“A Judge In The Hand Is Worth…”: Judge Who Stopped Wisconsin Campaign Finance Probe Tied To Koch-Funded Junkets
The federal judge who ordered an end to an investigation into possible illegal campaign coordination between Wisconsin Gov. Scott Walker and conservative groups during two recent recall elections regularly attended expenses-paid judicial conferences sponsored by conservative organizations including the Charles G. Koch Charitable Foundation and the Lynde and Harry Bradley Foundation — groups that have funded efforts against campaign finance reform.
In a 26-page decision issued on May 6, Judge Rudolph Randa of the U.S. District Court for the Eastern District of Wisconsin ordered prosecutors to immediately halt its long-running investigation into the campaign spending and fundraising activities of Walker, the Wisconsin Club for Growth and other conservative groups. Prosecutors were trying to determine whether the Walker campaign and the conservative groups were illegally coordinating campaign strategies at the time of the 2011 and 2012 recall elections in Wisconsin.
The Wisconsin Club for Growth spent millions on ads during Wisconsin’s recall elections, supporting the governor’s collective-bargaining reforms. It requested that the federal court stop the investigation, claiming that the probe violated the group’s constitutional right to free speech.
Randa wrote in his decision that the Wisconsin Club for Growth had found a way to get around campaign finance laws. “That circumvention should not and cannot be condemned or restricted,” the decision said. “Instead, it should be recognized as promoting political speech.”
As the Wisconsin-based Center for Media and Democracy first reported, Randa has regularly attended expenses-paid judicial conferences hosted by George Mason University’s Law & Economics Center and funded by right-wing foundations like the Charles G. Koch Charitable Foundation and large corporations like ExxonMobil, Dow Chemical and Pfizer.
A Center for Public Integrity investigation last year revealed that conservative foundations and corporate giants were the most frequent sponsors of George Mason judicial conferences, which often serve state and federal judges a steady dose of free-market, anti-regulation lectures.
Most recently, court records show, Randa reported attending an October 2013 judicial conference hosted by the university’s Law & Economics Center. The three-day conference, titled “Antitrust Law & Economics Institute for Judges,” was sponsored by the Charles G. Koch Charitable Foundation, the Lynde and Harry Bradley Foundation and the John William Pope Foundation, among other conservative groups, corporations and individuals.
Previously, Randa attended George Mason judicial conferences in 2006, 2008, 2010 and 2012, according to the Center for Media and Democracy.
The Wisconsin Club for Growth’s director, Eric O’Keefe, has connections to the Koch brothers. Michael Grebe, the Bradley Foundation’s president and CEO, chaired Gov. Walker’s 2010 and 2012 gubernatorial campaigns.
A woman who answered the phone in Randa’s chambers Tuesday said he would not comment on cases that are still pending.
In siding with the Wisconsin Club for Growth, Randa told prosecutors to return all of the property seized during their investigation and to destroy copies of documents they obtained during their searches.
A day after his ruling, however, the 7th U.S. Circuit Court of Appeals stayed Randa’s order ending the investigation, ruling that the judge overstepped his authority when he ordered that prosecutors destroy documents.
By: Chris Young, The Center for Public Integrity, May 27, 2014
“Koch Cadre Billionaire Defends Nazi Comments”: For The Continued Success Of The Richest Americans
Ken Langone, the billionaire Home Depot founder, GOP donor and an ally of Charles and David Koch, clumsily defended his March 2014 comments comparing populist criticism of the 1% with the rise of Nazi Germany, in an interview with Capital New York published this week.
Langone, a regular attendee of the twice-yearly secret strategy sessions for the mega rich organized by Charles and David Koch, has been speaking publicly of his concerns for the continued success of the richest Americans.
“We’re being strangled by regulation,” Langone told a conference of hedge fund managers in Las Vegas in mid May, as reported by CNN. “You’re in the 1%, there’s nothing wrong with that,” he continued. “You can do so much more with money than pay your taxes.”
The Top One Percent as Victims
Now, Langone has spoken to defend his past Nazi comparison, despite having somewhat backtracked just two months earlier.
From Huff Post:
Billionaire Kenneth Langone is still defending his comparison of income inequality talking points to rhetoric in Nazi Germany, after apologizing two months ago for the comments.
