Fast and Furious Update: Obama Administration Now Laundering Drug Cartel Money?

December 7th, 2011

So says that bastion of right-wing propaganda, The New York Times:

Undercover American narcotics agents have laundered or smuggled millions of dollars in drug proceeds as part of Washington’s expanding role in Mexico’s fight against drug cartels, according to current and former federal law enforcement officials.

[snip]

The officials said that while the D.E.A. conducted such operations in other countries, it began doing so in Mexico only in the past few years. The high-risk activities raise delicate questions about the agency’s effectiveness in bringing down drug kingpins, underscore diplomatic concerns about Mexican sovereignty, and blur the line between surveillance and facilitating crime. As it launders drug money, the agency often allows cartels to continue their operations over months or even years before making seizures or arrests.

[snip]

Another former agency official, who asked not to be identified speaking publicly about delicate operations, said, “My rule was that if we are going to launder money, we better show results. Otherwise, the D.E.A. could wind up being the largest money launderer in the business, and that money results in violence and deaths.”

Those are precisely the kinds of concerns members of Congress have raised about a gun-smuggling operation known as Fast and Furious

I suppose it’s progress of a sort when even The New York Times realizes something went horribly wrong in Fast and Furious. And even if the money laundering program was working, what chance does it have now that the cover has been blown?

Does anyone actually believe the Obama Administration has an effective, coherent plan to take down the cartels?

What next? Will we find out that U.S. agents actually carried out cartel assassinations?

Also this:

The former officials said that federal law enforcement agencies had to seek Justice Department approval to launder amounts greater than $10 million in any single operation. But they said that the cap was treated more as a guideline than a rule, and that it had been waived on many occasions to attract the interest of high-value targets.

If Fast and Furious is any guide, those “hundreds of thousands of dollars” will turn out to be tens or even hundreds of millions of dollars.

(Hat tip: Instapundit.)

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Posted in Guns, Media Watch, Obama Scandals | 2 Comments »

Dewhurst Contributions: A Lot of Money from Fulbright & Jaworski

December 6th, 2011

It takes a while for the FEC to put up the list of individual donations (even longer than putting up the summary reports), so I didn’t think to check out David Dewhurst’s individual contributions until this week. One thing that jumped out at me from the report was just how many donations he got from lawyers at Fulbright & Jaworski.

Fulbright & Jaworski ranked 52 overall on the Vault list of the top 100 law firms in the U.S., and fourth in the energy sector. The Jaworksi in the name comes from Watergate prosecutor Leon Jaworski. They’re headquartered in Houston but have offices worldwide. They’re generally considered one of the three biggest law firms in Houston, the other two being Baker Botts and Vinson & Elkins.

From the FEC, here are the donations Dewhurst received from Fulbright & Jaworski employees for his senate race (presented in the same format provided by the FEC, both for authenticity, and because I’m too lazy to reformat them):

