SUBSCRIBE to Capitol Fax      Advertise Here      Mobile Version     Exclusive Subscriber Content     Updated Posts    Contact
CapitolFax.com
To subscribe to Capitol Fax, click here.
US Senate Sunday roundup

Sunday, Jan 31, 2010

* The Alexi Giannoulias campaign was probably hoping to change the subject this morning

Democratic Senate candidate Jacob Meister dropped out of the race with two days to go and endorsed rival Alexi Giannoulias.

Meister, a lawyer who is openly gay, made his announcement this morning at a Giannoulias rally in Chicago.

Meister was having difficulty gaining much traction in the race. A recent Tribune poll showed him garnering only 1 percent of support.

During debates, Meister has defended Giannoulias against attacks made by rival David Hoffman. He also has taken exception to comments Hoffman has made about being the only candidate to be married with children. He said such comments were insulting to gays who are unable to legally marry.

Meister’s one percent means zip, and he dropped out so late that he’ll still be on the ballot, but a “fresh” story like this could step on the “older” story about the family bank problems.

At times, Meister almost looked like a stalking horse for Giannoulias. Cheryle Jackson said as much today

“This was not a surprise,” Jackson said of Meister’s move. “This is something we knew all along, that he was in the race to help the treasurer. That being said, he was only pulling 1 percent at best. So I think it was inconsequential.”

Meister responds

But Meister called “preposterous'’ the suggestion that he was a Giannoulias pinch-hitter from the start.

“The suggestion that I was in any way recruited or in cahoots with Alexi or anyone in his camp is ridiculous,'’ Meister said.

* Complicating matters for Giannoulias today was the fact that a New York Times columnist wrote a brutal piece in today’s edition

Alexi Giannoulias would be nothing in Illinois politics if not for Broadway Bank. Now the near-failure of that family-owned bank is threatening to make him a political non-entity again.

More…

The [family bank’s] move into real estate coincided with a headlong push into brokered deposits. This is quintessential hot money — large amounts that jump from bank to bank, each bank offering the lure of high interest, which the banks then must fund by making ever-riskier loans.

During Mr. Giannoulias’s time at the bank, brokered deposits catapulted fourfold, to $640 million. The typical bank at this point was growing brokered deposits at about 9 percent a year. Mr. Giannoulias’s bank was increasing its load by as much as 48 percent in a single year. Broadway Bank’s brokered deposits reached 80 percent of total deposits in 2006.

No one knows for certain how big a role Mr. Giannoulias played in these decisions. As Broadway’s top lending officer, he must have influenced the move into construction lending. As a connected family member, he was probably present during discussions of the hot-money play. Certainly, he took part in the family’s decision to take out some $70 million in dividends from the bank in 2007 and 2008, even as it careened toward a consent decree with the F.D.I.C.

But the column was a whole lot of false conjecture, according to the campaign

Giannoulias has admitted to making loans over the years that, in hindsight, he would not have made. He has pointed out that 700 community banks around the country have entered into consent decrees in recent years.

Giannoulias emphasized he has had no role in running the bank for four years. He is a 4 percent non-voting stock owner. The decree requires the Giannoulias Family re-capitalize the bank. Will Giannoulias chip in? “If they ask, of course I’ll help out,” he said.

The family withdrew $70 million from the bank in recent years — primarily to pay debt on Giannoulias’ father’s estate, Giannoulias’ campaign has said. Only a small fraction of that went to Giannoulias

Still

Among the loans Giannoulias has gotten heat for:

* More than $10 million from 2001 to 2005 to alleged Father & Son Russian mobster team Lev and Boris Stratievsky. Father Lev has passed away. Son Boris is in jail facing money-laundering charges. Broadway funded development projects some on the South Side — that tenants and city attorneys complained were roach motels. Broadway has been unable to collect on the loans.

