentinChicago'sfamousHydeParktotheAltgeldGardenshousingprojectwhereheworked.ItwasanearlyinstanceofObamapresentinghimselfonewaywhileactinginquiteadifferentway.

TheObamaYouDon’tKnowChapter2:TheMythofthe'Rock-StarProfessor'

ByRichardPollock,StaffWriterTheWashington[D.C.]Examiner19Sep2012

Timemagazinegushedin2008aboutBarackObama's12-yeartenureasalawlecturerattheUniversityofChicagoLawSchool,saying,"Withinafewyears,hehadbecomearock-starprofessorwithhordesofdevotedstudents."Thatmayhavebeentrueduringhisfirsttwoyears,whenherankedfirstamongthelawschool's40instructors,withstudentsgivinghimaratingof9.7outofapossible10.ButlawstudentevaluationsmadeavailabletoTheWashingtonExaminerbytheuniversityshowedthathispopularitythenfellsteadily.In1999,only23percentofthestudentssaidtheywouldrepeatObama'sracismclass.Hewasthethird-lowestrankedlectureratthelawschoolthatyear.Andin2003,onlyathirdofthestudentevaluatorsrecommendedhisclasses.Hisclassesweresmall.Aspring1994classattracted14outofastudentbodyof600;aspring1996classdrew13.In1997,hehadthelargestclassofhistenurewith49students.Butbythen,hisstudentratinghadfallento7.75.Twenty-twoof40facultymembersrankedhigherthanObama.SomeformerfacultycolleaguestodaydescribeObamaasdisengaged,doingonlywhatwasminimallyrequiredandalmostneverparticipatinginfacultyactivities.And,unlikeothersontheChicagoLawSchoolfacultywhopublishednumerousarticlesinlegaljournals,Obama'sbylinedidnotappearinasinglelegaljournalwhilehetaughtthere.Bycomparison,moreprominentlegalscholarsontheChicagofacultywrotefrequently.FederalJudgeRichardPosnerpublished132legalarticlesfrom1993to2004,andfederalJudgeFrankEasterbrook

published32legalarticlesfrom1992to2004.Obamahasoftencitedhisdaysatthelawschoolasanimportantpartofhispreparationforthepresidency.AtaMarch30,2007,fundraiser,forexample,hesaid,"Iwasaconstitutionallawprofessor,whichmeans,unlikethecurrentpresident,IactuallyrespecttheConstitution."From1992until2004,Obamataughtthreecourses:"CurrentIssuesinRacismandtheLaw,""VotingRightsandtheDemocraticProcess,"and"EqualProtectionandSubstantiveDueProcess."Obamawasn'taprofessor;hewasalecturer,apositionthattheChicagoLawSchoolsaidin2008"signifiesadjunctstatus."Hewaselevatedtoa"seniorlecturer"in1996,theyearhewasfirstelectedtotheIllinoisSenateinSpringfield.ThenewfacultystatusputhimonparwithPosner,Easterbrookandathirdfederaljudge,DianeWood.AstheChicagoLawSchoolexplained,seniorlecturers"havehigh-demandcareersinpoliticsorpublicservicewhichpreventfulltimeteaching."Seniorlecturerswere,however,stillexpectedtoparticipateinuniversityactivities.UniversityofChicagoLawSchoolSeniorLecturerRichardEpsteintoldTheWashingtonExaminerthatObamadidnotdoso.Obama,Epsteinsaid,"didtheminimalamountofworktogetthrough.Nooneremembershim.Hewasnotaparticipantinluncheonsorworkshops.Hewashereandgone."RobertAlt,aformerObamastudent,echoesEpstein,tellingtheExaminerthat"Ithinkit'sfairtosayhewasn'tengagedintheintellectuallifeofChicagooutsideoftheclassroom."AltisdirectoroftheconservativeHeritageFoundation'sRuleofLawProgramsandaseniorlegalfellow.Altsaid,"Whenyouhavefacultygivingfacultylectures,you'dliterallyhavepackedroomsinwhichit'snotunusualtohavejustallthebignamesoftheuniversity.Itwasn'tunusualtoseeEasterbrookandPosner,anditwasn'tunusualtoseetheNobellaureatesattendingaswell."Evenso,Altsaid,"IneverremembereverseeingObamaintheaudience."Obamawasalsoano-showforthefacultyworkshops,nonclassroomlecturesandmootcourtcasesjudgedbysittingmembersoftheSeventhCircuitCourtofAppealsoftheU.S.CurrentChicagoLawSchoolprofessorLisaBernsteinsaidfacultylecturersarestillencouragedtoparticipateinasmanysucheventsaspossible.

ThepatternofminimalperformanceattheChicagocampuswasnotanexceptiontotheruleforObama.InthestateSenateduringthesameyearshewaslecturing,Obamavoted"present"nearly130times,themostofanylegislatorinthechamber.Whenthen-Sen.HillaryClintonmadeObama'sstateSenatevotingrecordanissueintheirDemocraticpresidentialprimarycontestin2007,theNewYorkTimessaiditfoundatleast36instanceswhenObamawasthelone"present"voteorwasoneofsixorfewerlawmakerscastingthatvote.AndduringhislonetermasaU.S.senator,accordingtoGovTrack.us:"FromJan2005toOct2008,Obamamissed314of1300recordedorrollcallvotes,whichis24.0%.Thisisworsethanthemedianof2.4%."

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TheObamaYouDon’tKnowChapter3:The1997SpeechThatLaunchedObama

ByRichardPollock,StaffWriterTheWashington[D.C.]Examiner19Sep2012

FewdoubtthatBarackObama'sstirringorationbeforethe2004DemocraticNationalConventionvaultedhimintothenationallimelight.Butanother,less-heraldedObamaaddress--deliveredonValentine'sDay1997atFirstChicagoBank--wasequallyessentialtohislatersuccesses.Withoutit,itisdoubtfulthathewouldhaveeverbeeninpositiontoassumesoprominentarolein2004.ObamawasanewlyelectedIllinoisstatesenatorin1997whenheaddressedanaudiencethatincludedmanyofChicago'smostpowerfulpoliticalinsidersandactivists,nonprofitexecutives,businessmoversandshakers,andphilanthropicfunders.TheoccasionwasameetingoftheFuturesCommittee,aneliteChicagocivicleadershipgroupcreatedbytheLocalInitiativesSupportCorp.,orLISC,aliberal,nonprofit,low-income-housingactivistgroup.NoauthenticatedtextofObama'sspeech--whichwasbilledbeforehandbyLISCinapromotionalflierobtainedbyTheWashingtonExamineras"alocalperspectiveoneffectivecommunities"--isnowknowntoexist.ButpeopleinterviewedbytheExaminerwhoheardhimspeaksayObamalaidoutapowerfulvisionforapoliticalstrategythatultimatelyreshapedhousingactivismontheLeft,firstinChicagoandthennationwide,evenasitpavedthewayforanaccommodationbetweenthecorruptpoliticalmachineofMayorRichardM.Daleyanditslong-standingnemesis,thecity'scoalitionofwhiteliberalreformersandblackcommunityorganizers.ObamadescribedapracticalstrategyforbuildingonthefederalLowIncomeHousingTaxCredit,orLIHTC,containedinthe1986TaxReformAct,plusfederal,stateandlocalfundsandprograms,tocreate

