Commentary Magazine


Topic: the Chicago Sun-Times

How an Election Is Nationalized

Two races in Illinois and Pennsylvania exemplify the difficulties  Democrats are having these days. Regarding the Illinois Senate race, the Chicago Sun Times reports:

U.S. Rep. Mark Kirk said the arrest this week of a Giannoulias family friend and bank customer brings the amount of money Broadway Bank has lent to criminals to $52 million.

State Treasurer Alexi Giannoulias, Kirk’s Democratic opponent for U.S. Senate, has said that as chief loan officer of his family’s bank from 2002 to 2006, he did not check loan applicants’ arrest records.

Kirk, a North Shore Republican, calls that “reckless.”

And in a Friday news dump, Giannoulias announced he was giving back all the campaign funds he received from “bank fraudster Nick Giannis and his family.” So to sum up: to fill the seat of  Roland Burris, the Blago appointee (whose seat and the potential purchase thereof is the subject of the criminal trial later this year), the Democrats have nominated a banker who lent millions to mobsters, whose bank is on the verge of going under, and who pleads ignorance about his clients’ criminality. This is in a year in which backdoor deals, a series of ethics issues (e.g. Charlie Rangel, Eric Massa), and a general anti-insider sentiment has ensnared the Democrats. It’s hard to imagine a less appealing candidate for the Democrats. And frankly, if they aren’t lucky, Giannoulias and the other ethically challenged Democrats are going to become the poster boys — and the unifying message — for many Republicans outside Illinois.

Then there is Pennsylvania. Before we get to the Senate and gubernatorial races, both of which look promising for Republicans, there is a House special election. As Politico reports:

The special election to fill the House seat of the late Pennsylvania Democrat John Murtha will pit a candidate who fully embraces Murtha’s legacy against a Republican political newcomer who’s aiming to nationalize the election. Pennsylvania Republicans anointed businessman Tim Burns on Thursday as their candidate to face Murtha’s former district director, Mark Critz, in the May 18 election. Burns has been running on a down-the-line conservative platform of opposition to the stimulus, health care legislation and government spending.

And if the Obama-Reid-Pelosi troika push through ObamaCare, this may be an early warning sign (well, another warning sign after Scott Brown) as to  just how angry the electorate is and how willing the voters are to flip a seat that, in a normal election year, would be relatively safe for Democrats.

This is the stuff of wave elections — the collision of ethics scandals, voter anger, fiscal mismanagement, and, don’t forget, a floundering president. How big the wave will be depends, I think, on just how serious the Democrats are about dealing with their ethically challenged members and how determined they are to take the plunge on a monstrous health-care bill that voters generally loathe.

Two races in Illinois and Pennsylvania exemplify the difficulties  Democrats are having these days. Regarding the Illinois Senate race, the Chicago Sun Times reports:

U.S. Rep. Mark Kirk said the arrest this week of a Giannoulias family friend and bank customer brings the amount of money Broadway Bank has lent to criminals to $52 million.

State Treasurer Alexi Giannoulias, Kirk’s Democratic opponent for U.S. Senate, has said that as chief loan officer of his family’s bank from 2002 to 2006, he did not check loan applicants’ arrest records.

Kirk, a North Shore Republican, calls that “reckless.”

And in a Friday news dump, Giannoulias announced he was giving back all the campaign funds he received from “bank fraudster Nick Giannis and his family.” So to sum up: to fill the seat of  Roland Burris, the Blago appointee (whose seat and the potential purchase thereof is the subject of the criminal trial later this year), the Democrats have nominated a banker who lent millions to mobsters, whose bank is on the verge of going under, and who pleads ignorance about his clients’ criminality. This is in a year in which backdoor deals, a series of ethics issues (e.g. Charlie Rangel, Eric Massa), and a general anti-insider sentiment has ensnared the Democrats. It’s hard to imagine a less appealing candidate for the Democrats. And frankly, if they aren’t lucky, Giannoulias and the other ethically challenged Democrats are going to become the poster boys — and the unifying message — for many Republicans outside Illinois.

