The long-awaited General Motors recall report, which was compiled by attorneys with longstanding and lucrative ties to the company, has been released with few surprises. GM-hired attorneys claim that no high-level executives at the company were responsible for the deadly ignition switch recall delay that cost at least 13 people their lives. The report does nothing to vindicate GM. The company's management must be investigated by the Justice Department.
It is expected that GM's internal investigation will absolve GM CEO Mary Barra of responsibilty for the deadly recall delay that resulted in at least 13 deaths and 31 injuries.
I don't think anybody expects an investigation paid for by GM and conducted by lawyers with longstanding cozy relationships with GM to be anything but a whitewash. This only increases the necessity of NHTSA and Congress getting to the bottom of the delay. They owe it to the victims and the public.
People are tired of hearing leaders at the highest levels of responsibility claim that they were simply not aware.
Here are some questions for GM, NHTSA and Congress:
Months have passed since the saga about the fate of Fisker Automotive ended, which was the stimulus-funded electric vehicle flop that always seemed on the verge of bankruptcy but had a long existence as part of the walking dead.
The inevitable finally happened in November, after Fisker’s executives spent many desperate months traveling the world trying to find a buyer for the struggling company. Apparently blunders and stumbles that included fires, recalls and bad reviews for the only model Fisker ever produced – the Karma – made the business untouchable for outside investors.
In the sixth year of the presidency of an African-American, long after Jesse Jackson, Sr. should be seen as relevant to anything, some of the largest companies in California's Silicon Valley are resuscitating his career as tribute artist. Jackson once again is resorting to his anachronistic but apparently still effective tactic of issuing an ultimatum for "diversity," giving a company a choice: 1) orient hiring, marketing and other activities to favor nonwhites; or 2) get ready for a boycott, picketing, a lawsuit or other bad publicity. Though it has been a number of years since he has pulled this off, this May he gave information technology industry titans the full Jesse treatment - and on their own turf. At shareholder meetings of eBay, Google and Facebook, Jackson issued aggressive calls to hire blacks and other "people of color," especially for top positions.
In my previous Special Report titled "The Carnahan Wind Deal," I documented that wind energy is highly inefficient and requires additional transmission lines and back-up gas generators when the wind doesn't blow. Yet, windmills keep getting built, thanks to government subsidies.
But it is very hard to trace these subsidies. Vague statements about "tax credits" and "mandates" give no hint of the magnitude of returns that these subsidies provide to crony windmillers. Indeed, in the Carnahan Special Report, we had to burrow into financial statements of a foreign company and its subsidiary to understand where all the money was going. The principal information was buried in an arcane note to these financial statements.
Everyone in Washington favors "reform." Unfortunately, the term can be highly deceptive. Such is the case of the Housing Finance Reform and Taxpayer Protection Act of 2014 (S.1217), a bill that would abolish troubled mortgage giants Fannie Mae and Freddie Mac in favor of a federally-backed private insurance system. Last Thursday, the Senate Banking Committee approved the measure by a 13-9 vote. Yet the bill, sponsored by Sens. Tim Johnson, D-S.D., and Mike Crapo, R-Idaho (in photos), may never reach the Senate floor - and not undeservedly. For the real problem with Fannie Mae and Freddie Mac, which now are profitable and have more than repaid their federal bailout debt, is not their existence; it is their subjection to tight federal control.
The axiom that "all that rises must converge" is upside down in New York State where all that falls is now converging. According to the New York Post, Rep. Charles Rangel's campaign manager helped incorporate a nonprofit group that was plundered by New York City Councilman Ruben Wills, who was arrested last week. From the article:
Rasheida Smith, a longtime southeast Queens Democratic operative, is listed on the incorporation papers of New York 4 Life, the group that state authorities say Wills looted for more than $30,000 to buy such luxuries as a $750 Louis Vuitton handbag.