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Exempt

Congress traditionally exempts itself from the federal laws it issues governing the rest of us. The high-minded reason is that it prevents members from unwarranted interference from the executive branch, thereby preserving their status as a co-equal branch of government.

A less high-minded reason? You can make a killing with non-public information on the stock market.

Both parties get away with this – a bill to prevent members from doing so died with only six co-sponsors – but for sheer brazenness it’s hard to beat the former madame Speaker of the House, whose “face melts” during a Q&A session at the 09:20 mark on the embedded video at the link.

 

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13 comments to Exempt

  • Jeff Gauch

    I think everyone can agree that government should not pick winners and losers. The very act of investing requires picking winners and losers. Anyone who doesn’t support banning legislators from making investments while in office should be sent home at the earliest opportunity. Congressional pensions are more than sufficient to offset any legitimate lost savings.

    • Mike M.

      I’d allow them mutual funds…and ONLY mutual funds.

      I find it infuriating that conduct that would get anyone in the acquisition community fired (if not imprisoned) is considered perfectly legal for Congress.

      • virgil xenophon

        Hell, Mike, I’d go further and allow them only indexed mutual funds.

      • Jeff Gauch

        Their pensions vest after 5 years. The average payout is $35,000. I’m not about to weep for them. A Congressman who doesn’t plan on getting reelected twice can simply set the money aside for when they get out. I’m willing to grant them an exemption from the contribution limits after they leave office.

  • Snake Eater

    Priceless…Nancy’s new face lift looked like it was about to implode. Best

    • SK1

      Pour a bucket of water on her and watch the Witch melt like her sister in the Wizard of OZ.

      Dorothy: [in the Wizard's Throne Room with the three others, having returned from the Witch's castle] Please, sir. We’ve done what you told us. We brought you the broomstick of the Wicked Witch of the West. We melted her!
      Wizard of Oz: Oh, you liquidated her, eh? Very resourceful!

      I hope the voters in San Francisco ” liquidate” her in the next election.

      • Jeff Gauch

        Have you been to SF? Pelosi’s practically a right-wing extremist over there. They’ll vote out the Overstretched Ogre of the Occident about 15 minutes after the city falls into the ocean.

  • SteveC

    On top of the great pay and the super benefits (if any of them deny this then ask: why don’t they leave?) they also get to play the market with inside information AND without downside liability? How nice. And they also live in the richest part of the country…because they live there

    This all needs to be repeated over and over until the election to get the attention of the public so that ‘change we can believe in’ takes place. Throw the bums out and change the system so that it’s not business as usual just with new faces…and the ‘throw them out’ should include the huge staffs and individuals on those staffs who never go away and who are part and parcel of the corruption in D.C. Please: from my lips to God’s ear. Or at least to the ears of the people who can vote them out.

  • Mike M.

    Another factor to watch for are Congressional families. Senator A can keep his own hands squeaky-clean…and pass insider information to his wife and kids.

  • Mike Myers

    But the real point is that the MSM mostly has Pelosi’s back covered. I doubt that most folks will ever hear of this.

  • Jim Shawley

    The 60 Minutes piece was mostly partisan; however, it was nice to find one Democrat who had done something less than upright–in Kroft’s view.

  • Quartermaster

    I think it was Sam Clemons that made the comment that Congress is our only established criminal class. That was before La Cosa Nostra made it over here.

    LBJ went from school teacher to multi-millionaire while sucking at the public trough. The man had to be corrupt to his core to accomplish that.

  • Note that book (Throw Them All Out) exposing this showed documented it as a bipartison problem but with a 70/30 split between D and R parties.

    Interesting to note this 60 Minutes report reversed that and had 1 D and 4 R’s under the gun.

    Interesting but not surprising.

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