UT Admissions Scandal 10X Worse Than Previously Admitted

July 16th, 2015

We’ve known, from the drips and dabs that slipped out, that the UT admissions scandal was worse than the Kroll report actually let on. But we didn’t know it was ten times worse:

At least 764 applicants initially denied admission to the University of Texas were admitted thanks to a backdoor program for the wealthy and politically connected administered by former president Bill Powers.

More than 200 of those applicants were admitted despite having their applications cancelled by the Admissions Office.

The total is more than 10 times the 73 applicants widely reported from an investigation paid for by the university and conducted by Kroll Associates. Kroll withheld the full findings from its 107-page final report.

More:

The Kroll investigation confirmed what had been common knowledge in the wealthy Dallas-area community of Highland Park, which includes UT Regent Wallace Hall and House Education Committee chair Dan Branch: students were getting into UT at extraordinary rates, despite bad grades.

UT admitted seven Highland Park students with grade point averages below 2.0 and SAT scores below 800.

Also this:

The very worst of the students UT admitted, the investigation showed, were clustered in the districts of Branch, House Speaker Joe Straus (R-San Antonio), and Sen. Kirk Watson, (D-Austin).

Straus has gone to even greater lengths than UT to cover up the abuses. He authorized a special committee operating behind the scenes in an effort to impeach Hall for asking too many questions about the admissions process.

A very cynical part of me wonders if this is the root of Straus’ stranglehold on the Speaker’s office: his power as the go-to fixer for getting unqualified students into UT.

If you hadn’t heard, Wallace Hall, who uncovered the scandal, is suing UT chancellor William McRaven for access to the documents Texas attorney general Ken Paxton has already said he’s entitled to.

Indeed, UT’s dishonest coverup may be a big factor in the Supreme Court in agreeing to hear an appeal on Fisher vs. University of Texas, “a 2008 lawsuit brought by a white student claiming the university’s diversity-seeking admissions system had unfairly deprived her of admission.”

The Dallas Observer‘s Jim Schutze (who, unlike myself, favors affirmative action) explains:

The court did receive a blistering friend-of-the-court brief (see copy below) from the Cato Institute, a conservative think-tank, in support of Fisher’s request to be heard again. The Cato brief called the court’s attention to an investigation of admissions at UT that grew out of the Hall disclosures. Cato told SCOTUS the investigation proved that UT’s “claimed diversity rationale is a sham.”

That would be new evidence, maybe. But if it goes to the university’s core integrity – if the university has been lying to the courts about why it handles admissions the way it does – then maybe it’s not so new. Maybe it goes right to the heart of the existing case.

We have talked here often before about revelations brought forward by Hall showing that the former president of the university and some of the regents were handing out undergraduate admissions to sons and daughters of influential state legislators the way favors of love are distributed in a bawdy house. But does that kind of corruption go to the affirmative action question?

Nobody knows if the Cato amicus brief played any role at all in the high court’s eventual decision to rehear Fisher. But if it did, this would be why: When the Supreme Court ruled in 2013 to send Fisher back down to the 5th Circuit, the court said the lower court needed to take a tougher look at the university’s admissions policies. The Supreme Court told the lower court not to just take the university at its word but to examine the university’s admissions closely under a doctrine called “strict scrutiny.”

The 5th Circuit basically said yeah, yeah, OK, we strict scrutinied them, and we still trust them. So the 5th Circuit upheld the university. Fisher appealed back to the Supreme Court saying the 5th Circuit hadn’t really done the strict scrutiny strictly enough.

Then along comes the Wallace Hall evidence of an under-the-table secret admissions program the university forgot to tell the courts about. In fact, Hall’s investigation found evidence of lying, destruction of documents, coercion – enough story lines for an entire season of The Sopranos, all having to do with UT admissions.

A Supreme Court case is likely to bring national attention to a scandal the local mainstream media has tried to downplay or bury. And if it turns out UT actually lied to the courts, well, that sort of thing tends to make federal judges a mite testy…

(Hat tip: Push junction.)

Jeb Bush First, Ted Cruz Second in 2015 Q1/Q2 Fundraising

July 15th, 2015

Those who thought that Ted Cruz couldn’t raise enough money to be a viable presidential contender might want to reconsider.

Jeb Bush’s fundraising totals for the first half of 2015 were eye-popping: $114 million raised ($103 million of which came through his Right to Rise super PAC) with a stunning $98 million in the bank.

