August 4, 1994 - Part 9
August 4, 1994 - Part 9
(18:55:43) Finally, I raised with him, I raised with him Senator Bond ' s question. I frankly do not remember whether I said there were fall meetings although I know that he has testified to that fact. I could have but I don't really recall that. I said that-but I did read the question and the answer-and he--and the question is something to the effect that how did the White House--did the White House learn of the criminal referrals from the RTC, and his answer was not to my knowledge. Senator Bond pursued that, he said not to my knowledge, again. Mr. Altman said that's correct, I don't have any knowledge of that. And I said that I think that there may have been-and this is the part that's fuzzy for me-I don't know whether I said there were a couple of meetings or whether I just got briefly into the conversation. He said to me that he didn't know whether he wanted me to inform him of additional facts at this point. I asked him-and I want to explain that because I saw your eyebrows go up. I think he was uncertain whether he should get more information from his side or whether he should get more illformation from the White House and I think that was a legitimate concern frankly. But he said-we sparred a little bit on it. I said was Jean Hanson with you at the testimony. He said she was. I said you need to go get Jean Hanson, look at the transcript and consider whether this question and answer needs to be corrected. I thought that Was 411 sufficient, to have him sit down with Jean Hanson and correct the record at that point, Senator GRAMM. And you assumed he was going to do that when you hung up? Mr. PODESTA. Absolutely. The CHAIRMAN. That's a very important point, and we've touched on that before and it needs to be pursued beyond that because of the issue of-in my mind, I think a fair question-I won't pose it now, but a fair question would be in light of everything we know now, isn't it clear that after that conversation took place, that that first letter in here should have included all these items without the hair-splitting? Mr. PODESTA. Senator, that would have been clearly the better course of action. Senator DAMATO. Mr. Chairman, I hope this takes 30 seconds. Didn't Altman, because I think you testified, at least he did, say to you he didn't want you to tell him the details? Mr. PODESTA. I don't believe I used that term. I believe we got to the point where I said there may be information at the agency. I believe I used the duty to supplement the record, and I think he just didn't want-I think he wanted to confirm or to look at that question and look at that issue with his people, not with me over the telephone. The CHAIRMAN. Senator Moseley-Braun. Senator MOSELEY-BRAUN. Thank you, Mr. Chairman, and I'm so glad the Senator from Texas is still here, because earlier today he referenced my hometown of Chicago, and I did not want to interfere with this hearing in his reference to the St. Valentine's Day Massacre was something that nobody heard anything about, and I just wanted to point out to the Senator from Texas that the St. Valentine's Day, the silence that accompanied the St. Valentine's Day Massacre had nothing on the silence that accompanied the failure of savings and loans in Texas. [Laughter.) Now we have looked at a situation where the RTC has spent some $25.4 billion with a B, billion dollars, just on RTC losses in Texas. Over 57 percent of the total savings and loan losses happened in Texas. Now, Whitewater, by comparison, comes to about 5/100 of I percent of the RTC losses total versus the amount that the taxpayers of the United States are spending on taxes. I Again, I took a little umbrage-I know my city has a reputation to recover from and we're working hard on it, Senator, to overcome the St. Valentine's Day Massacre. But I dare say it's going to take a long time before the taxpayers of this country overcome the $25 billion that we have all contributed to bail out S&L's in Texas for which, by the way, I would mention we have as of March 15th only re cover ed some $42,000 from insiders, total $42,000 out of this $25 billion. And as to which not a single penny was issued in investigation of some 86 out of 137 failed Texas S&L's. So you know, as the old people who live in glass houses or, alternatively, the pot should not call the kettle sour,