President Obama could be losing trust

Updated: Saturday, August 3 2013, 12:38 AM EDT
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KALAMAZOO, Mich. (NEWSCHANNEL 3) - The Obama Administration is in the middle now of what some people refer to as a perfect storm of scandal.

Tonight, in Tom's Corner, Tom Van Howe says it's not something that can be written off lightly, because at its very heart is the question of whether the President is losing the public's trust.


I don't for a moment believe the internet rumors that the Obama administration is trying to buy up all the ammunition so gun owners can't find any for themselves.

But there are those who do...and that in itself has been an enormously effective sales tool for those who make and sell bullets. And guns for that matter.

Nor do I believe, for example,  former Presidential candidate Michelle Bachmann—who claims that Obamacare is part of a plot to deny medical care to conservatives.

I do believe she's an ill-informed nutcase with a history of saying outrageous stuff. But there are people who believe she speaks the truth.

And, now,  by playing loose with facts and the Constitution on three fronts, the Obama administration is playing into the hands of his political detractors, of conspiracy freaks everywhere, and in the process putting public trust on the line.

Last September, the U.S. Ambassador and three other Americans were killed in an attack on the American embassy in Benghazi, Libya.
It was blamed at the time on an inflammatory YouTube video that caused a spontaneous riot that resulted in the attack.  Now its becoming clear that back then, with less than two months to go until the Presidential election, the information was doctored to hide that it was, in fact, an organized attack by Al-Qaida.

Why make such an effort?

So the theory goes, Obama had all but vanquished Al-Qaida, and it would have looked bad politically to suggest Al-Qaida was still a viable terrorist outfit.

A week or so ago, we learned the IRS has been scrutinizing the not-for-profit status applications of groups thought to be opposed to the so-called Obama agenda.

If an organization had "tea party" or "patriot" in its title, it got worked over.

Now, one can easily make the argument that right-wing organizations are probably not going to spend more that half of their super-PAC money on civic enterprise.

Rather, one might suspect they are instead manipulating the tax code to hide the names of those who give them money and avoid paying taxes.

But to target them for scrutiny because of their political leanings is illegal. Simple as that.

A week after an IRS official admitted it happened, and even apologized for it, the President was grimly proclaiming that  "if" the charges were true, the perpetrators would be severely dealt with.

It made him look clueless. Maybe he was.

And now we learn that Obama's Department of Justice, ignored existing law by seizing phone records of a wide number of Associated Press reporters in its year-long search for someone in the administration who leaked accurate information about a foiled terrorist plot in Yemen in May of last year.

It was upsetting to the government because only days before, the administration was claiming the plot never existed.

Here's why what the D.O.J. did matters: reporters have relied on confidential sources to gather information for stories that the public has a right to know.

Sometimes the process has been abused, but mostly its not.

For a quick and easy example, think Watergate. If a well-meaning source believes a reporter can no longer guarantee his confidentiality, because of massive government raids on phone records—the source goes back into silence.

Attorney General Eric Holder—the President's appointed man who runs the Department of Justice—told the house judiciary committee yesterday that he knew almost nothing about it, and that what he did know he couldn't talk about because he had recused himself from the entire matter.

Why didn't he follow the law? He didn't know. When did he recuse himself? He wasn't sure. Did he put it in writing? He couldn't remember. And so it went. The Attorney General who often knows nothing.

These scandals aren't going to go away soon. Each one of them is a nicely wrapped gift from the president to his political enemies. And they'll run with 'em for as long as they can.

When he was elected going on five years ago, President Obama promised that his would be the most transparent administration in history. And much to the dismay of a lot of people who voted for him, it's not turning out that way.

He's had something of a free pass, so far. It's time to revoke it.

In this corner...I'm Tom Van Howe.
President Obama could be losing trust
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Business News

Last Update on April 24, 2014 17:31 GMT


WASHINGTON (AP) -- The number of people seeking U.S. unemployment benefits surged 24,000 to a seasonally adjusted 329,000 last week, though the gain likely reflected temporary layoffs in the week before Easter.

The Labor Department says the four-week average of applications, a less volatile number, rose 4,750 to 316,750. The four-week average fell two weeks ago to its lowest level since October 2007, two months before the recession began.

Applications can be volatile around Easter, because many school systems temporarily lay off bus drivers, cafeteria workers and other employees during spring break. Some of those workers file for unemployment benefits.

Despite the volatility, applications have generally been declining in recent months, a hopeful sign for the job market. Three weeks ago, applications fell to 301,000, the lowest level in nearly seven years.


WASHINGTON (AP) -- Orders to U.S. factories for long-lasting manufactured goods posted a solid gain for the second straight month in March. A key category that signals business investment plans increased at the fastest pace in four months.

The Commerce Department says that orders for durable goods increased 2.6 percent in March following a 2.1 percent rise in February. Those back-to-back gains followed two big declines in December and January which had raised concerns about possible weakness in manufacturing.

Demand for core capital goods, considered a good guide for business investment plans, rose 2.2 percent in March after a 1.1 percent drop in February. It was the best showing since a 3 percent rise in November.

Manufacturing seems to be recovering after a cold winter disrupted business activity.