But, as amazing as Bush’s haul was, it’s Texas Sen. Ted Cruz’s fundraising totals that stood out to me as the most important money number from the June reports filed with the Federal Election Commission.

Cruz raised $14 million through his campaign committee and another $37 million through a constellation of super PACs set up to aid his campaign. That total of $51 million raised put him second behind Bush in total fundraising over the first six months of the year — ahead of the likes of Marco Rubio, Rand Paul and Scott Walker.

Walker, of course, didn’t officially announce until this week. But having Cruz beat everyone in the field not named Bush is still impressive.

Chris Cillizza further notes that “Cruz has already raised more money than either Santorum or Huckabee did for their entire campaigns.”

Walker in, Cruz raising a ton of money…

Scott Walker Joins the 2016 Presidential Race

July 14th, 2015

Just in case you hadn’t heard, Wisconsin Governor Scott Walker officially joined the 2016 Presidential race.

I would say that Walker is the real frontrunner, no matter what some polls might indicate. Facing down unions in the Wisconsin recall election made Walker a hero among conservatives. National Democrats and unions went after Walker with everything they had and Walker built a throne out of their skulls. And the Republican establishment is more likely to acquiesce to his candidacy than that of, say, Ted Cruz.

It’s a crowded field, but Walker will be a formidable candidate.

Fragments of a Greek State

July 14th, 2015

The self-inflicted destruction of Greece has been accomplished, but they’re still going to be picking up the pieces for years, if not decades. And there’s no guarantee the heavy manners Germany and the troika are imposing will actually be enough to rescue it.

So, enjoy a random collection of Greek headlines, since I don’t quite have time to pen a piece on The Greater Meaning Of It All:

  • So Greece is going to get bailed out (again), but the actual mechanisms, and who will do the bailing, are far from clear.
  • And Greece needs $25 billion just to get through August.
  • “In the End, Greece’s War on Debt Is A Morality Problem. A majority of Greeks simply do not believe debt must always be repaid.” And how did that idea work out for them? (Hat tip: Ed Driscoll at Instapundit.)
  • Stratfor says that the Greek referendum backed Germany into a corner, and forced them to come down twice as hard. “The leading power of Europe will not underwrite defaulting debtors. It will demand political submission for what help is given. This is not a message that will be lost in Europe, whatever the anti-Greek feeling is now.”
  • Former Greek finance minister Yanis Varoufakis is not at all happy, saying the agreement makes Greece a “vassal of the Eurogroup.” Hey Yanis: You and the rest of the Greek ruling class are the one who baked the gypsy pie with your reckless spending to prop up your bloated welfare state. You’re just upset that Greeks, not Germans, are the ones having to eat it…
  • Greece may even have to sell some islands and ruins.
  • How Germany Beat Greece In Liar’s Poker.” By having all the cards and not being hopelessly in debt, perhaps? More:

    Many observers are wondering how the left-populist renegades of Greece’s Syriza party, which rose to power in January on the promise of delivering relief from austerity and renewed its mandate with a massive victory in the July 5 referendum, managed to negotiate a bailout deal on Monday that is substantially worse than what was available to Greece before Syriza took office.

    That would be because they were idiots who lied to voters about what they could accomplish.

  • Actual Time headline: “Why European Leaders Don’t Believe Greece’s Promises to Change.” Uh, because they’re not morons?
  • Greece Surrenders to Troika

    July 13th, 2015

    After six months of jerking around European negotiators, Greece’s far left Prime Minister Alexis Tsipras finally reaped the fruits of his labors: caving in to austerity measures far worse than the ones Greek voters rejected a week ago in exchange for more loans.

    The EU demanded real, demonstrable, non-fake, under-heavy-manners austerity from Greece, rather than the fake kind they were used to pretending to follow:

    For those who missed today’s festivities in Brussels, here is the 30,000 foot summary: Europe has given Greece a “choice”: hand over sovereignty to Germany Europe or undergo a 5 year Grexit “time out”, which is a polite euphemism for get the hell out.

    As noted earlier, here are the 12 conditions laid out as a result of the latest Eurogroup meeting, which are far more draconian than anything presented to Greece yet and which effectively require that Greece cede sovereignty to Europe, this time even without the implementation of a technocratic government.

