Saturday, March 13, 2010

Birth Tourism to America on the rise for Turkish Parents.

Birth Tourism is popular among the elites from various countries like South Korea and cheap enough for those closer to America such as Venezuela. Now Turkish parents are getting in on the act.

Its clearly an abuse of the 14th amendment which was written to grant descedents of slaves citizenship and now is used for anyone who can walk or fly across the borders.

According to tourism expert Gürkan Boztepe and media sources, 12,000 Turkish children have been born in the U.S. since 2003.The numbers are significant enough to draw the attention of tourism companies and inspire them to pursue “birth tourism.”

“We found a company on the Internet and decided to go to Austin for our child’s birth,” said Selin Burcuoğlu who gave birth to a daughter last year. “It was incredibly professional. They organized everything for me. I had no problem adjusting and I had an excellent birth,” she told the Hürriyet Daily News & Economic Review.

Burcuoğlu said she and her partner chose to have the birth in the U.S. to make their child’s life more comfortable. “I don’t want her to deal with visa issues – American citizenship has so many advantages.”


....Birth tourism to the U.S. is not just popular in Turkey but also in Asian countries such as South Korea, Hong Kong and Taiwan. According to a Los Angeles Times report, many South Korean parents-to-be have chosen to give birth in the U.S. for many reasons, ranging from a desire to enroll their children in American schools to enabling them to avoid South Korean military service.

The birthright citizenship formerly applied to other countries such as the United Kingdom and Australia but both countries modified their law in the mid-1980s.

India maintained such birthright law until 2004, but ended the right to prevent continued illegal immigration from neighbors Pakistan and Bangladesh

23% of welfare payments go to illegals in Los Angeles County.

Automatic citizenship by birth is a huge incentive to come here illegally, too bad an Ireland like vote to stop that is out of the question.

Nearly one-quarter of state welfare payments and food stamps issued in Los Angeles County go to children whose parents are in the U.S. illegally, according to January figures released today.

Supervisor Mike Antonovich offered the statistics, generated by the county's Department of Public Social Services, to help make the case for enforcing the nation's borders, establishing health care clinics on the border with Mexico and reimbursing local governments for unfunded state and federal mandates, according to his press deputy, Tony Bell.

The numbers show that more than $50 million in CalWORKS benefits and food stamps for January went to children born in the United States whose parents are in the country without documentation. This represents approximately 23 percent of the total benefits under the state welfare and food stamp programs, Antonovich said.

"When you add this to $350 million for public safety and nearly $500 million for health care, the total cost for illegal immigrants to county taxpayers far exceeds $1 billion a year -- not including the millions of dollars for education," Antonovich said.

"Obama seems not to respect his fellow citizens "

Via Instapundit.

OBAMA REINVENTION EFFORTS FACE A PROBLEM: “Something more fundamental is going on here: Obama seems not to respect his fellow citizens — the uninformed rubes who crashed the health-care town halls — nor care what they think. All his energy now is devoted to disregarding their strong aversion to his idea of health-care reform and forcing through a vote on something the public doesn’t want. It’s hard to bond with the American people, which is what Myers is suggesting, when your agenda conveys disdain for their concerns.”


Remember

“There you have the premise of this legislation and the core of todays liberalism. The American people are such dopes they can’t be counted upon to buy their own insurance.” – George Will.


I always felt that Obama has contempt for the public who don't care for his ideas. He feels he is the smartest man in the room and everyone else just shut up and follow behind him.

Friday, March 12, 2010

Tom Joyner whines about Tavis Smiley/ Al Sharpton feud.

Even I am sick of this nonsense now. Tavis Smiley is a pub hound and he got what he wanted from coming on the Tom Joyner Show calling out other black "leaders." Tom wants Tavis to understand if he wants Black America back on his side he has to kiss Obama's ass.

I hope that somehow, someway, Tavis will realize that if he is ever to gain the love and respect he once received from black America, he will have to find it in his heart to show love and respect for the president. It’s just that simple. And there’s a big difference in saying you have love and showing it.
Love is unconditional - or it should be anyway. That’s why I can be upset and disappointed with Tavis and some of the decisions he’s made over the last few years, but still love and respect him enough not to turn my back on him.


When I hear and read about the hate people have for Tavis right now, it makes me sad. Because I know that if Tavis knew how to get out of this situation, he would. But it’s not in him to do what needs to be done, to recognize he has gone down a wrong path, and his only real option is to turn around.


