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The “I don’t know if I would want him for vice-president. He and I have the same strengths. But to serve in other capacities? Hell, yeah.” —— JOHN MCCAIN, when asked if he’d consider DICK CHENEY for a position LOWDOWN in a McCain administration Edited by Jim Hightower and Phillip Frazer  Vol.10 No.8  August 2008

Even though a few of them have been dumped from the campaign Heartless Phil and “honorable lobbyists” would run McCain’s White House

HE POLITICAL MEDIA ESTABLISHMENT is enraptured by John McCain. Mainline media sparklies, as well as the blatherers on the Fox channel, routinely buff up his image as a straight-talking, maverick foe of Washington’s special interests. “The press loves McCain. We’re his base,” gushes MSNBC’s Chris Matthews. But if the senator really is the feared reformer of business-as-usual government, why does This presidential campaign look like the back alley of K Street? Many a president has had certain supporters behind him whom lobbyists, executives, and fund-raisers who are shaping his policies… he should have moved out in front in order to keep an eye on them. and expecting to walk right into the White House with him. McCain, however, isn’t even bothering to keep his self-interested There was a hilarious dustup in May when two of the campaign’s backers in the shadows—he has literally put them in charge of his cam- key operatives were publicly fingered as lobbyists for the totalitarian paign. “Tell me with whom you walk,” goes the old adage, “and military thugs who rule Burma. Bad image. To patch over this embar- I’ll tell you who you are.” Candidate McCain is rassing exposure, the campaign dumped the duo and loudly proclaimed walking cozily with a new internal ethics rule barring lobbyists from paid positions on the a coterie of “Straight Talk Express.” Bold! Decisive! Laudable! corporate Except that it was a crock. Here’s the hilarious part: the announce- ment was made by the top campaign staffer, Rick Davis. Guess what he is. A lobbyist! His clients range from such telecom giants as Verizon to undies-maker Fruit of the Loom, and most have had business before McCain’s Senate committees. The trick is that the new rule bars “active” lobbyists from being “paid” to work “full time” on the staff. *0808Lowdown_final.qxd 7/25/08 5:43 PM Page 2

2 Hightower Lowdown August 2008 TIME TO FREE UP OUR FREEDOMS These highlighted terms are care- What is it about the First fully contrived loopholes. Lobbyists Amendment that confuses can simply go on leave from their Rise of the Rovians today’s political elite and active influence peddling for a few THE NASTY FELLOW WHOSE ATTACK-DOG, smear-tactic, lie-and-dis- their police agents? months to work on the campaign tort brand of politics lifted George W into the White House twice has qui- (as Davis is doing); they can work Amendment Number One part-time for McCain’s election etly slipped back into this year’s presidential game. Yes, none other than is a pretty straightforward while still lobbying up a storm; Karl Rove! declaration of the people’s or they can take no pay from the His infamous search-and-destroy approach to political opponents fundamental political rights: campaign, working pro bono while (John Kerry, Max Cleland, et al.) turned his name into a verb—to “rove” freedom to speak out pub- being retained by their corporate someone—and now Rovians have moved inside John McCain’s campaign. licly, to assemble, to con- clients. No matter their guise, they Not that Karl himself is directing the senator’s political shop (though he has front officials with our are lobbyists, and SourceWatch been giving pointers from the outside). Instead, it’s his political spawn who grievances. It does not say (sourcewatch.com) counts more recently have taken over day-to-day operations. that these freedoms can be than 100 of them working in Steve Schmidt, who’s been described as a “political artillery shell,” is eliminated any time they McCain’s camp (only five had to might pose an inconven- step aside under the ballyhooed now in charge of strategy and communications. Known as intense and hard ience or embarrassment new rule). hitting, Schmidt has long been one of Karl’s key henchmen. He has run So many lobbyists swarmed to those in charge. Yet it’s Bush’s campaign war room, served as counselor and spokesman for Dick McCain’s presidential team that he become commonplace for Cheney, been Rove’s point man on the battles to put Sam Alito and John felt compelled to defend them ear- Roberts on the Supreme Court, and been a member of Rove’s exclusive the Secret Service and lier this year. “They’re honorable police to exclude even the