newpublicprivatedevelopmentpartnerships.TheLIHTCencouragedthepartnershipsneededtounitegovernmentofficialsandprogressivenonprofitactivistsbehindthecauseofbuildingthousandsofnewaffordable-housingunits,firstonChicago'spoorSouthSideandthen,asthemovementspread,tosimilarneighborhoodsacrossthenation.ObamaspokeatatimeofgreatfermentontheLeftinwhichfederalhousingpoliciesbecameacentralfocusforpoliticalactivism.HewasdrawingfromthesamewellthathadproducedtheCommunityReinvestmentAct,relaxedfederalstandardsformortgagequalifications,andcreativefinancialpackagingofsubprimeloans,butdoingsoinamanneruniquelymatchedtoconditionsonthepoliticalgroundofChicago.Publicprivatepartnershipsforaffordable-housingprojectswerenotanewideatosomeofObama'slisteners,sincephilanthropicgroupsliketheFordFoundationandtheMacArthurFoundationhadbeenpromotingtheconceptforseveralyears.Notcoincidentally,itwasaMacArthurvicepresident,RebeccaRiley,whoarrangedforObamatospeakattheValentine'sDaygathering.Obama'sinnovationwastoexpandtheconceptbeyondsimplybuildingaffordableapartmentsandhigh-rises.Itencompassedacradle-to-gravevisionofprovidingforthematerialneedsofthelow-incomefamiliesresidinginthenewhousing,includingtheirschools,childcare,jobtraining,medicalcoverage,clothingandfood.Inturn,theresidentswouldcampaignandvotefortheofficialsadvocatingthepartnerships,addingsignificantlytotheirpoliticalpower.LeftunstatedwastheunderlyingrealitythatpoliticallyconnecteddeveloperswhobuiltthehousingwouldprofithandsomelyandcouldbeexpectedtogratefullygivemillionsofdollarsincampaigncontributionstopoliticianslikeObamawhomadeitallpossible.ChicagothusbecametheprovinggroundforObama'svision,which,accordingtoLISCspokesmanJoelBookman,"reallychangedthedirectionofcommunitydevelopmentinChicagoandultimatelynationally."Itwasanirresistiblecombinationofmoney,politicsand

idealismthatalsoofferedendlessopportunitiesforgreedandtragicabuseofthepoor.ThatmadeitanidealtoolforunitingtheDaleymachinewiththereformcoalitionthathadelectedHaroldWashingtonasthecity'sfirstAfrican-Americanmayorin1983.(RichardM.Daley,whoreinvigoratedthemachineandbecamemayorin1989,wasthesonofthemachine'sfounder,RichardJ.Daley,whodiedin1976.)ThekeytoObama'svisioninChicago,accordingtoMarilynKatz,wasthecity'smostfamousradical:"Remember,thisisthecommunityofSaulAlinsky.AndmostofthefirsthousinggroupsweretheAlinskygroupswhowerestillbangingatthedoor."Katz,aninfluentialChicagopublicrelationsexecutiveandlongtimeObamafriendandpoliticaloperative,hasvisitedtheWhiteHousemorethantwodozentimessince2009.LikesomanyintheliberalpowerbasethatservedasaspringboardforObama,KatzhadactivistrootsstretchingbacktoherdaysasaStudentsforaDemocraticSocietyoperativeinChicago.AFuturesCommitteehandoutfortheValentine'sDaymeetingtitled,"BarackObama'sprinciplesofcommunitydevelopment,"saidtheproposedprogramhad"toorganizearoundproduction,notjustconsumption."SuchwordswereaclarioncalltoactivistsraisedonathousandvariationsoftheMarxistlabortheoryofvalueandcapitalistalienation."Hereallyquestionedthekindofsurrogatecapitaliststrategythatmostofthenonprofitcommunity-basedorganizationshadbeenpursuing,"KatztoldtheExaminer."Andhesuggestedthatarealestatestrategyforredevelopmentofcommunitieswasnotenoughandthatyouhadtoreallygointothequality-of-lifeissues,education,wealthbuilding,amenitiesthatwerethehallmarksofanycommunityneeds,"shesaid.Obama'svision"changedthedirectionandthenatureofthe123groupsthatwereworkinginthevariouscommunitiesinthecity.Itwasaveryinfluentialspeech,"shesaid.TheLISCvisionspeechwasacriticalturningpointforObamabecausehispositionwiththeChicagolawfirmofDavis,Miner,Barnhill&GallandputhimatgroundzerowithwhatKatzcalled"thetangentialand

interlockingcirclesbetweentheLeft-liberalpoliticalcommunity,theurbanredevelopmentcommunity,thelegalcommunityandpoliticos"whocontrolledChicago,thenandtothisday.ItwasfromthatpointthatObamacultivatedthepersonal,professionalandpoliticalrelationshipsthatwouldservehimwellallthewaytotheWhiteHouse.

TheObamaYouDon’tKnowChapter4:FortheSlumlord'sDefense,BarackObama,Esq.

ByRichardPollock,StaffWriterTheWashington[D.C.]Examiner19Sep2012

Writinginhis1995autobiography,"DreamsfromMyFather,"Obamasaidhebecame"acivilrightslawyer"because"tolendmeaningtoacommunity'ssufferingandtakepartinitshealing--thatrequiredsomethingmore."Therewasindeed"somethingmore"toObama'slegalcareer,butitwasn'tcivilrightslitigationattheChicagolawfirmofDavis,Miner,Barnhill&Galland,wherehewasemployedforadecade."HespentabouthalfhistimeworkingwithBillMiceliandmyformerpartner,AllisonDavis,andthatteam,"seniorpartnerJudsonMinertoldTheWashingtonExaminer.MostoftheentriesonObama'sclientlistforthefirmfromthatperiodwereinrealestate,constructionandfinance.MiceliandDaviswerethepartnersinchargeofthefirm'shousingandrealestatepractices.DaviswouldlaterleavethefirmtojoinObamamentorTonyRezkointherealestatedevelopmentbusiness.InMarch1994,ayearbefore"Dreams"waspublished,ObamawastheleaddefenseattorneyonanobscurecaseinCookCountyCourtthathasheretoforeescapedexaminationbythenationalmedia.Inthiscase,ObamadefendedaChicagoslumlordandpowerfulpoliticalallywhowaschargedwithalonglistofoffensesagainstpoorresidents.ThedefendantwastheWoodlawnPreservation&InvestmentCorp.,controlledbyBishopArthurBrazier,aSouthSideChicagopreacherandpoliticaloperator.Brazier'sburgeoningrealestateempireincludedalowincomehousingprojectat6223SouthUniversity.Today,MapQuestdescribestheWoodlawnneighborhoodas"quaintandsedate."Butinthewinterof1994,itwasafrigidhell.BrazierwascloselyalliedwithObamaandhisfirm,notleastbecause