I believe the beef Tavis has with President Obama is personal, and only the two of them know what it’s really about. For all I know, it could stem from a pick up game of basketball where the president didn’t choose Tavis to be on his team. Whatever the problem is, I can’t change it. And you can’t either.


So, I make my appeal to you, black America: Don’t use your energy to spew hate against a brother that you know deep inside is in a bad situation. Use your energy to help black leaders - including the president - find solutions to some of the issues that are plaguing our community. Use your energy .....


Let me give Tom and anyone else the answers to this little feud.

1) Smiley is still pissed off that Obama did not go to his State of Black Union event when he was running for President, Smiley called him out and everyone turned on him because they realized he is an egomaniac.

2) Smiley's whining that Obama is not looking out for black people is racist. Obama is the President of the United States of America, not just black people. He can't even if he wanted to purposely target blacks with Federal money for specific reasons because it most likley unconstitutional and politics wise he would be slammed by everyone else as being a racist. I am still waiting for the outrage about the huge increase in federal funding to HBCUs because that is clearly targeting via race.

3) Joyner being one of the most prominent suck ups to Obama is wrong that Tavis has to come around and kiss Obama's ass to be loved again. If disagreeing with Obama is going to cause you scorn in the whatever black America Joyner claims he is speaking for now, that says a lot about the community than the person raising objections.

Its fine to pound Tavis for his views but if you are pounding Tavis mainly because he hasn't kissed up to Obama then that is just stupid tribalism politics at it worst.

This feud was fun when it started but it quickly dropped into egoland and it hasn't gotten boring. Talk and make up or shut the hell up.

Illegal immigrants, backers to rally in Washington

As I said, I am amazed. The fact they choose to come here and now demanding America changes the laws to suit their needs is a slap in the face of American law and those who came here properly.

Immigration activists plan to bring tens of thousands of supporters and undocumented immigrants to the nation's capital rally as a way to intensify pressure on the White House to act quickly on immigration reform.

``Florida's participation in the Washington event is remarkable,'' said Ali Noorani, executive director of Washington-based National Immigration Forum, one of the groups involved in organizing the rally.

Noorani said Florida organizers were planning to send 40 busloads to Washington, including about half a dozen from South Florida.

Moreno and the others are hopeful but skeptical of seeing legislation become law.

They desperately want immigration reform so they can stop being fearful of being deported, but are also tired of government promises.

Former President George W. Bush tried -- and failed -- several times to convince Congress to pass an immigration bill, while Obama last year put immigration reform on the back burner to advance healthcare reform.

``We have been fighting for immigration reform for years and nothing has happened,'' said Sebastián Sebastián, a 29-year-old Guatemalan artist in Homestead who will travel to Washington on one of the buses. ``It's time the government fulfills its promises.''

Thursday, March 11, 2010

Obama assures Hispanic advocates he is for Amnesty.

I admit to being amazed that illegals who choose to come to America are now demanding they become legalized or else. Obama is looking for votes so this is the next big thing.

Clarissa Martinez de Castro, director of immigration and national campaigns for the National Council of La Raza, said Obama told the groups he would make a statement with Schumer and Graham when they release the blueprint.

"It is undeniable that presidential leadership, greater presidential leadership is needed, and the president committed to doing that," she said.

Angelica Salas, director of the Coalition for Humane Immigrant Rights of Los Angeles, said the president agreed to help get a legislative framework out before the rally. She the groups also discussed enforcement.

"We want results," Salas said. "That's what we're going to be expecting in the next couple of weeks."

Katherine Heigl finally getting fired from Grey’s Anatomy?

I don't watch the show at all but Heigl just irritates me and I would like her final scene involved stepping into an elevator shaft. I can't stand divas and especially ones like her who hasn't earned a damn thing to have the title. She should have been dumped when she went after the writers in such an unprofessional manner.

After taking more than half of the current season off to make another movie and connect with her adopted daughter, Heigl was scheduled to return to the Grey’s set on March 1 to begin work on the five remaining episodes of the season. There’s just one problem: March 1 came and went and there was no Heigl.

A source within the actress’ camp claims Heigl “was at home and ready to return to work.” Another insider, however, “insists it’s much more complicated than that.” The source adds that talks between Heigl and ABC have been going on for months and last week both sides mutually decided that the best solution would be to part ways now as opposed to at the end of the season. As a result, Heigl is not expected to return to the Grey’s set, which means her final episode as Izzie has already aired.

