Connect with us

UPDATED: 2008: Paul Ryan Traded Stocks On Insider Information From Bernanke As Market Was Collapsing

Published

on

Editor’s note: Please read the update at the bottom.

In September, 2008, as the stock market was teetering and just about ready to plunge the country and the world into a Great Depression, Congressman Paul Ryan, according to reports, used insider information he received as a Congressman to sell stocks and avoid enormous financial losses. Ryan, who is now the Chairman of the House Budget Committee, “traded on insider information to avoid 2008 crash,” The Richmonder — which published Ryan’s financial disclosure form for 2008 – reports:

Ryan attended a closed meeting with congressional leaders, Bush’s Treasury Secretary Henry Paulson, and Federal Reserve Chairman Ben Bernanke on September 18, 2008. The purpose of the meeting was to disclose the coming economic meltdown and beg Congress to pass legislation to help collapsing banks. Instead of doing anything to help, Ryan left the meeting and on that very same day Paul Ryan sold shares of stock he owned in several troubled banks and reinvested the proceeds in Goldman Sachs, a bank that the meeting had disclosed was not in trouble.

Matt Yglesias at Salon says, “Let’s put this in the ‘the real scandal is what’s legal’ file,” writing:

This kind of trading might be illegal now, but was definitely kosher back then when insider trading rules didn’t apply to congress at all. My guess is that it’s probably fine even under today’s rules, since even though it fits the ordinary language meaning of “insider information” it doesn’t actually make Ryan an insider to the companies in question in a legal sense. But it’s about as clear an example of a public official trying to use his office to obtain personal benefits as you’re likely to find.

Congressman Paul Ryan, who is now Mitt Romney’s VP candidate, has seen his net worth increase “by up to 130 percent in a decade,” according to the Seattle Times:

Federal financial disclosure forms show that last year Ryan, 42, had assets of between $2.1 million and $7.8 million — figures that include a trust valued at between $1 million and $5 million inherited by his wife, Janna, after her mother died in 2010. A disclosure form said Ryan had assets of $479,000 to $1.6 million in 2001.

The disclosure forms do not require elected officials to give exact values of assets or income. Rather, they allow ranges, such as between $1 million and $5 million.

Excluding the inheritance, Ryan’s net worth increased by up to 130 percent in a decade marked by a deep recession and a volatile stock market.

UPDATE: 4:08 PM —

Matt Yglesias has walked back his statement, looking at the timeline of probably events. Whether or not Ryan traded stocks before or after his meeting with Bernanke, it’s reasonable to think he knew what the Bernanke closed door conversation was going to look like. Coincidence, or not?

Via Yglesias:

Let me apologize. I originally had a too-credulous item here linking to a piece at The Richmonder alleging that Paul Ryan has sold bank shares after a closed door meeting with Henry Paulson and Ben Bernanke on the financial crisis in 2008. As Eric Platt explains he certainly seems to have sold the shares on the same day as the meeting, but the meeting happened in the evening by which time the markets would have been closed. One can perhaps construct a scenario by which the Richmonder’s theory of the case holds up, but they don’t have the goods and I shouldn’t have passed their analysis on with no qualification and so little scrutiny of my own.

Related:

Romney: Paul Ryan Will Be My VP (Or, Everything You Wanted To Know But Were Afraid To Ask)

 Image by Peter Larson/Medill News Service

There's a reason 10,000 people subscribe to NCRM. You can get the news before it breaks just by subscribing, plus you can learn something new every day.
Related Topics:
Continue Reading
Click to comment
 
 

Enjoy this piece?

… then let us make a small request. The New Civil Rights Movement depends on readers like you to meet our ongoing expenses and continue producing quality progressive journalism. Three Silicon Valley giants consume 70 percent of all online advertising dollars, so we need your help to continue doing what we do.

NCRM is independent. You won’t find mainstream media bias here. From unflinching coverage of religious extremism, to spotlighting efforts to roll back our rights, NCRM continues to speak truth to power. America needs independent voices like NCRM to be sure no one is forgotten.

Every reader contribution, whatever the amount, makes a tremendous difference. Help ensure NCRM remains independent long into the future. Support progressive journalism with a one-time contribution to NCRM, or click here to become a subscriber. Thank you. Click here to donate by check.

