Obama’s AmeriCrooks and cronies scandal Updated

By Michelle Malkin  •  June 17, 2009 05:02 AM

Scroll down for updates…


Photoshop credit: Leo Alberti

My syndicated column today digs further into Obama’s AmeriCorruption. We now have the White House in full Chicago thug mode — maligning fired AmeriCorps inspector general Gerald Walpin as “confused” and “disoriented.” Yep, that was the response after Democrat Sen. Claire McCaskill weighed in and pronounced herself unsatistifed with Obama’s “loss of confidence” rationale.

Implying that Walpin has lost his marbles is desperate and lame. Walpin has been consistenly lucid and laser-sharp in every TV and radio interview I’ve seen or heard — including on the Laura Ingraham show yesterday, where he noted that evidence in the Sacramento mayor/NBA star/Obama crony Kevin Johnson case was destroyed.

Far from being “confused” and “disoriented,” Walpin is clear as day. Anyone who actually reads through his audits and investigative reports knows that. You can, should, and must read Walpin’s reports both on CUNY funding abuse and on the Johnson scandal here.

I also continue to hammer at the Michelle Obama angle. Her vested interest in propping up the government-subsidized volunteer industry stretches back to her days leading the Chicago non-profit Public Allies (scroll down to the end of my column for what the AmeriCorps’ inspector general found while investigating money troubles at Mrs. O’s old friends at Public Allies). And we can’t forget her days working to promote national service — and to set up cozy public chat forums with her husband and Weather Underground Bill Ayers — while at the University of Chicago.

Last week, I said this reeked of the Clintons’ Travelgate. It’s much, much worse.

***

Obama’s AmeriCrooks and cronies scandal
by Michelle Malkin
Creators Syndicate
Copyright 2009

President Obama promised he would end “Washington games.” But his abrupt firing of the AmeriCorps inspector general is more of the same. The brewing scandal smells like the Beltway cronyism of the Bush years. And the apparent meddling of First Lady Michelle Obama in the matter smacks of the corruption of the Clinton years.

If Obama keeps up with this “change,” we’ll be back to the Watergate era by Christmas.

News of AmeriCorps watchdog Gerald Walpin’s unceremonious dismissal first broke last week in Youth Today, an independent national publication focused on the volunteerism sector. Walpin was appointed by President George W. Bush in 2007 and has served well, honorably, and effectively. Too effectively. His removal came a week after he “questioned the eligibility of the largest and most expensive AmeriCorps program, and while the IG was contesting the ‘propriety’ of a settlement made with a mayor for alleged misuse of AmeriCorps funds,” according to Youth Today.

The first taxpayer-subsidized program is the Teaching Fellows Program, run by the Research Foundation of the City University of New York. Walpin’s audit (which can be found online at www.cncsig.gov/AuditReports.html) uncovered a multitude of grant violations, including criminal background check lapses and “pervasive problems of eligibility, timekeeping, and documentation.”

Walpin office questioned duplicative educational awards of more than $16 million and costs worth nearly $775,000. CUNY refused to return excess funds that it had drawn down, failed to revise procedures to prevent such grant abuse, and refused to provide proof documenting that its AmeriCorps participants actually existed. Walpin advised AmeriCorps’ parent organization, the Corporation for National and Community Service (CNCS), to cut off any new funding and reexamine past government funding totaling upwards of $75 million.

Walpin’s recommendations have been ignored by CNCS, now chaired by Democrat mega-fundraiser Alan Solomont. The Obama watchdogs are snoozing. Expect the same kind of lackadaisical approach toward policing the $6 billion AmeriCorps expansion/government national service programs signed into law by President Obama in April.

The second program Walpin challenged is the non-profit St. HOPE Academy, run by Obama supporter Kevin Johnson, the Democrat mayor of Sacramento and a former NBA basketball star. In a special May 2009 report, Walpin’s office blew the whistle on a highly politicized U.S. Attorney’s Office settlement with Johnson and his deputy, Dana Gonzalez. The pair exploited nearly $900,000 in AmeriCorps funding for personal and political gain. Based on Walpin’s investigation last year, CNCS had suspended their access to federal funds after determining that they were:

*Using AmeriCorps members to “recruit students for St. HOPE Academy;”

*Using AmeriCorps members for political activities in connection with the “Sacramento Board of Education election;”

*Assigning grant-funded AmeriCorps members to perform services “personally benefiting . . . Johnson,” such as “driving [him] to personal appointments, washing [his] car, and running personal errands;” and

*Improperly using AmeriCorps “members to perform non-AmeriCorps clerical and other services” that “were outside the scope of the grant and therefore were impermissible” for “the benefit of St. HOPE.”

