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Over the past week the media was gripped by the news that the FBI was about to charge Bruce Ivins, a leading anthrax expert, as the man responsible for the anthrax letter attacks in September/October 2001. But despite the seemingly powerful narrative that Ivins committed suicide because investigators were closing in, this is still far from a shut case. The FBI needs to explain why it zeroed in on Ivins, how he could have made the anthrax mailed to lawmakers and the media, and how he (or anyone else) could have pulled off the attacks, acting alone. The spores could not have been produced at the U.S. Army Medical Research Institute of Infectious Diseases, where Ivins worked, without many other people being aware of it. Furthermore, the equipment to make such a product does not exist at the institute. The product contained essentially pure spores. The particle size was 1.5 to 3 microns in diameter. There are several methods used to produce anthrax that small. But most of them require milling the spores to a size small enough that it can be inhaled into the lower reaches of the lungs. In this case, however, the anthrax spores were not milled. They were also tailored to make them potentially more dangerous. The spores were coated with a polyglass which tightly bound hydrophilic silica to each particle. Each particle was given a weak electric charge, thereby causing the particles to repel each other at the molecular level. This made it easier for the spores to float in the air, and increased their retention in the lungs. In short, the potential lethality of anthrax in this case far exceeds that of any powdered product found in the now extinct U.S. Biological Warfare Program.
Dr Edgar Mitchell said he was aware of several UFO visits during his career, but each one had been covered up. The 77-year-old, who was a crew member of the Apollo 14 mission, said sources at the space agency had described aliens as resembling "little people who look strange to us". Dr Mitchell told Kerrang! Radio that human technology was "not nearly as sophisticated" as theirs and had they been hostile, he warned: "We would be been gone by now". He said: "There's not much question at all that there's life throughout the universe, we are not alone at all. I'm most assured about that. I happen to have been privileged enough to be in on the fact that we've been visited on this planet and the UFO phenomena is real. It's been well covered up by all our governments for the last 60 years or so, but slowly it's leaked out and some of us have been privileged to have been briefed on some of it. I've been in military and intelligence circles, who know that beneath the surface of what has been public knowledge, yes – we have been visited. Dr Mitchell, along with Apollo 14 Commander Alan Shepard, still holds the record for the longest ever moonwalking session at nine hours and 17 minutes following their 1971 mission. Officials from NASA, were quick to play the comments down. In a statement, a spokesman said: "NASA does not track UFOs. NASA is not involved in any sort of cover up about alien life on this planet or anywhere in the universe.
Note: For more, read Edgar Mitchell's testimony on a major cover-up of UFOs. Then explore the highly reliable resources presented in our UFO Information Center.
Auditors at a Pentagon oversight agency were pressured by supervisors to skew their reports on major defense contractors to make them look more favorable instead of exposing wrongdoing and charges of overbilling, according to an 80-page report released yesterday by the Government Accountability Office. The Defense Contract Audit Agency, which oversees contractors for the Defense Department, "improperly influenced the audit scope, conclusions and opinions" of reviews of contractor performance, the GAO said, creating a "serious independence issue." The report does not name the projects or the contractors involved, but staff members on the Senate Homeland Security and Governmental Affairs Committee who were briefed on the findings cited seven contractors, some of whom are among the biggest in the defense industry: Boeing, Northrop Grumman, Fluor, Parker Hannifin, Sparta, SRS Technologies and a subsidiary of L3 Communications. Supervisors at DCAA attempted to intimidate auditors, prevented them from speaking with GAO investigators and created a "generally abusive work environment," the report said. It cited incidents of "verbal admonishments, reassignments and threats of disciplinary action" against workers who "raised questions about management guidance." The GAO said it launched the two-year inquiry after complaints on a fraud hotline. Its investigators conducted more than 100 interviews of 50 people involved in audits between 2003 and 2007.
Note: For eye-opening reports on government corruption from reliable sources, click here.
