August 1,2017
the staff of the Ridgewood blog
Hillsdale NJ, we have to laugh Congressman Josh Gottheimer gathered local business leaders for a roundtable on the Export-Import Bank with Former Chairman and President of the Export-Import Bank, Fred Hochberg. Hosted by Fornazor International, Inc., the group shared Export-Import Bank success stories and discussed ways that small- and medium-sized New Jersey manufacturers can leverage the opportunities afforded by the bank to expand their businesses .
Perhaps no one told Congressman Gottheimer that the Export-Import Bank is one of the most corrupt organizations in Washington and often referred as nothing more than corporate welfare .
A Gottheimer press release In New Jersey, this program has supported, $4,039,300,000 in exports, 25,811 jobs, and 219 companies — without costing the Treasury a single nickel. Congressman Gottheimer views Ex-Im as a great return on investment for the district, state, and country.
The reality is far different the Export Import Bank is nothing but corrupt corporate welfare. The 81-year old, government agency, the Export Import Bank cost taxpayers millions of dollars each year and it overwhelmingly benefitted big corporations and big banks. (Beware, incompetent government protocols allow for wild variations in costs). Recently, 42 Republicans and 176 Democrats forced a vote in the House of Representatives to reauthorize the bank.
Originally, the Export Import Bank (ExIm) was created in the 1930’s to assist small businesses unable to acquire private, bank loans. In 2012, Boeing received 83% of its loan guarantees through the Export Import Bank. Not to mention, Chase, Citibank and other big banks are essentially receiving risk-free loans from our government bank. What happened? Inevitably, a government subsidy attracts big businesses with powerful lobbyists to convert the program to their advantage. This happened and was the reason small government conservatives demanded an end to the ImEx.
Thus, upon losing their enormous government subsidies, big businesses and well-paid lobbyists are working hard to convince Members of Congress to reauthorize and fund the bank. According to Veronique de Rugy of the Mercatus Center, between 2007 and 2013 the Bank subsidized:
· $66.7 billion in sales by Boeing
· $8.3 billion for General Electric
· $5.2 billion for Bechtel
· $4.9 billion for Caterpillar and its subsidiary Solar Turbine
· $3.2 billion for CBI Americas
· $3.0 for Exxon Mobil
· $2.1 billion for Applied Materials
· $2.0 billion for Westinghouse
· $1.4 billion for Noble Drilling
In 2014 the left of center “HILL” wrote a very critical article on the banks dealings with Russia and what it called rampant fraud at the bank, ” In late July, the bank scrambled to halt their dealings with Russian companies, a week after the awkward news that the Obama administration had sanctioned some of the Bank’s previous Russian “customers” with close ties to Vladimir Putin.
Around the same time, the bank’s president, Fred Hochberg, was hauled before Congress to address concerns about rampant fraud at his institution after three employees were dismissed following allegations of corruption. Also called to testify was Johnny Gutierrez, himself one of the recently-dismissed bank officials. Gutierrez pled the Fifth Amendment and Hochberg’s testimony was less than illuminating. In addition, a recent report in The Daily Caller found several instances of conflicts of interest among members of the bank’s own advisory committee.”
The Export-Import Bank is backed by powerful corporate interests and corrupt politicians who make a living off of all the dirty deals .