News

‘I Didn’t Say That You Said That’: Trump Backpedals as ‘Obnoxious’ Reporter Corners Him

Published

2 hours ago

on

December 8, 2025

By

President Donald Trump tried to backpedal on last week’s promise to release full video of a second boat strike some are calling unlawful, when cornered by a reporter he subsequently denounced as “obnoxious” and “terrible.”

Video shows that Trump did promise to release the full video, telling reporters last Wednesday, “whatever they have, we’d certainly release.”

On Monday, ABC News Senior Political Correspondent Rachel Scott said to Trump, “Mr. President, you said you would have no problem with releasing the full video of that strike on September 2nd off the coast of Venezuela.”

READ MORE: GOP Struggles to Message on Affordability as House Republicans Kill Affordability Bill

“I didn’t say that,” Trump replied. “You said that, I didn’t say that.”

“This is ABC fake news,” the president added.

“You said that you would have no problem releasing the full — okay, well, Secretary Hegseth —” Scott continued.

“Whatever Hegseth wants to do is okay with me,” Trump said.

“He now says it’s under review,” she explained. “Are you ordering the secretary to release that full video?”

“Whatever he decides is okay with me,” Trump responded.

After the president claimed that every boat the U.S. military destroys saves 25,000 American lives, the reporter pressed him to confirm his position on releasing the video.

READ MORE: ‘Corrupt’: Kushner’s Role in Warner Brothers Discovery Takeover Bid Draws Fierce Blowback

“Didn’t I just tell you that?” he charged.

“You said that it was up to the secretary,” she responded.

“You are an obnoxious reporter in the whole place,” Trump said, attacking Scott. “Let me just tell you, you are an obnoxious, a terrible, actually a terrible reporter, and it’s always the same thing with you.”

READ MORE: White House: Trump to Spin ‘Positive’ News About Jobs as Layoffs Spike

 

Image via Reuters

 

Continue Reading

News

GOP Struggles to Message on Affordability as House Republicans Kill Affordability Bill

Published

3 hours ago

on

December 8, 2025

By

Republicans are taking heat on two fronts as they struggle to win the affordability messaging battle while killing affordability legislation.

“Republican lawmakers, aides and strategists tell NBC News they worry that high prices and their party’s poor messaging on affordability could cost them in the midterms,” the news network reported over the weekend.

Politico reported on Monday that “Republicans are divided over how to address growing cost-of-living concerns over health care, housing, student debt and more.”

READ MORE: ‘Corrupt’: Kushner’s Role in Warner Brothers Discovery Takeover Bid Draws Fierce Blowback

As President Donald Trump calls affordability a “hoax” and a “con job,” recent polls show his approval rating is underwater, and some say Republicans have not made the affordability crisis a central legislative focus.

Senate Republican Majority Leader John Thune appeared to suggest affordability is an issue to tackle down the road.

“We haven’t probably messaged as effectively as we should,” Leader Thune said in an interview, Politico noted. “I think we’ll have lots of opportunities now that we’re getting into an election year to talk about the things we’ve done and how they are going to lead to things being more affordable for the American people, probably starting with tax relief next year.”

One of the things Senate Republicans did was join with Democrats to pass out of committee — unanimously, some Democrats noted — a bill to improve housing availability and affordability.

House Republicans killed the legislation, known as the ROAD to Housing Act.

READ MORE: White House: Trump to Spin ‘Positive’ News About Jobs as Layoffs Spike

“Just this weekend, congressional leaders released a compromise version of the annual National Defense Authorization Act without housing legislation sought by Senate Banking Chair Tim Scott (R-S.C.) and ranking member Elizabeth Warren (D-Mass.), after House Financial Services Chair French Hill (R-Ark.) and other key House Republicans objected.”

Senate Democrats expressed outrage.

“Leave it to House Republicans to fumble a comprehensive, bipartisan housing package that passed out of the Senate committee UNANIMOUSLY!” decried U.S. Senator Tina Smith (D-MN).

“Unbelievable,” lamented U.S. Senator Mark Warner (D-VA). “House Republicans just killed our broadly bipartisan housing affordability bill, which would have been a great first step towards lowering skyrocketing rents & mortgages. Republicans are actively torpedoing progress towards lowering your rent.”