Desirée Rogers bitter about the White House not helping?

Welcome to politics where you are untouchable until you become a liability.

The rise and fall of Desirée Rogers, the glamorous Harvard-educated corporate executive who brought sizzle to the State Dining Room but became a victim of a publicity stunt by a pair of aspiring reality show stars, is a tale familiar to almost any White House. A new president comes to town and installs friends he trusts, but inevitably some of them wind up burned by the klieg lights and corrosive politics of Washington.

While it has happened to past presidents, though, this was the first time it has happened to Mr. Obama, who prided himself on running a campaign free of the typical petty rivalries and personal subplots that distract other politicians. And it happened with a friend who at first was celebrated for personifying the fresh, new-generation approach that the Obamas promised to bring to Washington.

For Ms. Rogers, associates said the episode proved a searing experience that has soured her on Washington. She believes she was left largely undefended by the White House, by her colleagues, including Mr. Axelrod, Robert Gibbs and even her close friend, Valerie Jarrett. And while she is unwilling to discuss her story publicly, several associates shared her account in the belief that her side has been lost in the swirl of hearings, backbiting and paparazzi-like coverage.

“As she put it, ‘They never lifted a finger to help me set the record straight,’ ” said one of the associates, who insisted on not being identified to avoid alienating the White House. “She didn’t get any help from Gibbs, no help from Axelrod, no help from Valerie Jarrett. Nobody came to her defense.”


My bad on the title, fixed it finally.

Monica Conyers gets 3 years in prison.

Another corrupt Detroit politician finally gets what she deserves.

A federal judge has denied ex-Detroit Councilwoman Monica Conyers' request to withdraw her guilty plea in a corruption case and sentenced her to three years and one month in prison.
Conyers suggested she was the victim of "badgering" last summer when she acknowledged a conspiracy to take bribes for her support of a Houston company seeking a sludge contract from the city.

But U.S. District Judge Avern Cohn says her plea deal was voluntary.

Conyers, the wife of Michigan Democratic Congressman John Conyers, quit her council seat after pleading guilty.

The government urged the judge to consider other alleged crimes Wednesday. Prosecutors say Conyers and an aide collected $69,500 from people seeking help from the city.

Government record deficit : $220 Billion in February.

Pass Obamacare and this record will be destroyed in a few months. The deliberate and reckless spending of the Obama Admin and the Dem Congress is turning America into a third world debtor.

The government racked up a record-high monthly budget deficit of $220.9 billion in February, the Treasury Department announced today.

The latest flood of red ink brings the total deficit for the first five months of the current fiscal year to $651 billion, far exceeding the $589 billion shortfall for the same timeframe in the last fiscal year.

The government ended the 2009 fiscal year with a record $1.4 trillion shortfall. The Obama administration has forecast a $1.56 trillion deficit for this year.

Obama lied. Sen. Durbin admits premiums go up under Obamacare

Right hand doesn't know what the left hand is doing and once again Obama looks like a lying ass.

Sen. Dick Durbin, March 10, 2010: "Anyone who would stand before you and say 'well, if you pass health care reform next year's health care premiums are going down,' I don't think is telling the truth. I think it is likely they would go up."


Obama says....

President Obama, March 8, 2010: "Our cost-cutting measures mirror most of the proposals in the current Senate bill, which reduces most people’s premiums."

State Department says sorry to Moammar Gadhafi

If Obama wants to know why America is thought of being weaker by the public, this is a good example of saying sorry to Gadhafi over abhorrent comments.

A senior State Department official said Tuesday he's sorry for a joking remark he made about Libyan leader Moammar Gadhafi that prompted Libya to threaten diplomatic retaliation unless he apologized.

Chief department spokesman P.J. Crowley said he regretted any offense caused by his response to a reporter's question about Gadhafi's recent call for a holy war against Switzerland. Libya said last week it might take action against American business interests there if a formal apology was not made.

"I understand that my personal comments were perceived as a personal attack," Crowley told reporters. "The comments do not reflect U.S. policy and were not intended to offend. I apologize if they were taken that way. I regret that my comments have become an obstacle to further progress in our bilateral relationship."

Tuesday, March 9, 2010

Voting fraud in Rotterdam leads to a recount.

Last week there were complaints of immigrant candidates in the Netherlands getting voted in over white candidates in the Labour Party. Now there is cry about voter fraud in Rotterdam that it has forced the Mayor to call for a recount mainly because of abuses that seemed to have happened in immigrant(Muslim) areas.