* About $12.9 million to convicted bookmaker Michael Giorango for a Miami Beach hotel and a Hollywood, Fla., restaurant, among other ventures, according to Crain’s Chicago Business. Broadway has sued Giorango and his partner, Demitri Stavropoulos, convicted of running a betting operation in Chicago, seeking to get the money back. Giannoulias initially downplayed his relationship with Giorango, noting the loans to him started before he joined the bank. Later he said he went to Miami to meet Giorango and inspect the property, and that another $3 million loan to Giorango was for a South Carolina casino.

* Related…

* AP: Meister drops out, backs Giannoulias for Senate

* Hoarse or not, Senate candidates step up pitch

* Democratic Senate candidates warn of GOP tide

* Reuters: Could Illinois’ Senate race copy Massachusetts?

- Posted by Rich Miller        


No Comments

Be the first to comment.

Sorry, comments for this post are now closed.


* SUBSCRIBERS ONLY - Comptroller stuff
* Golden Horseshoe Awards
* Bears open thread
* More adventures in misgovernance
* Question of the day - Golden Horseshoe Awards
* Petulance all around
* Yesterday's blog posts

Support CapitolFax.com
Visit our advertisers...

...............

...............

...............

...............

...............


Search This Blog...

Search the 98th General Assembly By Bill Number
(example: HB0001)

Search the 98th General Assembly By Keyword

          
        * Could this metal frame be a Samsung Galaxy S6 component?
        * Samsung Galaxy S6 rumored to have curved display on both sides
        * Verizon to launch Lumia Denim on Lumia 822, Lumia 928 and Lumia Icon
        * Instagram's spam purge reveals high-profile accounts with fake followers
        * Gresso Regal Black Edition made from titanium packs 5.0-inch screen
        * Exiles dares you to make your escape from an “alien” world
        * Ask the iTunes Guy: Missing ringtones and explicit radio

        * FBI: Sony hack was North Korea’s work
        * The Savvy Plan to Combat Malaria With Mobile Phones
        * FBI Says North Korea Responsible for Sony Hack (Updated)
        * T-Mobile Settles Government “Cramming” Charges for $90 Million
        * Deal Of The Day: 10% Off On PowerCube Original USB
        * Sony Pictures Hackers Demand “The Interview” Never Be Released
        * Elon Musk: Tesla battery swap now working in beta in California

        * Terrerobytes: Future of Cuban baseball complicated on both sides
        * White Sox sign George Kottaras to a minor league deal
        * Kottaras to join White Sox with Minor League deal
        * Loss of Draft picks viewed as good trade for White Sox
        * Windy City revival: Cubs, White Sox revamped for '15
        * ZiPS projections underscore White Sox's riskiest bets
        * AL Central looking like one powerhouse division

        ...............


        Main Menu
        Home
        Illinois
        YouTube
        Pundit rankings
        Obama
        Subscriber Content
        Durbin
        Burris
        Blagojevich Trial
        Advertising
        Updated Posts
        Polls

        Archives
        December 2014
        November 2014
        October 2014
        September 2014
        August 2014
        July 2014
        June 2014
        May 2014
        April 2014
        March 2014
        February 2014
        January 2014
        December 2013
        November 2013
        October 2013
        September 2013
        August 2013
        July 2013
        June 2013
        May 2013
        April 2013
        March 2013
        February 2013
        January 2013
        December 2012
        November 2012
        October 2012
        September 2012
        August 2012
        July 2012
        June 2012
        May 2012
        April 2012
        March 2012
        February 2012
        January 2012
        December 2011
        November 2011
        October 2011
        September 2011
        August 2011
        July 2011
        June 2011
        May 2011
        April 2011
        March 2011
        February 2011
        January 2011
        December 2010
        November 2010
        October 2010
        September 2010
        August 2010
        July 2010
        June 2010
        May 2010
        April 2010
        March 2010
        February 2010
        January 2010
        December 2009
        November 2009
        October 2009
        September 2009
        August 2009
        July 2009
        June 2009
        May 2009
        April 2009
        March 2009
        February 2009
        January 2009
        December 2008
        November 2008
        October 2008
        September 2008
        August 2008
        July 2008
        June 2008
        May 2008
        April 2008
        March 2008
        February 2008
        January 2008
        December 2007
        November 2007
        October 2007
        September 2007
        August 2007
        July 2007
        June 2007
        May 2007
        April 2007
        March 2007
        February 2007
        January 2007
        December 2006
        November 2006
        October 2006
        September 2006
        August 2006
        July 2006
        June 2006
        May 2006
        April 2006
        March 2006
        February 2006
        January 2006
        December 2005
        April 2005
        March 2005
        February 2005
        January 2005
        December 2004
        November 2004
        October 2004

