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  • The Trials of Gov. Christie

    it's usually the coverup that proves fatal . . .


    By MICHAEL BARBARO

    He was, he said, heartbroken. Embarrassed. Sad. Disappointed. Humiliated.

    By the end of an extraordinary and exhaustive 107-minute news conference, Chris Christie had transformed himself from a belligerent chief executive, famed for ridiculing his detractors, into a deeply wronged father figure, shaking his head, whispering his words and verging on tears.

    The bravado had vanished. The certitude was gone.

    In its place was an entirely new vocabulary of self-doubt and a once unthinkable spectacle: Governor Christie acknowledging a “crisis in confidence,” sleepless nights, second-guessing and nonstop soul-searching.

    Political apologies generally follow a robotic sequence. The public figure caught doing wrong offers a terse, often grudging, sometimes distant and always uncomfortable expression of remorse.

    But Mr. Christie is not every other politician. He said “sorry” the Christie way: excessively, vaingloriously, in large, vivid and personal terms. At times, he divulged oddly intimate details and reactions — the 8 a.m. home workout session after which he discovered the “heartbreaking” news of his aide’s misconduct, and his late-night chats with his wife about the episode.





    He seemed to want to talk the scandal away, droning on for so long at the State House that reporters started repeating their inquiries, even asking for his response to a news story that had popped up as he was talking.

    “What was on display,” said Mike Murphy, a longtime Republican consultant who has advised former Gov. Mitt Romney, “were all the strengths of Chris Christie and all of the weaknesses.”

    “He just does not come in small doses,” Mr. Murphy said.

    Mr. Christie may have fielded every query tossed his way on Thursday (more than 90), but there remained scores of unanswered questions about his involvement in the imbroglio, which his forceful performance did little to satisfy.

    Even as they marveled at his stamina, Republican leaders privately worried that Mr. Christie was cementing a reputation for the most unwelcome quality in the world of political professionals: unpredictability.

    There were moments when the straight-talking governor seemed to slip into self-denial. Despite the absence of any concrete evidence, he suggested that perhaps there really had been a traffic study in progress when an aide in his office, working with a Christie appointee, closed lanes and paralyzed traffic in Fort Lee, N.J.

    Mostly, he kept apologizing. Twenty times, in all. To the people of New Jersey. To the mayor of Fort Lee. To members of the State Legislature. Even to the news media. He kept finding new ways to flagellate himself, ticking off his “mistakes,” owning up to his “failure” and repeatedly declaring, “I was wrong.”

    He seemed to lean on the lectern more than usual, holding himself steady and repeatedly fidgeting with his suit jacket.

    His normally voluble and prosecutorial manner, the very attribute that has catapulted him onto the national political stage, was replaced by a newly contemplative and somber tone.

    But this version of Chris Christie — the chastened, penitent public official — was hard to keep up, and he occasionally lapsed into a familiar pique.

    When out-of-town reporters began to shout questions at him, disrupting his system of calling on journalists, the governor shot them a chilly stare. “Guys,” he said, “we don’t work that way.”

    And his temper flared when he denounced, in harsh and scolding terms, the senior staff member who sent the email proposing “some traffic problems in Fort Lee” and who, he said, later misled him about her role.

    “I am stunned by the abject stupidity that was shown here,” Mr. Christie said, making clear that he could no longer stand to be in the same room with the now-fired aide, Bridget Anne Kelly. “She was not given the opportunity to explain to me why she lied because it was so obvious that she had,” he said.

    That candor won him praise from unexpected quarters. David Axelrod, President Obama’s longtime adviser, said that, at least during his televised appearance, Mr. Christie “came across as candid, regretful and accountable.”

    The all but unending news conference seemed to offer Mr. Christie a cathartic public therapy session that was at once confessional and clinically detailed.

    He expounded, professorially, on the nature of truth and the difficulty of detecting deceit.

    “If you ask for something and someone deceives you and tells you it doesn’t exist, what’s the follow-up?” he asked. “Were you involved in any way? No. Any knowledge? No. Well, after that, what do you do?”

    And he sought to clear up what he said were (at least to him) mystifying misimpressions about his temperament, mocking the idea that he becomes a “lunatic when he’s mad about something.”

    “It is the rare moment,” he said, “when I raise my voice.”

    Near the end of his question-and-answer session, a governor ever in touch with his emotional side acknowledged that he was still grappling with his own layered reactions to the controversy.