Despite the abuses at various polling stations, Aboutaleb saw no cause last week for a recount or for declaring the election invalid. They would not have had any influence on the ultimate division of the seats, he reasoned.

Aboutaleb yesterday maintained there had been no reason initially for a recount. "But signals of mistakes have subsequently come to light," he stated.

Boosted by immigrant votes, Labour (PvdA), the party of Morocco-born Aboutaleb, emerged as the biggest in Rotterdam with 28.9 percent of the vote. The rightwing Liveable Rotterdam, the white population's favourite, came second with 28.6 percent, a difference of only about 600 votes. Both won 14 seats, but PvdA, as the biggest party, has the initiative to form a coalition.

On the day of the elections, it had already emerged that many immigrant voters stood in the voting booth together, which is forbidden. Meanwhile, signals have also emerged of people voting two or three times, intimidation of Liveable Rotterdam voters on the street or in the voting booth, empty ballot boxes and people who voted for other people without showing ID.

Damon's Green Zone: "...most egregiously anti-American movies ever released by a major studio"

I knew it was going to be anti-Bush all the time but Damon goes on a revisionist bender that seems astounding even for him.

Matt Damon plays Miller, an Army "chief" (chief warrant officer) assigned to searching for weapons of mass destruction in Baghdad in the opening days of the war in 2003.

The preposterous part comes in almost immediately: After Chief Miller comes up dry a couple of times, he decides to launch a one-man internal-affairs investigation into US intelligence-gathering.

He bypasses his chain of command, endangers good men (when one of his soldiers asks why he's following a random Iraqi into what could well be an ambush, Miller snaps, "Put your game face on") and forges a secret alliance against his fellow soldiers with a Baghdad CIA officer (Brendan Gleeson).

Despite being guilty of gross insubordination, lying to his superiors and concealing important evidence from them (a notebook containing the addresses of Saddam's top officers), Miller is the hero of the film.

Others we're supposed to cheer for include Sunni officers who shoot down helicopters carrying American soldiers sent to assassinate them. Those death squads are acting at the behest of a duplicitous Pentagon intelligence mandarin (Greg Kinnear) who has single-handedly drummed up a fake casus belli.

Movies like "In the Valley of Elah," "Rendition" and "Redacted" have shown US forces doing nasty things -- but none went anywhere near as far as this picture in suggesting original sin corrupted the entire Iraq war and that American officials are more blameworthy than the insurgents for the most violent years.

"Green Zone" isn't cinema. It's slander. It will go down in history as one of the most egregiously anti-American movies ever released by a major studio.

Dem Poll - America is less respected than 2 years ago.

Maybe Obama ass kissing apology tour, trying to close Gitmo and generally looking weak in international affairs like getting snubbed at the Olympics has that effect on people.

A majority of Americans say the United States is less respected in the world than it was two years ago and think President Obama and other Democrats fall short of Republicans on the issue of national security, a new poll finds.

The Democracy Corps-Third Way survey released Monday finds that by a 10-point margin -- 51 percent to 41 percent -- Americans think the standing of the U.S. dropped during the first 13 months of Mr. Obama's presidency.

"This is surprising, given the global acclaim and Nobel peace prize that flowed to the new president after he took office," said pollsters for the liberal-leaning organizations.

On the national security front, a massive gap has emerged, with 50 percent of likely voters saying Republicans would likely do a better job than Democrats, a 14-point swing since May. Thirty-three percent favored Democrats.

"The erosion since May is especially strong among women, and among independents, who now favor Republicans on this question by a 56 to 20 percent margin," the pollsters said in their findings.

Monday, March 8, 2010

Winnie Mandela in America for "Bloody Sunday" events.. WHY?

The murderous Winnie whines about Nelson Mandela being a corporate sellout.


Nelson Mandela has been accused by his former wife of betraying South Africa's black population.

In a savage attack, Winnie Mandela said he had done nothing for the poor and should not have accepted the Nobel peace prize with the man who jailed him, FW de Klerk.

The 73-year-old said her ex-husband had become a 'corporate foundation' who was 'wheeled out' only to raise money for the ANC party he once led.

....Mrs Mandela criticised her country's Truth and Reconciliation Committee - which she appeared before in 1997 and which implicated her in gross violations of human rights.

She said: 'What good does the truth do? How does it help to anyone to know where and how their loved ones are killed or buried?

