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Obama’s Creepy & Dictatorial $20 Billion Dollar Ultimatum To BP
Written By : John Hawkins

One of the sad realities of politics is that telling an easily demagogued truth can often get you in trouble, not because of what you said, but because of how it will be falsely portrayed. Joe Barton is getting a taste of that, right now:

House Minority Leader John Boehner (R-Ohio) broke with a top Republican on Thursday who suggested BP had suffered a “shakedown” by being forced to set up a $20 billion fund to pay out damages.

Boehner distanced himself from remarks by Rep. Joe Barton (R-Texas) lamenting the BP fund, with the GOP leader expressing thanks for the fund.

“They’ve agreed to put this $20 billion dollars in escrow,” Boehner said during an appearance on Fox News. “I don’t know what context Mr. Barton was making that remark, but,I’m glad BP has accepted responsibility for their actions.”

Barton, the ranking member of the House Energy and Commerce Committee, said during opening statements at a hearing in which BP CEO Tony Hayward will testify that President Barack Obama and his administration had created a “slush fund” in the $20 billion fund.

“It is a tragedy of the first proportion that a private corporation can be subjected to what I would characterize as a shakedown, in this case a $20 billion shakedown,” Barton said.

It’s great that there’s a $20 billion fund to pay off damages related to this oil spill. There are a lot of people who’ve been hurt by it. Fishermen, the tourism industry — and the massive clean up efforts are going to go on for years. Heck, there’s  even a small upside to this for BP: they now have a firm number that they can point to when people ask how much this is going to hurt the company.

That being said, the way Obama handled this came across as lawless, creepy, and dictatorial.

Tomorrow, I will meet with the chairman of BP and inform him that he is to set aside whatever resources are required to compensate the workers and business owners who have been harmed as a result of his company’s recklessness. And this fund will not be controlled by BP. In order to ensure that all legitimate claims are paid out in a fair and timely manner, the account must and will be administered by an independent, third party.

First of all, it’s worth noting that Obama lied through his teeth about having the fund “administered by an independent, third party.” The government will be controlling the fund.

But, this is not a statement that should have ever come out of the mouth of an American President.

I will meet with the chairman of BP and inform him that he is to set aside whatever resources are required…

What is this, Cuba? Venezuela? I thought we had laws in this country? Since when does the President of the United States arbitrarily get to decide how much money a privately owned company has to give the government and then tell  it   there  is   no choice other than to do it? What happens if BP  wouldn’t go along? Would the CEO have woken up with a horse’s head in his bed? Would Obama have seized his company, Hugo Chavez style?

Now, you may say, “Well, they screwed up big time. They should be paying 20 billion dollars!”

I wouldn’t disagree with that.

However, the process matters. It’s the process that separates us from banana republics and dictatorships. If we say it’s okay for the President  of  the United States to go above the law because everyone is mad at BP right now, what do we say when he arbitrarily targets another company in the name of “social justice” or “global warming?”

This is not a man who respects democracy and even liberals should be alarmed about that.

Update #1: Joe Barton, after undoubtedly being tongue lashed behind closed doors for giving the Dems some ammo, has now reversed himself.

“I apologize for using the term ‘shakedown’ with regard to yesterday’s actions at the White House in my opening statement this morning, and I retract my apology to BP. As I told my colleagues yesterday and said again this morning, BP should bear the full financial responsibility for the accident on their lease in the Gulf of Mexico. BP should fully compensate those families and businesses that have been hurt by this accident. BP and the federal government need to stop the leak, clean up the damage, and take whatever steps necessary to prevent a similar accident in the future.

I regret the impact that my statement this morning implied that BP should not pay for the consequences of their decisions and actions in this incident.”

Remember what I said at the start of the post about “telling an easily demagogued truth?” Politically, this probably makes sense.

PS: Let me also add that in all fairnes,s “shakedown” may not have been the best term. I think, “make him an offer he can’t refuse” fits the situation a little better.

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  • Mr. EMT

    Never fear!
    The left will have a very sincere reason why this is not blackmail/extortion.
    No doubt this will go towards putting crosses up for all the dolphins that are dying.

    Obamao lies, and dolphins die ~Mr. EMT

    • D-Vega

      Heh, heh, you never fail at amazing me with your failures.

      • Mr. EMT

        Considering the upside down point of view you have on reality, there is no way I can accept that as anything other than a compliment from you.

      • Cylarz

        You never fail at amazing ME with your stalwart defense of incompetence and malfeasance.

