Obama Judicial Nominee Meets Republican Resistance

By Chingyu Wang-Talk Radio News Service

Republicans strongly challenged the record of Goodwin Liu, an Obama nominee for the 9th Circut Court of Appeals, Friday during the UC Berkley professor’s appearance before the Senate Judiciary Committee.

"The nominee has not been in court and tried cases. He's never tried a case, never argued a case on appeal. Therefore, [Liu] lacks the normal experience we look for,” Sen. Jeff Sessions (R-Ala.), the committee’s top Republican, argued.

Sessions also expressed dissatisfaction with a statement the nominee had made in regard to the nomination of Supreme Court Justice Sam Alito.

"Judge Alito's record envisions an America where police may shoot and kill an unarmed boy to stop him from running away with a stolen purse, where federal agents may point guns at ordinary citizens during a raid, even after no sign of resistance, where the FBI may install a camera where you sleep... where a black man may be sentenced to death by an all-white jury for killing a white man,” Sessions read, quoting Liu.

Commented Sessions, “I do think that's unfair."

Senate Minority Whip Jon Kyl (R-Ariz.) echoed Sessions’ sentiments, and claimed the comments were "vicious and emotionally and racially charged."

In addition, Sessions took Liu to task for failing to list a number of speaking engagements in a questionnaire requested by the Committee.

"I submitted all these items to the committee in the interest of providing the fullest possible information for your consideration," Liu said in response. "I am sorry that the list is long, and I am sorry that I missed things the first time."

Supreme Court Asks For Nearly $4 Million More Than Previous Year

By Chingyu Wang-Talk Radio News Service

The Supreme Court needs nearly $4 million more than it has the previous year, Supreme Court Justice Clarence Thomas told members of the House Appropriations Committee Thursday.

"We have, as in previous years, been very serious about our responsibility to review our budget needs," Thomas said, addressing the Court's $77 million budget request. "I emphasize the word 'needs.' We do not look at this as wants or a wish list."

Thomas said the increase of $3,724,000 from the last budget request was an unavoidable adjustment.

"70% of that increase is non-discretionary, it's mandatory. It is basically what is required to continue operating at our current level."

Thomas noted that a $122 million modernization project started in 2003 for the Court's iconic building will be completed soon.

"It's expected to be done this summer, with the closed off activities drifting into the early part of next year," said Thomas.

New Workers' Rights Bill Will Pass This Year, Sen. Menendez Predicts

By Chingyu Wang-Talk Radio News Service

Sen. Robert Menendez (D-NJ) said on Wednesday that the Protect Our Workers from Exploitation and Retailation (POWER) Act is under review and is likely to get the 60 votes in November 2010.

"It may very well be in November the lame duck session, when members, who have retired or not going to run again, whose heart and mind says this is the right thing but maybe whose politics says to them no, would be willing to vote," said Menendez.

The POWER Act essentially seeks to prevent employers from using deportation as a threat against immigrant workers.

Menendez, who introduced the bill Wednesday, was joined by civil rights leader Jessie Jackson and a number of other activists.

"This bill will help our economy by making sure American workers and immigrant workers are treated fairly alike," Menendez added.

Competition Made Fannie Mae Take Risks, Says Former Executive

By Chingyu Wang-Talk Radio News Service

Former executives from mortgage lenders Fannie Mae told the Financial Crisis Inquiry Commission Friday that a highly competitive market led the company to back riskier mortgages, a move that ultimately led to the mortgage giant's collapse.

“Fannie Mae’s volume of business relative to the market continued to decrease to a level where we were concerned about losing relevance in the marketplace," Former Fannie Mae Executive Vice President Robert Levin said.

Levin added that private-label mortgage-backed securities (PLS), or mortgages that did not have government support, played a key role in influencing the company.

“Many of the new products funded by PLS had features that attracted low-income borrowers, which threatened our ability to meet our [government] mandated housing goals," Levin explained.

Fannie Mae and Freddie Mac have received $125.9 billion in government assistance to date and are expected to receive a total of $161 billion by 2019.

Entire Financial System Responsible For The Crisis, Say Former Citigroup Executives

By Chingyu Wang-Talk Radio News Service

Two top executives from Citigroup Inc., a major issuer of subprime mortgages, told the Financial Crisis Inquiry Commission Thursday that blame for the failure to deter the financial crisis lies with the financial system as a whole.

"Almost all of us involved in the financial system, including financial firms, regulators, rating agencies, analysts, and commentators, missed the powerful combination of forces at work and the serious possibility of a massive crisis," said former Chairman of Citigroup Executive Committee Robert Rubin.

Former Chairman and CEO of Citigroup Charles Prince said he believes that the financial crisis originated from the long period of low interest rates, which ultimately led to a dramatic growth in securitized products.

"The rating agencies dramatically downgraded their ratings on the securitized products collateralized by these subprime loans," said Prince.

Prince said that everyone believed "these securities held virtually no risk- a perception strongly reinforced by the above AAA rating bestowed by the rating agencies."