Rantings of a Black Polemicist

Bill Cosby was right

Tuesday, May 25th, 2004 | Race | 23 Comments

During a speech at Constitution Hall on the anniversary of the Brown v. Board of education ruling, Bill Cosby spoke out against behavior in the black community that is continuing to hold us back. He railed on parents who buy their kids expensive sneakers but don’t invest in educational tools, and talked about the importance of developing good communication skills.

Thomas Sowell’s recent article addresses the differences between Cosby and black “leadership” like Jesse Jackson and Al Sharpton:

Bill Cosby and the black “leadership” represent two long-standing differences about how to deal with the problems of the black community. The “leaders” are concerned with protecting the image of blacks, while Cosby is trying to protect the future of blacks, especially those of the younger generation.

Although he made some sweeping generalizations, I think Bill is right. It’s time that someone with influence in the black community has spoken out against blacks who aren’t accepting any responsibilty for making changes to their lives, content to blame anyone or anything else for the state their lives are in.

Slavery Reparations Tax Scam

Friday, April 16th, 2004 | Race | 1 Comment

Not only do a significant number of blacks think that we’re entitled to reparations for the slavery of our ancestors, but an even more ill-informed segment of this population believe that there is such thing as a “Reparations Tax Credit” and are claiming it on their tax returns. In 2001, close to 80,000 taxpayers filed claims with the IRS seeking nearly $3 billion in false slavery reparations.

Even more surprisingly, some of those claims got past the IRS, who in 2000 and 2001 paid out nearly $30 million to people filing for the bogus tax credits. One has to ask why some blacks think we’re entitled to reparations in the first place.

Justification #1: The “40 Acres and a Mule” myth

Many blacks believe that Congress laid out a bill in 1866 to ensure that freed slaves received compensation for being unjustly enslaved.

In reality, on January 1865, Union General William Tecumseh Sherman issued Special Field Order No. 15, setting aside a coastal strip of land from Charleston, South Carolina, to Jacksonville, Florida, for the exclusive use of freed slaves. Each freed-slave family was to receive a 40-acre chunk of this holding, and Sherman later provided that the army could assist them with the loan of mules.

The problem here is that the good General didn’t have the authority to give away land that didn’t belong to him, and later that same year, the land was returned to its owners. End of story.

Justification #2: Compensation for segregation and Jim Crow

Others seem to be taking a 1993 Essence magazine commentary by Lena Sherrod 1993 as fact:

“The government also owes African-Americans a tax rebate for the 60 years of segregation and Jim Crow that followed slavery. Although we were consigned by law to second-class citizenship, we were still forced to pay first-class taxes . . . the delinquent tax rebate [is] now estimated . . . to be at $43,209 per household.”

Since de facto racial discrimination continues to function as a hidden Black tax, it ought to be deductible. So when income-tax time rolls around, on line 59 of form 1040 which asks you to list ‘other payments’ simply enter $43,209 in ‘Black taxes’ and compute accordingly.”

Crooked tax professionals looking to cash in on their customers’ ignorance started pushing the scam. Black southern churches jumped on the reparations bandwagon, giving the scam an appearance of legitimacy, and the tax returns started pouring in. One nut has already been convicted after successfully getting a $500,000 tax refund for his daughter, refusing to pay it back after the IRS finally figured out what happened.

Why slavery and segregation reparations are a bad idea

It’s easy to see why asking the government to pay slavery reparations to me for instance, is stupid. I wasn’t enslaved. So what if my great-great-grandfather was a slave more than 200 years ago? In what way does writing me a check for $43,209 make everything right?

More importantly, where does this money come from? The government, you say. Well, the government’s money comes from American taxpayers. Holding every other taxpayer responsible for the actions of a select few’s ancestors is not only ridiculous, it’s unfair. Furthermore, I haven’t heard anyone explain how this windfall is supposed to help blacks overcome the challenges we face in America.

As for seeking compensation for the years of segregation and Jim Crow, Lena Sherrod makes a valid point in her commentary about being “consigned by law to second-class citizenship, [but] still forced to pay first-class taxes”. However, I don’t know that there is a hidden boogeyman lurking, a “Black Tax” that is imposed on blacks living in this country, holding us back economically.

Black people need to suck it up and move on. The finger-pointing and demands for entitlements are getting us nowhere. Black Americans have undenyably been screwed throughout history. Racism of the open and hidden institutional types still exist, there’s no question in my mind. Well, what to do about it?

The answer is a complicated one, but it lies in looking within and making positive changes in ourselves and our culture. A check from America’s citizens won’t do anything for blacks who’ve absolved themselves of any responsibility for their own progress.

Predatory and discriminatory auto lending

Tuesday, April 6th, 2004 | Race | 38 Comments

Many auto dealers have been making a fortune overcharging gullible minorities with lackluster credit. After settling on the details and price for a car, the customer is taken to the back office to agree on financing. Now begins the deception.

Dealers are allowed to mark up the interest on the loan they secure for their customers, a standard practice in the industry. The problem here is that they don’t disclose to customers that the interest rate on the loan is negotiable. Since the customer is left in the dark, dealers have been padding loans more for customers they think will pay more, mainly minorities with not-so-great credit.

In February, GMAC settled a class-action lawsuit brought by blacks who were charged much higher interest rates though their credit scores were the same or higher than their white counterparts. The difference in cost over the life of the loan can reach into the thousands on a 4 percent markup, sometimes netting the dealership more in the profit from the loan than from the car itself.

Predatory lending is just another way of keeping the cycle going. Culturally, many of us seem to have a mindset of conspicuous consumption and instant gratification. Now, overextended and delinquent on our obligations, our credit rating sinks like a rock. With a lackluster score and not a deep enough understanding of the financial transaction we’re about to make, it’s no wonder dealers smile when they see us coming.

Oh, and if that overpriced loan becomes delinquent, things only get worse.