The two-star general who led an Army investigation into the horrific detainee abuse at Abu Ghraib has accused the Bush administration of war crimes and is calling for accountability. In his 2004 report on Abu Ghraib, then-Major General Anthony Taguba concluded that "numerous incidents of sadistic, blatant, and wanton criminal abuses were inflicted on several detainees." He called the abuse "systemic and illegal." And, as Seymour M. Hersh reported in The New Yorker, he was rewarded for his honesty by being forced into retirement. Now, in a preface to a Physicians for Human Rights report based on medical examinations of former detainees, Taguba adds an epilogue to his own investigation. The new report, he writes, "tells the largely untold human story of what happened to detainees in our custody when the Commander-in-Chief and those under him authorized a systematic regime of torture. This story is not only written in words: It is scrawled for the rest of these individual's lives on their bodies and minds. The profiles of these eleven former detainees, none of whom were ever charged with a crime or told why they were detained, are tragic and brutal rebuttals to those who claim that torture is ever justified. In order for these individuals to suffer the wanton cruelty to which they were subjected, a government policy was promulgated to the field whereby the Geneva Conventions and the Uniform Code of Military Justice were disregarded. The UN Convention Against Torture was indiscriminately ignored. There is no longer any doubt as to whether the current administration has committed war crimes."
Note: For many revealing reports on the brutal realities of the Iraq and Afghanistan wars, click here.
The framework under which detainees were imprisoned for years without charges at Guantanamo and in many cases abused in Afghanistan wasn't the product of American military policy or the fault of a few rogue soldiers. It was largely the work of five White House, Pentagon and Justice Department lawyers who, following the orders of President Bush and Vice President Dick Cheney, reinterpreted or tossed out the U.S. and international laws that govern the treatment of prisoners in wartime, according to former U.S. defense and Bush administration officials. The Supreme Court now has struck down many of their legal interpretations. The quintet of lawyers, who called themselves the “War Council," drafted legal opinions that circumvented the military's code of justice, the federal court system and America's international treaties in order to prevent anyone ... from being held accountable for activities that at other times have been considered war crimes. The international conventions ... to which [the US is] a party, were abandoned in secret meetings among the five men in one another's offices: ... David Addington, the ... longtime legal adviser and now chief of staff to Cheney [whose] primary motive, according to several former administration and defense officials, was to push for an expansion of presidential power that Congress or the courts couldn't check; Alberto Gonzales, first the White House counsel and then the attorney general; William J. Haynes II, the former Pentagon general counsel; former Justice Department lawyer John Yoo, [and] Timothy E. Flanigan, a former deputy to Gonzales.
Note: Virtually no major media other than the Herald picked up this key story.
The U.S. military hid the locations of ... detainees and concealed harsh treatment to avoid the scrutiny of the International Committee of the Red Cross, according to documents that a Senate committee released. "We may need to curb the harsher operations while ICRC is around. It is better not to expose them to any controversial techniques," Lt. Col. Diane Beaver, a military lawyer, said during an October 2002 meeting at the Guantanamo Bay prison. Her comments were recorded in minutes of the meeting. At that same meeting, Beaver also appeared to confirm that U.S. officials at another detention facility — Bagram Air Base in Afghanistan — were using sleep deprivation to "break" detainees. "True, but officially it is not happening," she is quoted as having said. [Another] person at the meeting, Jonathan Fredman, the chief counsel for the CIA's Counterterrorism Center, disclosed that detainees were moved routinely to avoid the scrutiny of the ICRC, which keeps tabs on prisoners in conflicts around the world. "In the past when the ICRC has made a big deal about certain detainees, the DOD (Defense Department) has 'moved' them away from the attention of the ICRC," Fredman said. The document, along with two dozen others, shows that top administration officials pushed relentlessly for tougher interrogation methods. Fredman of the CIA also appeared to be advocating the use of techniques harsher than those authorized by military field guides. "If the detainee dies, you're doing it wrong," the minutes report Fredman saying at one point.
Note: For many revealing reports on the brutal realities of the Iraq and Afghanistan wars, click here.
