Perhaps The Most Corrupt Member of Congress Darrell Issa (R-CA) Shuts Down Transparency in Government

Perhaps The Most Corrupt Member of Congress Darrell Issa (R-CA) Shuts Down Transparency in Government

Yesterday the House Committees on Government Oversight and Reform and Small Business held a joint hearing entitled, “Politicizing Procurement: Will President Obama’s Proposal Curb Free Speech and Hurt Small Business?” The irony of this title was not lost on us, nor most others. The hearing was ostensibly held to address a draft executive order currently being considered by the Obama administration that would require government contractors to disclose political contributions before receiving government contracts, something CREW strongly supports. For more background on the proposed executive order, see here. Taking a page out of his standard play book, however, Chairman Darrell Issa (R-CA) once again used his power as head of the Oversight Committee to politicize the legislative process. This time he refused the request of Ranking Member Elijah E. Cummings (D-MD) to allow the one witness who supports the administration’s draft executive order to testify.

It is no surprise the House Oversight and Government Reform and Small Business Committees would hold a hearing on this change in policy, even if quite frankly it is a rather modest step. But by vetoing the one witness requested by the minority – something CREW has experienced firsthand -- Chairman Issa revealed the true political motivation underlying the hearing – skewering the public record to support his, and his party’s, opposition to the executive order. Ironically, Chairman Issa is the co-founder of the Bipartisan Transparency Caucus and loves to tout how “sunlight is the best disinfectant.” Yesterday “Mr. Transparency” simultaneously denied the public a truly informative hearing with diverse views on the proposal and turned reality on its head by – to quote Rep. Cummings – making sunlight the “infectant.”

Unchecked by any counterbalancing testimony, the committee members were free to spin and spew misinformation and fear mongering. One tired distortion heard repeatedly yesterday, for example, is that President Obama secretly wants to misuse the new disclosure information to create a “Nixonian” enemies list. President Obama has no role in the procurement process, and the draft executive order explicitly states that every stage of the contracting process must be “free from the undue influence of factors extraneous to the underlying merits of contracting decision making, such as political activity or political favoritism.” The notion that federal contracting officers would use the new disclosures required by the draft executive order to punish foes by awarding or withholding government contracts is absolute malarkey. In the extremely unlikely case that contracting officials would abuse their authority in this way, this draft executive order would allow the public to hold our public officials accountable.

As far as CREW is concerned, yesterday’s hearing only served to tarnish the integrity of the committee and therefore disserved the American public. We encourage you to watch Ranking Member Cummings’ opening statement where he effectively calls out the charade that yesterday’s hearing really was.(video at link)

Of course Issa wants less transparency in government. He is one of the few members of Congress who has not put his business holdings into a blind trust while he serves and he frequently votes on issues that directly effect his profits. You can contact Issa(R-CA) here and tell him you want more open, responsible and ethical government.

Corrupt Republican of the Week - Rep. Darrell Issa (R-CA) Turns Over Congressional Authority to Financial Lobbyist

Corrupt Republican of the Week - Rep. Darrell Issa (R-CA) Turns Over Congressional Authority to Financial Lobbyist

Peter Haller, also known as Peter Simonyi, a former Goldman Sachs VP now working for Chairman Issa to block regulations on Goldman Sachs.

Has Rep. Darrell Issa (R-CA) turned the House Oversight Committee into a bank lobbying firm with the power to subpoena and pressure government regulators? ThinkProgress has found that a Goldman Sachs vice president changed his name, then quietly went to work for Issa to coordinate his effort to thwart regulations that affect Goldman Sachs’ bottom line.

In July, Issa sent a letter to top government regulators demanding that they back off and provide more justification for new margin requirements for financial firms dealing in derivatives. A standard practice on Capitol Hill is to end a letter to a government agency with contact information for the congressional staffer responsible for working on the issue for the committee. In most cases, the contact staffer is the one who actually writes such letters. With this in mind, it is important to note that the Issa letter ended with contact information for Peter Haller, a staffer hired this year to work for Issa on the Oversight Committee.