DaviswasonWPIC'sBoardofDirectors.Daviswasalsothecorporation'sregisteredagent,andhereceivedthecourtsummonswhenthecityfiledsuitontheSouthUniversityapartments.Brazier'sWPIChadfailedfornearlyamonthtosupplyheatandrunningwaterforthecomplex's15crumblingapartments.OnJan.18,1994,thedaytheheatwentoff,Chicago'sofficialhightemperaturewas11belowzero,thedayafteritwas19below.Evenworse,theresidentswerethenorderedtoleavetheWPICcomplexinthewinterchillwithoutthedueprocesstheywouldhavebeenaffordedbyanevictionprocedure.IncourtdocumentsreviewedbyTheWashingtonExaminer,DanielW.Weil,commissionerofChicago'sBuildingsDepartment,slammedWPICformultiplemunicipalcodeviolations,including"failuretomaintainadequateheat,"failure"toprovideeveryfamilyunitwithapprovedheatingfacilities,"and"failuretoprovideadequate"suppliesofeitherhotorcoldrunningwater.Thingsweresobadthatthecity'soutragedcorporationcounseldeclaredthat"thelevyingofafineisnotanadequateremedy"andaskedthecourtforapermanentinjunctionagainstWPIC,appointmentofareceiverandimpositionofalienonWPICtopayforrepairs,attorneys'feesandcourtcosts.ButObamadidhisworksowellthatintheend,onMarch3,1994,thecourtsimplyfinedWPIC$50.OnlythendidObamatellthecourtoftheforcibleremovaloftenantsinthebittercold.AnexperiencedChicagohousingattorneywhoreviewedthecaseattheExaminer'srequestsaid$50finesagainstpoliticallypowerfulslumlordswerenotuncommonatthattime.Thelawyer,whocurrentlyworksforthecity,askedtoremainanonymousforfearofreprisal.TheattorneytermedtheforcibleremovaloftheresidentsinthefrigidChicagowinter"outrageous,"andsaiditlookedlike"awaytoavoidalengthyevictionprocessbylaw.Andifthetenantshadleases,theyshouldhavebeenboughtoutwithacashpaymentinreturnforleavingthepremisesearly."TheSouthUniversityapartmentseventuallybecamepartofarealestatesyndicationdealthatObamahelpednegotiate.Brazier

remainedasthecontrollinggeneralpartner,whilethesyndicatedinvestorsbecamelimitedpartners.ThemergingofBrazier'sinsidercontactsandinfluencewiththelimitedpartners'financialresourcesenabledthemtobenefitcollectivelyfrombigger,moreprofitabledealsthantheywouldhaveeachbeenabletodoindividually.AChicagohousingexpertwithdirectknowledgeofWPIC'srealestatedealingstoldtheExaminerthatthesyndicationdealinvolvingtheapartmentslikelywasbeingnegotiatedwhenthebuildinglostheat."Thepropertywasoneoffiveorsixthatwasbundledtogetherintoapartnershipandsyndicatedwithtaxcredits,"hesaid.Itwasa"preludetobeingputintothepartnership,whichitultimatelywasforpurposesoftherefinancingandsyndication."TheWPICcaseillustrateshowObamafunctionedatthecenterofahistoricaccommodationthendevelopingbetweentheDaleymachineanditstraditionalopponentsamongthecity'sliberalreformers.Lubricatingthedealwasafloodofpublicandnonprofitfederalandstatetaxcreditsandfundingforlowincome-housingprojectsthatwouldenrichdevelopersandempowerambitiouspoliticianslikeObama,attheexpenseoftaxpayersand,especially,thepoor.BrazierwasnotmerelyanObamalegalclient.AdiscipleofChicago'sfamousradicalactivistSaulAlinsky,BrazierwasalsoaclosepoliticalallyofDaley'sandoneofthekeymoversandshakersamongthecity'sprogressivepoliticalelitewhointheyearsaheadwouldadvanceObamaateveryturn.ObamaalsodidlegalworkinvolvedintheestablishmentoffourBrazier-Rezkolimitedpartnerships:WoodlawnPartnersLtd.,CentralWoodlawnPartnership,KRMBLimitedPartnershipandWoodlawnDrexelLtd.Partnership.Rezkoisnowservinga10-yearfederalprisonsentenceforfraudandattemptedbriberyonstategovernmentcontracts.TheformerObamafirmstillrepresentsWPIC,aswellasBrazier'schurch,theApostolicChurchofGod,andhisFundforCommunityRedevelopmentandRevitalization.Brazier'ssonnowoverseestheproperties.

AsBrazierclungtolifein2010inaChicagohospital,ObamacalledhimfromtheWhiteHouseforwhatrelativesdescribedasanextremelytearfulfarewell.ShortlyafterBrazierdied,Obamaissuedastatementsayingofthemanhehadoncehelpedput15poorfamiliesonthestreetinthedeadofwinter:"ThereisnowaythatwecanreplacethegentleheartandboundlessdeterminationthatBishopBrazierbroughttosomeofthemostpressingchallengesfacingChicagoandournation."

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TheObamaYouDon’tKnowChapter5:Obama'sToughestCriticsOnTheLeft

ByRichardPollock,StaffWriterTheWashington[D.C.]Examiner19Sep2012

"IneverdranktheKool-AidaboutBarackObama,"veteranChicagoblackactivistEddieReadtoldTheWashingtonExaminer.ReadispresidentoftheBlackIndependentPoliticalOrganization,oneofChicago'slargestblackcommunitygroups.Read--whodescribeshimselfasa"blacknationalist"--saidChicagostreetsarefilledwithgenuine"streetgangsters"andphoniesknownas"studiogangsters."Thelatterareimpersonatorswhomakemoneyactinginstudio-producedrapvideos.ThesamedichotomyisfoundamongChicago'sstreetactivists,Readsaid."SowhatyougetfrommeisI'mstillupintheaironwhetherornotmybrotherObamawasarealactivistorastudioactivist."RobertStark,directoroftheliberalHaroldWashingtonInstituteforResearchandPolicyStudies,toldtheExaminerthatthedemolitioneffortrequiredtoclearthewayforthenewaffordable-housingprojectsadvocatedbyObamawasdisastrousforlow-incomeblacksonChicago'sSouthSide."Obviously,whenyou'retalkingaboutthedemolitionofhousing,therehasbeenagreatdealofcontroversybecausepoorpeoplewerenotgivenanopportunitytocomebacktothehousingthatreplacedthedemolishedhousing,"saidStark,whoseinstituteisbasedatNortheasternIllinoisUniversity.WardellLavenderisatenantactivistwhohaslivedintheWoodlawnsectionofChicagosince1951."Wedon'tknowwhathappenedtothosepeople,"LavendertoldtheExaminer."Whatwedidn'tdowaskeeptrackofthembecausealotofthemendeduphomeless."Obama'stoughestcriticontheLeft,however,wasthelateRobertFitch.Fitch,aradicalleftistandfreelancejournalistwhospecializedinurbanpoliticsandeconomics,saidObamasurroundedhimselfwithpeoplewhogotrichonChicago's$1.6billionneighborhooddemolitionprogramknownofficially