The Army official who managed the Pentagon’s largest contract in Iraq says he was ousted from his job when he refused to approve paying more than $1 billion in questionable charges to KBR, the Houston-based company that has provided food, housing and other services to American troops. The official, Charles M. Smith, was the senior civilian overseeing the multibillion-dollar contract with KBR during the first two years of the war. Speaking out for the first time, Mr. Smith said that he was forced from his job in 2004 after informing KBR officials that the Army would impose escalating financial penalties if they failed to improve their chaotic Iraqi operations. Army auditors had determined that KBR lacked credible data or records for more than $1 billion in spending, so Mr. Smith refused to sign off on the payments to the company. “They had a gigantic amount of costs they couldn’t justify,” he said in an interview. But he was suddenly replaced, he said, and his successors — after taking the unusual step of hiring an outside contractor to consider KBR’s claims — approved most of the payments he had tried to block. Mr. Smith’s account fills in important gaps about the Pentagon’s handling of the KBR contract, which has cost more than $20 billion so far and has come under fierce criticism from lawmakers. Mr. Smith ... is giving his account just as the Pentagon has recently awarded KBR part of a 10-year, $150 billion contract in Iraq.
Note: For a summary of US Marine Corps General Smedley Butler's book on war profiteering, click here.
In his new memoir, What Happened, Scott McClellan, the former White House press secretary, said the national news media neglected their watchdog role in the run-up to the invasion of Iraq, calling reporters “complicit enablers” of the Bush administration’s push for war. Surprisingly, some prominent journalists have agreed. Katie Couric, the anchor of “CBS Evening News,” said ... that she had felt pressure from government officials and corporate executives to cast the war in a positive light. Speaking on “The Early Show” on CBS, Ms. Couric said the lack of skepticism shown by journalists about the Bush administration’s case for war amounted to “one of the most embarrassing chapters in American journalism.”She also said she sensed pressure from “the corporations who own where we work and from the government itself to really squash any kind of dissent or any kind of questioning of it.” At the time, Ms. Couric was a host of “Today” on NBC. Another broadcast journalist also weighed in. Jessica Yellin, who worked for MSNBC in 2003 and now reports for CNN, said ... that journalists had been “under enormous pressure from corporate executives, frankly, to make sure that this was a war presented in a way that was consistent with the patriotic fever in the nation.” For five years, antiwar activists and media critics have claimed that the national news media failed to keep the White House accountable before the invasion. Greg Mitchell, the author of So Wrong for So Long, a book about press and presidential failures on the war, argues that some media organizations have yet to come to terms with their role.
Note: For a powerful overview of the media cover-up by top, award-winning journalists, click here.
[News anchor LOU DOBBS:] Open borders advocates are refusing to acknowledge rising evidence of plans for a NAFTA superhighway. Many in the mainstream media absolutely refuse to acknowledge the reality. The plans could be a major step toward that North American Union of the United States, Canada and Mexico. BILL TUCKER, CNN Correspondent: There is no NAFTA superhighway. Not officially. In Texas planning a development is under way for what are officially called transportation corridors. The Trans Texas Corridor, I-69, a combination of rail lines, utility lines, car and truck lanes, [is planned] to be as wide as three football fields laid end to end. It will be financed by a private foreign company ... who will then own the lease on the road and the revenue generated by the tolls. Texas may use eminent domain to lay claim to some of the land needed to build it. For an imaginary road there's a lot of money and effort involved [and] some very real opposition. TERRI HALL, TEXASTURF.ORG: There's just no doubt that this is happening. We've been to the public hearings. We've seen the presentations. We've seen the documents. We waded through them and there's a whole lot more groups besides just ours. And we've got Farm Bureau, Sierra Club, a whole host of groups from the left and the right. TUCKER: In Kansas a resolution opposing the superhighway overwhelmingly passed the State House.
Note: To watch a video of this Lou Dobbs Tonight segment, click here.