people,” he vouched, adding that “breakfast club” that plotted the Bush White House’s political attacks. mildest protest from presi- “the right to represent interests or Rove operative Nicolle Wallace, who was communications director in dential campaign events. groups of Americans is a constitu- Bush’s 2004 run, has been brought in to travel with McCain and keep him on Last month, a 60-year- tional right. There are people that message. Another Rovian, Greg Jenkins, was added last month to try to old librarian named Carol represent firemen, civil servants, add some pizzazz to McCain’s campaign events. He’s a former Fox news Kreck attended a John retirees, and those people are producer and advance man for Bush. McCain “town hall meet- legitimate representatives of a vari- Meanwhile, the swift-boat slime crew that Rove orchestrated in ’04 to ety of interests in America.” ing” in Denver. Held at a trash John Kerry is back this year in the guise of a group calling itself Vets city-owned hall, the event Sure they are, Straight Talker, but, as you know, none of the lob- for Freedom. Pretending to be independent of the McCain campaign, it’s was billed as open to the byists on your team are being paid already running ads that attack Obama on Iraq. Far from independent, its public. But it was not open to serve the interests of firefight- founder is a member of a McCain leadership team and its line of to Ms. Kreck. She stood ers and retirees. Let’s meet a few attack directly mirrors that of the campaign. quietly in the public plaza of them: outside the hall holding a handmade sign that simply CHARLIE BLACK. Known as “the false information that led to the phone industry inside McCain’s said, “McCain = Bush.” Republican party’s quintessential disastrous occupation of Iraq. operation. Of course, these corpo- company man,” Black has been Charlie became a multimillionaire rations have been money backers Her silent (and polite) McCain’s top strategist for more lobbyist through his tight political ($365,000 in donations through exercise of First Amendment than a year while also heading a connections with the Republican May), but the campaign is also rights, however, so offended powerhouse lobbying outfit that right wing. He was a crony of Lee teeming with their employees— Republican officials that represents a menagerie of special Atwater and Karl Rove in develop- AT&T, for example, has 21 of its McCain’s Secret Service (and sometimes shady) interests. ing the GOP’s style of slime poli- lobbyists working as McCain detail had her arrested for Until forced by the “clean house” tics, and he began his electioneer- advisors, staffers, or fundraisers, “trespassing” and escorted rule to step aside from his firm in ing career in 1972 as political and Verizon has 18 of its lobbyists off the public premises. May, Black’s corporate clients director of Jesse Helms’ first on board. Also last month, the included Blackwater, Lockheed Senate race. In 2001, to hype McCain’s image Martin, AT&T, GM, GE, Rupert as a maverick on campaign-finance Democrats announced that RICK DAVIS. A former White House Murdoch, and Philip Morris. issues, Davis helped establish the citizen demonstrations at aide to Ronald Reagan, deputy While working for McCain and Reform Institute, ensconcing the their convention in Denver manager of Bob Dole’s 1996 presi- representing AT&T last year, Black senator as chairman. It lacked credi- will be in a fenced-off was the principle mover in a then- dential run, and longtime McCain bility as a reform agent, however, enclosure. These “freedom secretive lobbying campaign to win operative who now chairs his presi- since Davis—a registered lobby- cages,” as they’ve been retroactive immunity for telecom dential campaign, Davis built a ist—served as the institute’s presi- dubbed, will be out of sight corporations that helped Bush spy lucrative lobbying business through dent, housed the group in his lob- and out of earshot of the illegally on millions of us Americans. his political ties, maintaining an bying offices, and shook down his Democratic delegates and Charlie conceded that he has done especially close relationship with corporate clients to help fund it. dignitaries—so as not to a lot of his lobbying chores by the Arizona senator. How close? The institute was a sham, and in muss up their reverie with phone from McCain’s campaign After being the manager of 2005, after a flare-up of negative any, you know, democracy. bus, which is named the Straight McCain’s 2000 loss to Bush in the publicity about some of the dona- When the parties and Talk Express. presidential primary, Davis became tions Davis had solicited from cor- the go-to guy for