    1. Streamlining VAT
    2. Broadening the tax base
    3. Sustainability of pension system
    4. Adopt a code of civil procedure
    5. Safeguarding of legal independence for Greece ELSTAT – the statistics office
    6. Full implementation of automatic spending cuts
    7. Meet bank recovery and resolution directive
    8. Privatize electricity transmission grid
    9. Take decisive action on non-performing loans
    10. Ensure independence of privatization body TAIPED
    11. De-Politicize the Greek administration
    12. Return of the Troika to Athens (the paper calls them the institutions… for now)

    Greece must also hand over €50 billion in assets to an escrow fund it can’t control.

    Just think: If Tsipras hadn’t been such an ass, Greece could have reached a far-less onerous deal to continue the farce another year or so, and probably before their banks started running out of money.

    It seems that Yanis Varoufakis’ ideas about game theory don’t work when one side holds all the cards and the other is dead broke. Who knew?

    Mark Down One Other Thing Donald Trump is Good For

    July 13th, 2015

    Looks like Berkeley Breathed is bringing back Bloom County. Obviously a Trump presidential campaign was too much for him to stay retired…

    Don’t get your hopes unreasonably high. It could be like Still the Beaver or Galactica 1980

    Greece and the EU Compromise to…Kick The Can Further Down the Road

    July 10th, 2015

    It looks like we have an actual, honest-to-God compromise, in that Greece, in exchange for not having their economy collapse and descend into anarchy and cannibalism, will pretend to implement real reforms, while the Troika, in exchange for those promises, and not being blamed for the impending global recession, will give Greece still more loans, write down some previous loans, and pretend this actually fixes the problem.

    So expect to see another round of this dance in six months to a year.

    Germany caved on debt relief. Greece?

    A cursory look at the “new” Greek proposal to creditors suggests PM Alexis Tsipras may have sold out the referendum “no” vote in a final, desperate attempt to avert an economic catastrophe and the collapse of the country’s banks which will be cut off from ELA as of Monday morning in the event Brussels and Athens do not come to terms over the weekend.

    And indeed, the austerity outlined in the latest proposal is more severe than the version voters rejected last Sunday. Among the proposals evidently agreed to: No retirement until age 67 or 40 years of paying into the system. Caveat: Pension reforms don’t actually kick in until October, so they’re still kicking the can down the road on that as well.

    Also: “Greece will succeed in transferring bonds currently held by the ECB to the European Stability Mechanism.” If the ESM is truly the euro’s firewall, then they’re about to get an infusion of crappy Communist-era Soviet concrete…

    Other Greek crisis tidbits:

  • Earlier Greece had floated their totally serious compromise proposal that didn’t cut any pensions.
  • Faced with impending national bankruptcy, Greece’s ruing left-wing Syriza Party concentrates on the essentials: investigating reporters who opposed them. (Hat tip: National Review.)
  • People in Latvia and Lithuania sneer at spendthrift Greece.
  • Greece demonstrates 150 years of socialist failure.
  • Greek event timelines.
  • Greece probably wouldn’t do as well after a Grexit as Argentina did after their default.
  • The sneaky return of Drachmas? Of course this was before the latest agreement. But wouldn’t it be hilarious if Greece got one final big bailout, then turned around and pulled off a Grexit anyway?
  • UKIP head Nigel Farge had some advice earlier in the week:

    Not in 100% agreement, but there’s a lot of bracing truth in there. But the problem, of course, is that Tsipras, as all Socialists do, does indeed want to have his cake and eat it too…

  • What It’s Like To Be an Honest Taxpayer in Greece

    July 10th, 2015

    I came across this comment from a Slashdot thread on programmers leaving Greece (usual online source caveats apply), and thought it was meaty enough to be worth excerpting and highlighting on its own:

    Let me tell you what happens when you’re 100% legal and declare everything up to the last penny you get as a software developer. In 2012 I had 100,000 Euros income paid 86,000 Euros spent on taxes (income tax with surprisingly different brackets than last year, “temporary” property tax, “temporary special contribution” 4% on the total turnover, mandatory social security, 55% of your current income tax as downpayment for next year). The year before I made 74,000 Euros and paid “only” 50,000 or thereabouts. In return I got: no schools, no roads, no pension, more taxes, more family members depending on me to live. The more you work the less you make (unless you have an ever-shrinking business). Crazy? That’s the Greek tax brackets for you.