But in the wake of Johnson’s mayoral victory and President Obama’s election in November, the U.S. Attorney’s Office in Sacramento rushed to settle with the new mayor so he could avail himself of federal stimulus funds and other government money. It was, Walpin said in his special report last month, “akin to deciding that, while one should not put a fox in a small chicken coop, it is fine to do so in a large chicken coop! The settlement…leaves the unmistakable impression that relief from a suspension can be bought.”

Shortly after, the White House announced that it had “lost confidence” in Walpin. With Walpin’s removal, the top management positions at AmeriCorps’ parent organization are now all open. The decks are clear to install lackeys who will protect the government volunteerism industry and its Democrat cronies. And a chilling effect has undoubtedly taken hold in every other inspector general’s office in Washington.

GOP Sen. Charles Grassley of Iowa is pressing Obama for more details. Tough questions need to be asked of First Lady Michelle Obama, who has “taken the lead” in selecting AmeriCorps’ managers, according to Youth Today. Her former chief of staff, Jackie Norris, will serve as a “senior adviser” to CNCS beginning next week. What role did they play in Walpin’s sacking? And why?

Mrs. Obama’s interest is more than passing. She ran the AmeriCorps-funded non-profit Public Allies in Chicago from 1993-1996 and served on its national board until 2001. Like so many of the AmeriCorps recipients investigated by the inspector general’s office over the years, Public Allies was found to have violated basic eligibility and compliance rules. A January 2007 audit reported that the group lacked internal controls verifying that recipients who received education grants and living allowances were legal citizens or permanent residents as required by law.

Transparency. Accountability. Fiscal responsibility. In Obama World, these are proving to be nothing more than words. Just words.

***

More from Ed Morrissey on the FBI probe into obstruction of justice (note above that Walpin mentioned this to Laura Ingraham yesterday) — plus Walpin responds to the White House smear.

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Comments


  1. #101
    On June 17th, 2009 at 2:47 pm, happyscrapper said:

    Best comeback ever. We need to clone Walpin.

    Another “Joe the Plumber”. Do you think anyone will listen to him? Or will his private information be accessed by some lackey at his doctor’s office? Stay tuned.

  2. #102
    On June 17th, 2009 at 2:48 pm, Pasadena Phil said:

    BTW, Obama’s new bank regulations amount to bigger bureaucracy in lieu of prudent regulation. Why don’t we start by enforcing the Sherman Anti-Trust Act again and re-instating the Glass-Steagall Act? We don’t need more bureaucracy.

    And don’t get me started on having Barney Frank and Christopher Dodd overseeing the changes. The most corrupt weasels in Congress, the two biggest causes of the mess, in charge of straightening it out. Yikes.

  3. #103
    On June 17th, 2009 at 2:59 pm, happyscrapper said:

    On June 17th, 2009 at 2:48 pm, Pasadena Phil said:
    BTW, Obama’s new bank regulations amount to bigger bureaucracy in lieu of prudent regulation. Why don’t we start by enforcing the Sherman Anti-Trust Act again and re-instating the Glass-Steagall Act? We don’t need more bureaucracy.

    And don’t get me started on having Barney Frank and Christopher Dodd overseeing the changes. The most corrupt weasels in Congress, the two biggest causes of the mess, in charge of straightening it out. Yikes.

    Just one more step in his plan to take over and destroy the most beautiful, free republic in history. Lord, deliver us from this evil.

  4. #104
    On June 17th, 2009 at 3:07 pm, flmom said:

    happyscrapper

    Walpin doesn’t strike me as the sort to be intimidated. Maybe because his background would fare scrutiny much better than most of the current administration.

  5. #105
    On June 17th, 2009 at 3:08 pm, Ragspierre said:

    Can’t he file a law suit for wrongful termination? Wouldn’t a suit like that flush all the crappola out into the open?

    Dunno. I can’t think of any reason why not, but employment law at that level is pretty weird. It would seem like the statute THE ONE co-sponsored would give him cause, but I’ve never read it to see if it has any teeth. So often, these ethical laws are precatory (gee, we’d really like it if…) and don’t really have any penalties associated with an outright violation.