Issa’s demand to regulators is exactly what banks have been wishing for. Indeed, Goldman Sachs has spent millions this year trying to slow down the implementation of the new rules. In the letter, Issa explicitly mentions that the new derivative regulations might hurt brokers “such as Goldman Sachs.”

Haller, as he is now known, went by the name Peter Simonyi until three years ago. Simonyi adopted his mother’s maiden name Haller in 2008 just as he was leaving Goldman Sachs as a vice president of the bank’s commodity compliance group. In a few short years, Haller went from being in charge of dealing with regulators for Goldman Sachs to working for Congress in a position where he made official demands from regulators overseeing his old firm.

It’s not the first time Haller has worked the revolving door to help out Goldman Sachs. According to a report by the nonpartisan Project on Government Oversight, Haller — then known as Peter Simonyi — left the Securities and Exchange Commission (SEC) in 2005 to work for Goldman Sachs, then quickly began lobbying his colleagues at the SEC on behalf of his new firm. At one point, Haller was compelled to issue a letter to the SEC claiming he did not violate ethics rules. A brief timeline of Haller’s work history underscores the ethical issues raised with Issa’s latest letter to bank regulators:

– After completing his law degree in 2000, Haller was employed by Federal Energy Regulatory Commission as an economist, and later with the Securities and Exchange Commission in the Office of Enforcement.

– In April of 2005, Haller resigned from the SEC to take a job with Goldman Sachs. He soon began lobbying the SEC on behalf of Goldman Sachs.

– On September 2, 2009, Haller left Goldman Sachs to take a job with the law/lobbying firm Brickfield Burchette Ritts & Stone.

– In January of 2011, Haller was hired to work for Issa on the Oversight Committee. Under the supervision of Haller, Issa sent a letter dated July 22, 2011 to bank regulators (including the heads of the Federal Reserve, FDIC, FCA, CFTC, FHFA, and Office of Comptroller) demanding documents to justify new Dodd-Frank mandated rules on margin requirements for banks dealing in the multi-trillion dollar OTC derivatives market, like Goldman Sachs.

When he took over the chairmanship of the Oversight Committee this year, Issa dramatically shifted the committee’s focus away from its traditional role of investigating major corporate scandals. Instead, Issa has used the committee to merge the responsibilities of Congress with the interests of K Street and Issa’s own fortune.

In June of this year, ThinkProgress broke the story about Issa’s own complicated relationship with Goldman Sachs. We revealed that Issa purchased a large amount of Goldman Sachs high yield bonds at the same time as he used the Oversight Committee to attack an investigation into allegations that Goldman Sachs had systematically defrauded investors leading up to the financial crisis. This conflict of interests, along with our exclusive story about Issa’s earmarks benefitting his own real estate empire, received coverage in a recent piece by the New York Times.

We also broke a story last month revealing other revolving door conflicts within Issa’s staff. Peter Warren, Issa’s new policy director, maintains some type of financial contract with a student loan lobbying group he led last year, and received a bonus from the lobbying group before leaving to work for Issa. Since joining Issa’s staff, Warren and his colleagues have fought to weaken the recently created Consumer Financial Protection Bureau, the new agency charged with overseeing student loans.

The new revelations about Peter Haller, however, raise even more significant ethical concerns than Peter Warren and other ex-lobbyists working for Issa. Why did Issa hire a high-level Goldman Sachs executive to work on stopping regulations on banks like Goldman Sachs? Haller’s direct involvement in the July letter brings Issa’s ability to lead the Oversight Committee — charged with conducting investigations on behalf of the public interest — into serious doubt.

Remember way back when - like two years ago - the tea bagger conservatives like Issa were playing the populist heroes who were made at Wall St for robbing the nation of $17 trillion dollars in wealth. As a result of Wall St's malfeasance and conservatives during the Bush era not enforcing regulation millions of Americans are out of work, have lost their homes or both. Now the fake populist conservatives like Issa won a majority in Congress America gets to see their true agenda. They're not looking out for the average American, they looking out for special interests using guys that change their names because their old names are tainted with corruption. It might be time to call, e-mail and fax Congress to start impeachment proceedings against Issa for using his authority to make money and protect his cronies.