        Blog*Spot Archives
        November 2005
        October 2005
        September 2005
        August 2005
        July 2005
        June 2005
        May 2005

        Syndication

        RSS Feed 2.0
        Comments RSS 2.0
        WordPress

        Loading


        * Ray LaHood Wants Jeb Bush to Run and Bruce Raun.....
        * The Week in Review's Year in Review: 12/19..
        * Quinn wants special election in 2016 on Topinka.....
        * Quinn wants 2016 special election for comptroller..


        * Ex-Chicago gang member released after testimony
        * Man gets 32 years for sexually attacking girl
        * Report analyzes Nov. 4 election in Cook County
        * Chicago man charged in downtown bank robbery
        * China pledges to speed entry of US pharmaceuticals
        * Report: Illinois fails to monitor runaway kids
        * Gov. Quinn calls session for comptroller election
        * Chickenpox forces southern Illinois prison lockdown
        * Instructor at Illinois school for visually impaired arrested
        * Chicago announces plans to build 88-story skyscraper

        * Quinn calls legislature back to Springfield to approve special election to replace Topinka
        * Audit: DCFS loses track of runaways
        * Audit: Illinois fails to monitor runaway kids
        * Chicago couple convicted of stealing state grants
        * Topinka remembered as tough, honest leader at memorial service
        * Illinois employers reminded of income-tax rollback
        * Memorial service for Topinka begins in suburban Chicago
        * Police use vacant Jacksonville site to train for worst-case scenarios
        * State-grant fraud case in hands of federal jury
        * Gov.-elect Rauner says some agency directors may stay

        * University of Illinois, Chicago Shriners Hospital link up
        * Midterms in Cook: Voters were younger, earlier
        * Great moments in Chicago architecture 2014
        * Restaurant menus shed some weight
        * Great (and not so great) moments in Chicago architecture 2014


        * Rewriting the Sony cyberattack script
        * time for new course in Cuba
        * Are Rahm's numbers creeping up? New internals show him near 50
        * Obama guidance, press schedule, Dec. 19, 2014. Press conference
        * A whole lot of nothing from the City Council
        * Dozens gather at Logan Square eatery for ‘Serial’ podcast finale
        * Sony’s choice on ‘The Interview’ is one lost battle in a long war
        * Playing for dollars, smiles at O’Hare
        * Sony’s choice on ‘The Interview’ is one lost battle in a long war
        * Emanuel denies Willie Wilson petition challenge is racist ploy


        * New app reunites Navy Pier revelers with lost items
        * 5 dead, dozens sickened by listeria linked to caramel apples
        * Police: Man takes bite out of guard's ear outside Loop strip club
        * Tribune study: Chicago red light cameras provide few safety benefits
        * Scene of the crime: Sister watches over slain brother in the dying light
        * Child with fever admitted to Chicago hospital to check for Ebola
        * Chicago restaurants that repeatedly failed health inspections in 2014
        * Broadway bike lane among 'Top 10' in the country
        * 5 people hurt in separate shootings
        * Metra train fatally hits pedestrian in Oak Forest


        * Matthew Schultz’s Music Career – From Dark To Light
        * Rents may be going up, but residents not going anywhere
        * Rents may be going up, but residents say they're not going anywhere
        * IIAA Teaches Life Skills Through Sports
        * Jordan on the Frontline: An International Town Hall
        * Report: Illinois Fails To Monitor Runaways
        * Parties' Power Grabs In Battle For Comptroller; Quinn Calls Legislators Into Special Session
        * Let's Talk Kids - "Your Phone-a-Friend List"
        * Vatican signals new tone on US nuns
        * StoryCorps: Bilingual pre-school teacher describes the state of education in Chicago