    “I don’t know what the stages of grief are in exact order,” he said, “but I know anger gets there at some point. I’m sure I’ll have that, too.”

  • #2
    Re: The Trials of Gov. Christie

    sigh...

    and so it begins.

    first, the damning by faint praise - as an opening salvo in the liberal media's continuing - at least attempting - a takedown of Christie - who obviously has had them worried that a Republican governor might be showing real promise as a national level leader.

    cant have that, no siree

    next up will be more of the same laser-like intensity of focus on _everything_ that could be construed as negative, while they'll no doubt ignore/discount/discredit anything that might make him look good.

    or, just exactly the opposite treatment that any of the liberal darlings get from em - as evidenced by what they did for the current occupant (of 1600 penn ave) in 2008 and 12.

    it's _almost_ 'funny' to watch em do it...

    Comment


    • #3
      Re: The Trials of Gov. Christie

      following George Carlin's advice: best to be a political atheist - clearer thinking straight ahead . . .

      Comment


      • #4
        Re: The Trials of Gov. Christie

        The press loves to destroy Republicans but gives Democrats free rein:

        "As luck would have it, Obama's opponent in the general election had also been divorced! Jack Ryan was tall, handsome, Catholic -- and shared a name with one of Harrison Ford's most popular onscreen characters! He went to Dartmouth, Harvard Law and Harvard Business School, made hundreds of millions of dollars as a partner at Goldman Sachs, and then, in his early 40s, left investment banking to teach at an inner city school on the South Side of Chicago.

        Ryan would have walloped Obama in the Senate race. But at the request of -- again -- the Chicago Tribune, California Judge Robert Schnider unsealed the custody papers in Ryan's divorce five years earlier from Hollywood starlet Jeri Lynn Ryan, the bombshell Borg on "Star Trek: Voyager."
        Jack Ryan had released his tax records. He had released his divorce records. But both he and his ex-wife sought to keep the custody records under seal to protect their son.
        Amid the 400 pages of filings from the custody case, Jack Ryan claimed that his wife had had an affair, and she counterclaimed with the allegation that he had taken her to "sex clubs" in Paris, New York and New Orleans, which drove her to fall in love with another man.
        (Republicans: If you plan a career in public office, please avoid marrying a wacko.)
        Ryan had vehemently denied her allegations at the time, but it didn't matter. The sex club allegations aired on "Entertainment Tonight," "NBC Nightly News," ABC's "Good Morning America," "The Tonight Show With Jay Leno," and NBC's "Today" show. CNN covered the story like it was the first moon landing.
        (Interestingly, international papers also were ablaze with the story -- the same newspapers that were supposed to be so bored with American sexual mores during Bill Clinton's sex scandal.)
        Four days after Judge Schnider unsealed the custody records, Ryan dropped out of the race for the horror of (allegedly) propositioning his own wife and then taking "no" for an answer.
        Alan Keyes stepped in as a last-minute Republican candidate.
        And that's how Obama became a U.S. senator. He destroyed both his Democratic primary opponent and his Republican general election opponent with salacious allegations about their personal lives taken from "sealed" court records.
        Obama's team delved into Sarah Palin's marriage and spread rumors of John McCain's alleged affair in 2008 and they smeared Herman Cain in 2011 with hazy sexual harassment allegations all emanating from David Axelrod's pals in Chicago.
        It's almost like a serial killer's signature. Unsealed personal records have been released to the press. Obama must be running for office!
        So you can see what a pickle the Obama campaign is in having to run against a Dudley Do-Right, non-drinking, non-smoking, God-fearing, happily married Mormon.
        They've got to get their hands on thousands of pages of Romney's tax filings so that the media can -- as Romney says -- lie about them. It will be interesting to see if Obama can pick the lock of the famously guarded IRS."

        Of course Clinton's sex scandal was "just sex"

        Comment


        • #5
          Re: The Trials of Gov. Christie

          Originally posted by vt View Post
          The press loves to destroy Republicans but gives Democrats free rein:

          "As luck would have it, Obama's opponent in the general election had also been divorced! Jack
          Ryan was tall, handsome, Catholic -- and shared a name with one of Harrison Ford's most popular onscreen characters! He went to Dartmouth, Harvard Law and Harvard Business School, made hundreds of millions of dollars as a partner at Goldman Sachs, and then, in his early 40s, left investment banking to teach at an inner city school on the South Side of Chicago.

