Two months after ascending to the Senate, Barack Obama bought $50,000

[Flabbergasted]

worth of stock in two speculative companies whose major investors included some of his biggest political donors.

http://www.nytimes.com/2007/03/07/us/politics/07obama.html?bl&ex=1173502800&en=f23857d50d5e2a6e&ei=5087%0A

Less than two months after ascending to the United States Senate, Barack Obama bought more than $50,000 worth of stock in two speculative companies whose major investors included some of his biggest political donors.

One of the companies was a biotech concern that was starting to develop a drug to treat avian flu. In March 2005, two weeks after buying about $5,000 of its shares, Mr. Obama took the lead in a legislative push for more federal spending to battle the disease.

The most recent financial disclosure form for Mr. Obama, an Illinois Democrat, also shows that he bought more than $50,000 in stock in a satellite communications business whose principal backers include four friends and donors who had raised more than $150,000 for his political committees.

A spokesman for Mr. Obama, who is seeking his party’s presidential nomination in 2008, said yesterday that the senator did not know that he had invested in either company until fall 2005, when he learned of it and decided to sell the stocks. He sold them at a net loss of $13,000.

The spokesman, Bill Burton, said Mr. Obama’s broker bought the stocks without consulting the senator, under the terms of a blind trust that was being set up for the senator at that time but was not finalized until several months after the investments were made.

snip

Even so, the stock purchases raise questions about how he could unwittingly come to invest in two relatively obscure companies, whose backers happen to include generous contributors to his political committees. Among those donors was Jared Abbruzzese, a New York businessman now at the center of an F.B.I. inquiry into public corruption in Albany, who had also contributed to Swift Boat Veterans forth, a group that sought to undermine John Kerry’s Democratic presidential campaign in 2004.

[Kikosexy2]

1. Oh the...

horror..the horror!!...and Paris shaved her "kitty" just for sh*ts & giggles...oops!..okay waxed!

[pnwmom]

2. "Even so. . . " What garbage. The stock was bought by the manager

of Obama's blind trust. There hasn't been a speck of evidence that there was anything nefarious here -- other than the actions of those who are trying to smear him.

[TomInTib]

3. Get ready to be boiled alive...

This has been addressed here and you are going to see some very thinned-skinned replies.

If this had been Duncan Hunter, DU would be demanding his scalp on a pole.

But this is our guy and the rules and ethics do not apply.

See how easy it is?

[kestrel91316]

4. Obama has no control over what goes on with his blind trust.

I guess the memo didn't mention that part, eh?

[TomInTib]

14. Don't believe everything you read about blind trusts.

A few degrees of separation will do wonders.

Blind trusts are simple instruments/arrangements that allow pols to claim innocent naivete.

A guy on our town's Economic Development Council handles the "blind trust" of one of California's Senators. He tells me he talks to her husband about it all the time.

I have no problem with whatever Obama and his trustee may have done.

I just do not appreciate his claims of "coincidence".

In business and investment, I have rarely encountered true "coincidence".

[gratuitous]

5. Obama didn't make the purchase

The manager of his blind trust made the purchase. You may recall that last year, Sen. Frist of Tennessee came under scrutiny because he was ordering trades of his family's stock through his allegedly blind trust. The reason a trust is called "blind" is because the beneficiary is neither notified of the trades in the trust nor does the beneficiary dictate trades in the trust. Those decisions are left to the discretion of the trust manager.

Dr. Frist got himself in hot water not only because he was ordering trades of commodities in his blind trust, but also because he was working with stocks in a corporation run by his family. So what Dr. Frist did was unethical; what Mr. Obama did was the way it's supposed to be done; that is, without his personal knowledge or direction.

See how easy character assassination is when you're not overburdened with facts? So much easier to put out a journalistic hit.

[Flabbergasted]

6. If people can do a crap smear on Kucincih. Then I'll smear Obama.

If people lay off Kucinich I'll lay off.....

[gratuitous]

7. Now there's some good thinking

That whole "two wrongs don't make a right" idea was repealed by the USA PATRIOT Act, wasn't it?

[Flabbergasted]

8. So its acceptible to allow Kucinich to be mauled while Obama is

given a free ride. The last sentence of the article should say alot if people would actually read it.

[Hav]

9. .

Oh nice, I'm sure someone like Kucinich would be really impressed with your childish tactics.
Bravo.

[Colobo]

10. Dennis is proud of you

[Flabbergasted]

16. I really expect people to debate on the issues and not resort to ridicule.

If that's your path then I'll let this discussion go.

[Telly Savalas]

53. People debated this non-issue last week.

[Ethelk2044]

12. Please you are funny.

Kuncincih did it to himself.

[Flabbergasted]

17. He's willing to speak truthfully and gets crap for it. Unlike everyone else running.

[SaveElmer]

40. So what is the truth...

On his sudden switch just prior to running for President on the following issues:

1. Abortion
2. Stem Cell research
3. Flag Desecration

[beaconess]

46. nah nah nah!!!

[Alhena]

31. Somebody pass the crawfish boil

[KoKo]

11. Hey...doesn't Obama have a right to invest like the rest of us?

He has a young family...he has to leave his investments to folks who will handle it all for him.

Why should he be penalized for what so many Americans are doing?

He needs to make money to insure his kids future and his own persona, family security. I'm sure he's targeted by all kinds of folks wanting to get in his "back pocket" and he has to spend time sorting out those who really have his own family at heart.

Don't all Senators think about this and do this? It's not like their salaries are really high enough for them to be THAT ALTRUISTIC? :shrug:

[stillcool]

13. I am certain that if you look...

exhaustively into Dennis Kuccinich's financial affairs, he too will have some interesting fodder that can be used to make hay. At this point in time, I don't understand the motivation in the provocation? I must be missing out on all the fun and games.