  • baoxian

    The groundwork for this was laid weeks ago when ANSWER rolled out their “Seize BP” propaganda effort, complete with website and bussed-in protesters. Emotional liberals predictably abandoned reason and the law, and joined in the cry for the government to just step in and take anything they wanted from BP. Any attempt to expose their abuses would just be dismissed as “Republican love for Big Oil”…notwithstanding the fact that Obama is the #1 bought and paid for BP politician.

    Sure he'll extort $20 billion and put his own unelected Pay Czar in charge of the money. That's totally legit. When BP can't come up with $20 billion in liquid assets in the next few months, Obama will demand equity, just like he did with GM. Then while people's claims are stuck in bureaucratic limbo, Obama's Czar will shower millions on liberal interest groups claiming to be acting in the people's interest while the real victims go broke.

    Obama is writing a new grotesque chapter in American politics, and he's gotten away with about as much as he can before people realize what a fascist thug he really is. It's nocoincidence that the bottom is dropping out of his approval ratings even as he beats up on what conventional wisdom says is the easiest of targets.

    • Fiza1

      Read MrEthiopian's Post above yours. He knows infinitely more about the $20 billion fund conditions than you do.

    • D-Vega

      “notwithstanding the fact that Obama is the #1 bought and paid for BP politician.”

      That's nonsense. $77K over the course of a Senate and Presidential campaign? That's peanuts, certainly not a “bought and paid for BP politician”. Stop drinking from the Kool-Aid AM Radio fountain.

      • Mr. EMT

        Is there another politician you can name who has accepted more than obama from BP?
        Don't bother answering what we all know already.

  • MrEthiopian

    John your story is confusing you state “There are a lot of people who've been hurt by it.” It being the 20 Billion dollar fund paid over 3.5 years, who will this fund hurt and why will it hurt them? Please explain this.

    The fund was set up so BP doesn’t have to pay 20 Billion dollars all this year, this will save BP millions and also let it plan and depreciate the 20billion over 3+ years. To me this seems like a win for BP, no matter how much over 20 Billion is needed the first year they will only pay out 5 Billion, the American people are on the hook for any added costs during the year, but will be paid back in the next years , also the 20 Billion dollars is not a cap BP can still be charged many more Billions in the future.

    This is nothing more than Obama being incredibly smart and pushing the BP bankruptcy BS to the back burner, BP will be allowed to stay solvent and then cant pull the BS bankruptcy BS.

    I must say great work President Obama. Don’t you agree?

  • D-Vega

    This is ridiculous. This is exactly what BP should be doing.

    A “process” controlled solely by BP to address only “legitimate” claims would only create a slew of lawsuits and then what happens if BP goes out of business in 6 months?

    This is what should be done. It's better than putting Bp in receivership or seizing the company.

    This disaster is man-made and company-made. They should have put aside twice that amount to cover the damage they have inflicted for years to come.

    Of course the rightwing will defend corporate interests, even when this one corporation has caused so much destruction.

    First of all, it's worth noting that Obama lied through his teeth about having the fund “administered by an independent, third party.” The government will be controlling the fund.

    This is not true. It will be an independent arbiter.

    • UFKA_Smithwick

      I believe the OP did not have a problem with a fund being set up to help victims, nor with the fact that it would be administered by the government necessarily (I don't either).

      But rather the phrasing; I will order them to give whatever is necessary.

      The president doesn't have that authority, not in this country.

      If Obama vowed to personally behead an accused traitor on the whitehouse lawn then bathe in his blood my concern would not be that a traitor was being put to death. Merely the legality of him doing it personally and without following any sort of defined legal protocol.

  • D-Vega

    BTW, not to threadjack, but what happened to the “In New York: Whites Get One Vote, ‘Hispanics’ Get 6 Each”, post on the RWN homepage?

    It was there for a moment and then gone. Could it be because it was a total lie?

    • whats_up

      Yes I believe it was pulled because Warner just plain lied. What is more interesting is that Warner hasnt apologized for writing said lie or explained why its been pulled from every internet site that it was on.

      • StanW

        When you can apologize for even a few of the lies you tell, then you can lecture others. Until then STFU!

  • RBC217

    This the old Chinashop Rule: ” You break it, you own it.”