  • BELL, JERRY A MR JR AUSTIN TX 78701 09/27/2011 1000.00 FULBRIGHT & JAWORSKI, L.L.P./ATTOR
  • BODE, JOYCE R MS AUSTIN TX 78701 09/27/2011 1000.00 FULBRIGHT & JAWORSKI, L.L.P.
  • BRADEN, PAUL MR HOUSTON TX 77024 09/27/2011 250.00 FULBRIGHT & JAWORSKI LLP/ATTORNEY
  • CAUDILL, WILLIAM H MR HOUSTON TX 77006 09/19/2011 1000.00 FULBRIGHT & JAWORSKI, L.L.P./ATTOR
  • DILLARD, STEPHEN C MR HOUSTON TX 77056 09/29/2011 500.00 FULBRIGHT & JAWORSKI L.L.P./ATTORN
  • DRANSFIELD, ROBERT D MR DALLAS TX 75205 09/27/2011 1000.00 FULBRIGHT & JAWORSKI, LLP/ATTORNEY
  • GARCIA, FRANK T MR HOUSTON TX 77024 09/19/2011 500.00 FULBRIGHT & JAWORSKI, LLP/ATTORNEY
  • GOVETT, BRETT C MR DALLAS TX 75205 09/20/2011 500.00 FULBRIGHT & JAWORSK/ATTORNEY
  • GRAHAM, JOSEPH M MR JR HOUSTON TX 77056 09/30/2011 300.00 FULBRIGHT & JAWORSKI, LLP/ATTORNEY
  • HALL, CHARLES W MR HOUSTON TX 77019 09/19/2011 1000.00 FULBRIGHT & JAWORSKI L.L.P./LAWYER
  • HETTINGER, GLEN J MR HEATH TX 75032 09/27/2011 1000.00 FULBRIGHT & JAWORSKI LLP/ATTORNEY
  • HUGHES, THOMAS MR BAYTOWN TX 77521 09/27/2011 1000.00 FULBRIGHT & JAWORSKI/ATTORNEY
  • KOENIG, RODNEY C MR HOUSTON TX 77010 09/19/2011 250.00 FULBRIGHT & JAWORSKI, LLP/ATTORNEY
  • KONTRIMAS, ANDRIUS MR HOUSTON TX 77010 09/27/2011 2000.00 FULBRIGHT & JAWORSKI L.L.P./ATTORN
  • KRAUSS, LAYNE E MR HOUSTON TX 77010 09/29/2011 1300.00 FULBRIGHT & JAWORSKI L.L.P./ATTORN
  • KRUSE, LAYNE MR HOUSTON TX 77010 09/19/2011 1000.00 FULBRIGHT & JAWORSKI L.L.P./ATTORN
  • KUNTZ, STEPHEN A MR HOUSTON TX 77005 09/19/2011 500.00 FULBRIGHT & JAWORSKI, LLP/ATTORNEY
  • LEGGETTE, L POE DENVER CO 80202 09/27/2011 1000.00 FULBRIGHT & JAWORSKI, L.L.P./ATTOR
  • MACON, JANE MS SAN ANTONIO TX 78205 09/27/2011 1000.00 FULBRIGHT & JAWORSKI, L.L.P./ATTOR
  • MCCLURE, DANIEL MEAD MR HOUSTON TX 77010 09/27/2011 1000.00 FULBRIGHT & JAWORSKI, L.L.P./ATTOR
  • PAKALKA, WILLIAM R MR HOUSTON TX 77010 09/27/2011 500.00 FULBRIGHT & JAWORSKI L.L.P./ATTORN
  • PFEIFFER, STEVEN B MR ALEXANDRIA VA 22301 09/29/2011 1000.00 FULBRIGHT & JAWORSKI L.L.P./ATTORN
  • POWELL, CHARLES D MR HOUSTON TX 77005 09/27/2011 2300.00 FULBRIGHT & JAWORSKI/PARTNER
  • STEWART, KENNETH L MR DALLAS TX 75225 09/27/2011 1000.00 FULBRIGHT & JAWORSKI, LLP/ATTORNEY
  • TRAUTNER, KEVIN MR HOUSTON, TX 77005 09/19/2011 250.00 FULBRIGHT & JAWORSKI LLP/ATTORNEY
  • WOLF, HOWARD MR AUSTIN TX 78703 09/27/2011 2500.00 FULBRIGHT & JAWORSKI, L.L.P./ATTOR
  • WOLF, HOWARD MR AUSTIN TX 78703 09/27/2011 -2500.00 FULBRIGHT & JAWORSKI, L.L.P./ATTOR
  • WOLF, HOWARD MR AUSTIN TX 78703 09/27/2011 5000.00 FULBRIGHT & JAWORSKI, L.L.P./ATTOR

    • I actually offer this up as more of a data point than a “gotcha.” While some Fulbright & Jaworski lawyers have been involved in liberal causes (like representing detained terrorists at Guantanamo Bay), 71% of their political donations have gone to Republicans. Fulbright & Jaworski seems to have done a lot of work for Dewhurst’s company Falcon Seaboard. (The Howard Wolf listed above is actually a retired partner for Fulbright & Jaworsk, as he’s currently President and Acting Chairman of Falcon Seaboard, has been appointed to several state boards, and is one of Dewhurst’s closest confidants.) Indeed, Dewhurst’s ties to the company are so extensive that he was he was willing to do this video taking about how awesome they are:

    (I was also surprised to find an old high school classmate in the same video…)

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    Posted in Elections, Republicans, Texas, video | 1 Comment »

    A Look at David Dewhurst’s Personal Financial Report

    December 5th, 2011

    Although they haven’t officially been put up yet, Quorum Report has obtained the personal financial disclosure report the U.S. Senate requires for David Dewhurst, Ted Cruz, Tom Leppert and Ricardo Sanchez. According to the Statesman, Dewhurst’s wealth adds up to some $225 million, quite a formidable amount (I suspect that myself and many of my readers could be quite content for 1/100th of that), but not quite the billionaire some had tagged him as.