telecommunica- police can limit our “free- He’s also been a hired gun for porations that benefited from tions corporations, raking in a for- doms” to protest that can’t the heads of repressive regimes in McCain’s official actions, the sena- Angola, Somalia, and Zaire. Most tune in lobbying fees, in large part tor resigned from the board. In be seen or heard, we no infamously, Black was the chief because of his access to his buddy, 2006, McCain also withdrew from longer have those free- Washington escort for Ahmed John, who had become chairman the reform issue itself, declaring doms—and it’s time for a Chalabi, the Iraqi huckster who of the Senate committee oversee- that he no longer supports public little rebellion, just as worked with Cheney, Rummy, and ing the industry. financing of elections. In this year’s —continued on page 4 the neocon ideologues to drum up Davis has literally brought the GOP primaries, under guidance *0808Lowdown_final.qxd 7/25/08 5:43 PM Page 3

August 2008 Hightower Lowdown 3 PICKING MCCAIN’S from Davis and Black (who were three nations. paign, however, are three denizens of TEAM raising bundles from their corporate WAYNE BERMAN. Co-chair of the corporate world who are shaping JOIN US IN TAKING the connections), McCain chose to opt McCain’s campaign-fundraising McCain’s positions on economic second part of our out of the public system, though his arm, Berman’s own bio at the web- issues,and often speaking publicly on Lowdown Presidential cash-short campaign has opted site of his lobbying firm touts him his behalf. All would likely get top Survey—a free-wheeling, back in for the general election. positions in a McCain presidency: as an “almost unmatched” talent thoroughly unscientific RANDY SCHEUNEMANN. McCain’s for working “at the crossroads of CARLY FIORINA. As CEO of poll, asking you top national-security advisor, policy, politics, and campaign computer-maker Hewlett- Lowdowners to Scheunemann is a noted neocon finance.” A former assistant secre- Packard, she attained suc- designate people foreign-policy hawk. He built his tary of commerce, he held top cess and corporate who might serve career inside the Republican party, political and policy roles with celebrityhood. But then H- as officials in the serving as chief national-security Reagan, Bush I, and Dole, and he P began suffering financial staffer for both Trent Lott and Bob was a leading fundraiser for George hiccups, leading to accusa- next presidency. Dole when they were Senate major- W in both 2000 and 2004 (attaining tions of mismanagement, a This month, we ity leaders. His most glowing cre- “Ranger” status for bundling at nasty board fight, and her want to know dential is that he was part of the least $200,000). This year, he has highly public firing in 2005. who you think warmongering clique of ideologues already topped $500,000 as a Now, however, she’s bobbed McCain might— who pushed throughout the 1990s McCain bundler. A trusted GOP back into the public eye as a or should—choose for the pre-emptive war policy later insider, Berman was senior advisor feisty, high-profile surrogate for for vice-president, embraced so enthusiastically by the to the Bush/Cheney transition team McCain, constantly appearing on and other key positions, Bush-Cheney regime. He helped in 2001, and he since has milked TV and in person to push every- from FEMA director to draft the 1998 law that made the his Rolodex to become one of thing from the senator’s pro-NAFTA Supreme Court. corporate America’s favorite lobby- stand to his support of letting cable overthrow of Saddam Hussein a Here are the categories. ists. Berman’s client list has included and phone corporations control national policy goal (and put $98 Put names to as many million from our taxes into the front such government favor-seekers as who gets the fastest and best the Carlyle Group, Chevron, Shell, access to the internet's structure. as you like, and tell us if group headed by Iraqi con man you are picking the team Ahmed Chalabi), and he helped various drug companies, Verizon, The campaign thinks Fiorina, who and, recently, Ameriquest (the McCain will pick or Pentagon chief Don Rumsfeld is chair of the GOP’s “Victory ‘08” notorious mortgage giant that was committee, can boost McCain’s should pick! develop his deceitful Iraq policy dur- described by a consumer advocate creds as an economic leader. Not  ing the run-up to Bush’s war. Vice-President as “the most blatant and aggressive all agree—as one critic of Fiorina’s Scheunemann is another one  Attorney General predatory lender out of everybody”). hard-charging corporate style put it, who has converted his political con- “You couldn’t pick a worse, non-  Supreme Court tacts into cash. In 2001, he imprisoned CEO to be your stan- (name up to 3) founded a lobbying firm, Orion The executive suite dard-bearer.”  