David Rothkopf's Superclass [can be viewed] as a map of how the world really works. Rothkopf, a former managing director of Kissinger Associates and an international trade official in the Clinton Administration, has identified roughly 6,000 individuals who have "the ability to regularly influence the lives of millions of people in multiple countries worldwide" ... with a growing allegiance ... to each other rather than to any particular nation. Rothkopf [cites] the Pareto principle of distribution, or the "80/20 rule," whereby 20 percent of the causes of anything are responsible for 80 percent of the consequences. That means 20 percent of the money-makers make 80 percent of the money and 20 percent of the politicians make 80 percent of the important decisions. That 20 percent belongs to the superclass. Superclass ... is as much about who is not part of the superclass as who is. As I read Rothkopf's chronicles of elite gatherings -- Davos, Bilderberg, the Bohemian Grove (all male), Fathers and Sons (all male) -- I was repeatedly struck by the near absence of women. When Rothkopf summarizes "how to become a member of the superclass," his first rule is "be born a man." Only 6 percent of the superclass is female. Superclass is written in part as a consciousness-raising exercise for members of the superclass themselves. Rothkopf worries that "the world they are making" is deeply unequal and ultimately unstable. But it's likely to take more than exhortation. In the words of former Navy Secretary John Lehman, "Power corrupts. Absolute power is kind of neat." Why would the superclass want to give it up?
Note: The website www.theyrule.net allows visitors to trace the connections between individuals who serve on the boards of top corporations, universities, think thanks, foundations and other elite institutions. For lots more on secret societies, click here.
In the summer of 2005, the Bush administration confronted a fresh wave of criticism over Guant�namo Bay. The detention center had just been branded �the gulag of our times� by Amnesty International, there were new allegations of abuse from United Nations human rights experts and calls were mounting for its closure. The administration�s communications experts responded swiftly. Early one Friday morning, they put a group of retired military officers on one of the jets normally used by Vice President Dick Cheney and flew them to Cuba for a carefully orchestrated tour of Guant�namo. To the public, these men are members of a familiar fraternity, presented tens of thousands of times on television and radio as �military analysts� whose long service has equipped them to give authoritative and unfettered judgments about the most pressing issues of the post-Sept. 11 world. Hidden behind that appearance of objectivity, though, is a Pentagon information apparatus that has used those analysts in a campaign to generate favorable news coverage of the administration�s wartime performance. The effort, which began with the buildup to the Iraq war and continues to this day, has sought to exploit ideological and military allegiances, and also a powerful financial dynamic: Most of the analysts have ties to military contractors vested in the very war policies they are asked to assess on air. Those business relationships are hardly ever disclosed to the viewers. But collectively, the men on the plane and several dozen other military analysts represent more than 150 military contractors either as lobbyists, senior executives, board members or consultants.
Note: This excellent article should be read in its entirety. For a related video presentation, click here. For an analysis, click here.
In dozens of top-secret talks and meetings in the White House, the most senior Bush administration officials discussed and approved specific details of how high-value al Qaeda suspects would be interrogated by the Central Intelligence Agency, sources tell ABC News. The so-called Principals who participated in the meetings also approved the use of "combined" interrogation techniques -- using different techniques during interrogations, instead of using one method at a time -- on [captives] who proved difficult to break, sources said. The high-level discussions about these "enhanced interrogation techniques" were so detailed, these sources said, some of the interrogation sessions were almost choreographed -- down to the number of times CIA agents could use a specific tactic. The advisers were members of the National Security Council's Principals Committee, a select group of senior officials who met frequently to advise President Bush on issues of national security policy. At the time, the Principals Committee included Vice President Cheney, former National Security Advisor Condoleezza Rice, Defense Secretary Donald Rumsfeld and Secretary of State Colin Powell, as well as CIA Director George Tenet and Attorney General John Ashcroft. Rice chaired the meetings, which took place in the White House Situation Room and were typically attended by most of the principals or their deputies. According to multiple sources, it was members of the Principals Committee that not only discussed specific plans and specific interrogation methods, but approved them. The Principals also approved interrogations that combined different methods, pushing the limits of international law and even the Justice Department's own legal approval in the [infamous] 2002 memo.