    Tom Leppert clocked in at $12 million (nice, but an order of magnitude less than Dewhurst) and Ted Cruz came in at just under $1 million. Ricardo Sanchez had a net worth of $212,009, but that was probably before his recent house fire.

    A little bird was kind enough to provide me a copy of Dewhurst’s report, and I wanted to take note of a few tidbits.

    Under income, Dewhurst lists his salary from the State of Texas at $61,119. The Lieutenant Governor’s base salary, as set by the Texas Constitution, is $7,200, though actual pay varies somewhat depending on which days he acts as the acting governor. I find it ironic that if I wanted to be Lieutenant Governor, I’d have to take a significant pay cut. Still, I bet the benefits are pretty awesome…

    Dewhurst’s biggest wealth comes in the form of holdings in Falcon Seaboard, the energy and investment company he founded and for which he owns (according to the report) 97.38%. His report lists assets to the tune of over $50 million in Falcon Diversified and $25–50 million in Falcon Seaboard Investment Company, plus over $50 million in a blind trust. He also listed a receivable note from them in the $1–5 million range, as well as a promissory note (i.e. loan) from them in the $5–25 million range. Plus various other Falcon Seaboard-related investments and income.

    Next comes Section IIIA, Publicly traded assets and unearned income sources, which lists the companies Dewhurst owns shares of stock in. Among those he has listed as owning shares worth between $100,000–250,000:

  • Applied Materials (as I was an employee of Applied Materials for several years, I own a good bit of their stock myself (though only the shares in my 401K remain), so if he’s held them from any time prior to 2001, I’d just like to offer my condolences to the Lt. Governor for his capital losses…)
  • Baxter International Incorporated
  • Carnival

    • Stocks he holds $50,001-100,000 in are:

  • Boeing
  • Calpine
  • Carmax
  • Comcast
  • Diebold (the liberal conspiracy theorists should have a field day with this one!)
  • ENI (Italian multinational oil and gas company)
  • France Telecom S.A.
  • Nippon Telegraph and Telecom
  • Sanofi-Aventis (French pharmaceutical company)
  • Telecom Italia
  • Total S.A. (French oil company)
  • Unileaver N.V.

    • There are also lesser amounts of stock in Section IIIB, non-publicly traded assets and unearned income sources, which are presumably either in trusts or retirement accounts. (I am neither a lawyer nor an accountant.) I’m not clear if all Mr. Dewhurst’s stock holdings are inside or outside of his blind trust, or some other arrangement. My quick impression is that, blind trust or not, that’s an awful lot of foreign corporations for an American politician to have investments in.

    Other tidbits:

  • Speaking of liberal conspiracy theorists, the fact that Dewhurst is a Vice President for the Jewish Institute for National Security Affairs will no doubt send many of the Daily Kossacks reaching for their NEOCON bricks. (For the record, Wikipedia lists Dewhurst’s religion as Presbyterian, and the JINSA board includes several other prominent non-Jews, including Connie Mack and Bill White.)
  • As you might expect for someone made of money, he has an Amex Black Card.
  • There has been some controversy over him selling stock in Caterpillar “when he was one of three state officials who approved a $1.175 million state grant to the company to build a facility in Seguin.” Also: “Although the stock was in Dewhurst’s state blind trust, there have long been questions about whether the fund was truly at arm’s length because Dewhurst’s brother Gene was one of the trustees.”

    • That’s not a very blind trust. Indeed, about the trust, the report says “Mr. Dewhurst is the 100% beneficiary of the David Dewhurst Blind Trust which is a grantor trust for tax purposes. The trust is NOT considered a blind trust.” Que?

    I’ll be happy to link to Dewhurst’s report (as well as those of the other candidates) when they’re publicly available.