asthePlanforTransformation.Atleast25,000low-incomeapartmentsinChicagoweredestroyedundertheprogram,whichforcedthousandsofblackfamilies--manyofwhomlivedinObama'sstateSenatedistrict--tomoveoutofthecity.Obama'spoliticalalliesdirectedtheeffort."WhatweseeisthattheChicagocoreoftheObamacoalitionismadeupofblackswho'vemovedupbymovingpoorblacksoutofthecommunity,"Fitchchargedina2008speechbeforetheHarlemTenantsAssociation.Fitchdiedin2011.FitchclaimedinthatspeechthatObamasoldouttoacorruptChicagoestablishment."Obama'spoliticalbasecomesprimarilyfromChicagoFIRE--thefinance,insuranceandrealestateindustry,"hesaid."It'salsotruethatkeyblackmembersoftheObamainnercircleareDaleyadministrationalumni,butthey'vemovedup--nowthey'repartofChicagoFIRE,"hesaid.FitchsingledoutObama'smosttrustedaide,ValerieJarrett,asonewhostoodoutamongthosewhomadefortunesasrealestateoperators.JarrettonceworkedforMayorDaley,thenlaterbecameCEOoftheHabitatCo.,oneofthecity'slargestrealestatedevelopmentfirms.FitchalsocriticizedMartinNesbitt,Daley'sformerheadoftheChicagoHousingAuthorityandvicepresidentofPritzkerRealty.LikeJarrett,NesbittisamongObama'sclosestpersonalfriends.AlsoinFitch'scrosshairswasAllisonDavis,Obama'slawfirmbosswhobuiltarealestateempirebydealinginlow-incomehousingwithbusinesspartnerTonyRezko,Obama'smentorwhoisnowservingafederalprisonsentence.Inthat2008speechinHarlem,N.Y.,FitchalsoblastedChicagochurchleaderswhohesaidprofitedonthepoor.Chiefamongthese"realestatereverends,"asFitchcalledthem,wasBishopArthurBrazier.Brazier,acloseObamaconfidantandlawclient,ranthecrumblingGroveParcprojectalongsidehisApostolicChurchofGod.Jarrett,DavisandRezkowereallinvolvedwithGroveParc.GroveParcisstillownedbyWPICbuthasmorerecentlybeenmanagedbytheProjectonAffordableHousing,aBoston-basednonprofitorganizationthatobtains

large,multifamilypropertiesandrefinancesthemforlong-termaffordability.ThreeweeksafterObamawonthe2008election,FitchwarnedhisHarlemaudienceabout"hopeandchange,"saying,"wehavetomakesomedistinctionsbetweenthechangetheybelieveinandthechangewebelievein;betweenourinterestsandtheirs."MichaelHudson,arealestateeconomistattheUniversityofMissouri-KansasCity,wasFitch'seditorattheVillageVoice.HesaidFitchdespisedChicagopoliticalinsiderslikeObama,who,heargued,becamewealthywhilecloakingthemselvesasreformers."BobFitch'sbasicpremise,"HudsontoldtheExaminer,"wastoshowthatthereformDemocratsalwayshavebeenthepro-financialrealestateintereststodoinsiderdealings.Theyarepeoplewhowearhaloswheninfacttheyarepredators."HudsonsaidFitchthoughtthePlanforTransformationwasacongame."Theessenceofacongameistoposeasyou'redoingapublicservice.That'sthecoverstoryforgettingthepublicmoneybothtoredevelopbuildingsortogetridofallthetenants."Obama'spoliticalendorsementsalsoworriedliberalreformersconcernedaboutgoodgovernment.CynthiaCanary,formerheadoftheIllinoisCampaignforPoliticalReform,recalledObama'sendorsementofcorruptofficialsliketheimprisonedGov.RodBlagojevichandChicagoCityCouncilmembers."Thethingthatstartledme,"shesaid,"waswhenObamamadeendorsementsofcertainCityCouncilmembersandpeoplewhowealreadyknewwereintrouble,"shetoldtheExaminer.

TheObamaYouDon’tKnowChapter6:ThePoorPeopleObamaLeftBehind

ByRichardPollock,StaffWriterTheWashington[D.C.]Examiner19Sep2012

FouryearsafterBarackObama'shistoricelectionaspresident,littleseemstohavechangedfortheAfricanAmericancommunitiesonChicago'sSouthSide.Thelackofchange--orthesensethattheseneighborhoodsaregettingworse--iserodingthepresident'sstandingamongAfricanAmericansinhishometown.In2011,Chicagosufferedthethird-highestblackjoblessrateamongthenation'smajormetropolitanareas,at19percent,accordingtotheliberalEconomicPolicyInstitute.Chicagostilllacksenoughaffordablehousing.Notonlydidthecitydemolish25,000publichousingunitsinthepreviousdecade,italsoexperiencedmorethan80,000foreclosures,mainlyinlow-incomeneighborhoods.Chicago"blacknationalist"EddieReadcontendsObamahasneverfoughtfortheblackcommunity."IwouldnothonestlytagObamaasafighterforblackpeople,blackagendaorblackissues,"ReadtoldTheWashingtonExaminer.AfterObama'selection,Readsaid,"Ihopedthatitwouldchange."Butfouryearslater,ashelooksaroundChicago'sneighborhoods,hesaidthingshaven'timprovedunderObama."Idon'tseewherethequalityoflifeorthequalityhaschanged,"hesaid,"exceptthatit'sworse."Dr.ConradWorrillisanAfricanAmericaneducator,activistandformerradiotalkshowhostonChicago'sAfricanAmerican-orientedstationWVON.HetoldtheExaminerthatObamawasaninspirationalspeakerwhomovedpeople.Butintheend,hebecamejustanotherChicagopolitician.

"Hisriseinpolitics,histrajectoryinpoliticshasledhimtomakeadjustmentsinhispoliticaldecision-making.Andthat'sthecasewithmanypoliticians.Sohe'snodifferentfrommanyothersinthatregard.He'sapolitician,"Worrillsaid.CherylJohnsonandhermother,Hazel,livedintheeconomicallydeprivedAltgeldGardenshousingprojectwhenyoungObamawasacommunityorganizerthere.HerlatemotheralsowasanorganizeratthehousingcomplexandoftenwelcomedObamaintoherkitchen."He'severybody'spresident,"CherylJohnsontoldtheExaminer,sayingsheisproudsheknowshim.Buthashemadeadifference?"We,aspoorpeople,don'tfeelitanddon'tseeit,"shesaid.ReadbelievesObama'sproblemisthathedoesnotunderstandtheuniqueneedsofChicagoblacks."ObamacamethroughChicagothroughSaulAlinskyorganizing,"hesaid."TheAlinskypieceseemedtohavehadanagendaaboutwhatitthoughtwasinthebestinterestofblackfolks,fromthewhiteliberalperspective."ObamainsteadalliedhimselfwithChicago'sMacArthurFoundation,localhousingnonprofitsandrealestatedevelopers.ValerieJarrettandAllisonDavis,MartinNesbittandTonyRezko--allObamafriends--wereattheepicenterofthatpowerfulcoalition.Obama'slow-income-housingcampaignstillresonatesamongChicago'spoortoday.DeborahTaylor,apublichousingtenantintheKenwoodsectionofChicago,alsotoldtheExaminerthingsareasbadaseverforpoortenants."Theresidentsattheendofthedaystillsufferhere,"shesaid."Alotoftimesalotofpeoplestartoutidealisticallythinkingtheyarehelping,"Taylorsaid."Idon'tthinkanyofthemareinfavorofthetenants,"shesaid."Everybody'sinitforthemoney.It'sallaboutprofitnow.Sotheresidentslose,lose,lose."D'AnnaCarter,aneighborhoodactivistinChicago'sWoodlawnsection,singledouttheHabitatCo.,whichwasrunbyJarrett,nowObama'sclosestWhiteHouseadviser."Theywereneverinterestedinpoorpeople,"shetoldtheExaminer.