“Trump claims he wants to lower housing costs, but his allies in the House just axed a bipartisan bill that UNANIMOUSLY passed the Senate to do just that,” noted U.S. Senator Elizabeth Warren (D-MA). “If Republicans keep blocking legislation to cut housing costs, Democrats will pass it ourselves when we take back Congress.”

The communications director for U.S. Senator Kirsten Gillibrand (D-NY), James Singer, summed it up: “It’s not the message, it’s the policies.”

Economist and economics professor Justin Wolfers told CNN, “When we talk about affordability, so much of what’s going on with prices is in fact a direct result of public policy. We’ve seen tariffs that have raised costs. We’ve seen a big rise in deportations, which are making it difficult for farmers to bring in their crops. We’ve seen health insurance premiums rise as Congress has fiddled with Obamacare subsidies.”

READ MORE: ‘Chance Some of This Backfires’: GOP Grows Anxious Over Trump’s Redistricting Gambit

 

Image via Reuters

 

 

Continue Reading

News

‘Corrupt’: Kushner’s Role in Warner Brothers Discovery Takeover Bid Draws Fierce Blowback

Published

5 hours ago

on

December 8, 2025

By

On Sunday, President Donald Trump declared that he will “be involved” in the federal government’s decision on whether to allow the streaming service Netflix to buy mass media and entertainment conglomerate Warner Brothers Discovery. On Monday, Paramount Skydance, another mass media and entertainment conglomerate, announced a hostile takeover bid for WBD — with news soon following that Trump son-in-law Jared Kushner’s private equity firm is part of the Paramount offer.

“Paramount is telling WBD shareholders that it has a smoother path to regulatory approval than does Netflix, and Kushner’s involvement only strengthens that case,” Axios reported. “Paramount is led by David Ellison, whose billionaire father Larry is a major supporter of President Trump.”

Axios added that Kushner’s firm, Affinity Partners, “was not mentioned in Paramount’s press release on Monday morning about its $108 billion bid, nor were participating sovereign wealth funds from Saudi Arabia, Abu Dhabi and Qatar.”

READ MORE: White House: Trump to Spin ‘Positive’ News About Jobs as Layoffs Spike

Fortune reported that “Affinity and the other outside financing partners have agreed to forgo any governance rights, which Paramount said means the Committee on Foreign Investment in the United States would have no jurisdiction over the transaction.”

But Axios’ Sarah Fischer wrote on social media: “Ask yourself, why would anyone want to put money into an investment of this caliber and have no governance rights or board seats?”

“Essentially,” she added, “people want to have control/access/political power behind the scenes.”

“Reality is,” Fischer explained, this hostile takeover is a good explanation “of how capitalism/democracy can be exploited for political gain,” with “Paramount essentially betting our open system incentivizes shareholders to take [the] best financial deal even if it means giving soft power” to three sovereign wealth funds, the President, and his son-in-law.

READ MORE: ‘Chance Some of This Backfires’: GOP Grows Anxious Over Trump’s Redistricting Gambit

Critics are blasting Kushner’s and Trump’s involvement.

U.S. Senator Elizabeth Warren (D-MA) remarked, “Donald Trump said he’ll ‘be involved in’ deciding if Netflix can buy Warner Bros. Is that an open invite for CEOs to curry favor with Trump in exchange for merger approvals? It should be an independent decision by the Department of Justice based on the law and facts.”

Award-winning journalist Sophia A. Nelson, responding to trump’s remarks, observed: “This is ridiculous. Corrupt. And NOT what a President gets involved in.”

Professor, investor, and marketing executive Adam Cochran wrote: “Trump is talking about him personally being involved in deciding the fate of the Netflix-Warner Brothers deal, and how it’s ‘bad.’ Meanwhile his son-in-law is financing the competing offer. There has truly never been a more corrupt administration in US history!”

Alexander Vindman, former Director of European Affairs for the United States National Security Council (NSC), wrote: “F– NO to another corrupt Trump deal. Nepobaby, Jared’s, involvement would deliver CNN to MAGA.”

NewsNation’s Kurt Bardella, a communications advisor and media relations consultant, asked: “Alexa, what is a ‘conflict-of-interest’?”

READ MORE: Trump’s Ballroom Seen as ‘Key Evidence’ He’s Out of Touch as Cost of Living Spikes

 

Image via Reuters 

 

Continue Reading

Trending

Copyright © 2020 AlterNet Media.