          Ryan would have walloped Obama in the Senate race. But at the request of -- again -- the Chicago Tribune, California Judge Robert Schnider unsealed the custody papers in Ryan's divorce five years earlier from Hollywood starlet Jeri Lynn Ryan, the bombshell Borg on "Star Trek: Voyager."

          Jack Ryan had released his tax records. He had released his divorce records. But both he and his ex-wife sought to keep the custody records under seal to protect their son.

          Amid the 400 pages of filings from the custody case, Jack Ryan claimed that his wife had had an affair, and she counterclaimed with the allegation that he had taken her to "sex clubs" in Paris, New York and New Orleans, which drove her to fall in love with another man.
          (Republicans: If you plan a career in public office, please avoid marrying a wacko.)

          (?? ESP if yer an irishman, never mind a catholic...)

          Ryan had vehemently denied her allegations at the time, but it didn't matter. The sex club allegations aired on "Entertainment Tonight," "NBC Nightly News," ABC's "Good Morning America," "The Tonight Show With Jay Leno," and NBC's "Today" show. CNN covered the story like it was the first moon landing.

          (Interestingly, international papers also were ablaze with the story -- the same newspapers that were supposed to be so bored with American sexual mores during Bill Clinton's sex scandal.)

          Four days after Judge Schnider unsealed the custody records, Ryan dropped out of the race for the horror of (allegedly) propositioning his own wife and then taking "no" for an answer.

          Alan Keyes stepped in as a last-minute Republican candidate.

          And that's how Obama became a U.S. senator.

          He destroyed both his Democratic primary opponent and his Republican general election opponent with salacious allegations about their personal lives taken from "sealed" court records.


          Obama's team delved into Sarah Palin's marriage and spread rumors of John McCain's alleged affair in 2008 and they smeared Herman Cain in 2011 with hazy sexual harassment allegations all emanating from David Axelrod's pals in Chicago.
          It's almost like a serial killer's signature. Unsealed personal records have been released to the press. Obama must be running for office!

          (or that all of this is merely just another looooong line of.... ummmm... 'co-incidences' - right? - uh huh....)

          So you can see what a pickle the Obama campaign is in having to run against a Dudley Do-Right, non-drinking, non-smoking, God-fearing, happily married Mormon.

          (who 'wasnt a christian' according to some... the really 'funny' part)

          They've got to get their hands on thousands of pages of Romney's tax filings so that the media can -- as Romney says -- lie about them. It will be interesting to see if Obama can pick the lock of the famously guarded IRS."

          Of course Clinton's sex scandal was "just sex"
          uh huh.... and just because he/they nearly caused The US.gov to sieze up - just as osama was getting wound up - thats all nitpicking.

          and everything that happened as a result of 'certain improvements' in banking regulations and 'certain refinements to protect our rights' from overly-intrusive .gov spying??? - well... again, connecting all them dots is really hard work - and its much more important for out 'guardians of the truth' in the fourth estate to focus on 'critical social concerns' -

          particularly if they can be paired-up with something 'controversial' that'll divert attention from WHATS REALLY GOING ON

          Comment


          • #6
            Re: The Trials of Gov. Christie

            Exactly!

            We need to vote out Demopunks and Repubrats. The New Majority Party needs our support.

            The dePressed needs to be rePlaced by free, OBJECTIVE, true journalists.

            Comment


            • #7
              Re: The Trials of Gov. Christie

              "But truth to tell, the governor's staff might not actually have been to blame. They may only have been taking active steps to stem the exodus from the Garden State's sky-high taxes and housing costs. According to surveys by both United Van Lines and Allied Van Lines, New Jersey was at or near the top of states of outbound movers in 2013. And U.S. census data for 2011 showed 216,000 leaving the Garden State and 146,000 moving in, with New York the No. 1 destination. So, blocking access to the GW Bridge may simply have been a misguided effort to stanch the outflow."

              From Barrons

              Comment


              • #8
                Re: The Trials of Gov. Christie

                The Two-Party System n. Highly efficient political tool for programed thinking, utilizing a broad array of public opinion manipulation, none more so than the technique of branding. Has stood the test of time, defeating a host of acknowledged facts that portray the two parties as not substantive voting choices but rather the exact opposite, in essence a one-party system. (see shoot from the hip, knee jerk reaction, third-parties verboten, red state - blue state, liberal - conservative debate framing, etc.) Antonyms: both parties funded by the same oligopoly, media owned by the same oligopoly, continuity of policies from one administration to the next, regardless of party affiliation, etc.