"Theywouldsellpoorpeopleabillofgoods,"shesaidbitterlyinaninterview.WardellLavenderhasbeenaWoodlawnresidentsince1951.Hiswasthefirstblackfamilytomoveintotheneighborhood.HealsoblamesHabitat."Habitatwasbadlandlordsatthetime.Theydidn'tcaretoomuchabouttheblacks,"hetoldtheExaminer.AccordingtotheU.S.DepartmentofHousingandUrbanDevelopment,theenticementtothepoortobuycondostheycouldnotaffordcausedwidespreadlossesinChicago.ForeclosuresfellhardonChicago'spoorresidents.TheUrbanInstitutereportedinMay2009thatmostweredisplacedorhomeless,creditratingsweredamagedandviolenceincreasedasemptyunitsremainedvacant.WorrillsaidhestillsupportsObamabutaddsthatthelackofprogressinChicago'sblackcommunityispalpable."Hehasbeensupported,butthepositionhe'sinnow,he'sinaheckofapredicament."

TheObamaYouDon’tKnowChapter7:TheMythofObamaAsStateSenateReformer

ByRichardPollock,StaffWriterTheWashington[D.C.]Examiner19Sep2012

ShortlyafterBarackObamawonthe2008presidentialelection,PrairieStateBlue,aliberalblog,attributedhisvictorytothefactthatIllinois'deeplyentrenchedgovernmentcorruptionhadforced"politicalreformers"inthestatelegislaturelikeObama"tonetworkoutsidethetraditionalpoliticalcircles."TheclaimillustratedObama'ssuccessthroughouthiscareeratpresentinghimselfasanoutsiderandreformerevenashebecameaskillfuloperatorinsideoneofthenation'smostcorruptpoliticalsystems.Earlierthisyear,astudybytheIllinoisInstituteofGovernmentandPublicAffairspointedtotheconvictionsinrecentyearsoffourgovernors,twocongressmen,astatetreasurer,anattorneygeneraland11statelegislators."ThetwoworstcrimezonesinIllinoisarethegovernor'smansioninSpringfieldandtheCityCouncilChambersinChicago,"saidstudyauthorDickSimpson.ItwasintosuchanenvironmentthatObamasteppedwhenhewasfirstelectedin1996asanIllinoisstatesenator.FormerIllinoisSen.PeterFitzgerald,amaverickRepublicanandreformer,toldTheWashingtonExaminerthatObamaneverfoughtcorruption,evenwhenitwasbeingdonebyRepublicans."I'veneverseenhimfightcorruption.HeneverwantedtoupsettheapplecartwiththeChicagomachine,"Fitzgeraldsaid.AfterservingwithObamafortwoyearsintheIllinoisSenate,FitzgeralddefeatedSen.CarolMoseleyBraunin1998andservedonetermintheU.S.Senate.HisfamilyhasbeeninIllinoisbankingforseveralgenerations.

InSpringfield,Fitzgeraldwasaleaderofareform-mindedstatelegislativecaucusknownasthe"FabFive."Thegroup'smemberswereRepublicanswhohadbeenelectedin1992.Theyfoughttheestablishmentsinbothmajorpartieswhileseekingtoincreaseopennessandtransparencyingovernment.FabFiverSteveRauschenbergertoldtheExaminerthatheandhisreformistcolleaguesweretakenabackwhenObamarejectedthegroup'sinformalinvitationstojointhem."WhenBarackfirstarrived,therewasalotofhopethatmaybehewastheintellectualbridge,thepragmaticDemocratfromChicagowhowasnotpartofthemachinethatwecouldperhapstalktoaboutbroad-basedconsensuspoliciestochangepublicpolicythatwasn'tworking,"hesaid."Heappearedtobeinterestedforagood90days,"Rauschenbergersaid."InMarchorAprilofthatyear,though,hehadmadeitprettyclearhewasn'tinterestedinrisk-takingorchallenginginstitutionsorchallengingtheChicagomachine'slockonalotofthemechanicsofgovernmentinCookCountyinChicago."AnExaminerreviewofFabFiveinitiativesfrom1995to2000identified22proposals,includingsweepinggovernmentprocurementreformslikerequiringopen,competitivebiddingforstatecontracts.Obamamissedvotesonseveraloftheproposals,andthosehesupportedwereapprovedunanimously."Hewasnowheretobefoundonreform,"FabFiverChrisLauzentoldtheExaminer."IreachedouttoBarack.MywifeandItookBarackandMichelletodinner."LauzensaidObama"wasnotontheplayingfield.Inmyopinion,BarackObamawasaproductandbeneficiaryofhowpoliticsarepracticedinIllinois.Itwouldbeimpossibletocallhimareformer."StateSen.DaveSyverson,anotherFabFiver,said,"Idon'trecallanycaseswhenhewasovertlystandinguptothemachineatall."SomeofObama'sreluctanceabouttheFabFivemayhavestemmedfromhisoccasionalgolfoutingsandluncheswiththestate'stopgamblinglobbyist,AlfredG.Ronan.Ronanwaswell-knowninIllinoispoliticalcirclesforpassingoutcashcontributionstosupportersoffthefloorofthelegislativechambers.Obamahimselftook$10,500fromRonanandchangedhispositionona

gamblingbillafterward,accordingtotheLosAngelesTimes.RonantoldtheTimesthatObamaalwayspaidhisownwayontheoutings.TherewasalsotheregularWednesdaynightpokergameorganizedbyDemocraticstateSen.TerryLink.ObamaandthreeotherstateSenateDemocratsinSpringfieldwereregularattendees,alongwithseverallobbyists,Linksaid."Itstartedoutwithfiveofus,thenitescalatedwheretherewereacoupleoflobbyiststhatwerefriendsofusthatwebroughtin,"LinktoldtheExaminer."Barackwasnotofthemachine,buthewasadjacenttoit,"saidCynthiaCanary,formerdirectoroftheIllinoisCampaignforPoliticalReform,thelargeststatewidereformorganization.PaulGreen,directoroftheInstituteforPoliticsatChicago'sRooseveltUniversityandapopularWGNradiohost,notedDavidAxelrod,Obama'scampaignstrategist,originatedfromMayorRichardM.Daley'scamp."Youseehismainadviser,DavidAxelrod,whoalsowasDaley'schiefadviserandranhiscampaigns.SoitwasverymuchthatObama'speoplewereintheDaleycamp."AmonthafterDaley'spatronagechiefwasindictedforriggingcityjobsandpromotions,Axelroddefendedpatronageina2005ChicagoTribuneop-ed.Hearguedthattosatisfyconstituentneeds,politiciansareoftenforcedto"usetheinfluencetheyhavetomeetthoseneeds,includingsometimestheexchangeoffavors-considerationforjobsbeingjustone."FitzgeraldsaidObamaneverconfrontedDaley."HenevertookonMayorDaley,evenwhenclearlycityhallwasoutofbounds.HeneverfoughtcorruptioninCookCountygovernment."CanarysaidObama'sendorsementofRodBlagojevichandotherDaleyalliesworriedher."Obamahasmadeanumberofendorsements,notjusttheBlagojevichone--hegaveanumberfortheChicagoCityCouncilthatwerecompletewhackjobs.Ihaveneverunderstooditorwhyhefeltheneededtoit,"shesaid.SomehavenotedthatObamahelpedwritea1997legislativegiftban.Thebipartisaneffortincluded23exemptions.Greenpointedoutthatthegiftbandidn'tstopcorruption."In1998,

GeorgeRyanwasgovernor;nowhe'sinprison.Afterhim,RodBlagojevichwenttoprison,soclearlyitdidn'thaveanyimpact."