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    Posted in Elections, Texas | No Comments »

    Another Democratic Party Longshot, Virgil Bierschwale, Joins the Texas Senate Race

    December 5th, 2011

    Real Estate agent Virgil Bierschwale sent me an email to note that he was joining the senate race; presumably the Texas senate race, although his text-heavy website does not mention our fair state until a good way down the page. (Pro-tip: It helps if you let people know what state you’re running in at the very top of your webpage.)

    Mr. Bierschwale seems to be a disgruntled former Republican upset over free trade, globalization, and Grover Norquist (not necessarily in that order). As Mr. Bierschwale seems to approve of the Occupy Wall Street crowd, it does seem that he’s running in the right primary. Now we’ll see if he has the drive and stamina to zoom past Stanley Garza and challenge Sean Hubbard for second place…

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    Posted in Democrats, Elections, Texas | No Comments »

    LinkSwarm for December 4, 2011

    December 4th, 2011

    I’ve been sick this weekend, so here are a few random link of interest before they get positively antique:

  • Dear White Working Class Voters: we don’t need you any more. Love, the Democratic Party.
  • WILLisms provides more information on Texas job growth vs. the rest of the nation.
  • Mark Steyn on Hugh Hewitt. He’s not overly impressed with Newt Gingrich.
  • Good: Teen births are falling. Bad: out-pf-wedlock births are rising in every demographic.

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    Posted in Democrats, Economics, Elections, Texas | No Comments »

    Fast and Furious Update for December 1, 2011

    December 1st, 2011

    I’m feeling a bit under the weather, so here are some random and no doubt woefully late updates on Fast and Furious just to prove that I’m not totally out of it:

  • The U.S. government may be the biggest supplier of guns to Mexican cartels. (Hat tip: Say Uncle.)
  • A long leaked email leads Sipsy Street to conclude that they knew And by “they” he means “everyone”:

    EVERYBODY in ATF and DOJ along the border knew, and they knew it before the murder of Brian Terry, for it obviously is no surprise to the highly-placed AUSA Cook, and he doesn’t mind using this common knowledge to achieve the desired result from Phoenix.

  • Rick Perry blasts Fast and Furious and says Holder must go: “America simply cannot tolerate an attorney general who arms the very criminals he is supposed to protect us from and then refuses to comfort the grieving parents of a slain Border Patrol agent. Nor can we tolerate a president who lacks the courage to take decisive action in restoring justice to the Department of Justice.”
  • Michelle Bachmann has also called for Holder to resign.
  • Reporter: “Mr. Holder, why are so many people asking for your resignation?” “Shut up, that’s why!”
  • Zeta Certel violence comes to Harris County.
  • The Obama Administration seals documents related to the murder of border patrol agent Brian Terry. Just imagine if the Bush Administration had done the same for the Valerie Plame. The difference, of course, is that nobody died in the Plame Kerfluffle…
  • A confidential information evidently knew that a “rip crew” was looking to hijack a drug convoy. Supposedly the “third gun” that disappeared from the scene (an SKS carbine) belong to that informant.
  • So what happened to ATF agents with a knowledge of Fast and Furious? The ones responsible got promoted, while the whistle-blowers got screwed.

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    Posted in Crime, Democrats, Elections, Guns, Texas | No Comments »