    Meanwhile: I have to pay for my own hospital plan because in case I get sick I have to notify the public insurance carrier 15 days in advance of emergency surgery (no kidding!) or 3-4 months before booking an appointment with a doctor. I have to get an additional, expensive pension plan on top of the 350 Euros per month I am currently paying as mandatory social security because there will be no money when I’m 67 years old or have worked 40+ years to get the minimum pension of 700 Euros (nominal; actual payment after taxes and mandatory social security is around 480 Euros). I also need to set aside money to get the kids I’m planning on having to a private school because there are no teachers (not even substitutes) half of the time in the public schools.

    If you are wondering why people tax evade you have to first ask the questions: 1. how much does the state take in taxes and 2. what does the state offer for the money it takes from its citizens? If the answers are “most of your money” and “not that much at all” respectively it doesn’t take a genius to see why you get an endemic tax evasion for free.

    Anyway. After three years of battling the system I gave up and moved away. My last tax filing in Greece was 2014 for my income in 2013. I am owed a 13,000 Euro tax return since August 10th, 2014. Of course it’s NOT credited. And we’re talking about money I have paid as a tax downpayment to the state since August 2013. They hold my money hostage for 2 years and they won’t give it to me. Also, don’t make the mistake of asking whether there’s an interest rate for those two years. Don’t be silly. There’s not! Adding insult to injury I’m still a Greek tax citizen which means I get to pay taxes for the dividends I’m paid from my company abroad. Don’t be ridiculous, of course they are NOT offset by the money the Greek state owes me! I have so far paid another 40+ thousand Euro taxes in these two years where the Greek state owes me the 13,000 Euro tax return.

    I understand all this sounds alien to you. Why so much taxation, why no services in return, why the state isn’t punctual in paying back. Beats me, brothers and sisters. I have concluded that one must be outright insane to try and do business if they’re born in Greece.

    And here you have the endpoint of the cradle-to-grave welfare state: benefits are theoretically generous for those on the dole (though good luck navigating the maze of inefficient, corrupt bureaucracy to collect them), while taxes are prohibitively high for those actually work for a living.

    This is why implementing fake austerity through higher taxes never works: It drives out the productive, the social compact is irreparably broken, and those living off the state’s largess feel no qualms about wringing every last possible penny from it.

    Texas vs. California Update for July 9, 2015

    July 9th, 2015

    Time for another Texas vs. California update!

  • “Greece, Puerto Rico show California’s potential future.” (Hat tip: Pension Tsunami.)
  • What’s remarkable (or not, depending on your worldview) about the huge disparity in poverty rates between California and Texas is that the states are diametrically opposed in their taxing, spending, and regulatory policies. California, featuring America’s highest marginal income-tax rate, ranks as the fourth-most taxed state in the nation, according to the Tax Foundation, while no-income-tax Texas came in at forty-seventh. In a broader survey of economic freedom that includes labor law and regulation, Canada’s Fraser Institute rated Texas and South Dakota as tied for first with California lagging far behind at forty-third, just ahead of New Jersey at forty-fourth.

  • Yet another fiscal ranking of the states once again puts Texas well ahead of California, though not as much as in some other rankings. Texas ranks 19th, while California ranks 44th. In most rankings, Texas is higher and California is lower…
  • California’s rural poor are among those hit hardest by the drought.
  • Richmond may be the next California city to go bankrupt. (Hat tip: The Ace of Spades Doom Roundup.
  • California sanctuary cities are in the spotlight due to an illegal alien committing a high-profile murder.
  • Strike averted for Santa Clara nurses making an average of $148,000. (Hat tip: Pension Tsunami.)
  • Ed Driscoll and wife Nina Yablok are moving to Texas. (Hat tip: Instapundit.)
  • Did Sacramento’s Democratic Mayor Kevin Johnson use his aides and volunteers to cement a coup in the National Conference of Black Mayors? And if so, why? What’s his angle?
  • China’s Stock Market Meltdown Continues, NYSE Offline

    July 8th, 2015

    Maybe those are connected, maybe not.

    As Zero Hedge has been reporting for weeks, China’s stock market continues to slid with no end in sight, despite such measures as making it illegal for some people to sell stocks.

    In a possibly unrelated story, trading on the New York Stock Exchange has been suspended, supposedly due to a computer glitch. Maybe that’s true, maybe not.

    How does it feel to live in interesting times?