In a Capital New York interview published Monday morning, the Home Depot co-founder and Republican megadonor said it was a fair analogy to illustrate how democratic elections can yield results he finds terrifying.
“I simply said just because we’re a democracy doesn’t mean you can’t have bad results,” he said. “That’s all! I stand on what I said.”
Huff Post continued:
In a March interview with Politico, which owns Capital, Langone said a GOP pivot toward the economic populism championed by progressives and by such Tea Party candidates as Kentucky Sen. Rand Paul and Texas Sen. Ted Cruz would mirror the rise of Adolf Hitler.
“I hope it’s not working,” Langone said of the political appeals at the time. “Because if you go back to 1933, with different words, this is what Hitler was saying in Germany.”
Koch “Cadre”
The Kochs have been building their politcal network for more than forty years.
Nicholas Confessore, wrote about the history of the Koch brothers political activities in a front page New York Times story on May 18, 2014, detailing the origins of the present day Koch political operation.
According to Confessore, in a speech given to business leaders and others in 1974, Charles Koch outlined that vision saying: “The development of a well-financed cadre of sound proponents of the free enterprise philosophy is the most critical need facing us today.”
The Koch brothers are not the only billionaires using their wealth to push for radical deregulation. They now have a whole cadre.
By: Nick Surgey, The Center For Media and Democracy, May 19, 2014
“A Loud And Depressingly Familiar Voice”: The Koch Brothers Kick Detroit While It’s Down
Over the last five months, a deal has come together that would solve some of the most contentious issues in Detroit’s bankruptcy. It would minimize the pension cuts for 30,000 retirees and city workers, save the city’s art collection and give a reasonable amount of money to the city’s bondholders.
As expected, there were some objections from a few big insurance companies that stood to lose heavily. But with the support of Michigan’s Republican governor, Rick Snyder, the deal seemed to have a shot in the state legislature, which would be required to spend about $195 million of tobacco-settlement money on behalf of Detroit’s pensioners.
And then, a few days ago, a loud and depressingly familiar voice rose in protest. The Koch brothers, through the screeching megaphone they built known as Americans for Prosperity, condemned the deal and announced plans to contact 90,000 conservatives around the state to build up pressure against it. The Associated Press reported that the group threatened to run ads against any Republicans in the legislature who voted for the deal in the coming days.
AFP has already set up a website — “No more bailouts for Detroit!” — that plays on the long-running, sometimes racially inflected resentment of Detroit around Michigan.
“Michigan has rewritten its laws numerous times to give Detroit special treatment and more financial assistance,” the website says. “Unfortunately, all this help has encouraged, rather than corrected, bad behavior. Years of fiscal mismanagement, corruption and cronyism resulted in Detroit’s staggering $18 billion of debt. Yet its leaders continue to blame the State for Detroit’s problems.”
The poor management of the city by its own officials is well-known and stretches back decades, but the state and its residents bear a huge responsibility for Detroit’s plight. State officials allowed fleeing white residents to hide behind suburban boundaries that depleted the city’s tax base while cutting revenue sharing. The think tank Demos found that revenue sharing cuts amounted to a third of the city’s revenue losses between 2011 and 2013.
As Robert Kleine, a former state treasurer, wrote in the Detroit Free Press last August:
“Detroit may have mismanaged finances, but the state’s cuts to revenue sharing doomed the city. One option would have been for the state to restore revenue sharing to previous levels which would have been worth nearly $200 million to Detroit. The state could have afforded to do this if it had not cut business and income taxes in 2000, and then given business another $1.8-billion tax break in 2011.”
Under the circumstances, the proposed state contribution on behalf of vulnerable pensioners is a modest way to make up for Lansing’s decades of abandonment. But it’s too much for the Kochs to stomach. They apparently want city workers and retirees to publicly suffer for the sin of having been union members. They want bondholders and insurance companies at the front of the creditors’ line, and don’t seem to care if the Detroit Institute of Arts has to sell off its paintings and sculptures to put them there.
As they have in so many other areas of public life, two of the country’s wealthiest citizens are using their good fortune to make life far more difficult for those at the bottom of the ladder.
By: David Firestone, Editor’s Blog, The New York Times, May 21, 2014
“Can The Kochs Hold Back History?”: You Can Buy A Lie, But You Can’t Make That Lie The Truth
For a time, the press lord William Randolph Hearst did everything in his vast powers to keep the film “Citizen Kane” from finding an audience. He intimidated theater owners, refused to let ads run in his newspapers, and even pressured studio sycophants to destroy the negative.
