Jerry Brown joins Cuomo in Pensiongate
Subpoenas issued in pension fund corruption investigation
Atty. Gen. Jerry Brown is looking into 'placement agents' who help secure pension fund investment contracts for clients, often in return for millions of dollars.
Los Angeles Times
By Michael Rothfeld and David Zahniser
May 23, 2009
Reporting from Los Angeles and Sacramento -- An ongoing investigation into pension fund corruption across the country intensified Friday as California Atty. Gen. Jerry Brown directed subpoenas at politically connected firms and individuals, according to sources familiar with the investigation.
Brown issued the subpoenas as part of a probe into "placement agents" who help secure pension fund investment contracts for their clients in return for large sums of money, often millions of dollars.
The subpoenas seek information on the use and disclosure of placement agents and potential conflicts of interest, said sources who spoke on the condition of anonymity because they were discussing an ongoing investigation. Brown's spokesman, Scott Gerber, declined to comment.
I would like to see someone else critique this video as I don't see Spitzer supporting this guy at all. He says he wouldn't tolerate Hevesi's behaviour. hmmmm
Didn't Spitzer say he wouldn't tolerate Hevesi doing what he did? video inside
But there is some evidence that Hevesi will not lose the election in November. As the Albany Times Union’s blog New York Politics Capitol Confidential explained, “Chauffeurgate hasn’t prevented Democratic state Comptroller Alan Hevesi from raising money – he took in more than $70,000 since the scandal broke on Sept. 22. Meanwhile, Hevesi’s opponent, Christopher Callaghan… has $43,147 on-hand, compared to Hevesi’s $5,872,586.”
Steve Rattner under investigation
Steve Rattner Payments Linked To New York Kickback Scandal
Henry Blodget | Apr. 16, 2009, 9:32 PM | 2,405 | 20
The Treasury's car czar, Steve Rattner, has been dragged into the New York State retirement fund kickback scandal that led to several arrests earlier this week.
Rattner's private equity firm, Quadrangle, paid a finder's fee to one of the defendants in the kickback scheme for a $100 million investment the state retirement fund made in one of Quadrangle's funds.
More troublingly, one of Quadrangle's affiliate companies also paid $88,000 to acquire the DVD distribution rights for a movie produced by the New York State official who made the investment decision and his brothers. Quadrangle made this DVD payment during the time the state was considering making the investment.
Mayor (NY) stands by his money guy
Mayor Mike stands by his money guy
By: Nikki Schwab and Tara Palmeri
06/14/10 9:00 PM EDT
New York City Mayor Michael Bloomberg dismissed two investigations into possible financial misconduct by his personal money manager as "ridiculous."
The Washington Examiner's Hayley Peterson had the chance to ask Bloomberg about former White House car czar Steven Rattner while she was in New York for the Hearst National Championship last week. Bloomberg said his financial adviser and longtime friend Rattner is a "scrupulously honest guy [who] got caught up" in a scheme facilitated by the state's pension fund managers.
Rattner's former partners at the Quadrangle Group have pointed the finger at the top Democratic fundraiser for a scheme that investigators say allowed Quadrangle to secure a $100 million state investment contract by agreeing to distribute a low-budget film created by the brother of a top official. Rattner is reportedly fighting a move by the Securities and Exchange Commission to bar him from the investment business for three years.
"I don't think he did anything wrong," Bloomberg said of Rattner. "I happen to think the charge against him is ridiculous."
Bloomberg's so willing to stand by his man that he recently gave Rattner $5 billion to establish a new firm.
"I've always stood up for anybody that works with me who gets attacked by the press," Bloomberg said. "Steven Rattner's a very close friend of mine and remains a close friend."
Peterson was chosen for the contest because of her college newspaper work at her alma mater, the University of Georgia. She finished second place.
Mayor Bloomberg and Steve Rattner
And yet the richest New Yorker of them all—Mr. Bloomberg himself—had been ignoring his own advice.
According to an extensive review of the mayor’s financial records by The Observer, even as Mr. Bloomberg was trying to counter the loss of taxes and other income from the richest New Yorkers, the foundation he controls was in the process of shuttling hundreds of millions of dollars out of the city and into controversial offshore tax havens that would produce nothing at all for the city in terms of tax revenue.