    And there is nothing particularly new or different or creepy or dictatorial about what Obama is doing. It's been done before when a train wreck split open a tank car of ammonia, or when a oil strorage tank leaked oil into a river, or when barrels of toxic waste dumped into a landfill began to leak and contaminate groundwater. The company responsible puts up a settlement fund, and independent arbiter decides what claims to allow and for how much, and then …… those who receive money from the fund must give up their right to separately sue the company. It's a long accepted means of compensating those who have been damaged while allowing the company involved to measure and control the damage costs.

    Remember that BP is facing an investigation that could result in criminal charges, not to mention the impending class action and individual lawsuits. The personal injury lawyers will jump on this the way they did on Bhopal, and the Love Canal and all the rest. It is smart of Obama to do this and even smarter of BP to agree. BP could either let the wolves tear it apart , or it could grit its teeth and pony up the $ needed to put a fence around the damages. Obama simply got them to do it sooner rather than later.

    Besides, Mr Hawkins, you among many others have complained bitterly and loudly that Obama has not reacted fast enough, or decisively, to the oil spill. Now he does something decisive and useful and you whine about that. That sort of partisan hypocrisy is not going to do anyone any good.

    • StanW

      Decisive and Useful? Are you kidding?

      The house is still on fire; and Obama is sending his lawyers after the match company, investigating the fire department for incompetance, and extorting money from the building manufacturer.

      If only someone would put out the fire!

      • D-Vega

        What would you suggest, Stan?

        The rightwing constantly whines about Obama's handling of the BP leak, but then offers no solutions whatsoever, because it's not about the leak, it's about bashing Obama.

        If Obama would have initially took control of the disaster, he would have been accused of gov't meddling or, considering the rightwing's hysteria of late, of nationalizing the oil industry.

        If a Republican President was in office, he wouldn't be any more involved. In fact, he would be less involved as conservatives think that any gov't involvement messes things up.

        So tell me, Stan. What would you be doing? Or some imaginary ideal conservative President be doing?

        The right's position on this has been inconsistent and dishonest from day one. They are whining about too much gov't and not enough gov't at the same time.

        This is not exhortion, this is appropriate. BP owes due to their incompetence. Obama is ensuring some reparations before BP pulls yet another fast and shaft the thousands of people whose livelihoods are being destroyed by this company.

        • StanW

          Spare us your pissy little lecture, Vega. Obama thinks government is the answer to everything EXCEPT for this spill.

          Stop whining about how a Republican woudl handle it, OBAMA IS PRESIDENT. If you had even the slightest bit of character and consistency, you'd be asking why Obama hasn't solved this problem already… The way you and your ilk demanded Bush solve Katrina.

          • D-Vega

            Like I said, you have no solutions as what you would be looking for.

            It's simply an under-handed trick that the lemmings eat up.

            Since you say “Obama is President” than answer the question – WHAT WOULD YOU LIKE TO SEE?

            You have no answer, just like the rest of your ilk. I hope Republicans continue to defend BP as if they are some sort of victim here.

          • StanW

            I do have an answer, Vega, but it is far to obvious and far to simple for someone as abjectly partisan and stupid as you are to see.

            Stop the leak! Set aside the EPA mandates, put the Jones Act on hold. Stop the “send in the lawyers” and the impotent threats to kick someones ass, and the extortion rackets.

            He is out there bitching about money to clean up the oil WHEN THE WELL IS STILL LEAKING!

          • whats_up

            But Stanley, its BP's well, they are a private company and you dont want the govt to take over a private company and tell them how to do business now do you. Seriously the right is screwed here, your mantra of limited govt is coming back to haunt you. This is the ideal conservative position, BP takes care of this themselves as they are the owners of the rig. Place your blame on them, not the govt that you dont want involved in private industry.

          • StanW

            You are a hjypocritical idiot. You and your ilk scream that goveernment is the answer to EVERYTHING and yet here is a probelm that, under a Repuiblican, you would be SCREAMING for the government to fix, and you just say, Let Private industry Handle It. Funny, you didn't want private industry to handle the financial crisis, or healthcare, or the auto industry… you said we couldn't trust them. Why the change, crthns? Hmmmmmmmm?

          • Fiza1

            “Stop the leak!”
            Brilliant solution to the problem!
            What do you think BP engineers, their drilling rig partners, engineers from other oil production, exploration, and service companies, and the government are trying to do? Are you so stupid to think that BP is not attempting to stop the leak?

          • StanW

            And while BP is FAILING to stop the leak, Obama is launching a legal investigation, extorting money, and talking about the cleanup. He is launching a police investigation WHILE THE CRIME IS STILL IN PROGRESS.