Then there is Pennsylvania. Before we get to the Senate and gubernatorial races, both of which look promising for Republicans, there is a House special election. As Politico reports:

The special election to fill the House seat of the late Pennsylvania Democrat John Murtha will pit a candidate who fully embraces Murtha’s legacy against a Republican political newcomer who’s aiming to nationalize the election. Pennsylvania Republicans anointed businessman Tim Burns on Thursday as their candidate to face Murtha’s former district director, Mark Critz, in the May 18 election. Burns has been running on a down-the-line conservative platform of opposition to the stimulus, health care legislation and government spending.

And if the Obama-Reid-Pelosi troika push through ObamaCare, this may be an early warning sign (well, another warning sign after Scott Brown) as to  just how angry the electorate is and how willing the voters are to flip a seat that, in a normal election year, would be relatively safe for Democrats.

This is the stuff of wave elections — the collision of ethics scandals, voter anger, fiscal mismanagement, and, don’t forget, a floundering president. How big the wave will be depends, I think, on just how serious the Democrats are about dealing with their ethically challenged members and how determined they are to take the plunge on a monstrous health-care bill that voters generally loathe.

Read Less

Democrats Need an Exit Plan in Illinois

The Chicago Sun Times reports:

State Treasurer Alexi Giannoulias acknowledged Wednesday that his family bank, the Broadway Bank, will probably fail.

But Giannoulias strongly denied he ever engaged in “reckless” or “risky” loan-making when he served as chief loan officer for his family’s now-struggling Broadway Bank. Giannoulias ran for state treasurer four years ago touting his know-how as a bank executive.

Well, it gets better — or worse, depending on your perspective:

Giannoulias denied having any role in getting his former campaign policy director in 2006, Brent Adams, his current post as Acting Secretary of Financial and Professional Regulation for the state of Illinois, which has jurisdiction over Broadway Bank. …

He strongly denied the family was irresponsible for taking $69 million out of the bank just before the real estate collapse that he said they did not see coming.

“In 2007, if we knew the market was going to go sour, we would have stopped making loans,” Giannoulias said. “The bank was appraised in 2006 or 2007 for $300 million, so they could have sold the bank, even if just for $200 million.”

Giannoulias defended his use of “brokered deposits” — under his tenure they became 68 percent of the bank’s deposits compared to the industry standard of four percent — saying Broadway did not have a lot of branches and ATMs to bring in deposits.

And what about his bank’s Mob clients? Ah, those would be “‘a few colorful characters’ — convicted bookmaker Michael Giorango, Russian mobsters Boris and Lev Stratievsky, and convicted influence peddler Tony Rezko — [who] were not representative of his portfolio. Giannoulias denied, even though he went down to Florida to inspect the properties, that he was aware of Giorango’s mob ties.”

Really, what were the Democrats thinking when they nominated him? Well, the lieutenant-governor nominee already stepped down after his domestic-violence issue came to light. So I’m not convinced that Giannoulias is going to make it all the way to November. Frankly, if there isn’t a Frank-Lautenberg-for-Robert-Torricelli game plan in the works, I think that seat is a goner for the Democrats. After all, they don’t want to fall behind (jump ahead of?) New York in the most-embarrassing-political-culture race, do they?

The Chicago Sun Times reports:

State Treasurer Alexi Giannoulias acknowledged Wednesday that his family bank, the Broadway Bank, will probably fail.

But Giannoulias strongly denied he ever engaged in “reckless” or “risky” loan-making when he served as chief loan officer for his family’s now-struggling Broadway Bank. Giannoulias ran for state treasurer four years ago touting his know-how as a bank executive.

Well, it gets better — or worse, depending on your perspective:

Giannoulias denied having any role in getting his former campaign policy director in 2006, Brent Adams, his current post as Acting Secretary of Financial and Professional Regulation for the state of Illinois, which has jurisdiction over Broadway Bank. …

He strongly denied the family was irresponsible for taking $69 million out of the bank just before the real estate collapse that he said they did not see coming.