                Comment


                • #9
                  Re: The Trials of Gov. Christie

                  Originally posted by don View Post
                  The Two-Party System n. Highly efficient political tool for programed thinking, utilizing a broad array of public opinion manipulation, none more so than the technique of branding. Has stood the test of time, defeating a host of acknowledged facts that portray the two parties as not substantive voting choices but rather the exact opposite, in essence a one-party system. (see shoot from the hip, knee jerk reaction, third-parties verboten, red state - blue state, liberal - conservative debate framing, etc.) Antonyms: both parties funded by the same oligopoly, media owned by the same oligopoly, continuity of policies from one administration to the next, regardless of party affiliation, etc.

                  ...the parties funded by the same oligopoly, media owned by the same oligopoly, continuity of policies from one administration to the next, regardless of party affiliation, etc.

                  Just wanted to amplify that part.

                  Comment


                  • #10
                    Re: The Trials of Gov. Christie

                    Originally posted by don View Post
                    The Two-Party System n. Highly efficient political tool for programed thinking, utilizing a broad array of public opinion manipulation, none more so than the technique of branding. Has stood the test of time, defeating a host of acknowledged facts that portray the two parties as not substantive voting choices but rather the exact opposite, in essence a one-party system. (see shoot from the hip, knee jerk reaction, third-parties verboten, red state - blue state, liberal - conservative debate framing, etc.) Antonyms: both parties funded by the same oligopoly, media owned by the same oligopoly, continuity of policies from one administration to the next, regardless of party affiliation, etc.
                    Did you write this, Don? Because it's going in my "quotes" file.

                    Be kinder than necessary because everyone you meet is fighting some kind of battle.

                    Comment


                    • #11
                      Re: The Trials of Gov. Christie

                      Originally posted by shiny! View Post
                      Did you write this, Don? Because it's going in my "quotes" file.
                      Mea culpa.

                      Thanks, pal.

                      Comment


                      • #12
                        Re: The Trials of Gov. Christie

                        Originally posted by woody
                        ...the parties funded by the same oligopoly, media owned by the same oligopoly, continuity of policies from one administration to the next, regardless of party affiliation, etc.

                        Just wanted to amplify that part.
                        Originally posted by ms shiny!
                        Did you write this, Don? Because it's going in my "quotes" file.
                        Originally posted by don View Post
                        Mea culpa.

                        Thanks, pal.
                        +1

                        but here's what i'm (typing) about:


                        Bagley Cartoon: Welfare Cheats
                        | The Salt Lake Tribune

                        First Published Jan 10 2014 04:22 pm • Last Updated Jan 10 2014 04:22 pm


                        and i'm going to let this one sink in b4 i get 'round to 'illustrating' it

                        just fer grins...

                        ;)

                        Comment


                        • #13
                          Re: The Trials of Gov. Christie - Not what he appears

                          I agree Christie is being attacked for political advantage.

                          But, people out side of New Jersey have a better opinion of him than he deserves.

                          He appears to be a new fresh face when in reality he is no different than any Democrat or Republican, except he's likes to make a big splash.

                          Two weeks before Christmas the immigrant groups of new jersey (undocumented mostly) was very upset with Christie, as the immigrants came to Christie's aid in his bid for re-election and they immigrants had been offered goodies for voting.

                          Here: http://reportehispano.com/news/2013/...-los-dreamers/
                          Translation here:
                          http://www.microsofttranslator.com/b...os-dreamers%2F

                          Christie made lots of noise about changes he wanted in a bill granting tuition to children of undocumented immigrants, then the on December 20th when most are busy with holiday preparations and preparing for a Winter break he signed the law (or when as few are paying attention as possible).
                          see story here
                          http://reportehispano.com/news/2014/...-los-dreamers/
                          http://www.microsofttranslator.com/b...os-dreamers%2F

                          Christie is the trying to be the classic King of illusion. Everyone in the country believes Christie has reformed property taxes in New Jersey, in reality the bill Christie got signed to restrict property tax increase is near useless.

                          I would love if Christie was a true fiscal conservative- but, much of what the country believes about him is an illusion.

                          Voters still want the free lunch.

                          Comment


                          • #14
                            Re: The Trials of Gov. Christie - Not what he appears

                            Did Christie misuse Sandy relief funds?

                            http://www.cnn.com/2014/01/13/politics/christie-feds-investigating-sandy-ads/index.html


                            If he did, along with bridgegate, he is finished as a presidential candidate.

