Democrats Protecting Fat Cat Contributors?

This is a rush transcript from "Hannity," April 6, 2011. This copy may not be in its final form and may be updated.

SEAN HANNITY, HOST: As a government shutdown looms, Democrats in typical fashion are wasting no time trying to spin the facts as we heard earlier tonight. "The Anointed One" and his liberal cronies are trying to make it seem like the Republicans are only looking out for the rich -- you know, class warfare.

But as my next guest writes in her latest column, people who live in fat cat infested houses shouldn't throw stones.

Joining me now to explain the Democrats' latest example of hypocrisy is none other than the author of the number one New York Times best seller "Culture of Corruption." Michelle Malkin is back. Michelle, welcome back.

MICHELLE MALKIN, CULTURE OF CORRUPTION: Thanks for having me back, Sean.

HANNITY: So people -- Democrats in fat cat houses should not throw stones. Explain.

MALKIN: Yes, I'm going to put that on a bumper sticker and sell it. I think that we need to tattoo it on some of these liberal media types who go along with all of the class warfare demagoguery that the Democrats have been spewing especially over the last week as they've ratchet it up this rhetoric to oppose any kind of fiscal sanity in Washington and you've seen it.

They have attacked Paul Ryan as some sort of corporate puppet. You've got Donna Brazil on Twitter. You've got Nancy Pelosi bemoaning how the wealthy are being served while the elderly are starving.

It begs a very important question and the question is this -- who are the real fat cats? Who have been the ones who have been holding all of these lavish fundraisers while the basic business of government has gone undone?

It is the Democrat Party. It is the flea bagger in chief himself President Obama and it's all of these people who have propped up the worst financial scandal in Washington's history. That is a financial scandal of Fannie Mae and Freddie Mac and all of these fat cat cronies who have pocketed millions in lavish compensation.

HANNITY: You know, there's another way to look at this too. I live in New York. All right, so federal taxes are 40 percent. State taxes are 10 percent. I live in the second highest county property tax county in the country. So they are enormous, sales taxes, hidden taxes. So about 60 cents of every dollar I make goes to the government in some way, shape, matter or form.

What bothers me is they accumulate their power with all of our money. Half of America doesn't pay any taxes. And then not only they take 60 cents of every dollar, they take a baseball bat and beat you in the head and say you are greedy and selfish and insinuate you don't care about the poor and elderly and disabled, that you want grandma to eat cat food.

That bothers me because they get their power using other people's money, that's what bothers me, Michelle.

MALKIN: Yes, that's right, Sean and someday I'll have to try and convince you to move out to Colorado and lessen your tax burden.

HANNITY: I'm thinking about Florida where a little warmer, but I'll buy in Colorado.

MALKIN: Well, come on. You can ski out here.

But seriously, of course all of America's wealth earners and producers are the one who are hurt most by this. Yes, it adds salt to the wounds for all of these class warfare demagogues in the Democrat Party to then turn around and use this kind of rhetoric, "we don't care, we're the ones profiting," et cetera, et cetera.

But what is the Fannie and Freddie, the phony and fraudy financial scandal all about? It's exactly what you're talking about. It's using taxpayer money. And by the way, we are now looking at $154 billion that has been poured down the hole on this and then so much of it siphoned off by these greedy fat cat executives who are all politically connected.

We're talking about the likes of Franklin Raines who made off with $90 million over the course of five years during the time, which so much of this manipulating of accounting was going on, to Jamie Gorelick, yes, Rahm Emanuel who made off with $320,000 serving on Freddie Mac's board for a very short brief period of time.

And look, the Democrats are protecting them. I'm calling this the friends and fat cats protection plan, that's what it is. Just this week, the House had reform hearings. The Republicans have wanted to reform Fannie and Freddie for a long time.

What did the Democrats do? They fled the scene. That's what they do.

HANNITY: Most economists believe we are going to have a second housing bubble.

Let me give people an example. We talked about it earlier. This is Nancy Pelosi, the demagoguery and I predict, you know, Chuck Schumer said their strategy was to call every Republican extreme, over $60 billion.

Now Paul Ryan's plan $6.2 trillion and Nancy Pelosi, I'm sure she didn't read the bill but of course, she raced out there to say the following.

(BEGIN VIDEO CLIP)

REP. NANCY PELOSI, D-CALIF., HOUSE MINORITY LEADER: One of the bills before us, 6 million seniors are deprived of meals. Home bound seniors are deprived of meals. People ask us to find our common ground, the middle ground. Is middle ground 3 million seniors not receiving meals? I don't think so.

(END VIDEO CLIP)

HANNITY: I view that as translation, give us more money, we want more programs. How do you interpret it?

MALKIN: Yes, yes. Exactly the same way. Former Speaker Pelosi or as she should be known now, weaker Pelosi, has no business talking or lecturing about moral responsibility and fiscal responsibility, certainly.

She is the one who is responsible for the House failing to have a budget under her leadership. This is what she does. She hides behind human shields. She will pick children. She will pick seniors and she will use that sense of fake moral authority to avoid the tough questions, the tough crises that they've kicked the can on for decades.

Bravo to the Republican leadership for having the courage to face these problems before they get even enormously worse than they already are.

HANNITY: Well said. Michelle Malkin, always good to see you. Appreciate you as always being with us.

MALKIN: Thanks, Sean.

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