“In 2007, if we knew the market was going to go sour, we would have stopped making loans,” Giannoulias said. “The bank was appraised in 2006 or 2007 for $300 million, so they could have sold the bank, even if just for $200 million.”

Giannoulias defended his use of “brokered deposits” — under his tenure they became 68 percent of the bank’s deposits compared to the industry standard of four percent — saying Broadway did not have a lot of branches and ATMs to bring in deposits.

And what about his bank’s Mob clients? Ah, those would be “‘a few colorful characters’ — convicted bookmaker Michael Giorango, Russian mobsters Boris and Lev Stratievsky, and convicted influence peddler Tony Rezko — [who] were not representative of his portfolio. Giannoulias denied, even though he went down to Florida to inspect the properties, that he was aware of Giorango’s mob ties.”

Really, what were the Democrats thinking when they nominated him? Well, the lieutenant-governor nominee already stepped down after his domestic-violence issue came to light. So I’m not convinced that Giannoulias is going to make it all the way to November. Frankly, if there isn’t a Frank-Lautenberg-for-Robert-Torricelli game plan in the works, I think that seat is a goner for the Democrats. After all, they don’t want to fall behind (jump ahead of?) New York in the most-embarrassing-political-culture race, do they?

Read Less

Democrats Select Tony Rezko’s Banker for Illinois Senate

You almost wonder whether Karl Rove has infiltrated the Democratic Party. How else to explain how the Democrats could nominate to replace Roland Burris, the senator from Blagojevich, the banker for Tony Rezko? As the Chicago Tribune explained, state treasurer Alexi Giannoulias beat back a feisty challenger who made hay out of Giannoulias’s “handling of the state’s college loan program, which lost $150 million; and of loans Giannoulias gave to controversial recipients while working as vice-president of his family’s now-struggling Broadway Bank.” Those controversial recipients include Rezko and some figures of organized crime. The Chicago Sun Times explained:

Among the loans Giannoulias has gotten heat for:

* More than $10 million from 2001 to 2005 to alleged Father & Son Russian mobster team Lev and Boris Stratievsky. Father Lev has passed away. Son Boris is in jail facing money-laundering charges. Broadway funded development projects some on the South Side — that tenants and city attorneys complained were roach motels. Broadway has been unable to collect on the loans.

* About $12.9 million to convicted bookmaker Michael Giorango for a Miami Beach hotel and a Hollywood, Fla., restaurant, among other ventures, according to Crain’s Chicago Business. Broadway has sued Giorango and his partner, Demitri Stavropoulos, convicted of running a betting operation in Chicago, seeking to get the money back. Giannoulias initially downplayed his relationship with Giorango, noting the loans to him started before he joined the bank. Later he said he went to Miami to meet Giorango and inspect the property, and that another $3 million loan to Giorango was for a South Carolina casino.

It’s hard to believe this is the candidate whom the Democrats wanted as their nominee. As Ben Smith dryly noted, Giannoulias “is about as un-changey as you get.” The Republicans are obviously delighted to have such a target-rich opponent. I suspect this will be another seat added to the political gurus’ “leans Republican” lists.

And if all that weren’t enough to worry the Democrats, Tom Jensen of Public Policy Polling notes:

Based on the current numbers 885,268 voters were cast in the Democratic primary for Senate compared to 736,137 on the Republican side. Those numbers are awfully close to each other for a state that’s overwhelmingly Democratic.

For sake of comparison the last time there were competitive Senate primaries on both sides in Illinois, in 2004 when Barack Obama was nominated, there were nearly twice as many votes cast in the Democratic primary as the Republican one. 1,242,996 voted in the Democratic race to 661, 804 for the Republicans. Last night’s turnout is yet another data point on the enthusiasm gap, showing that Republicans are much more excited about this year’s elections than Democrats, even in a deep blue state.

