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John Young: Citizen Stanford and his many influential friends



Sunday, March 08, 2009

If Allen Stanford ever took the notion to seek elected office, you can bet your first-born child he’d have had TV ads identifying himself as a “small businessman.”

You can bet that those in Washington who consumed — and returned in kind — his many good graces would say they responded to the needs of a “small businessman.”

Never mind that the Mexia native stands accused of constructing a $50 billion Caribbean business around phony money. He was a small businessman right here on the streets of Waco, and so the ads would say. Maybe that’s how he’ll plead to a judge.

Stanford had a fitness club and a burger joint in our fair city, but would become an international financier where fields were greener, at least for taxable purposes.

Though he took his assets to another land entirely, that didn’t mean he lost interest in his homeland. Indeed, he was interested to the tune of $3.3 million spent lobbying Washington.

You can bet your second-born child that he would describe his interest as “good government” rather than self interest.

And you can bet that members of Congress who accepted flights on Stanford’s corporate jets would cite the same concern.

Actually, U.S. Rep. Pete Sessions told the Dallas Morning News that the objective of trips with his wife were, figuratively, to sift through the sands of whatever matters concerned “the entire Caribbean basin.” Whatever.

The fact is, Stanford wanted more from Congress than for members to do fact-finding in the surf of his adopted island of Antigua. He wanted to block legislation aimed at curbing money laundering. He succeeded for a while.

Among his allies were sandy-beaches guests like then House Majority Leader Tom DeLay, Sen. John Cornyn and Sessions, each being utterly sensitive to any and all things Caribbean.

These trips weren’t financed directly by Stanford but by an organization called the Inter-American Council. It’s just that he supplied 85 percent of the council’s revenue.

DeLay knows that game. At the height of his power, he created a charity called Celebrations for Children. The Washington Post found it to be not so much about helping children but to be a slush fund for soft-money political contributions.

Back to the legislation that small businessman Allen Stanford was trying to block. He succeeded in 2000 when Texas Sen. Phil Gramm, then chairman of the Senate Finance Committee, applied the kibosh.

After Sept. 11, the quest to monitor off-shore bank accounts became more compelling to Congress. Language that Stanford had opposed was written into the Patriot Act and became law.

Speaking of losing battles in Congress, Stanford and his ilk lost another when Democrats took over Congress, and DeLay was indicted and resigned, ending a political empire predicated on back scratching and campaign cash for kindness.

In 2007 under new leadership the House adopted an ethics law that bars members from accepting free trips on private planes.

This is not to say that Democrats didn’t enjoy the good graces of the small businessman from Antigua by way of Mexia. Stanford paid for a candidate forum at the 2008 Democratic National Convention and contributed $500,000 to the Democratic Senatorial Campaign Committee in one year alone, 2002.

Rest assured, it was all in the interest of good government on behalf of a small-business man.

John Young’s column appears Thursday and Sunday. E-mail: jyoung@wacotrib.com.

Comments

By belicoso

Mar 9, 2009 7:08 PM | Link to this

Swindlers like Stanford come around once in a great while. But it's a small world these days and the Feds seemed to have uncovered Stanford and Madoff around the same time, which probably scares a lot of investors...."I wonder if my financial advisor is using my money to purchase yachts." As an added bonus, not only have two of these con-artists been found out in the same time frame, but it turns out that Stanford is from the same small Texas town as Anna Nicole Smith, another thief who is best known for her gold-digging of J.Howard Marshall. Corruption seems to be spreading around this country like a wild-fire, it may just consume us all.

By John Young

Mar 9, 2009 11:59 AM | Link to this

John Young responds: I can assure you, Dollar Bill, that I do make mistakes. Just not here.

From Reuters:
"Houston-based Stanford Financial Group, which says it oversees more than $50 billion of assets, is being investigated by U.S. regulators, according to a person familiar with the matter."

By Waco TruthSquad

Mar 8, 2009 3:19 PM | Link to this

This is what happens when voters keep re-electing incumbant scoundrels like Tom DeLay and Senator John "Crony" Cornyn.

Senator Cornyn is the new "Slick Johnny" that Texas will have to endure for the next six years and beyond because he's mastered the art of getting re-elected by "Dumb and Dumber" Texas voters.

SPEAKING OF PESTS!

Whatever happened to Tom "Pest Killer" DeLay's trial? He was indicted well over three years ago and he's still free without being tried and is now lobbying congress...Imagine that!

DeLay is the poster boy example of what's wrong with congress and VOTERS willingness to re-elect him time and time again.

Term limits is the only true answer to rid ourselves of these self-dealing bums...and they truly are bums in every since of the word.

By Michael

Mar 8, 2009 10:40 AM | Link to this

Hey Dollar--
Are you and Stanford in cahoots?

By Dollar Bill

Mar 8, 2009 10:08 AM | Link to this

At least get your reference facts right. The $50 billion number has been linked to Madoff's Ponzi scheme. The higest number ever linked to Stanford is around $9 billion. John, before you get in your ivory tower and suggest, as you have here, that money spent on lobbying, itself, implies corruption, you should consider the actions of your own employer. Cox Enterprises, the parent company that owns the Trib, has disclosed to the federal government that it spent close to $7,000,000 on its own lobbying efforts in the past two years.

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