The Central Illinois 9/12 Project became one of the first to expose — beginning this past March on BigGovernment.com – Shorebank’s extensive green and microfinancing agendas, in anticipation of that bank’s impending bailout. Shorebank, a Chicago-based, community-based investment bank, is focused on domestic and foreign microfinancing, is heavily engaged in the financing of “green” projects and “green” jobs, and has a host of ties to the Obama and Clinton administrations. Most recently, we wrote in April about Shorebank seeking a “bailout” from larger financial firms that have previously received bailout money from the federal government. Congresswoman Jan Schakowsky had previously proposed that the bank receive funds from the State of Illinois to help cover its loss of capital since the beginning of the nation’s economic downturn in 2008.
As we previously wrote, Shorebank would potentially be eligible for TARP funds if it were to be recognized as a “Community Development Financial Institution.” In order to to receive needed federal TARP money and prevent seizure by the FDIC, Shorebank needed to receive appropriate matching funds from private sources. News stories have been released over the past several days indicating that Shorebank has potentially received such funding.
Shorebank has reportedly received $20 million from General Electric, $20 million from Goldman Sachs, and $20 million from Citigroup – with additional large funds being promised by J.P.Morgan Chase, Bank of America, and Morgan Stanley. Shorebank also has received funds from the Northern Trust Corporation, State Farm, and Harris N.A. It has been reported that the bank could also receive funds from Wells-Fargo and PNC Financial Services. Assistance from these financial institutions puts Shorebank’s raised capital from private sources within the range needed to make it eligible for TARP funds.
As we reported previously, Citigroup, Bank of America, and Chase all received tens of billions of dollars in taxpayer money from TARP. Does this then mean that Shorebank is being bailed out by bailout money?
About Me
- TheRightFieldLine
- A farm boy in Minnesota, I acquired my first rifle at 5 and my shotgun at 9. At 10, I was living in Duluth, in a tough neighborhood. So I sawed off the barrel of my rifle and whittled a pistol grip. The farm boy was now ready for life in the city. In the army I expanded my repertoire to the M1, the bazooka, machine guns and other things that make loud noises. It was a blast, and I didn't have to pay for the ammo. Along the way, I broke bones playng football and spilled blood on hockey rinks. No regrets. Sports were a blast. Still are. I spent two years at two elite universities, but got my education at the University of Minnesota. A career journalist, I loved my craft until it took up social emgineering in the mid-90s. An industry that had welcomed bright, witty and irreverent free-thinkers was suddenly filling up with not-so-bright leftist zealots on a mission. So I quit. Since then, I have skated, roller-bladed, skied, sailed, canoed, worked out, traced my family roots, honed my churlish side and set up this blog. The old instincts are coming back. Life is good.
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