It’s a long way to November, but Republicans will soon seize on this as a highly gettable seat with symbolic value. Had it not been for Massachusetts, one could say that the flip in the Illinois seat previously held by the president would be a political tsunami. But it seems as though in this election season, it might simply be par for the course.

You almost wonder whether Karl Rove has infiltrated the Democratic Party. How else to explain how the Democrats could nominate to replace Roland Burris, the senator from Blagojevich, the banker for Tony Rezko? As the Chicago Tribune explained, state treasurer Alexi Giannoulias beat back a feisty challenger who made hay out of Giannoulias’s “handling of the state’s college loan program, which lost $150 million; and of loans Giannoulias gave to controversial recipients while working as vice-president of his family’s now-struggling Broadway Bank.” Those controversial recipients include Rezko and some figures of organized crime. The Chicago Sun Times explained:

Among the loans Giannoulias has gotten heat for:

* More than $10 million from 2001 to 2005 to alleged Father & Son Russian mobster team Lev and Boris Stratievsky. Father Lev has passed away. Son Boris is in jail facing money-laundering charges. Broadway funded development projects some on the South Side — that tenants and city attorneys complained were roach motels. Broadway has been unable to collect on the loans.

* About $12.9 million to convicted bookmaker Michael Giorango for a Miami Beach hotel and a Hollywood, Fla., restaurant, among other ventures, according to Crain’s Chicago Business. Broadway has sued Giorango and his partner, Demitri Stavropoulos, convicted of running a betting operation in Chicago, seeking to get the money back. Giannoulias initially downplayed his relationship with Giorango, noting the loans to him started before he joined the bank. Later he said he went to Miami to meet Giorango and inspect the property, and that another $3 million loan to Giorango was for a South Carolina casino.

It’s hard to believe this is the candidate whom the Democrats wanted as their nominee. As Ben Smith dryly noted, Giannoulias “is about as un-changey as you get.” The Republicans are obviously delighted to have such a target-rich opponent. I suspect this will be another seat added to the political gurus’ “leans Republican” lists.

And if all that weren’t enough to worry the Democrats, Tom Jensen of Public Policy Polling notes:

Based on the current numbers 885,268 voters were cast in the Democratic primary for Senate compared to 736,137 on the Republican side. Those numbers are awfully close to each other for a state that’s overwhelmingly Democratic.

For sake of comparison the last time there were competitive Senate primaries on both sides in Illinois, in 2004 when Barack Obama was nominated, there were nearly twice as many votes cast in the Democratic primary as the Republican one. 1,242,996 voted in the Democratic race to 661, 804 for the Republicans. Last night’s turnout is yet another data point on the enthusiasm gap, showing that Republicans are much more excited about this year’s elections than Democrats, even in a deep blue state.

It’s a long way to November, but Republicans will soon seize on this as a highly gettable seat with symbolic value. Had it not been for Massachusetts, one could say that the flip in the Illinois seat previously held by the president would be a political tsunami. But it seems as though in this election season, it might simply be par for the course.

Read Less

So Much for Home State Favors

The Obami have a holiday surprise for the president’s home state. Lynn Sweet reports:

Barring a last minute glitch, the Obama White House has settled on an Illinois prison to house detainees now at the Guantanamo Bay military prison in Cuba, sources close to the decision told the Chicago Sun-Times. An announcement is expected shortly from the Obama administration to start the process to acquire the nearly vacant Thomson Correctional Center in northwestern Illinois.A leaked memo prepared by administration officials prompted speculation that the decision was finalized. An administration official said that memo was a draft and not to read anything into its existence because paperwork is readied just in case.

The memo declares that Guantanamo detainees will be transferred “as expeditiously as possible” to Illinois’ s Thomson Correction Center.

Sen. Dick Durbin and Gov. Pat Quinn say they are delighted, suggesting it will bring more jobs to the state. I suspect this will be a top issue in next year’s Illinois senate race. After all, Senate Democrats declined to block funding for this move. We’ll see how enthusiastic the good people of Illinois are when they learn about their new residents.