The members of Mike Hurley's [9/11 Commisson investigative] team were ... alarmed by the revelations, week by week, month by month, of how close the commission's chief director, Philip Zelikow, was to Rice and others at the White House. They learned early on about Zelikow's work on the Bush transition team in 2000 and early 2001, and about how much antipathy there was between him and ["Counterterrorism Czar"] Richard Clarke. They heard the stories about Zelikow's role in developing the "pre-emptive war" strategy at the White House in 2002. Zelikow's friendships with Rice and others were a particular problem for Warren Bass, since Rice and Clarke were at the heart of his part of the investigation. It was clear to some members of team that they could not have an open discussion in front of Zelikow about Rice and her performance as National Security Adviser. For Hurley's team, there was a reverse problem with Clarke. It was easy to talk about Clarke in Zelikow's presence, as long as the conversation centred on Clarke's failings at the NSC and his purported dishonesty. Long before Bass had seen Clarke's files, Zelikow made it clear to the team's investigators that Clarke should not be believed, that his testimony would be suspect. He argued that Clarke was a braggart who would try to rewrite history to justify his errors and slander his enemies, Rice in particular.
Note: This critique of the close ties to the White House of Philip Zelikow, Executive Director of the 9/11 Commission, is an excerpt from Philip Shenon's new book, The Commission: The Uncensored History of the 9/11 Investigation. For an even deeper analysis of the Commission's failings, read WantToKnow.info team member David Ray Griffin's book, The 9/11 Commission Report: Omissions and Distortions.
The Bush Administration was wrong about the benefits of the war and it was wrong about the costs of the war. The president and his advisers [forecast] a quick, inexpensive conflict. Instead, we have a war that is costing more than anyone could have imagined. The cost of direct US military operations - not even including long-term costs such as taking care of wounded veterans - already exceeds the cost of the 12-year war in Vietnam and is more than double the cost of the Korean War. And, even in the best case scenario, these costs are projected to be almost ten times the cost of the first Gulf War, almost a third more than the cost of the Vietnam War, and twice that of the First World War. The only war in our history which cost more was the Second World War, when 16.3 million U.S. troops fought in a campaign lasting four years, at a total cost (in 2007 dollars, after adjusting for inflation) of about $5 trillion. Most Americans have yet to feel these costs. The price in blood has been paid by our voluntary military and by hired contractors. The price in treasure has, in a sense, been financed entirely by borrowing. Taxes have not been raised to pay for it - in fact, taxes on the rich have actually fallen. Deficit spending gives the illusion that the laws of economics can be repealed, that we can have both guns and butter. But of course the laws are not repealed. The costs of the war are real even if they have been deferred, possibly to another generation. From the unhealthy brew of emergency funding, multiple sets of books, and chronic underestimates of the resources required to prosecute the war, we have attempted to identify how much we have been spending - and how much we will, in the end, likely have to spend. The figure we arrive at is more than $3 trillion. Our calculations are based on conservative assumptions.
Note: For many reports from major media sources which reveal massive war profiteering, click here.
Once a month, Pakistan's Defense Ministry delivers 15 to 20 pages of spreadsheets to the U.S. Embassy in Islamabad. They list costs for feeding, clothing, billeting and maintaining 80,000 to 100,000 Pakistani troops in the volatile tribal area along the Afghan border. No receipts are attached. In response, the Defense Department has disbursed about $80 million monthly, or roughly $1 billion a year for the past six years, in one of the most generous U.S. military support programs worldwide. But vague accounting, disputed expenses and suspicions about overbilling have recently made these payments to Pakistan highly controversial -- even within the U.S. government. Questions have already been raised about where the money went and what the Bush administration got in return. In perhaps the most disputed series of payments, Pakistan received about $80 million a month in 2006 and 2007 for military operations during cease-fires with pro-Taliban tribal elders along the border, including a 10-month truce in which troops returned to their barracks. U.S. officials say the payments to Pakistan -- which over the past six years have totaled $5.7 billion -- were cheap compared with expenditures on Iraq, where the United States now spends at least $1 billion a week on military operations alone. Congressional officials and others are concerned that the administration has been so eager to prop up Musharraf that it overlooked U.S. foreign aid and accounting standards. A congressional oversight subcommittee is also set to begin an investigation next month, while the Government Accountability Office plans to finish its own inquiry in April.