'That Bishop Tutu who turned it all into a religious circus came here. He had a cheek to tell me to appear.

'I told him that he and his other like-minded cretins were only sitting there because of our struggle and me. Look what they make him do. The great Mandela. He has no control or say any more.

'They put that huge statue of him right in the middle of the most affluent white area of Johannesburg. Not here [in Soweto] where we spilled our blood.

'Mandela is now like a corporate foundation. He is wheeled out globally to collect the money.'


In case anyone forgot what a vile woman Winnie Mandela is but still be treated with respect is shocking.

Mrs Mandela became notorious in 1991 when she was jailed for six years for the kidnap of Stompie Moeketsi - a sentence later cut to a fine.

Stompie, 14, had been murdered three years earlier by members of Mrs Mandela's bodyguard, the Mandela United Football Club.

She also caused outrage by endorsing the punishment of apartheid collaborators with ' necklacing' - putting burning tyres around their necks.


More details.

In the late Eighties, Winnie's thuggish bodyguards, the Mandela United Football Club, terrorised Soweto. Club "captain" was Jerry Richardson, who died in prison last year while serving life for the murder of Stompie Moeketsi, a 14-year-old who was kidnapped with three other boys and beaten in the home where we would soon sit, sipping coffee. Winnie was sentenced to six years for kidnap, which was reduced to a fine on appeal.

Members of the gang would later testify to South Africa's Truth and Reconciliation Commission that Winnie had ordered the torture, murder and kidnap of her own people, and even participated directly.


That bring me to the next question on why she was given such a high profile celebration for remembering "Bloody Sunday" in Selma, Alabama? Since when is it okay for such important civil rights events to be soiled with the presence of this woman?

Why is Roland Martin going to interview her as well when she should be shunned?

None of this is defensible in any manner.

Snoop Dogg overturns ban on visiting the UK.

I am trying to figure out does this mean anyone can claim their human rights are being violated and allowed in the UK?

Rapper Snoop Dogg has humiliated ministers by winning a three-year legal battle to overturn a ban on him entering the U.K.

In an embarrassing defeat for the Home Office, the American hip hop star successfully claimed the ban infringed his human right to freedom of expression.
It means that Snoop - who has a string of criminal convictions and has been tried for murder - could be free to return to Britain as early as Thursday.

The Government's unsuccessful legal battle - which cost the UK taxpayer in excess of £100,000 - has been criticised as 'an appalling waste of public money' by the rapper's lawyer.

And the fact that an immigration tribunal has ruled in the musician's favour could impact on Britain's ability to keep so-called 'undesirables' out of the country

Biometric ID Card proposed to combat illegal immigrants.

Why? This would be another layer of bureaucracy and expense when you already have the laws and means in place to combat illegal immigration. Instead of putting more burden on American citizens and workers legal to be here put the effort on the illegals for once.

Lawmakers working to craft a new comprehensive immigration bill have settled on a way to prevent employers from hiring illegal immigrants: a national biometric identification card all American workers would eventually be required to obtain.

Under the potentially controversial plan still taking shape in the Senate, all legal U.S. workers, including citizens and immigrants, would be issued an ID card with embedded information, such as fingerprints, to tie the card to the worker.

The ID card plan is one of several steps advocates of an immigration overhaul are taking to address concerns that have defeated similar bills in the past.

The uphill effort to pass a bill is being led by Sens. Chuck Schumer (D., N.Y.) and Lindsey Graham (R., S.C.), who plan to meet with President Barack Obama as soon as this week to update him on their work. An administration official said the White House had no position on the biometric card.

"It's the nub of solving the immigration dilemma politically speaking," Mr. Schumer said in an interview. The card, he said, would directly answer concerns that after legislation is signed, another wave of illegal immigrants would arrive. "If you say they can't get a job when they come here, you'll stop it."

Dem Senator Cantwell sleeps with NYTIMES John Harwood?

Yet another Dem sex scandal in the making with a NYTIMES reporter no less which should bring up some interesting reporting conflicts.

Gossip columnists are reporting that CNBC Washington correspondent and New York Times writer John Harwood has split from his wife, Frankie Blackburn, because of his alleged affair with Senator Cantwell.
The details of the supposed affair have not been released other than that the two have dated.

These allegations have not been confirmed by either source but according to 'Page Six,' the online gossip magazine, Harwood has said, "I don't feel comfortable talking about my family life."