            And all loser like you can do is blame the Right and bitch about service companies.

            If it was not for Vega and whats_up, you would be the biggest joke on this board!

          • http://profiles.yahoo.com/u/QSPNS3QEZZGYNJ363H42K4RBMM moronpolitics

            In fact, who did the idiot send out to the well before anyone else? Engineers? No. A SWAT TEAM. What were they going to do? Shoot a few porpoises?

          • Living_Right_In_CA

            Let me set my context first.

            BP is 100% at fault for the spill and should be held to do everything possible to stop the spill.

            What should the government do? The POTUS primary function when all is said and done is provide leadership. Only the Federal Government can waive the existing regulations, laws, and recruit the assistance of other countries. The Fed Govt role in this should be containment. The President should have put a plan together and executed it in week one all focused on marshalling every asset in the world to contain the spill and protect the coastlines. Instead Obama told us how he was going to kick ass, hold BP responsible and make them pay. All three of those things are a given as the public knows it was BP's fault and they would need to pay for this. All of that could come later AFTER the spill was stopped (BP) and the oil contained and shores protect (Govt). Obame completely failed. To say otherwise is complete idiocy.

        • freeman

          So tell me, Stan. What would you be doing? Or some imaginary ideal conservative President be doing?

          Well, if it was me, I would have allowed Louisiana to build sand berms to protect their wetlands as soon as the scope of the disaster became evident, instead of waiting six weeks. And I would have allowed the thirty berms the state wanted, instead of only approving six.

          Then, I would have waived the Jones act and allowed foreign oil skimmers in to help contain the spill. Oil skimmers offered by both governments and private companies. I may have delayed until the full size of the spill became apparent, but it would have been a lot faster than the two months Obama has dithered on it.

          And finally, I wouldn't have recalled oil pumping barges to port because I wasn't sure if it had enough life preservers and fire extinguishers on board. Send the inspectors on a boat while they work.

          http://abcnews.go.com/WN/bp-oil-spill-gov-bobby

          If a Republican President was in office, he wouldn't be any more involved. In fact, he would be less involved as conservatives think that any gov't involvement messes things up.

          That's because the government messes things up. All the above have tried and all the above have been messed up. Its a good thing Obama is involved or things might have gotten done.

    • http://profiles.yahoo.com/u/QSPNS3QEZZGYNJ363H42K4RBMM moronpolitics

      This is NOT similar to past events as you claim. There is a little matter of LAWS being passed by the peoples representatives. STOP. I can already hear your tiny brain saying that we don't have time for that. The LEADER must act. The LEADER is more efficient. This is the same dicatatorial fool that came back with a treaty with Russia and announced we will just start to follow it. The Senate doesn't need to sign off on treaties any more. The minion passing out this money is the same B*****D who illegally sets the salaries of 1000's of employees in private companies already. I can't wait to see them all hung for treason. All except President Obama. Him, I want to live a long life in disgrace…. a laughingstock around the world.

  • baoxian

    Boy, look at the roaches come out of the woodwork on this one. Must have hit particularly close to home, eh libs?

    You're all terrified because Obama is finally being called out for his fascist nonsense. The plan is already known: Company screws up, the left launches a propaganda campaign against it, the government seizes the company and distributes its assets as “punishment”.

    Never mind the whole scheme is dishonest and illegal as hell. Nobody is suggesting that BP shouldn't pay to rectify what they did. But it should be decided by a fair legal process, not some phony Obama slush fund administered by one of his unelected Czars.

    I especially applaud you vega. Your enthusiasm for rushing into the arms of dictatorship is rising like the national debt.

    • Mr. EMT

      Funny watching how hard they work at giving obama every excuse they can think of for why he is failing so miserably.
      They dont know if the government should do anything, but then decide yes, but what? Oh! raise taxes! Penalize evil corporations (that share the same bed with obama) fix it where this will never happen again!

      Morons will take rope and wrap it around their own necks and pull their own heads off.

  • Henry

    There is nothing Obama could say or do that would ever please the right.

    This is all about partisan politics and gaining advantage.

    • Dave

      I say they go with the “Obama's being mean to BP” storyline. It should play well with the voters.

    • http://www.patriotpost.com bthewolf

      Yes that's all Obama's been doing, thanks for pointing out the obvious.

  • jharp

    “Heck, there's even a small upside to this for BP:they now have a firm number that they can point to when people ask how much this is going to hurt the company.”

    You truly are a fucking idiot. Consider this my good bye.

