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Waters Helped Get Funds for Bank With Family Ties

Critics see major conflict of interest

By Harry Kimball, Newser Staff

Posted Mar 12, 2009 6:00 PM CDT

(Newser) – Maxine Waters is getting lots of unwanted attention about her role in helping a bank with family ties get a helping of TARP money. Both the New York Times and the Wall Street Journal have stories raising questions about whether the California congresswoman used undue influence to get aid for OneUnited, one of the nation's largest black-owned banks. Both she and her husband have had financial stakes in the bank, and her husband served on its board only last year.

Waters set up a meeting between Treasury officials and the bank last fall, in theory to talk about the larger issue of how minority-owned banks were faring. Instead, OneUnited executives pressed for $50 million in cash, the Times notes. “It angers me,” said one former Treasury official. "You got to know you have to be careful when you are dealing with people who you have personal relations with.” The bank eventually got $12 million in TARP funds, even though it didn't seem to fit the usual criteria.

[Images (3)]

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Maxine Waters Monday participates in a congressional panel in Ohio last June. (AP Photo/Tony Dejak)

Rep. Maxine Waters, D-Calif., at the Democratic National Convention in Denver, Wednesday, Aug. 27, 2008. (AP Photo/Ron Edmonds)

Inglewood, Calif., Mayor Roosevelt Dorn, left, and Rep. Maxine Waters in July. (AP Photo/Nick Ut)

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A member of Congress should not be helping out a family friend, especially one they share business ties with.
- Kenneth H. Thomas, a banking consultant who has filed complaints about OneUnited

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Guest

Mar 13, 2009 7:15 AM CDT

infidel911, all you ever do is rip on the President. I have never seen a post from you where you have not. There is a new article about carcinogens in baby oil... hurry, go blame it on Obama... because you are a young ignorant intolerant male that comes from a very neglected background, so you need to get your hate out.

Guest

Mar 13, 2009 6:51 AM CDT

a democrat ? a woman democrat? a black woman democreat ? it must be a racially motivated, sexist, right-wing conspiracy !! voters, wake up and get her and others like her out of office and in the courtroom to defend their actions.

BackAgain

Mar 13, 2009 5:50 AM CDT

Hope and change.

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Politics • Money

Congress • bank • bailout • conflict of interest • banking industry • TARP • Maxine Waters

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Waters Helped Get Funds for Bank With Family Ties