Strategies, which specializes in rep- When McCain is not getting his National Security Advisor resenting foreign governments, advice from lobbyists, he’s getting it MEG WHITMAN. Just retired as CEO  CIA director including Taiwan, Macedonia, and straight from the executive suites, of eBay Inc., Whitman is a 51-year-  FBI director for several current and former CEOs the Republic of Georgia. Last year, old billionaire and political novice,  U.S. trade negotiator while he was on McCain’s payroll are constantly at his elbow. Among though she has her eye on a future  as campaign advisor, Scheunemann the corporate heavies in his stable in politics (possibly a run for EPA administrator was also pulling down more than of informal advisors are such practi- California governor in 2010—ironi-  Surgeon General half a million bucks representing tioners of middle-class downsizing cally, the same race that Fiorina is  Secretary of State these foreign clients, and even lob- as FedEx’s Fred Smith, Cisco’s John eyeing). Whitman started this presi-  Secretary of Defense bying McCain’s Senate staff on Chambers, Microsoft’s Steve dential season doing fundraising for behalf of Georgia’s government. Ballmer, and Wall Street’s Henry Mitt Romney, but she is now on  Secretary of Labor Scheunemann has now suspended Kravis (the corporate-takeover spe- McCain’s team as national co-chair  Secretary of Interior his active influence peddling, but it cialist who paid himself $51,400 an of the campaign. Not only is she  Secretary of Agriculture appears that he still gets income hour in 2006, while offing tens of working her Silicon Valley connec-  from Orion, and his partner there thousands of workers). tions for money, she is also said to Secretary of Veterans continues to represent these same Especially important to the cam- be playing a lead policy role for the Affairs  Secretary of Treasury  Secretary of Health I want to receive a full year of The Hightower Lowdown — The  FCC chair 12 issues in all—for an unbelievably ridiculous, low, low price. YES! LOWDOWN  FDA commissioner  Send me one year of The Hightower Lowdown for just $15. EDITORS: Jim Hightower, Phillip Frazer  (Seniors & students—$12.) RESEARCH: Laura Ehrlich CIRCULATION: John Ernst FEMA director COPY WIZ: Gwenda Blair ARTISTE: Matt Wuerker  Other:  Send me two years of the Lowdown for $27. LAYOUT: Sahu Barron INTERWEB EMISSARY: Deanna Zandt (Seniors & students—$22.) 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—continued from page 2 4 Hightower Lowdown August 2008 Thomas Jefferson said would be necessary every candidate. Her stated positions are going down the road with McCain. the inner Gramm that we Texans now and then. conventionally corporate—scale As of last month, however, the (and McCain) have long known. back government, make Bush’s tax banker-lobbyist no longer travels He simply has no empathy for cuts for the wealthy permanent, with the candidate, because Phil put the real-life problems of the great THE IRAQ OIL RUSH and reduce the corporate tax his foot in his mouth and had to unwashed, routinely dismissing For five years, the rate—but her other views seem resign from his public role as co- folks who are beneath him on the Bush-Cheney regime has vague. For example, asked what to chair. But resigning is not the same economic ladder. Consider this do about the problems caused by insisted that the Iraq inva- as being removed, and I believe that golden gem from Gramm on the $4 gasoline and the ongoing finan- Gramm remains the top economic matter of poverty in America: sion had nothing to do with cial collapse, she offered this: “I helping Big Oil get its advisor behind the scenes. McCain, “We’re the only nation in the world feel quite strongly that it’s impor- who admits that he really doesn’t where all our poor people are fat.” hands on Iraq’s wealth of tant to elect a Republican.” understand how the economy As I said of him some years ago, crude. No, the war was PHIL GRAMM. The sour old former works, relied on Gramm so much anyone needing a heart transplant about WMDs…al Qaeda senator from Texas was renowned that they talked every day. “I respect should try to get Phil’s – it’s never …democracy. for his laissez-faire ideological no one more in America on issue[s] been used. Now we know that, ever extremism and for being an of economics than I do Phil Gramm,” Gramm’s whiner comment was since the invasion, U.S. unabashed corporate whore during a bedazzled McCain once gushed. too crass, so he had to be jettisoned. occupying authorities