  6. #106
    On June 17th, 2009 at 3:14 pm, happyscrapper said:

    He can either sue for slander, or unlawful termination based on his age, or a percieved disability, or based on the law that he was terminated without the 30 day notice to Congress and a stated reason. Lots of potential here. I have a feeling he will be pursuing something. And he has a lot of people who will work with him and help him, as he is one of Obama’s achilles heels! We have a strong fighter here, thank God!

  7. #107
    On June 17th, 2009 at 3:14 pm, NJ-Aviator said:

    This just in!!!!!

    Fired IG Calls White House Explanation ‘Baseless,’ Says He’s Being Targeted

    This should be good.

  8. #108
    On June 17th, 2009 at 3:20 pm, USN RET said:

    There is a fluff piece on Kitsap County AmeriCorp unit in my local paper today. Its getting hammered in the online comments about “paid volunteers” The local AmericiCorp head came on to say they aren’t associated with the national Americorp and got called on it. One of the commentors even linked Michelle.

  9. #109
    On June 17th, 2009 at 3:22 pm, Ragspierre said:

    I watched Gran Torino the other night. Great line in the movie this reminds me of…

    It ran something like, “Ever meet somebody that something told you you just don’t want to [fork] with…? Well, that would be me.” (Apologies for perhaps butchering that)

    I think it applies here really well.

    How many older Americans can identify with this very distinguished lawyer, public servant, and even-handed player, Mr. Walpin?

  10. #110
    On June 17th, 2009 at 3:31 pm, NJ-Aviator said:

    Seems Dearest Leader Obama has lied to Congress. tsk tsk Mr President. Americans don’t like that sort of thing ya know.

    And I hope Mr. Walpin has the will to keep fighting this. As another commenter alluded to, how long before some gov’t employee/Obama support leaks private information about Mr. Walpin?

  11. #111
    On June 17th, 2009 at 3:33 pm, happyscrapper said:

    How many older Americans can identify with this very distinguished lawyer, public servant, and even-handed player, Mr. Walpin?

    Um…well, I am an older American, very “distinguished” and even-handed. Lawyer? Bite your tongue. Three out of four aint bad. I know this one is not going away any time soon. Glenn Beck will be all over it tonight and many nights to come. Count on it. Thank God we have at least one TV media outlet that isn’t tainted!

  12. #112
    On June 17th, 2009 at 3:38 pm, Ragspierre said:

    Lawyer? Bite your tongue. Three out of four aint bad.

    Come now, scrappy… We aren’t all bad. Society needs lawyers, just like we need sewer workers, chicken-sexers, and used car salepeople.

    Maybe not in that order…

    Walpin has been, by all accounts, a very ethical attorney.

  13. #113
    On June 17th, 2009 at 3:47 pm, happyscrapper said:

    Rags, you are right. Lawyers get a bum rap. I was thinking more of the John Edwards, smarmy types. I know you are not one of them!! And I’m sure you are a bit more valuable than a chicken-sexer! Ha!

  14. #114
    On June 17th, 2009 at 4:11 pm, Ragspierre said:

    And I’m sure you are a bit more valuable than a chicken-sexer! Ha!

    They make more $$$, and they don’t have to take Continuing Legal Education courses…

    I am tempted, at times…

  15. #115
    On June 17th, 2009 at 4:14 pm, Rogue Cheddar said:

    On June 17th, 2009 at 3:22 pm, Ragspierre said:
    I watched Gran Torino the other night.

    Ha! My wife and I did the other night also. We laughed out loud at the barbershop scene where they tried to teach Toad how to talk like a man talking to another man. That was priceless!

  16. #116
    On June 17th, 2009 at 4:15 pm, happyscrapper said:

    On June 17th, 2009 at 4:11 pm, Ragspierre said:

    Well, it does sound like an interesting career. Maybe Obama should change his vocation. He could organize all the chicken-sexers of the nation and make sure they were being sexed fairly. Then again, he’d probably screw that up too.

  17. #117
    On June 17th, 2009 at 4:19 pm, Dimsdale said:

    On June 17th, 2009 at 3:31 pm, NJ-Aviator said:

    Seems Dearest Leader Obama has lied to Congress. tsk tsk Mr President. Americans don’t like that sort of thing ya know.

    And I hope Mr. Walpin has the will to keep fighting this. As another commenter alluded to, how long before some gov’t employee/Obama support leaks private information about Mr. Walpin?