At first, the titan of San Simeon had his way: the film faded from view after a splashy initial release. But over the years, “Citizen Kane” came to be recognized for the masterpiece it is, and now regularly tops lists as the greatest film ever made.
The modern equivalent of Hearst is the Koch Brothers, David and Charles — known without affection as the Kochtopus. On certain days, depending on the stock market, their combined worth is more than any single American’s, somewhere around $80 billion.
They have used a big part of this fortune to attack the indisputable science on climate change, to buy junk scholars, to promote harmful legislation at the state level, to go after clean, renewable energy like solar, and to try to kill the greatest expansion of health care in decades. Money can’t buy love, but it certainly can cause a lot of havoc.
Yet, while these billionaire industrialists may win in the short term — the Republican Party, their toady, is likely to pick up seats in the House and may take control of the Senate as well — in the larger fight against progress and modernity the Kochs have already lost. Clean energy is here to stay, and no sane political party would try to take away the health care of eight million fellow Americans.
Check that — they’ll try in both instances. According to one study, the Kochs have already spent $61 million on various front groups dedicated to the flat-earth proposition that the globe is not warming. But so far, the only return on that investment is a cohort of people flopping around in the waters of stupidity. About 44 percent of Republicans and 70 percent of Tea Party-leaning voters believe there is no solid evidence that the earth is getting warmer, according to the Pew Research Center.
Now, this is not 70 percent who think Donald Duck is really a platypus, though in a way it is. This is 70 percent who have been convinced that the actual hard numbers, that 9 of the 10 warmest years on record have occurred in this century, are a hoax. It’s like saying, No, it was not 75 degrees in Atlanta yesterday — that’s just your view.
What this shows is that you can buy a lie, but you can’t make that lie the truth. Over the last nine months, three exhaustive studies have shown that climate change is happening now, and will continue to unfold in real time, with record droughts in the American West, rising seas along the Atlantic coast, and global megastorms so catastrophic they will divert CNN from the missing plane. The climate experts in these studies are the gold standard — from places like the National Academy of Sciences and the Royal Society. They are not political hacks looking to spin something.
So, the real Sisyphean struggle for the Kochs is against science itself. With the fight against solar — and other alternatives to the carbon-based source of the brothers’ wealth — the Kochs are up against market forces and the inevitability of an idea whose time has come. Across the nation, homeowners with solar have taken advantage of incentives that allow them to sell power they don’t need back to the grid. They get the citizen satisfaction of doing their own small part to reduce emissions, but they also get to tell a big corporate or government entity to stuff it. Once you’ve shown people they can be their own electrical utility, you’ve unleashed something that will be very hard to take away.
The Kochs, whose industries are among the nation’s biggest corporate polluters, are currently funding stealth campaigns to roll back incentives for clean energy. What they’re running up against are American do-it-yourselfers. The future of solar is now, with every homeowner tinkering on a roof, every company looking for tomorrow technology, every market improvement that brings the cost down and effectiveness up.
With their fight against health care, the Kochs are bumping into another wall of inconvenient truths. Not only has Obamacare exceeded expectations for sign-ups in the first year, but it’s projected now to cover more people over 10 years — 25 million — and cost $104 billion less than previously forecast, according to the nonpartisan Congressional Budget Office.
A study by the Annals of Internal Medicine found, in looking at the Massachusetts model for Obamacare, that expanding health insurance appeared to save many lives. Duh. But extrapolated from this report for the nation as a whole, you can make a case that the Affordable Care Act will prevent 24,000 deaths a year. Put another way, about 6,000 people a year will die in red states that refuse to expand Medicaid under Obamacare. There are your death panels.
The Kochs also had funding ties to a campaign to persuade young people not to sign up for health care, hoping to sabotage it with beer parties and scare ads of a creepy Uncle Sam looking at a woman in an examining room. No surprise, the kids saw through it. More than enough millennials got coverage — so many, that premiums may fall in the coming sign-up period.
Next year, the Kochs will have a Congress loaded with crackpots ready to serve their agenda. There will be show hearings, bills will be introduced, meaningless votes will be taken. In the end, health care and clean energy will march on. The Kochs, to close with another film reference, will be like Harold Lloyd in one of the great scenes from the silent movie era — hanging from the hands of a giant clock. It may cost them half a billion dollars to learn that they can’t stop time.