But more importantly, the question one must ask on the merits of this move is why? With whom are we supposed to be garnering “credit” for moving detainees from the relatively cushy environs of Guantanamo to the isolation cells of a Supermax prison? How long before the ACLU starts demanding that the terrorists enjoy computer access, letter writing, and visits from outsiders? The security concerns, the expense, and the risk of Islamic propaganda spreading among the general prison population should, one would think, weigh heavily against this move. But the lefty lawyers in the Justice Department have other ideas and will be setting a legal precedent which will burden other administrations.

Congress can still stop this recklessness. There are votes coming up in the Senate on the omnibus spending bill and the Defense Department appropriations bill. Both might be good vehicles to test whether senators really do want to enable another inexplicable move by the Obama administration, which seems insistent on returning to a judicial model for terrorism.

The Obami have a holiday surprise for the president’s home state. Lynn Sweet reports:

Barring a last minute glitch, the Obama White House has settled on an Illinois prison to house detainees now at the Guantanamo Bay military prison in Cuba, sources close to the decision told the Chicago Sun-Times. An announcement is expected shortly from the Obama administration to start the process to acquire the nearly vacant Thomson Correctional Center in northwestern Illinois.A leaked memo prepared by administration officials prompted speculation that the decision was finalized. An administration official said that memo was a draft and not to read anything into its existence because paperwork is readied just in case.

The memo declares that Guantanamo detainees will be transferred “as expeditiously as possible” to Illinois’ s Thomson Correction Center.

Sen. Dick Durbin and Gov. Pat Quinn say they are delighted, suggesting it will bring more jobs to the state. I suspect this will be a top issue in next year’s Illinois senate race. After all, Senate Democrats declined to block funding for this move. We’ll see how enthusiastic the good people of Illinois are when they learn about their new residents.

But more importantly, the question one must ask on the merits of this move is why? With whom are we supposed to be garnering “credit” for moving detainees from the relatively cushy environs of Guantanamo to the isolation cells of a Supermax prison? How long before the ACLU starts demanding that the terrorists enjoy computer access, letter writing, and visits from outsiders? The security concerns, the expense, and the risk of Islamic propaganda spreading among the general prison population should, one would think, weigh heavily against this move. But the lefty lawyers in the Justice Department have other ideas and will be setting a legal precedent which will burden other administrations.

Congress can still stop this recklessness. There are votes coming up in the Senate on the omnibus spending bill and the Defense Department appropriations bill. Both might be good vehicles to test whether senators really do want to enable another inexplicable move by the Obama administration, which seems insistent on returning to a judicial model for terrorism.

Read Less




Welcome to Commentary Magazine.
We hope you enjoy your visit.
As a visitor to our site, you are allowed 8 free articles this month.
This is your first of 8 free articles.

If you are already a digital subscriber, log in here »

Print subscriber? For free access to the website and iPad, register here »

To subscribe, click here to see our subscription offers »

Please note this is an advertisement skip this ad
Clearly, you have a passion for ideas.
Subscribe today for unlimited digital access to the publication that shapes the minds of the people who shape our world.
Get for just
YOU HAVE READ OF 8 FREE ARTICLES THIS MONTH.
FOR JUST
YOU HAVE READ OF 8 FREE ARTICLES THIS MONTH.
FOR JUST
Welcome to Commentary Magazine.
We hope you enjoy your visit.
As a visitor, you are allowed 8 free articles.
This is your first article.
You have read of 8 free articles this month.
YOU HAVE READ 8 OF 8
FREE ARTICLES THIS MONTH.
for full access to
CommentaryMagazine.com
INCLUDES FULL ACCESS TO:
Digital subscriber?
Print subscriber? Get free access »
Call to subscribe: 1-800-829-6270
You can also subscribe
on your computer at
CommentaryMagazine.com.
LOG IN WITH YOUR
COMMENTARY MAGAZINE ID
Don't have a CommentaryMagazine.com log in?
CREATE A COMMENTARY
LOG IN ID
Enter you email address and password below. A confirmation email will be sent to the email address that you provide.