The Bush administration has been posting hundreds of highly confidential U.N. audits and investigation reports on a U.S. government Web site, opening the United Nations' inner workings and some of its more colorful scandals to unusual public scrutiny. Together, the nearly 500 documents and thousands of pages constitute a trove of U.N. secrets stretching back over five years, including allegations of bribes paid for tsunami relief projects in Indonesia, of sexual harassment in Gaza and a revelation that a U.N. anti-drug official ran a presidential campaign while receiving a U.N. paycheck. The pages also document a spree of alleged criminal activities, including a bribery scheme at the airport in Pristina, Kosovo, gold trading by U.N. peacekeepers in Congo, and the theft and resale of food rations by Ukrainian pilots serving the United Nations in Liberia. Mark D. Wallace, the U.S. representative for U.N. management and reform, has posted 477 documents. Most of the names of those targeted in the reports have been redacted by the United Nations, but the identities are easily deciphered. For years, the United Nations has guarded the confidentiality of its audits, saying they are meant as constructive criticism for managers. Their disclosure by the United States has generated a mixed reaction from U.N. officials: One said it was ironic that an administration that has placed such a premium on secrecy would be so transparent about the United Nations.
Note: For many reliable reports on increasing government secrecy, click here.
On the morning of 9 February 2004, The New York Times carried an exclusive and alarming story. The paper's Baghdad correspondent, Dexter Filkins, reported that US officials had obtained a 17-page letter, believed to have been written by the notorious terrorist Abu Musab al Zarqawi to the "inner circle" of al-Qa'ida's leadership, urging them to accept that the best way to beat US forces in Iraq was effectively to start a civil war. The story went on to news agency wires and, within 24 hours, it was running around the world. There is very good reason to believe that that letter was a fake – and a significant one because there is equally good reason to believe that it was one product among many from a new machinery of propaganda which has been created by the United States and its allies since the terrorist attacks of September 2001. For the first time in human history, there is a concerted strategy to manipulate global perception. And the mass media are operating as its compliant assistants, failing both to resist it and to expose it. The sheer ease with which this machinery has been able to do its work reflects a creeping structural weakness which now afflicts the production of our news. The "Zarqawi letter" which made it on to the front page of The New York Times in February 2004 was one of a sequence of highly suspect documents which were said to have been written either by or to Zarqawi and which were fed into news media. This material is being generated, in part, by intelligence agencies who continue to work without effective oversight; and also by a new ... structure of "strategic communications" which was originally designed ... in the Pentagon and Nato.
Note: This article is an edited excerpt from investigative journalist Nick Davies' new book, Flat Earth News: an award-winning reporter exposes falsehood, distortion and propaganda in the global media. To read about or purchase it, click here. For a highly revealing two-page summary of 20 award-winning journalists describing how huge stories they tried to report were shut down by corporate media ownership, click here.
