McCain's Son Was On the Audit Committe on the latest NV failed bank

[EV_Ares]

So the Keating Five is now the McCain Two? Is it safe to call John McCain's son Andrew a "whiner" as Phil Gramm says? This may be the eleventh bank failure of 2008 but what stands out here is that Andrew McCain sat on the board of Silver State Bank and was on their audit committee. Did he notice something during his time on the audit committee of a failing bank, causing him to leave? Would a quick departure even be appropriate in the middle of such a difficult time? Either way, there is something strange about the McCain's and failing financial institutions. The Keating Five was bad enough but for a family to get caught up in two failed banks is a stunning coincidence.

Until six weeks ago, Andrew McCain, the son of Republican presidential nominee Sen. John McCain of Arizona, was a member of Silver State's board and also its three-member audit committee. Andrew McCain left the Henderson, Nev., bank July 26 after five months on the board, citing "personal reasons." He is Sen. McCain's adopted son from his first marriage. There is no evidence that Andrew McCain, 46, committed any wrongdoing, nor is there any indication that Sen. McCain had any knowledge of or involvement in Silver State's problems.

The Wall Street Journal reported in its online edition that McCain spokesman Taylor Griffin said Andrew McCain joined the bank's board in April but stepped down from the board and audit committee when he realized that the obligation would require more time and attention than he was able to give.

For the second time in eleven days, another bank has gone bust due to the real estate bubble bursting. At the end of August, Christian bank Integrity Bancshares went under and yesterday Silver State Bank failed and insured deposits were acquired by Nevada State Bank. For a breakdown of the eleven failed banks year to date, this page provides a good overview of the financials including the cost to the FDIC deposit insurance fund. IndyMac continues to lead the pack with almost $9 billion though the year is still young.

The Bush administration's interventionist policies have come much too late to the credit crisis. Years of neglect and failure to provide basic oversight has left the US on the verge of recession yet if you listened to the GOP convention, nothing has been said about the economy. Nothing at all. McCain is hoping that Americans will accept his personal history (excluding the Keating Five scandal, deep ties to Phil Gramm and rumored McCain choice for Treasury Secretary and his first marriage issues) instead of paying attention to the everyday world around them.

More bank failures will be coming, putting more pressure on the FDIC to support failed institutions. This will force the FDIC to require even more from banks who will then pass along the higher costs to potential borrowers. Higher costs and stricter standards for loans may be required at the moment but it's not going to help the US dig itself out of the housing/credit crisis hole. For this reason, talking about the economy is a dangerous topic for McCain. Maybe he ought to run and hide in Alaska too.

Link: http://www.americablog.com/2008/09/mccains-son-was-on-audit-committy-of.html

[aint_no_life_nowhere]

1. How do these GOP family members always manage to slither their way into positions of power?

[enough]

2. K&r. Now here's some "family gossip" that might bring people's attention back to

what's happening with the economy.

[EV_Ares]

3. Yeah, you are correct in that it has everything to do with the economy and plus the fact that

it could resurrect the Keating thing again of which the people need to be reminded about this family and banks and savings and loans.

[FrenchieCat]

4. Apple didn't fall far from the tree, I see.