By: Timothy Egan, Contributing O-Ed Writer, The New York Times, May 8, 2014
“Cliven Bundy And The Entitlement Of The Privileged”: What He Learned From The Koch Brothers
Nevada rancher Cliven Bundy’s 15 minutes of fame are up. He was a Fox News poster boy when he refused to pay fees for grazing his cows on federal land and greeted federal rangers with the threat of armed resistance. But when he voiced his views on the joys of slavery for “the Negro,” his conservative champions fled from his side.
What is interesting about Bundy, however, is not his tired racism but rather his remarkable sense of entitlement. His cattle have fed off public lands for two decades while he refused to pay grazing fees that are much lower than those he would have to pay for private land (and lower even than the government’s costs). “I’ll be damned if this is the property of the United States,” he says, claiming he won’t do business with the federal government because the Constitution doesn’t prohibit Americans from using federal lands.
As we’ve seen in recent years, this sense of entitlement pervades the privileged. Billionaire hedge fund operator Stephen Schwarzman feels so entitled to his obscene hedge fund tax dodge – the “carried interest” exemption – that he viewed Obama’s call to close the loophole as “a war. It’s like when Hitler invaded Poland in 1939.” Tom Perkins, co-founder of venture capital fund Kleiner Perkins Caufield & Byers, considers mere criticism of the wealthiest Americans akin to the persecution of the Jews in Nazi Germany.
When Republican Dave Camp, the chairman of the House Ways and Means Committee, had the temerity to propose a surcharge on the biggest financial houses (those with $500 billion in assets or more), to correct for the subsidy and competitive advantage provided by being “too big to fail,” Wall Street went ballistic. Republicans were told the spigot of political fundraisers would be closed until they recanted their heresy. “We’re going to beat this like a rented mule,” boasted Cam Fine, head of the Independent Community Bankers of America.
Big Oil feels so entitled to its multibillion-dollar annual subsidies, that Jack Gerard, president of the American Petroleum Institute, even denies their existence: “The oil and gas industry gets no subsidies, zero, nothing.” The more than $4 billion that the most profitable companies in the history of the world receive annually from U.S. taxpayers are apparently entitlements, not subsidies.
No one exemplifies this sense of entitlement more than the billionaire Koch brothers, self-proclaimed libertarians who pour hundreds of millions of dollars into supporting think tanks, lobbies and candidates who will protect their right to pollute our air and water while leaving taxpayers to pay billions of dollars to repair damage done. Owners of companies that have serially violated environmental, health and safety laws, the Koch brothers have played a major role in propogating the views adopted by rancher Bundy.
Mitt Romney, the Republican candidate for president, infamously denounced the 47 percent as “takers,” even while revealing that he paid a low 14.1 percent income tax rate. As Bundy dramatized, the real “takers” aren’t the poor and the vulnerable. Indeed, worse-off Americans are so disabused of any sense of entitlement that millions don’t jump the hurdles needed to receive the benefits for which they are eligible.
No, the real “takers” with a stunning sense of entitlement are the biggest corporations and banks, the richest Americans. They view their tax dodges as an inherent right, their inherited estates as a birthright. They treat the public commons as a resource that they should be free to plunder and regard any regulations that would protect those resources as an infringement on their liberty. Corporations are now arguing in court that that the First Amendment gives them the right to evade the law.
But, as Sen. Elizabeth Warren (D-Mass.) noted in her speech to the Democratic National Convention in 2012, the entitlements of the elite are increasingly under question:
“People feel like the system is rigged against them. And here’s the painful part: They’re right. The system is rigged. Look around. Oil companies guzzle down billions in subsidies. Billionaires pay lower tax rates than their secretaries. Wall Street CEOs — the same ones who wrecked our economy and destroyed millions of jobs — still strut around Congress, no shame, demanding favors and acting like we should thank them. Anyone here have a problem with that? Well, I do.”
And, as polls show, so do the vast majority of Americans. Just as Bundy discovered his casual racism was unacceptable, he will learn that his privileged sense of entitlement earns similar scorn.
By: Katrina vanden Heuvel, Opinion Writer, The Washington Post, April 29, 2014