    Texas Senate Race Update for November 29, 2011

    November 29th, 2011
  • The New York Times discovers Ted Cruz. It’s generally a solid piece, though I do want to quibble with one part, even though it’s an opposition citation: “Mr. Dewhurst’s aides say that unlike Mr. Rubio, Mr. Cruz has been unable to translate the national attention into big increases in fund-raising and polls. While Mr. Cruz has raised $2.8 million to Mr. Dewhurst’s $2.64 million, Mr. Dewhurst has been in the race only since July.” Two points: 1.) Cruz is actually ahead of where Marco Rubio was in at this stage of the 2009-2010 election cycle, and 2.) Cruz’s National Review cover appearance (the most important part of that national attention) was just hitting newsstands at the very end of the Q3 fundraising period, so I wouldn’t expect to see any real fundraising bump until the Q4 numbers are released in January.
  • The Texas Tribune talks about David Dewhurst’s Ivory Tower strategy, which he seems to have gone back to. Dewhurst had this to say in his defense: “I’m not conservative enough, some say. They don’t know me. When they get to know me, they’ll know I am.” With all due respect, Lt. Governor, you’ve been in your current office since January of 2003, and many complaints come from conservatives in Texas. The problem is not lack of familiarity.
  • Cruz gets a nice profile/interview from Big Jolly’s David Jennings in the Houston Chronicle.
  • He also won the Chronicle poll on which Senate candidate readers preferred, beating Dewhurst 53% to 41%,
  • And another greater Greater Houston Council of Federated Republican Women straw poll, 63.4% to 24.4% for Dewhurst.
  • Florida Senator Marco Rubio, to whom Cruz is often compared, has thus far refrained from endorsing any Republican candidates for this cycle.
  • Cruz continues to garner Tea Party support.
  • He also continues to garner hit pieces from the keyboard of The Dallas Morning News‘s Robert T. Garrett, who wonders at length why Cruz actually wants to be a conservative and dares to call out the Republican Senate leadership, rather than being one of those get-along-to-go-along Republicans DSM and other MSM outlets favor. Garrett asks several myopic questions, one of which I’ll actually answer for him: “Won’t opponents David Dewhurst and Tom Leppert say he’s undermining his effectiveness for Texas?” No, because whatever their other flaws, Leppert and Dewhurst both realize they’re trying to win the approval of Republican voters, not Dallas Morning News reporters. These days, approval from those two groups bear an obviously inverse relationship…
  • The Southern Political Report offers up a hefty does of Consensus Opinion on the race. If I had more time, I’d like to dissect the “People With Hispanic Surnames Can’t Win Statewide Republican Races” myth, which is based on precisely one data point: Victor Carrillo’s loss to David Porter in the 2010 Railroad Commissioner race. Even that same year, Eva Guzman beat Rose Vela for Supreme Court place 9. Moreover, it ignores the fact that Carrillo himself beat out the very-anglo-named Robert Butler in 2004. Carrillo lost in 2010 because he ran a very lackluster campaign and because Porter’s answers to the League of Woman Voters survey seemed more conservative, especially given the politically correct nods Carrillo gave to environmentalism and alternative energy in his answers, which was the deciding factor for me personally. However, I do get the impression that one factor did unfairly impact Carrillo’s campaign: the unpopularity of Rick Perry’s Trans-Texas Corridor proposal, which, even though the improperly named Railroad Commission had jack all to do with, probably did marginally hurt his candidacy because he was the incumbent.
  • Tom Leppert appears before the Texas Federation of Republican Women.
  • Cruz has another low-budget animation aimed at Dewhurst. I don’t think it’s as effective as the Chupacabra spot, but I think these cheap Internet animations are very cost effective for building awareness.

  • No Ricardo Sanchez news this week, but he’s probably still recovering from his house fire, so I’ll give him some slack this time around.

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    Posted in Elections, Media Watch, Republicans, Texas | No Comments »

    Ten Days to a EuroZone Collapse?

    November 28th, 2011

    So says a piece in the Financial Times, here excerpted from behind the paywall.

    Things are moving very fast indeed on the Euro front:

  • U.S. banks stop lending to European governments. While this is good news, the possibility that the Fed may rescue Europe is very, very bad news. Our own life raft is barely treading water, and now liberals want us to invite a dying elephant to climb aboard.
  • And not the Fed, then the IMF, which America also funds to a large extent.
  • This article from Der Spiegel is a good roundup on consensus wisdom, which boils down to the rest of Europe wondering why Angela Merkel won’t just give in and pay their bills.
  • There’s word she might even do it, but only if she can get France, Finland, the Netherlands, Luxembourg and Austria to join Germany in issuing “elite” Eurobonds. I mean, what’s another trillion in taxpayer equity flushed down the toilet in comparison to the beautiful dream of European integration?
  • Even Poland wants Germany to take a more active role, something that has not traditionally brought Poland tidings of comfort and joy.
  • Daniel Hannan at NRO provides a nice summary of the state of play:

    From the beginning, the Brussels elites made it clear that, to adapt Abraham Lincoln, their paramount object was to save the Union. Never mind if that meant imposing epochal poverty and emigration on the southern members, and unprecedented tax rises on the northern. Never mind if it meant toppling the elected prime ministers of Italy and Greece and replacing them with Eurocrats (respectively a former European Commissioner and a former vice president of the European Central Bank — two perfect specimens of the people who caused the crisis in the first place). They were prepared to pay any price to keep the euro together — or, more precisely, to expect their peoples to pay, since EU employees are generally exempt from national taxation.