TheObamaYouDon’tKnowChapter8:Obama'sStatePensionScheme

ByRichardPollock,StaffWriterTheWashinton[D.C.]Examiner19Sep2012

StateSen.BarackObamaandmembersofanIllinoislobbyinggrouprepresentingpoliticallyconnectedminority-ownedbusinesseslaunchedacampaignin2000topressurestatepensionfundstohelptheirfriendsanddonors.Obamaandhiscohortstargetedstateofficialsinchargeofpensionfundsforteachers,policeandfiremen,andregulargovernmentemployees.MuchastheRev.JesseJacksonhadbeendoingforyearstoFortune500corporations,ObamaandtheAllianceofBusinessLeaders&Entrepreneurs,orABLE,demandedthattheofficialssetasideatleast15percentofpensionassetsformanagementbyminority-ownedinvestmentcompanies.Iftheirplansucceeded,thefavoredinvestmentcompanieswouldaddlucrativeassetstotheirportfolios,whichinturnwouldhelppushevenmorebusinesstheirway.JohnRogers,ArielCapitalManagement'sCEO,andJamesReynolds,founderofLoopCapital,wereABLEleadersandlongtimeObamasupporters.LouisA.Holland,chairmanofHollandCapitalManagement,wasalsoanABLEleaderandObamadonor.Rogerswasespeciallyclose,havingplayedbasketballwithMichelleObama'sbrotheratPrincetonandshothoopswithBarackObama.ReynoldsandObamaplayedbasketballatChicago'schicEastBankClubandgolfedattheSouthShorecourse.Rogersrecalledthestatepensionschemeina2007interviewinwhichheprudentlycastitasaneffort"toforceotherindustriestohavetheir'JackieRobinson'moment,"justasJacksonhaddonewithmanyFortune500companies.

ObamanotonlymetregularlywiththeABLEleaderstoplotstrategy,heenlistedpowerfulIllinoisHouseSpeakerMichaelMadigantoaccompanyhiminmeetingswithofficialsofthetargetedpensionfunds.Justasimportant,SenatePresidentEmilJones,thecageySpringfieldveteranwhowasObama'slegislativementor,gavehimadditionalleveragebyassigninghimtoacommitteethatoversawpublicpensionfunds,accordingtotheNewYorkTimes.WilliamAtwood,executivedirectorofthegiantIllinoisStateBoardofInvestment,orISBI,toldTheWashingtonExaminerthatObamawasrelentlessinapplyingpressure."AnytimeIsawhim,hebroughttheissueup.IwouldseehiminSpringfieldorIwouldseehimatafunctionandinvariablyheraisedtheissue,"Atwoodsaid.Thecampaignsucceededinearly2001whenmorethan$500millionfromthepensionfundswastransferredtoArielandHolland,andLoopwasretainedasabrokeragefirm,accordingtopensionfunddocumentsobtainedbytheExaminer.TheStateUniversitiesRetirementSystemofIllinois,orSURS,awardedAriel$49million,whileHollandgot$26million.Loophandledthetradingof2.3millionshares,accordingtoSURSdocumentsobtainedbytheExaminer.TheISBIawarded$178milliontoAriel.TheTeachers'RetirementSystemoftheStateofIllinois,orTRS,handedover$210milliontoArieland$75milliontoHollandCapitalManagement.Ariel'sassetsincreaseddramaticallyfollowingtheinfusionfromthepensionfunds,risingfrom$2.8billionto$15billionbetween1999and2002,accordingtothefirm'sSecuritiesandExchangeCommissionfilings.Evenso,thingsdidnotgowellafewyearslater.ArielandHollandwereterminatedbyISBIandSURSforwhatpensionboardofficialsdescribedas"underperformance."Rogersalsowasn'thelpedwhenU.S.AttorneyPatrickFitzgeraldrevealedinfederalcourtproceedingsthatRogershadgiven$22,500tobundlerTonyRezko,whowaslaterconvictedofinfluencepeddling.Rogers'moneywasdestinedforthecampaignofGov.RodBlagojevich,

who,likeRezko,isnowservingafederalprisonsentenceforpubliccorruption.NochargeswereeverfiledagainstRogersinconnectionwiththe$22,500.RogersremainsanObamaconfidant.HehasvisitedtheWhiteHouseatleast37timessinceObama's2009inaugurationforbothbusinessandsocialmeetingswiththepresident,senioraidesintheWhiteHouseandthefirstlady.Ariel'spresident,MellodyHobson,receivedapresidentialappointmentin2009toserveonanSECinvestmentadvisorycommittee.Duringthe2008presidentialcampaign,ABCNewsreportedthatemployeesofthethreefirmshaddonated$765,000toObama,whowasalsosaidtohaveusedprivatejetsownedbytwoofthefirms.Rogersnowranksasthethird-biggestbundlerforObama,rakingin$1.5millionforthepresident'sre-electioneffort.Healsoisa$50,000donortopro-Obamasuper-PACPrioritiesUSA.HollandandCEOMonicaL.Walkerhavegiven$57,000toObamaandtheDemocraticNationalCommitteesince2000,accordingtofederalcampaignfinancerecords.Obamaboastedabouthissuccessinthepensioncampaignduringa2007addressbeforetheNationalUrbanLeagueconference.ReferringtoABLE,hedeclared,"someofthefinancialserviceleadersthere,theycametomeandsaid,'Youknow,wearenotgettinganybusinessfromourownstatepensions.'"Obamawasproudofhisaccomplishment."Inaboutsixmonths,theygotaboutahalf-billiondollars'worthofbusiness,"Obamadeclared.Thecampaignwasaggressive.AtoughlywordedstatementbytheminorityfirmswasdistributedtoaJan.19,2001boardmeetingoftheISBI,accordingtominutesoftheeventobtainedbytheExaminer.Thefirmsdemandedthatthefund"immediatelyrequirethatallcurrentISBImoneymanagersdo15percentoftheirbrokeragebusinesswithAfrican-Americanownedbroker/dealers."Theyalsoinsistedthat15percentofthefundassetsbeallocatedto"African-Americanownedinvestmentmanagementfirms."WhatwasleftunstatedwasthatRogers'Arielfund

alreadyhadasmallpresenceatISBI,butthatitwasunderperforming.In1999,forexample,theISBIsaidArielwasinthelowest87thpercentileamongmidcapcompaniesontheRussellIndex,accordingtominutesofaspecialNov.17,2006,ISBImeetingobtainedbytheExaminer.Still,theISBIawarded$178milliontoAriel.Ariel'sunderperformancecontinueduntilitsterminationin2006afterMarquetteAssociatesandIronCapitalAdvisorsreportedtoISBIthatArielhad"failedtomeetISBIexpectationsregardingperformancegoingbackanumberofyears."Itfelltothe96thpercentilein2006.IncriticizingAriel,theISBIreportedthatin2006thefirmgrewonly8.35percent,comparedwithanaverageof17.41percentforitspeergroup.InMay2006,theTRSalsocancelledAriel's$210millionaccountandterminatedHolland's$75millioninfunds.