    Wanna bet the IRS is slavishly scrutinizing his tax returns for the past 50 years?

  18. #118
    On June 17th, 2009 at 4:31 pm, Ragspierre said:

    Maybe Obama should change his vocation. He could organize all the chicken-sexers of the nation and make sure they were being sexed fairly. Then again, he’d probably screw that up too.

    I would never support subjecting chickens to that.

    I am not at all sure that THE ONE understands “chicken-sexer” in the proper use of the term. This could lead to unimaginable consequences…

  19. #119
    On June 17th, 2009 at 4:34 pm, NJ-Aviator said:

    No doubt Dimsdale.

    Obama: “Have the IRS look into that guy. He’s so senile he must have screwed up at least one tax return.”

    Emanuel: “Sure B.O. You want this on the down-low right?”

    Obama: “You bet… at least until I can take credit for rooting out a tax cheat.”

    Geithener: “What’s that Mr. President? Did you need me for something?”

    Obama: “Shut up Tim. We’re talking business over here.”

  20. #120
    On June 17th, 2009 at 4:40 pm, Southpaw said:

    Wonder how much Solomont Bailis Ventures stands to make from Apologist-In-Chiefs health care reform. Now they’ve got Senator Grassley coming around asking questions. Probably would have been more prudent to throw Kevin Johnson under the bus rather than Gerald Walpin.

  21. #121
    On June 17th, 2009 at 4:54 pm, NJ-Aviator said:

    And over at the NY Times, not a word about this story.

    Nothing on the front page.

    Nothing on the US page.

    Nothing on the Politics page.

    Nothing….

    They couldn’t go out of business soon enough. The world will be better off without that useless rag.

  22. #122
    On June 17th, 2009 at 5:39 pm, Southpaw said:

    And over at the NY Times, not a word about this story.

    Don’t think so.

    Since Arthur Ochs Sulzberger, Jr. is a graduate of Tufts University, and Alan Solomont (Chairman of the Board, Corporation for National and Community Service) is a Trustee for Tufts University, I don’t see the Times weighing in on this one.

    Connections. You run cross references on all of these names and it all starts to come together. Seems like it always leads back to Obama.

  23. #123
    On June 17th, 2009 at 6:34 pm, alwaysright43 said:

    I don’t recognize this country anymore. Our country is being run by a fascistic, Chicago Machine. When you consider the campaign rhetoric of “hope” and “change”, it’s even more galling. Elections certainly do have consequences and what we are witnessing is a one rule dictatorship.

    Mr. Walpin is a gentleman, and he deserves our respect and admiration. Obama- not so much. What a puke!

  24. #124
    On June 17th, 2009 at 6:46 pm, DagneyT said:

    On June 15th, 2009 at 3:00 pm, Khyris said:

    Bad link.

  25. #125
    On June 17th, 2009 at 6:47 pm, Thutmose said:

    Weren’t there some stories recently about one of the defense advisors who was held over from the Bush Administration (can’t find his name at the moment unfortunately) who was also being accused of having some of the same issues they are accusing Walpin of having? I wonder if this is going to be the common excuse now when the Obama Administration wants to get rid of someone who isn’t towing the line.

  26. #126
    On June 17th, 2009 at 7:06 pm, reshas1 said:
  27. #127
    On June 17th, 2009 at 7:19 pm, Little Ma said:

    Obama, his bitter queen, his administration, the progressive/socialists in Congress, and “Obama’s Americrooks and Cronies” are latter-day Carpetbaggers. The RINOs are Scalawags.

    This time their aim is not the vindictive Reconstruction of the South; it is the vindictive Re-Construction of our Constitution, our representative government, our freedom, and our way of life.

  28. #128
    On June 18th, 2009 at 12:33 am, Papa Louie said:

    President Obama promised he would end “Washington games.”

    That’s right, he has. They’re not games anymore. Games are child’s play. This is serious business — the Chicago way of running things.

  29. #129
    On June 18th, 2009 at 12:49 am, Papa Louie said:

    I think I’ve figured out how Obama created or saved 150,000 jobs at the same time the economy lost millions of jobs. You see, when he fires someone like Walpin and replaces him with one of his cronies, he counts that as a job “created”. And anyone he doesn’t fire from a government job (or from Government Motors), he counts as a job “saved”. This method will allow him to create or save 150,000 jobs every month for some time to come.
    (Maybe I shouldn’t them any ideas…)

  30. #130
    On June 18th, 2009 at 4:17 am, RetFireman said:

    A January 2007 audit reported that the group lacked internal controls verifying that recipients who received education grants and living allowances were legal citizens or permanent residents as required by law.