TOKYO (AP) -- Talks between the United States and Japan on a Pacific Rim trade pact have halted for now without any resolution in sight, spoiling plans for a showcase deal during President Barack Obama's visit to Tokyo.

Economy minister Akira Amari, Japan's top negotiator, said too many issues remained unresolved and further working-level talks will be needed to reach a market-opening pact as part of the Trans-Pacific Partnership.

Amari told reporters Thursday that no end was in sight. He described the negotiations as in a "tough situation."

The two sides had hoped to proclaim a broad agreement or at least significant progress during Obama's visit, which ends Friday.

A Japan-U.S. deal is seen as crucial for talks among the other 10 countries participating in the U.S.-led initiative to move ahead.


DETROIT (AP) -- General Motors says first-quarter profit fell 86 percent as a series of recalls dragged down its earnings.

GM had a net profit of $125 million, the company's worst quarterly performance since it posted a net loss after leaving bankruptcy protection in 2009.

The Detroit automaker says it took a $1.3 billion charge for recalling about 7 million vehicles worldwide. The company also incurred $300 million in restructuring costs, mostly in Europe. And it took a $419 million charge due to a change in the way it values Venezuela's currency.

GM made 6 cents per share, down from 58 cents per share a year ago.

Excluding one-time items, GM made 29 cents per share, far above Wall Street estimates of 3 cents per share.


Caterpillar 1Q profit climbs 5 pct, forecast rises

Caterpillar's first-quarter earnings climbed 5 percent and the construction equipment maker raised its 2014 forecast. But the company also says a mining equipment sales slump is still hurting results.

The Peoria, Ill., company says it now expects 2014 earnings of $6.10 per share excluding restructuring costs. That's up from its previous forecast for $5.85 per share.

Analysts expect $5.72 per share, on average.

Caterpillar Inc. says it earned $922 million, or $1.44 per share, in the quarter that ended March 31. That compares to $880 million, or $1.31 per share, last year.

Earnings totaled $1.61 per share, excluding restructuring costs. Total revenue was nearly flat at $13.24 billion.

Analysts forecast earnings of $1.21 per share on $13.09 billion in revenue.


DALLAS (AP) -- First-quarter revenue at UPS slumped 12 percent as winter storms increased costs for the shipping giant and cut into its revenue.

The Atlanta company says the rough start to the year means that full-year earnings will come in at the low end of earlier forecasts.

UPS posted earnings of $911 million, or 98 cents per share, well short of the $1.08 that Wall Street was looking for, and less than the $1.04 billion, or $1.08 per share, it reported a year earlier.

UPS says winter storms reduced operating profit by $200 million as costs rose.

Revenue rose 2.6 percent to $13.78 billion, but that's still shy of the $13.91 billion that analysts had forecast.


DALLAS (AP) -- Even with the turbulence of severe winter storms and stubbornly high fuel prices, many of the major airlines are cruising and their stock prices are soaring.

On Thursday, American Airlines and Southwest Airlines reported record profits for the first quarter, usually the weakest time of year for the airlines. That followed a rousing report from Delta Air Lines a day earlier.

Still stuck on the tarmac: United Airlines. While rivals were making money, United lost another $609 million during the first three months of the year.

The No. 2 airline company behind American, United Continental Holdings Inc. is struggling to make the 2010 merger of United and Continental work. As costs rise, United is taking in less per mile from passengers -- it's not charging fares high enough to cover expenses.

"This quarter's financial performance is well below what we can and should achieve," conceded United Chairman and CEO Jeff Smisek. He said the airline is taking steps to fix its operations and service to boost financial results.


ORLANDO, Fla. (AP) -- The frugality of the Great Recession may be history.

Orbitz senior editor Jeanenne Tornatore (jeh-NEEN' TOR'-nah-tor) says the travel website's survey finds 88 percent of Americans plan real vacations this year. She says "people don't talk staycation anymore," as was popular a few years ago. This year's survey finds "people really getting back out, taking these longer vacations and kind of trading up for some bigger destinations."

Tornatore says Orbitz bookings show the Mexican resort of Cancun as the top destination, but most of the other hot spots for fun-seekers are in the U.S. -- with Las Vegas, Orlando, Seattle and Los Angeles rounding out the top five, and Honolulu ranks tenth.

Average airfares are up about six percent from a year ago, according to Tornatore. She urges vacation travelers to shop around for deals, and use rewards points -- they can save big time.

Tornatore says mid-June through late July is the peak summer vacation period, and you should get airline tickets about 60 days in advance. She says if you're planning your vacation during that busy period, "you really want to book now."


LAS VEGAS (AP) -- The Mandalay Bay resort in Las Vegas is planning a $66 million expansion that will boost its convention center from the seventh-largest to the fifth-largest in America.

Company officials said Thursday that the 350,000 square feet of new exhibit space will help it attract larger trade shows, and will allow events already there to expand.

The convention center will hit 2 million total square feet after the expansion, putting it behind only McCormick Place in Chicago, the Orange County Convention Center in Orlando, the Las Vegas Convention Center and the Sands Expo that's also in Las Vegas.

Construction is scheduled to begin late this year and wrap up in January 2016.

Las Vegas hosted 53 of the nation's 250 largest trade shows last year, more than any other U.S. city.

Washington Times