    • http://www.patriotpost.com bthewolf

      Don't let the hit you in the ass on the way out, tool!!!

      You're calling us idiots but you have no facts, no clear counter arguments, pure hyperbole, and name calling. You're third rate hack, a lousy troll, my 5 yr old niece debates better than you!!!

    • Mediumheadboy

      Promise?

    • Mr. EMT

      Are you like… 95% sure?

    • Living_Right_In_CA

      What a great way to start a weekend, another libtard idiot puts his tail between his legs and runs away and quits! LMAO

  • KH

    WOW, now Obama's being accused of “using too much Presidential power?!” Well, that's a new one! Let us not forget who pushed for, and literally made the record in, dictatorial-level Presidential power … yup, that would be Cheney-Rove and their puppet GW. Wah! Now that's its being used for something you don't like, you turn around and deride it. Sounds about right for the Right. Yep, makes total sense! Thanks for the power guys, now see how you like it!!!

    • Living_Right_In_CA

      Flagged for BDS and being off topic.

  • billdalasio

    Left unsaid in the entire fracas is the incredibly broad definition the administration is trying to use to define “consequences of the spill”. Initially, the administration was pressing to include the lost revenue of the administration's own drilling moratorium. Additionally, Mr. Obama's speech devoted itself largely to the matter of gulf wetland erosion, hardly a consequence of BP's drilling. Ultimately, what's going on here is a perfectly understandable, if disgusting, phenomenon. The administration has found a convenient target for its two-minute-hate and is using the incited anger to pursue an agenda at the target's expense.

  • Little Johnney

    I spent most of the 90's on the water, working on oil rigs all over the world, and this “incedent” is something that most of us have always known would eventually happen. I am surprised its taken so long. Yes, I agree BP is fully responsible for all damages caused by this terrible, very preventable, accident. But since I see most are talking about criminal charges, I would wonder if any of the regulatory commissions are going to be investigated, how many of those morons are we going to see paraded in front of a Congressional hearing? And I say morons because they were just as bad back 10 years ago as they are now. I would like to see every government employee over regulations and safety on those rigs questioned. See thats a system that is horribly flawed as well. BP is just a greedy corporation, there's no mystery there, but the government has a system as well thats supposed to protect the safety of everyone on those rigs, the proper operation, and the well being of the environment. Where were these guys?

  • Cylarz

    Has anyone else wondered why the gov't (read Obama) is suddenly so hot-to-trot about sticking it to Obama…when BP's drilling application for the Deepwater Horizon rig was approved in about 20 minutes? By Obama's government and regulatory agencies? In a process that normally takes months? For a company that has a rather shoddy safety record to begin with? After it made contributions to his campaign?

    Now, of course, after the rig has exploded, killed 11 people, spilled untold amounts of oil into the Gulf, ruined the livelihood of millions of people, put untold millions more out of work, is sure to raise gas prices at some point…

    ….now Obama's ready to demand answers, appoint blue-ribbon commissions, shake down BP, and kick ass.

    The word “hmmmm” doesn't seem to quite cover it.

  • Moronpolitics

    I actually heard what Representative Barton said. Was it an “apology to BP”? NO. Was he wrong? Only when he took back his statement that it was a shakedown. This is the type of thing they do in ALL fascist countries and that is exactly the type of government President Obama is running. If you think that Fascist and Nazi mean the same thing then you are ignorant. Leading conservative economist Thomas Sowell has called the Obama regime fascist several times publicly on TV long before this shameless display. While everybody was jumping on Rep Barton our VP Joe Biden was proudly announcing that the 20 Billion was NOT for clean-up or repair. Don't compare it to the 9/11 fund just because Obama appointed his buddy, they same clown that administered the 9/11 fund to spread the wealth around here. The 9/11 fund was set up by congress, according to a law — passed by congress and signed. This is a slush fund. BP will put money into it and the PRESIDENT OBAMA, through his appointed minion will pass it out AS HE SEES FIT. This money will NOT be used to pay legitimate claims. Already it has been announced that it will provide lost salaries and health care TO UNION WORKERS. Other parts of it will go to friends of Obama to start various new businesses such as wind farms or solar energy companies. How nice. Of course, BP is an easy target. In Germany they didn't go after the Lutherans did they? What businesses did Chavez seize and pass out to his friends? Foreign oil companies first. Hmmmmm….

  • bilejones

    If BP is smart, they'll be talking to the the Chinese.

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