                            It's interesting that the mayor of New Orleans and the governor of Louisiana misused funds to build up the levees in the city by diverting them to tourism and other uses. Of course you never heard of this in the press. And some don't believe there is a double standard?

                            http://www.seekfind.net/HurricaneKatrina.html

                            Comment


                            • #15
                              The Trials of the Governed

                              There appears to be nothing, up to and including pardons for serious crimes and excuses made for genocide, that cannot be bought and paid for in the Gilded Capital of the US. (Jesse's Cafe Americain)



                              1994 Interview with ethicist Sissela Bok:


                              "As a philosopher, Sissela Bok grapples with hard truths – and with hard untruths, as well. Her writings explore the psychology of lying, the consequences of deception, and the perils of keeping secrets. With advanced degrees in both psychology and philosophy, she has taught ethics at Harvard’s Medical School, the Kennedy School of Government, and philosophy at Brandeis University. Her books include
                              Lying: Moral Choice in Public and Private Life and A Strategy for Peace."

                              Moyers: Can a republic die of too many lies?

                              Sissela Bok: I think a republic definitely could—especially if the lies are also covered up by various methods of secrecy. If you combine lying and secrecy, and if you also bring in violence so that secrecy covers up for schemes of lying and violence, then I think a republic can die.

                              I don’t think it’s possible for citizens to have very much of an effect if they literally don’t know what’s going on.


                              A credibility trap is a condition in which the financial, political and informational functions of a society have been compromised by corruption and fraud. The leadership cannot effectively reform, or even honestly address, the problems of that system without impairing and implicating, at least incidentally, a broad swath of the power structure, including themselves.

                              The influential status quo tolerates the corruption and the fraud because they have profited, at least indirectly from it, and would like to continue to do so. Even the impulse to reform within the power structure is susceptible to various forms of soft blackmail and coercion by the system that maintains and rewards them.

                              And so a failed policy and its support system become self-sustaining, long after it can be seen by objective observers to have failed. In its failure it is counterproductive, and an impediment to recovery in the real economy. Admitting failure is not an option for the thought leaders who receive their power from that system.

                              The continuity of the structural hierarchy must therefore be maintained at all costs, even to the point of becoming a painfully obvious, 'organized hypocrisy.'

                              JPMorgan and Madoff Were Facilitating Nesting Dolls-Style Frauds Within Frauds


                              By Pam Martens: January 13, 2014




                              Last week JPMorgan Chase paid $2.6 billion in fines and restitution, signed a deferred prosecution agreement and walked away from their 22-year involvement with Bernie Madoff’s Ponzi scheme. But according to court documents filed in 2011 by the Trustee of the Madoff victims’ fund, Irving Picard, this was not a simple case of poor risk management at JPMorgan. This was an operation structured like those Russian nesting dolls, with the Ponzi scheme as the outside doll with many more frauds layered inside the big one.

                              After reading the documents released by the Justice Department in connection with the settlement, the Los Angeles Times asked in a photo caption of a smirking Madoff outside of Federal Court: “Bernie Madoff: Was he part of the JPMorgan ring, or was JPMorgan part of his ring?”

                              The New York Times had a far more charitable stance, with Floyd Norris writing: “Did JPMorgan Chase deliberately cover up Bernard L. Madoff’s fraud? The documents released this week by federal prosecutors do not show it did, and I suspect it did not.”

                              Interestingly, the folks in sunny California, 2400 miles away from Wall Street, had an epiphanous moment in that photo caption while the Times assumed an all too common ostrich position when it comes to Wall Street.

                              According to the Securities Investor Protection Corporation (SIPC), the Justice Department prosecutors who settled the case against JPMorgan Chase used the investigative material from Picard to bring their charges and settle the case. Those court filings show layers upon layers of frauds within the Ponzi scheme.

                              For starters, JPMorgan Chase used unaudited financial statements and skipped the required steps of bank due diligence to make $145 million in loans to Madoff’s business, according to Picard. Lawyers for the Trustee write that from November 2005 through January 18, 2006, JPMorgan Chase loaned $145 million to Madoff’s business at a time when the bank was on “notice of fraudulent activity” in Madoff’s business account and when, in fact, Madoff’s business was insolvent. The reason for the JPMorgan Chase loans was because Madoff’s business account, referred to as the 703 account, was “reaching dangerously low levels of liquidity, and the Ponzi scheme was at risk of collapsing.” JPMorgan, in fact, “provided liquidity to continue the Ponzi scheme,” according to Picard.

