One can wonder if there is anyone left who has any confidence at all in the financial integrity of those handling government funds. Perhaps your local parks department or library district is free of corruption, but it doesn’t take too much movement up the ladder to run into some rather ugly facts. And those facts are that money is spent on things for which it was not allocated, that much of the funds that are spent are poorly accounted for, and that the system is rife with fraud.
This means that some groups are being cheated while others benefit at their expense. We just don’t know the degree to which this is happening because federal bookkeeping is just that bad or corrupted. Billions vanish, leaving no trail. This can continue far longer than we might guess, but it cannot continue forever.
One motivation for the fraud going on is political. For example, up to $100 billion paid to the U.S. Treasury from Fannie Mae and Freddie Mac has been diverted to prop up Obamacare. Barring this diversion of funds, one might reason that Mr. Obama’s health care program would have fallen flat on its face. Regardless of the result, President Trump needs to bring this to an end immediately.
“In the face of Congressional Republicans’ failure to repeal Obamacare despite having a half-decade to brainstorm a repeal plan, President Donald Trump has since decided to attack the law through executive order. Last week he took actions to significantly weaken the law, actions which lead CNN’s Anderson Cooper to remark ‘Never have we seen a president so seemingly bent on reversing, negating, even obliterating his predecessor’s signature accomplishments.'”
Well Mr. Cooper, never have we witnessed “signature accomplishments” of a president, such as those of Mr. Obama, that have been in such desperate need of being reversed, negated, and even obliterated. So, deal with that.
“If Trump truly wants to deal the coup de grâce to Obamacare, there’s still a massive source of funding for the law that Barack Obama deceptively implemented, and it relates to the one last piece of unfinished business from the past financial crisis: the status of mortgage giants Fannie Mae and Freddie Mac.”
The financial crisis of 2007-08 was the progenitor of all sorts of desperate and nefarious actions by officials to try to prevent the end of the world as they saw it. Fannie and Freddie were bailed out under the condition that bail-out funds would be paid back to the government with interest as they became profitable. They did become profitable and did starting sending the profits to the Treasury. But the Obama administration then diverted those loan repayments to fund an entirely unrelated program, Obamacare.
“Our current Treasury Secretary Steve Mnuchin has already admitted what many had speculated: that the funds were being used to fund Obamacare.”
So, here’s the problem and its solution President Trump can implement:
“As a result of all their profits being confiscated, Fannie and Freddie can’t hold any cash reserves of their own. Therefore, any quarter in which the enterprises are unprofitable (which will be inevitable, given that another recession will come eventually), the American taxpayer will be required to make up the difference.
“Why expose the taxpayer to risk to continue funding Obama’s failure? With the stroke of a pen Trump could kill two birds with one stone: by cutting off the stream of Fannie and Freddie’s funds towards the Treasury, he can end Obamacare funding and protect taxpayers.”
President Trump, pull the plug on this diversion of funds and end Obamacare as we know it.
As an added benefit, you’ll get the attention of Congress which might then get to work on replacing this deeply flawed creation of Mr. Obama once and for all.
Source: Allen West