Sources also say Harwood 'sobbed' to a DC paper asking to keep his affair quiet and out of the paper.


This would be the second time that Cantwell has played the other woman is a whore role if the allegations are true.

Washington DC Mayor under investigation over friends deals.

Just me or has the spotlight on black politicians gotten brighter over the last month?

On Friday, the D.C. Council appointed a special counsel to investigate the Fenty administration's awarding of $86 million in construction projects at city parks and recreation centers without the council's approval, which is required on contracts exceeding $1 million. The investigator is expected to examine whether the city showed favoritism to the mayor's friends in awarding the deals.

The mayor's friends were relatively unknown before Fenty's rise: engaged in neighborhood activism, working for a developer or running a nightclub or a landscaping business. After Fenty became mayor, the men prospered, starting or expanding companies that have repeatedly landed development and construction projects awarded by the D.C. government.

Karim's roster includes a $4.2 million contract to oversee renovation of at least 16 parks and recreation centers. The Fenty administration did not seek council approval for that contract but now says it should have done so.

Politicians have long cultivated circles of lawyers, developers and lobbyists who, in turn, thrive on access to government's highest levels. But Fenty's friends have risen from obscurity at a pace that has captured the attention of the political and business establishments and fostered an image that is seemingly at odds with Fenty's campaign themes of reform and transparency.

"They're suddenly doing so well at the trough of government," said D.C. Council member Mary M. Cheh (D-Ward 3). "There's this network where they all help each other. They all get rich together. It makes you wonder what's going on. What we know is they're friends of Fenty."

Obama admin to pay homeowners to sell at loss.

The best way is to let it correct themselves now this is a small reward for owners underwater and those who paid too much in the first place. Then you have the spectre of fraud when it comes to the value of the house.

In an effort to end the foreclosure crisis, the Obama administration has been trying to keep defaulting owners in their homes. Now it will take a new approach: paying some of them to leave.

This latest program, which will allow owners to sell for less than they owe and will give them a little cash to speed them on their way, is one of the administration’s most aggressive attempts to grapple with a problem that has defied solutions.

More than five million households are behind on their mortgages and risk foreclosure. The government’s $75 billion mortgage modification plan has helped only a small slice of them. Consumer advocates, economists and even some banking industry representatives say much more needs to be done.

For the administration, there is also the concern that millions of foreclosures could delay or even reverse the economy’s tentative recovery — the last thing it wants in an election year.

....Under the new federal program, a lender will use real estate agents to determine the value of a home and thus the minimum to accept. This figure will not be shared with the owner, but if an offer comes in that is equal to or higher than this amount, the lender must take it.

Mr. Paul, the Phoenix agent, was skeptical. “In a perfect world, this would work,” he said. “But because estimates of value are inherently subjective, it won’t. The banks don’t want to sell at a discount.”

There are myriad other potential conflicts over short sales that may not be solved by the program, which was announced on Nov. 30 but whose details are still being fine-tuned. Many would-be short sellers have second and even third mortgages on their houses. Banks that own these loans are in a position to block any sale unless they get a piece of the deal.

“You have one loan, it’s no sweat to get a short sale,” said Howard Chase, a Miami Beach agent who says he does around 20 short sales a month. “But the second mortgage often is the obstacle.”

China to Nullify Loan Guarantees by Local Governments

China has a better grasp on financing than us now.

March 8 (Bloomberg) -- China plans to nullify all guarantees local governments have provided for loans taken by their financing vehicles as concerns about credit risks on such debt increases.

The Ministry of Finance will also ban all future guarantees by local governments and legislatures in rules that may be issued as early as this month, Yan Qingmin, head of the banking regulator’s Shanghai branch, said in an interview. The ministry held meetings on the rules on Feb. 25 with regulators including the China Banking Regulatory Commission and the People’s Bank of China, Yan said March 5.

China’s local governments are raising funds through investment vehicles to circumvent regulations that prevent them from borrowing directly. A crackdown on such loans, estimated at about 11.4 trillion yuan ($1.7 trillion) at the end of 2009 by Northwestern University Professor Victor Shih, could trigger a “gigantic wave” of bad debts as projects are left without funding, Shih said this month.

“By striking the fear of God into lenders, regulators hope to get them to turn off the tap,” said Patrick Chovanec, a professor at Tsinghua University in Beijing. “Banks have lent on the assumption that a lot of these infrastructure projects are risk-free, but many had no creditworthiness beside the guarantees.”