[NoPasaran]

15. What has Obama ever done?

By the time Kucinich was his age, he had already run a city into bankruptcy.

[Flabbergasted]

18. Which then turned out to have saved Cleveland 200 million.

[NoPasaran]

47. In Monopoly Money

[stillcool]

19. I don't really care...

there's a bit much on my plate of concerns right now. What's up with the band-wagon that's cheer-leading for the elections that are a year and a half away? I can understand the media's obsession as it is fodder for their 'non-news' 'news-shows'...but unless it's playing for pay, I don't get the game.

[Ninja Jordan]

20. Unless you can prove securities fraud, this is a non-story.

[Connie_Corleone]

21. Uh, you're a little late. This was proven as a non-story last week.

We've already moved on to parking tickets in college.

[Flabbergasted]

22. Link?

[NYCGirl]

23. Links:

http://mediamatters.org/items/200703090008

http://mediamatters.org/items/200703080010

http://mediamatters.org/items/200703080006

Blitzer's suggestion that Obama "cash in" on stock deal proved wrong by CNN's own report

Summary: In teasing a report on Sen. Barack Obama's purchase of stock in two companies whose investors included Obama campaign donors, CNN's Wolf Blitzer asked: "Did the Democratic presidential candidate cash in on his relationship with some big political donors?" The ensuing report, however, made clear that Obama did not "cash in"; rather, he took a net loss of $13,000 when he sold the stock after first learning he owned it.

[Flabbergasted]

24. Read reply 14. I was looking for a link here?

[Ninja Jordan]

25. huh?

[NYCGirl]

26. You asked for links. I gave you links. It's a non-story. NT

[Flabbergasted]

27. So the issue was never discussed on DU?

[NYCGirl]

29. It was proven to be A SMEAR! It was a blind trust, he sold the stock and lost

money. He didn't bankrupt a city, for God's sake!

[Flabbergasted]

30. Read Post 14 again. Kucinich saved Cleveland 200 mil. nt

[Ninja Jordan]

32. Post 14 isn't convincing. Sorry.

[Flabbergasted]

34. Tom knows the game nt

[SaveElmer]

33. Kucinich was a poor mayor at best...

His efforts with CEI did save 200 mil...but he did it in possibly the most politically destructive way possible...and there is absolutely nothing to redeem the rest of his term...

And he has shown little ability in Congress other than to propose legislation that has no chance of passing...no real accomplishment...no attempt to expend some of his political capital to work toward the passage of something concrete...

[Flabbergasted]

35. He sacrificed his tenure for his constituency. BTW congress is controlled by

the highest bidders, something he is not a puppet of.

[SaveElmer]

36. He sacrificed his mayorality...

Through incompetence, bluster and confrontation...something a more effective mayor would not have to do.

Are you saying Bernie Sanders and Paul Wellstone are/were puppets to the highest bidders...both men of impeccable progressive credentials, who nevertheless compiled a solid record of accomplishment in the Congress...both in the majority and minority...

[Flabbergasted]

37. He spoke his mind and in the end was proved right. nt

[SaveElmer]

38. ...

http://www.democraticunderground.com/discuss/duboard.php?az=show_mesg&forum=132&topic_id=3160279&mesg_id=3160457

[Flabbergasted]

39. Few men are willing to stand for principle knowing what they face.

[SaveElmer]

41. ...

http://www.democraticunderground.com/discuss/duboard.php?az=show_mesg&forum=132&topic_id=3160279&mesg_id=3160457

[PresidentObama]

42. I'm not sure how this thread launched into Hillary vs. Kucinich....

....But since I like both....

:popcorn:

[SaveElmer]

43. Well it isn't really...

There is another thread where that is going on...

I don't really understand why he went after Obama other than he doesn't like criticism of Kucinich...

The Obama issue was debunked days ago...and I haven't seen a ton of Obama supporters dissing Kucinich!

[PresidentObama]

44. Unfortunately thats the pattern of DU posters.

Attack the opponents to hide insecurities and flaws in their candidate. Debunked or not, they don't care!!

[SaveElmer]

45. Yeah I agree...

I try not to attack other candidates other than to expose inconsistent criticism (ie criticizing Hillary for something others have done)...

I like Kucinich well enough...I think his heart is in the right place...though I don't think he would be a good President...but I try to avoid unwarranted criticism, and only criticize on factual grounds in the above situation.

[Connie_Corleone]

48. That's what the search function is for.

[NYCGirl]

50. The OP doesn't want the truth — he wants something to attack Obama with. NT

[PresidentObama]

28. Got your boxing gloves on? n/t

[Connie_Corleone]

49. A little advice.

Your Kucinich banner is like way too big. It's hanging off the thread. You might want to make it smaller.

[ripple]

51. Can't you find some new material?

The stock was in a blind trust and once Obama learned that some of his holdings might appear questionable, he sold it at a loss. This was last week's smear, and the week before that it was his college parking tickets.

Recycling already?

[MGKrebs]

54. If it was blind, how did he know he needed to sell it?

I'm not saying it's a capital offense, but at least let's talk facts here.

The better answer is: Once he realized the trust wasn't as blind as it should be, he examined what was in it, cleaned out the potential conflicts, and made it truly blind.

I hope that's the truth.

[bluehighways911]

52. OH MY

I am so scared.

If this is the best you can do Dennis. Go back to Cleveland.

The one percent that vote for you, won't miss you.

[Dr Fate]

55. Did Obama break any laws or Senate rules?

If not, then I can't see this going anywhere.