TheObamaYouDon’tKnowChapter9:TheArab-AmericanNetworkBehindObama

ByRichardPollock,StaffWriterTheWashington[D.C.]Examiner19Sep2012

PresidentObama'scontroversialrelationshipswithradicalfigureslikeColumbiaUniversityprofessorRashidKhalidihavebeenwell-publicizedinrecentyears.PriortohisacademiccareerintheUnitedStates,KhalidiworkedforYasserArafat'sPalestineLiberationOrganizationwhenitwasclassifiedbytheStateDepartmentasaterroristgroup.Lesswell-knownisaclusterofChicagobusinessmenwhoformedanArab-AmericannetworkattheheartofObama'spoliticalapparatus.RayHanania,aChicago-basedArab-Americanjournalistandactivist,describedthenetworkina2007interviewwithChicagomagazineas"asmallclusterofactivists"inthebusinesscommunitywhowerepoliticallyinvolved.ChiefamongthemwasObamamentorTonyRezko.BorninAleppo,Syria,homeofstrongmanBasharalAssad,RezkomigratedtotheU.S.inthelate1970sandbuiltapoliticalandfinancialempireinChicagoandSpringfield,theIllinoiscapital.Rezkoisnowservinga10-yearfederalprisonsentencefollowinghisconvictionsonfederalfraudandbriberychargesrelatedtodisgracedGov.RodBlagojevichandstatecontracting.RezkoofferedObamaajobathisRezmarCorp.afterhefinishedatHarvardLawSchool,butthenewlawyerinsteadacceptedapositionataChicagofirmwithclosepersonalandprofessionaltiestoRezko.Theirrelationshipsteadilydeepenedintheyearsthereafter.Forexample,ObamaaskedRezkotoassessthe$1.6millionHydePark/KenwoodhomethatheandMichellewereconsideringbuyingin2005,acontroversialtransactionthatRezko'swifeassistedbypurchasing

anadjoininglotfor$625,000.(Theownerofthehomeandadjoininglotinsistedthattheybesoldtogether.)RezkoandhisArab-AmericanbusinessassociateshavecontributedhundredsofthousandsofdollarstoObama'spoliticalcampaigns.FollowingRezko'sconviction,though,Obamadonatedtocharityatleast$85,000inRezkocontributionstohis2008presidentialcampaign.TheChicagoSun-TimesestimatedObamareceivedatleast"$168,308fromRezkoandhiscircle,"whileABCNewsputthetotaltobeasmuchas$100,000higherthantheamountclaimedbyObama.WhilehewasintheIllinoisSenate,ObamahelpedkeyRezkoassociatesgainappointmentstothestateboardthatcontrolledhealthfacilitycontractingforbuildingexpansions.Oncehisassociateswereappointed,Rezkosoughtkickbacksfromcontractorsfavoredbyhisfriendsinaprocessthatbecametheheartofthefederalcaseagainsthim.WhenObamabecamechairmanofthestateSenatehealthcommitteethatoversawappointmentstothemedicalboard,amonghisfirstactswastogainfast-trackpassageofabilltoreducetheboardfrom15toninemembers,thusmakingitsomewhateasiertogainthepanel'sapprovalforcontracts.RezkothenusedhisconnectionswithBlagojevichtostacktherestructuredboardwithhispoliticalcronies.TheirappointmentswereconfirmedbyObama'scommittee,thensenttotheSenatefloor.Soonthereafter,contributionsfromRezkoandhishealthboardalliesbeganpouringintoObama'scampaigncoffers,accordingtofederalandstatecampaignfinancedata.RezkoassociateDr.MichelMalek,forexample,donated$15,000toObamaaftergainingappointmenttothehealthboard.Dr.ImadAlmanaseer,anotherRezkoallyappointedtothehealthboard,initiallygaveObama$3,000.Overthenextthreeyears,heandmembersofhisfamilydonatednearly$10,000moretoObama.FortuneeMassuda,anotherRezkoassociate,donated$2,000inJanuary

2004shortlyafterwinningherassignmenttothekeypanel.OtherRezkoallieswhowerenotonthehealthboardalsocontributedtoObama.ElieMaloofwasgrantedimmunitybyfederalprosecutorsafterhetoldU.S.attorneyshefunneledtwo$10,000contributionstoObamathroughRezko.ProsecutorsnotedMaloof'sassertionintheiropeningargumentsatRezko'strial,butnoadditionalchargeswerefiled.RezkobusinesspartnerAbdelhamidChaibdonated$10,000toObama,thenwasconvictedonfederalcorruptionchargesin2010aftertryingtopressureaChicagohospitalexecutivetosteercontractstoRezkocompanies.AnotherRezkopartner,AliAta,wasakeywitnessduringRezko's2008federalcorruptiontrial.Hedonated$5,000toObama'scampaignandclaimedtohavegivenanadditional$10,000in"strawdonations."AtawasaformerpresidentoftheChicagoChapteroftheArab-AmericanAnti-DiscriminationCommittee.AnotherRezkosupporterwasMustafaAbdalla,whodonated$1,000toObama.AbdallaputuppropertyascollateralforRezko'sbail.RezkowasagenerousfinancialsupporterofChicago-basedArab-Americanactivistgroups,includingtheArabAmericanDemocraticClub,orAADC,andtheArabAmericanActionNetwork,orAAAN.RezkowasinvolvedintheAADCwithKhalilShalabi.Shalabiwasfiredfromastategovernmentjobin2007aftertheIllinoisinspectorgeneralreportedhehadbeenfundraisingatworkforRezkoandBlagojevich.TheObamasattendedseveralAAANdinners,includingonehonoringKhalidi.Morerecently,HatemAbudayyeh,AAAN'sexecutivedirector,attendedanApril22,2010,Obamapolicybriefing,accordingtoWhiteHousevisitorlogs.InSeptember2010,FBIinvestigatorsraidedAbudayyeh'sChicagohomereportedlyseekingevidenceofAAANbeingusedasaconduitforfundingtothePopularFrontfortheLiberationofPalestineandotherMiddleEasternterroristgroups.