A piece of JFK assassination history now lies buried in the most unlikely of places: a former limestone quarry in Kansas. It is the end – at least for now – in the long and sometimes strange journey of Parkland Memorial Hospital Trauma Room No. 1, where President John F. Kennedy died on Nov. 22, 1963. The entire room was purchased by the federal government 35 years ago, when Parkland officials decided to modernize their emergency facilities. It was dismantled and the contents – all of them, the examination table, clocks, floor tiling, lockers, trash cans, surgical instruments, gloves, cotton balls, even a towel dispenser – were placed in a locked vault in a Fort Worth warehouse run by the National Archives and Records Administration. The artifacts lay undisturbed there until September, when they were moved to an archives facility in Lenexa, Kan., a suburb of Kansas City, Mo. "It's in a secure location," Reed Whitaker, the agency's Central Plains Region administrator, confirmed last week. And in a comment guaranteed to get the conspiracy theorists going, he added: "Basically, it's not to be examined, not to be shown to the press, not to be photographed, not to be exhibited to the public." Under the sale agreement between Parkland and the federal government, archives officials agreed to close the trauma room and its contents to the public, saying that they wanted to shield the pieces from exploitation. A formal request in 2000 from The Dallas Morning News to view and photograph the artifacts was summarily rejected.
Note: For a treasure trove of revealing stories from reliable sources on major assassinations, click here.
Since 9/11, and seemingly without the notice of most Americans, the federal government has assumed the authority to institute martial law, arrest a wide swath of dissidents (citizen and noncitizen alike), and detain people without legal or constitutional recourse in the event of "an emergency influx of immigrants in the U.S., or to support the rapid development of new programs." Beginning in 1999, the government has entered into a series of single-bid contracts with Halliburton subsidiary Kellogg, Brown and Root (KBR) to build detention camps at undisclosed locations within the United States. The government has also contracted with several companies to build thousands of railcars, some reportedly equipped with shackles, ostensibly to transport detainees. According to diplomat and author Peter Dale Scott, the KBR contract is part of a Homeland Security plan titled ENDGAME, which sets as its goal the removal of "all removable aliens" and "potential terrorists." What kind of "new programs" require the construction and refurbishment of detention facilities in nearly every state of the union with the capacity to house perhaps millions of people? The 2007 National Defense Authorization Act (NDAA) ... gives the executive the power to invoke martial law. The Military Commissions Act of 2006 ... allows for the indefinite imprisonment of anyone who ... speaks out against the government's policies. The law calls for secret trials for citizens and noncitizens alike. What could the government be contemplating that leads it to make contingency plans to detain without recourse millions of its own citizens?
Note: This important warning from former U.S. Congressman Dan Hamburg and Lewis Seiler should be read in its entirety. For more chilling reports on serious threats to our civil liberties, click here.
Congress is about to sell us the biggest fraud in American history. It's been highly touted as an economic stimulus bill that will help millions of Americans. As part of the bill, Congress is set to rush through an increase in the mortgage loan limits for Fannie Mae and Freddie Mac (and Federal Housing Administration insurance, too) - from $417,000 to $729,750 - the first step toward a massive financial disaster in which taxpayers will end up paying through the nose. Now, thanks to Congress, junk bond investors will be able to pawn off their bad debt to Fannie and Freddie. This shift will certainly doom Fannie Mae and Freddie Mac, so don't be surprised if we, the taxpayers, have to bail out poor Fannie and Freddie - to the tune of more than $1 trillion. The irony here is that the collapse in housing prices could make Fannie insolvent even without raising the loan limit. Increasing Fannie's limit is like going on a spending spree with your credit cards because you know you are going to file for bankruptcy in a few months. Only here the taxpayer is left holding the bag. Our children will pay interest on this debt in perpetuity. It is our debt. It is inescapable. In the coming months, Fannie and Freddie will buy up mortgages based on old, fraudulent appraisals and on loans with bogus inflated incomes. Unfortunately, many of these loans will still default. Expansion of Fannie and Freddie's reckless lending is exactly what Congress wants because it's plausibly deniable. Teary-eyed lawmakers can take to the airwaves a year from now and declare: "We had no idea Fannie could go under, but we can't cut and run now. Those same lawmakers won't mention the fact that they get paid far more by real estate lobbyists than they do from our Treasury.
Note: The author wrote this article seven months before the collapse of Fannie Mae and eight months before the huge banking bailout. For more news articles suggestion major manipulations to transfer public tax monies to the banking sector, click here.
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