The New York Times would do anything to discredit Ted Cruz.
The Times hates Cruz with the burning passion of a supernova. They ridiculed him in 2012, writing he’s an example of a “ludicrous definition of ‘far right’.” Paul Krugman weighed in, spouting a ThinkProgress hit piece that attempted to blow up a tiny non-issue about Cruz’s opposition to the U.N. Agenda 21 new-world-order stupidity.
Anything to discredit Cruz.
Now they’ve pulled out an old story that was reported in the press in 2013, dealing with a technicality from Cruz’s Senate campaign, into which he and his wife poured every penny of liquid assets they possessed. Here’s the entire 2013 piece from The Hill. Note the parts in bold.
As of the end of 2012, Cruz listed a “Loan to Ted Cruz For Senate” as an asset valued at $500,001 to $1 million. However, because of the 2002 changes to campaign finance law, the committee is limited to making loan repayments to the candidate (1) from funds received before an election, or (2) $250,000 from funds received after an election. Because of earlier loan repayments, as of the end of 2012, the committee could only legally repay the candidate $298,000. This includes $48,000 for his outstanding primary election loans, and $250,000 for his outstanding runoff election loans.
In the first quarter of 2013, the Ted Cruz for Senate committee repaid Cruz the $298,000 maximum permitted on the loans. However, the committee is still carrying $545,000 on its books as a debt owed to Cruz. This includes $395,000 in loans for the primary and $150,000 in loans for the runoff election. Perhaps Cruz and his committee are hoping the law will change, or it will be struck down, or that his spouse may craft a new angle. Heidi Cruz is an investment banker and vice president with Goldman Sachs and previously worked at JPMorgan.
Cruz does list on his personal financial disclosure report as liabilities two loans received in 2012. One was a margin loan of $250,001 to $500,000 from Goldman Sachs. The other was a line of credit of $250,001 to $500,000 obtained from Citibank.
During the first three months of 2013, the Ted Cruz for Senate committee raised $281,863 from individuals and $92,750 from PACs and other committees.
From this, the Times published an above-the-fold “bombshell” that every major media outlet has picked up. “Ted Cruz Didn’t Report Goldman Sachs Loan in a Senate Race” screamed the headline.
A review of personal financial disclosures that Mr. Cruz filed later with the Senate does not find a liquidation of assets that would have accounted for all the money he spent on his campaign. What it does show, however, is that in the first half of 2012, Ted and Heidi Cruz obtained the low-interest loan from Goldman Sachs, as well as another one from Citibank. The loans totaled as much as $750,000 and eventually increased to a maximum of $1 million before being paid down later that year. There is no explanation of their purpose.
You’d think people who live in Manhattan would know what a margin loan is. It’s when you own stocks in a brokerage account and want to liquidate those funds without actually booking the stock sale–many brokerages do this to take advantage of the best price on a given portfolio. It’s pretty standard in the industry.
Not only that, Cruz did report the loans, several times, in several places. But the Times went with their story anyway.
— Patrick Svitek (@PatrickSvitek) January 14, 2016
Ted Cruz's primary runoff against Dewhurst was July 31, 2012. He publicly disclosed the margin loan July 9, 2012. pic.twitter.com/8yyV4zxrV9
— Phil Kerpen (@kerpen) January 14, 2016
It’s sad that the press has to resort to thee year old stories about long-disclosed margin call loans and Cruz’s birth in Canada to sling poo at him.
It just shows how incredibly scared they are (along with the Washington establishment of both parties).