TheObamaYouDon’tKnowChapter10:ObamaBringsChicagoPoliticstoWashington

ByRichardPollock,StaffWriterTheWashington[D.C.]Examiner19Sep2012

Chicagohasbeencalledthehomeof"gangstergovernment."Howbadisit?ConsiderthefollowingfactsaboutthecityfromwhichPresidentObamarosethroughtheranksofAmericanpubliclife,fromcommunityorganizerandlocallawyertotheIllinoisstatelegislaturetotheU.S.SenateandfinallytheOvalOffice:*Chicago's2.7millionresidentsmakeuponlyabout21percentofthestateofIllinois'populationofnearly13million.Yetthecityanditssuburbshaveaccountedfor84percentofthestate'spubliccorruptionconvictionsinfederalcourtssince1976,accordingtoastudyreleasedearlierthisyearbytheUniversityofIllinoisatChicago.*Fourofthestate'sprevioussevengovernorswenttojailonpubliccorruptioncharges,asdidathirdofChicagoaldermenwhoservedduringtheperiod.*NewYorkandCaliforniahavehighertotalsforpubliccorruptionconvictions,butIllinoisleadsthenationonapercapitabasis.MichaelBarone,aWashingtonExaminercolumnistandlongtimeco-editorof"TheAlmanacofAmericanPolitics,"coinedtheterm"gangstergovernment"inMay2009inreportinghowObamausedtheGeneralMotorsandChryslerbankruptciestoaidthestrugglingUnitedAutoWorkersunion.Baronedefinedgangstergovernmentasusingthepowersofpublicoffice"totransferthepropertyofonegroupofpeopletoanothergroupthatispoliticallyfavored."Obamawasalittlemoredirectduringthe2010congressionalcampaign,saying,accordingtotheNewYorkTimes,"we'regonnapunishourenemiesandwe'regonnarewardourfriendswhostandwithusonissuesthatareimportanttous."TheGMandChryslerbailoutsfavoredtheUAW,anunsecuredcreditor,oversecuredcreditorsinthefinancialcommunitybyputtingtheunionaheadofthe

financiersinthebankruptcylineforreimbursementoflossesundertheObama-sanctionedMarch2009bailout.And,asBaronepredictedin2009,takingcareofhisfriendswasObama'scharacteristicapproachwhendealingwithdomesticissues.Obama's$787billioneconomicstimulusprogram,forexample,included$499billioninfederalspending,mostofwhichwaschanneledthroughstateandlocalgovernments.Eightofthe10statesgettingthemostcontractsareheavilyDemocratic,withhighlyunionizedstateandlocalgovernmentworkforces,accordingtothelatestavailablestimulusawarddataatrecovery.gov.Californiawith$35billionandNewYorkwith$17billiontoppedthelistofawardrecipients.Illinoiswasfourthwith$12billion,Pennsylvaniasixthwith$9.3billion,Ohioseventhwith$8.9billion,Michiganeighthwith$8.6billion,Washingtonninthwith$8.2billionandMassachusetts10thwith$7.7billion.Thus,morethanafifthofObama'sdirecteconomicstimulusfundswenttoeightstatestosavethejobsofstateandlocalemployees,manyofwhomweremembersofthreepublicemployeeunions,theNationalEducationAssociation,theAmericanFederationofState,CountyandMunicipalEmployeesandtheAmericanFederationofTeachers.Betweenthem,thetrio'spoliticalactioncommitteesandindividualsassociatedwiththeunionsgave$116,965directlytoObama's2008campaign,accordingtoOpenSecrets.org.TheyalsodidindependentexpendituresonObama'sbehalftotalingnearly$4.8million,plus$3.9millionagainsthisopponent,Sen.JohnMcCain.ButithasbeeninObama's"cleanenergy"loanprogramthatgangstergovernmenthasbeenrepeatedlyondisplay,mostfamouslyinthe$573millionSolyndrabankruptcydebacle.Solyndra'smaininvestorwasOklahomabillionaireandObamacampaignbundlerGeorgeKaiser.SolyndrawasthefirstbutnomeansthemostegregiousenergyloandealthatbenefitedObama'sfriends.Whileresearchinghisblockbuster2011book"ThrowThemAllOut,"HooverInstitutionfellowandStanfordUniversityprofessorPeter

Schweizerandhisresearchersfound31Obamabundlersandbigdonorswhosefirmsreceivedmorethan$16billionincleanenergyloansandgrants.ThelistofrecipientsunearthedbySchweizerincludessuchluminariesasformerVicePresidentGore,SiliconValleyventurecapitalkingJohnDoerr,SergeyBrin,DanReicherandLarryPageofGoogle,JimRogersofDukeEnergy,TeslaMotors'ElonMuskandCNNfounderTedTurner.Butoneofthelesser-knownnamesintheSolyndrascandalperhapstellsthestorybetterthanthecelebrities.CathyZoiwasaseniorWhiteHouseenvironmentaladviserduringtheClintonadministration,thenCEOofGore'sAllianceforClimateProtection.UnderObama,shewasappointedassistantsecretaryofenergyforenergyefficiencyandrenewableenergy,apositionthatputheratthecenteroftheapprovalprocessforgreenenergyloansandgrants.FollowingtheSolyndradebacle,ZoileftthegovernmenttoworkforGeorgeSorosasheadofanewcleanenergyinvestmentfundhestarted.SoroshadgottenonboardwithObamain2004bycontributingmorethan$60,000tohisU.S.Senaterace.SoroswasthenoneofObama'searliestandmostgenerousfinancialbackersin2008.AfterObamawontheWhiteHouse,Schweizernotes,Soros"hadregularprivateconsultationsandmeetingswithWhiteHousesenioradviserswhilehewasmakinginvestmentdecisionsrelatedtothestimulusprogram."It'simpossibletodeterminefromcompulsoryfinancialdisclosuredocumentshowmuchprofit,ifany,resultedforSoros,but,asSchweizerpointsout,"SorosseemedtohaveakeenabilitytoanticipatewhatWashingtonwasgoingtodoandpositionhimselftopotentiallyprofithandsomelyfromit."Itcertainlydidn'thurtthatSoroshadpoliticaloperativeslikeZoiinhispocket.AsTheWashingtonExaminer'sTimCarneywroteinFebruary2011,Zoi'stenureattheEnergyDepartment"wasrifewithconflictsofinterest."Herhusband'sfirm,environmentalwindowmakerSeriousMaterials,benefitedfrompresidentialandvicepresidentialvisitstoitsfactoriesandwas"thefirstwindowcompanytopocketastimulustaxcredit--worth$584,000--forinvestinginnewequipment."SoroswasborninHungary

andmadehisfirstfortuneinEurope'smoneymarkets,butitappearsthatheunderstandsthewaygangstergovernmentworksinWashingtonintheageofObama.

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TheObamaYouDon’tKnow

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TheObamaYouDon’tKnowAuthorBio

RichardPollockisaseniorinvestigativereporterfortheWashington Examiner’sWatchdoginvestigativeunit.Hislatestassignmentreflectsa careerspanningfortyyearsinmedia,includingadecadeasabroadcast producerinnetworktelevisionincludingABC’s“GoodMorningAmerica” and“FoxNewsSunday.”HelivesinWashington,DCwithhiswifeKaren HoltzmanandAllie,hischarmingfour-yearoldMaltesemix.

email: rpollock@washingtonexaminer.com