his 23-year career in Congress, Fortune magazine dubs Gramm Ironically, he left whining. “Democrats have been trying to cobble where he regularly used his legisla- “McCain’s econ brain,” and he has want to attack me,” he sniffed. together an Iraqi govern- tive power to rig the rules for the indeed shaped both the philosophy He’s gone from public view, but ment that would allow the profiteers who funded his cam- and specifics of the candidate’s don’t think that McCain’s econ likes of Exxon Mobil to paigns. As Senate banking chair- economic policies, including: (1) his brain has truly departed—and don’t control the country’s man, Gramm recklessly rammed meek, blame-the-victims response be surprised to see him resurface massive, undeveloped through major bills deregulating to Wall Street’s unregulated as secretary of the treasury if oil fields. Unsurprisingly, Wall Street scammers so they schemers who crashed America’s McCain wins. the Iraqi people have could develop the exotic financial housing market; (2) his proposal to There are others, of course, who balked at handing over schemes that have led to America’s raise America’s retirement age and have McCain’s ear on policy mat- their chief national asset. current mortgage collapse and the partially privatize Social Security; ters (Sen. Joe Lieberman, for Last year, Iraq’s U.S.- failure of major banks. Not for (3) his embrace of Bush’s tax cuts example, the one-time Democrat nothing has he been nicknamed and his call to further slash corpo- who keeps popping up with backed government issued “Foreclosure Phil.” rate taxes; and (4) his energy “pol- McCain on his foreign jaunts, no-bid contracts to five In 2002, he left the Senate to go icy” of drill-drill-drill, a position he including his recent trip to the Western oil giants, author- where the money is: Wall Street. used to scorn and mock. Mideast and his “free trade” road izing them to prepare some Becoming vice-chairman of UBS, a Then came July 9, when Gramm show in Latin America). But the existing oil fields for com- Swiss-based investment bank that apparently had a political brain overall cast of his foreign-policy mercial production. This caters to the world’s super-wealthy, freeze. team is rigidly corporate. Policy gave the Exxons a leg-up Gramm has been enjoying a seven- He blurted out in an interview proponents for workers, con- on winning control of Iraq’s figure annual income and lolling in that he has no patience with all sumers, the environment, small massive reserves. The the sweet executive life. His duties these stories in the news about farmers, and other broad segments Bushites said they played at the bank include overseeing “gov- people facing hard times. America of America (the vast majority of us) no role in this, but— ernment-relations”—i.e.,lobbying. has become “a nation of whiners,” are noticeably absent from his whoops—now it’s been Last year, Gramm took on a sec- pronounced the economic doctor, inner circle. If he is elected presi- revealed that a team of ond job when his old Senate buddy adding that the hoi polloi are wal- dent, no doubt he would consider administration lawyers McCain installed him as his cam- lowing in “a mental recession.” the needs of the larger public, but and private-sector con- paign co-chair and top economics Bad politics. McCain quickly dis- it appears that those needs would sultants helped draft those advisor. Of course, Gramm still drew avowed this unauthorized eruption, be submitted from us outsiders to no-bid contracts. At the his UBS paycheck and even contin- but he really could not have been an insider group that now resem- ued lobbying for the bank while surprised, for it came right out of bles McCain Inc. same time, Ray Hunt, the billionaire CEO of Hunt Oil and a longtime pal of Moving? Missed an issue? George W, cut a special You can comment on stories in the Lowdown on the new and improved website Please call or write us at: deal with one of Iraq’s The Hightower Lowdown hightowerlowdown.org P.O. Box 20596 regional governments to New York, NY 10011 develop oil fields there, in [email protected] violation of U.S. policy and Subscribers’ toll-free number: (866) 271-4900 laws passed by Iraq’s cen- tral government. Again, the 10:8 August2008 Bushites claimed not to HEARTLESS PHIL AND THE have known about Hunt’s “HONORABLE LOBBYISTS” end run, but—whoops WOULD RUN MCCAIN’S again—internal docu- WHITE HOUSE

ments have now surfaced 2 Time to free-up

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team knew about the deal CLASS Picking McCain’s team 20596 P.O. Box Box P.O. 3

PERIODICALS and welcomed it. Lowdown Hightower The 4 The Iraq oil rush These guys are covered in crude!