    Gee…the law also states that anyone who runs for President of the United States needs to provide proof that they are legal citizens as well.

    At least the Obamas are consistent in not providing such information, as well as requiring it from others, damn the laws.

  31. #131
    On June 18th, 2009 at 9:31 am, sonofdy said:

    I just read on hotair that he has fired 2 other IG’s and shut down anothers investigation.

    In a dictatorship, the police still work, they just know where not to look or they disapear.

    Sounding familiar?

  32. #132
    On June 18th, 2009 at 9:56 am, ArizonaNeanderthal said:

    What? ABC Turns Programming Over to Obama – BOYCOTT ABC on JUNE 24th! « Jim Blazsik

    And every other day. Just how man flys are we going to watch this man kill? Oh the pain, the shame-or should that be sham?

    Now that President Hussein Obama has fired two more Inspector Generals- Chicago Tribune- blocked and stopped the prosecution of the New Black Panthers Party and is now proposing NEW banking regulations feel secure in the knowledge that the Chicago style Thugocracy has married well with Soviet style economics.

    There will be Ruby Ridges writ large-but without the media attention. Perhaps we can get some help from the people in the streets of Iran; Americans and the Drive By Media to a large extant have turned themselves into Court Eunuchs. Snip.

  33. #133
    On June 18th, 2009 at 10:21 am, jangar said:

    Obama’s plans for the United States of American are nothing short of sinister, all for the purpose of keeping Democrats in permanent power and silencing ALL voices of dissent.

    This man has got to go, or at the very least held in check by a reasonable congress. Any other president in history would have been run out of town on a rail by now.

  34. #134
    On June 18th, 2009 at 10:39 am, happyscrapper said:

    Is this the first time in our history that we have had a majority in congress and a president all of the same political party? If so, why hasn’t this happened before…where the party in power runs rampant over the Constitution and breaks every law on the books to get their agenda pushed through. If this has happened before, it apparently has happened to more ethically inclined people. The “leaders” in DC right now are all dishonest, corrupt thugs. There is really no other way to describe this. Obama’s heavy-handed firing of anyone who dares to oppose him is a huge power-grab on steroids. He MUST be stopped! Is this going to end up in violence? I pray not!

  35. #135
    On June 18th, 2009 at 10:47 am, Ragspierre said:

    OPERATION OVER-REACH has scored some notable milestones this week, with the opening of a whole new front in the form of IG scandals.

    THE ONE AND ONE-ETTE are both implicated, and this will be interesting. The other meddled-with IGs are unknowns, but if they have the moxie shown by Mr. Walpin, they will be formidable foes instead of easy targets for the politics of personal destruction.

    Tipping point, here we come.

  36. #136
    On June 18th, 2009 at 10:55 am, Ragspierre said:

    http://townhall.com/cartoons/2009/06/18/2

    I thought this was too good to not share.

  37. #137
    On June 18th, 2009 at 2:50 pm, jsmiddleton4 said:

    http://www.washingtonexaminer.com/opinion/blogs/beltway-confidential/White-House-Firing-AmeriCorps-IG-an-act-of-political-courage-48538447.html

    “When we pressed them on specific questions and documents, they said they weren’t prepared to give us information on that.”

    So they were suppose to have that kind of information 30 days PRIOR to his firing. The admission that they still don’t have it is not an excuse but an admission of guilt. Yes?

    “Walpin was not working well with the board”

    So today he WAS working, not demented, but just wasn’t working well with others?

    Oh, that’s different…..

    Did anyone see Mr. Walprin on Glen Beck last night? He pasted his mini-mental exam to show he was NOT demented with flying colors.

    He also telegraphed today’s comments from the White House. Mr. Walprin said he expected more smearing from Obama. Well, golly. More smearing today. Imagine that!

  38. #138
    On June 18th, 2009 at 2:58 pm, jsmiddleton4 said:

    “pasted”

    Firefox spell checker sometimes….

    passed, as in gas.

  39. #139
    On June 18th, 2009 at 4:29 pm, Ragspierre said:

    As someone observed, if he was senile…

    not playing well with others…

    whatever…

    How was it “an act of political courage” to pressure him to resign and break the law…

    the OBAMA law…?!?!?!

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