Obama For America took out a $15 million loan from Bank of America last month, according to the campaign’s October monthly FEC report. The loan was incurred on September 4 and is due November 14, eight days after the election. OFA received an interest rate of 2.5% plus the current Libor rate.
Warren Buffett, Obama donor and namesake of the infamous “Buffett Rule,” invested $5 billion in Bank of America last year in an effort to help the ailing financial institution. Last month, two weeks after OFA took out the loan, Bank of America announced a plan that would lay off 16,000 workers by the end of the year.
But that is not all, they have borrowed more from another bank…
The Democratic National Committee (DNC) now owes $15 million to the union-owned Amalgamated Bank of New York, campaign finance records show.
The DNC received a $7 million loan from the bank in September, in addition to the $8 million loan it took out the previous month, neither of which has been paid back. The loans account for the majority of the committee’s $20 million in total debt.
The DNC paid Amalgamated Bank more than $18,000 in loan interest for the month of September, the records show.
Amalgamated Bank, often described as “America’s Labor Bank,” is a national entity, the majority of which is owned by the Service Employees International Union (SEIU), a large, politically active union with deep ties to the Democratic Party.
The SEIU is also involved with the Democracy Alliance, a shadowy group of wealthy left-wing donors founded by billionaire investor George Soros.
In August, the DNC “moved its primary banking relationship” to Amalgamated Bank from Bank of America.
The SEIU is one of the most active political interest groups in the country, and a top financial backer of the Democratic Party.
The SEIU spent more than $80 million in 2008 in support of President Barack Obama and other Democratic candidates, an investment that has reaped numerous political dividends.
The DNC went $15 million over its budget for the 2012 Democratic Convention in Charlotte, despite breaking its pledge to not accept money from corporations.