  • How expensive will a Euro bank bailout be? Keep in mind that at one point during the 2008 meltdown, Morgan Stanley owed Uncle Sam $107 billion. With a B. For one bank.
  • In the mid-1990s, Bulgaria got a good look at a currency meltdown first-hand. They only recovered by adopting a currency board for the Lev (which is exactly what Steve H. Hanke and Kurt Schuler had suggested in 1991.)
  • The British Foreign office is already planning for a Euro collapse.
  • A general strike shuts down Portugal.
  • Finally, one Irish commentator puts things in purely mercenary terms:

    The only beneficiaries of the State’s assumption of [Anglo Irish Bank]’s liabilities are taxpayers in the countries whose banks were the reckless lenders to Anglo. Anglo, for all the guff at the time of the bank guarantee, had no systemic importance to the Irish economy. Irish taxpayers had no moral or other liability for its debts.

    The sole reason for saving it was the ECB’s insistence that no euro zone bank should fail. Had Anglo failed, the costs would have been borne primarily by European banks and consequently by European taxpayers.

    So the undertaking by the Irish State to stump up €47 billion to pay those private debts is an act of extreme (if extremely demented) euro-altruism. We are Europe’s ragged-trousered philanthropists, bailing out the euro with money we don’t have and that our European partners are kindly lending us at penal interest rates.

    And this single act of insane generosity wipes out every red cent we’ve got from Europe since 1973.

    [snip]

    And for what? For less than nothing. For a moment of panic, a daft notion, a stupid indulgence in bluster and bravado. Some bleary-eyed fools decided, in the middle of the night, that they could bluff the markets by throwing all the chips we might ever have on to the table. It didn’t take long for the markets to realise that their hand contained nothing better than a pair of deuces.

    But the gamble failed for Europe too. There might be some kind of (very expensive) pride in being able to say that little Ireland took the hit to save the euro zone, like the starry-eyed gal who takes a bullet for the outlaw in a corny western. But we saved nothing. All we managed to do was to buy the euro zone leaders more time in which to delude themselves that there was no real crisis.

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    Posted in Budget, Economics, Foreign Policy, Media Watch, Welfare State | No Comments »

    France Recognizes Syrian Rebels

    November 24th, 2011

    “In a direct echo of previous events in Libya, France has formally recoginsed the opposition Syrian National Council and proposed that international troops should protect civilians.”

    Meanwhile, those rebels are calling for international air strikes against the Assad regime.

    It’s quite possible that the Assad regime could unravel much faster than Moammar Gadhafi’s regime in Libya did, since whole army units have already defected, and Assad is much more isolated from his country’s Sunni majority that Gadhafi was (at least ethnically) from his.

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    Posted in Foreign Policy, Military | No Comments »

    France Pushing Intervention in Syria?

    November 23rd, 2011

    So it seems:

    Alain Juppe, France’s foreign minister, has raised the possibility that western powers could intervene directly intervene [sic – LP] to protect civilians in Syria from the Assad regime.

    He suggested that “humanitarian corridors or humanitarian zones” could be established to protect those under attack.

    As the Assad regime presses ahead with its attacks on Syrian rebels, Mr Juppé has become the first senior western figure to raise the possibility of such an intervention. He said the issue would be discussed by European Union foreign ministers at a meeting next month.

    Of course he goes on to say that “full scale military intervention by the west in Syria was not being considered.” But I remember hearing much the same thing about the intervention in Libya, and we all know how that turned out.

    France’s sudden belligerence may seem out-of-character, but they’ve been pissed at Assad ever since he had Lebanese Prime Minister Rafik Hariri assassinated in 2005. France has a long history of ties with Lebanon, and the Hariri assassination was just the most overt act in Syria’s semi-successful attempt to turn Lebanon into a puppet state. I have no doubt that France would be happy to knock off Assad if they were sure they had NATO (or at least American and UK) backing and could be sure the job was done right.

    In other news, UNSECO’s executive board unanimously elected Syria to a committee dealing with human rights—even though the U.S. has a representative on the committee. Must be more of that Obama Administration “smart diplomacy” we keep hearing about…

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    Posted in Foreign Policy, Military | No Comments »

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