        * E.J. Dionne: Chuck Schumer: Take two
        * Esther Cepeda: The rainbow that isn’t
        * Raoul, Righter, Nekritz, Sandack: Clarifying privacy, eavesdropping bill
        * Quote of the day: Friday, Dec. 19, 2014
        * Quinn calls legislature back to Springfield to approve special election to replace Topinka
        * Audit: DCFS loses track of runaways
        * Audit: Illinois fails to monitor runaway kids
        * Bernard Schoenburg: Schmidt considers challenging Sgro for park board president
        * Brian Sauder: Faithful decisions for the holidays
        * Eugene Robinson: The price of being hacked


        * IYB sneak peek: New Cage up and running
        * Bond set at $50K for man found with 21.2 grams of cocaine in Energy
        * Board OKs Champaign-Champaign County enterprise zone
        * St. Charles students expelled after computer hack
        * Despite loss of Topinka, state checks still flowing
        * Stephen Colbert retires his 'Report' and the host he played
        * 8 children killed, mother stabbed, in Australia
        * Theater shooter's parents plead for his life
        * East St. Louis youths learn respect for law enforcement
        * A change in weather ahead for Christmas Week


        * Opinion: Notre Dame police subject to records law
        * Prosecutor begins probe into 2012 Valencia F1 GP
        * Key Profumo scandal figure Mandy Rice-Davies dies
        * AP source: Padres to acquire OF Justin Upton from Braves
        * AP Top Sports News At Noon EST

        * Meet Mike Bost, a Must-Watch Freshman Cong...
        * Video Of GOP Lawmaker's Meltdown Resurface...
        * 8 things new members of Congress definitel...
        * Lawmakers Give Advice to New Members of Co...
        * Bost in DC, Enyart postpones return
        * Bost Readies to Join Congress
        * Bost to resign early from state house, hea...
        * Illinois Rep. Mike Bost flips his lid over...
        * Rep. Mike Bost
        * Kilquest and Bryant to Face Off for 115th ...

        * Durbin backs federal budget despite 'odiou......

        * GOP senator wants 'The Interview' shown at......
        * Sen. Kirk suggests raising campaign money ......

        * A Very Angry Bears Fan Christmas
        * City of Chicago releases youth violence report. Recommends more spending.
        * Durbin to GOP: Get Cruz under control
        * Government labor unions file lawsuit to stop Chicago pension overhaul
        * Illinois Watchdog Radio - Live on IR
        * Republican analysis calls for Rauner to pick new state comptroller for 4 year term
        * Crain’s Business slow pitches a snowball in hell.
        * An Illinois constitutional crisis. Who will keep an eye on our cemeteries?
        * DNA Info: Residents Rip CPS' Rejection of Private School's Offer To Buy Vacant School
        * The Joke Is On The #Bears


        * Governor Quinn Calls Legislative Special Session - Governor Urges Legislature to Set Up 2016 Special Election for Comptroller
        * Governor Quinn Announces Illinois’ Unemployment Rate Hits New Low - Illinois’ Economic Comeback Continues; Unemployment Rate Falls to Lowest Level in More than Six Years
        * Illinois Ranks #1 in Volunteer Rate Among the Country’s 8 Largest States - 2.57 Million Illinoisans Give $7.2 Billion in Service
        * Law Enforcement, IDOT Make Final Push to Save Lives in 2014, Roadside Safety Checks Planned Over Holidays - New Episode of “The Driving Dead” Premieres Friday as Holiday Travelers are Reminded to Drive Sober and Buckle Up
        * Department of Insurance Announces Two Convictions Resulting from its Workers’ Compensation Fraud Investigations - Former Crystal Lake Police Officer and Former Business Owner Convicted




            Hosted by MCS SUBSCRIBE to Capitol Fax Advertise Here Mobile Version Contact Rich Miller