                              Clearly, this is fraud number two on the part of someone – loan fraud.

                              Fraud number three occurred when JPMorgan Chase and its predecessor banks extended tens of millions of dollars in loans to Norman F. Levy and his family so they could invest with the insolvent Madoff. (Levy died in 2005 at age 93 without being charged with any crimes. Levy’s accountant, Paul J. Konigsberg, was indicted in September of last year and charged by the Securities and Exchange Commission in a civil action. Konigsberg has pleaded not guilty in both cases.)

                              According to Picard, Levy had $188 million in outstanding loans in 1996, which he used to funnel money into Madoff investments. Picard’s lawyers told the court that JPMorgan Chase (JPMC) “referred to these investments as ‘special deals.’ Indeed, these deals were special for all involved: (a) Levy enjoyed Madoff’s inflated return rates of up to 40% on the money he invested with Madoff; (b) Madoff enjoyed the benefits of large amounts of cash to perpetuate his fraud without being subject to JPMC’s due diligence processes; and (c) JPMC earned fees on the loan amounts and watched the ‘special deals’ from afar, escaping responsibility for any due diligence on Madoff’s operation.”

                              A critical piece of evidence against JPMorgan was that despite funneling loans to both Madoff and Levy, the bank “advised the rest of its Private Bank customers not to invest with Madoff,” according to Picard.

                              On paper, according to Picard, Levy was worth $1.5 billion in 1998. He was such an important customer to JPMorgan and its predecessor firms that he was given his own office at the bank – a situation that perhaps fueled the Los Angeles Times’ question of just who was a part of whose gang.

                              Levy was a commercial real estate broker and, according to an article by Mark Seal in the April 2009 issue of Vanity Fair, at one point Levy “had an ownership stake in 70 properties, including the Seagram Building and 21 shopping centers across America…” There is some basis for suspicion that inflated and fraudulent account statements provided by either JPMorgan Chase and/or Madoff may have been used to obtain real estate loans. If so, that would constitute yet another fraud.

                              According to Picard, Levy’s relationship with JPMorgan’s predecessor banks predated his relationship with Madoff by 31 years. Once Levy was a Madoff client, the relationship included classic, unchecked evidence of money laundering for years and years that should have resulted in legally-mandated Suspicious Activity Reports (SARs) filed with the U.S. Treasury Department’s Financial Crimes Enforcement Network (FinCEN). Even after another bank detected the activity in the late 90s and reported the transactions to FinCEN, JPMorgan Chase and its predecessor banks failed to file their own mandated SARs and not only allowed the activity to continue but allowed it to increase dramatically in dollar terms.

                              Having worked on Wall Street myself for 21 years, I can assure you that just one atypical transfer of a large sum of money between accounts will elicit a serious investigation by an honest Wall Street firm’s compliance department. It will drill down until it gets proof that the transfer had a legitimate basis.

                              What was happening in Madoff’s account was so over the top that it is virtually impossible to reconcile it with a legitimate compliance department unless some higher up simply shut down the normal bank controls. Picard told the court that “during 2002, Madoff initiated outgoing transactions to Levy in the precise amount of $986,301 hundreds of times — 318 separate times, to be exact. These highly unusual transactions often occurred multiple times on a single day.”

                              Levy’s accountant, Konigsberg, is charged with routinely telling a Madoff employee to regenerate statements for the clients referred to him by Madoff, dictating the terms of what kind of profits and losses he wanted to see on the statements each year.

                              The SEC says in its complaint that Konigsberg “was compensated for his work in connection with these BMIS [Bernard Madoff Investment Securities] clients. He received fees directly for the accounting services that he provided to these clients, and additionally, BMIS and Bernard Madoff (Madoff) compensated Konigsberg with a monthly fee of $15,000 or $20,000 as a ‘retainer’ for providing accounting services to a wealthy and longtime Madoff client and his adult children.” The SEC cites one example where “Konigsberg instructed Employee X that his client was to experience no more than $18 million in losses. In giving these instructions, Konigsberg understood that Employee X and BMIS would create unlawful, backdated trades to benefit his clients.”

                              And here we have, at least, frauds number four and five. Tax fraud and the fraudulent creation of broker-dealer records. And we’ve barely scratched the surface thus far.

                              Like we said, think Matryoshka, the Russian Nesting Dolls’ frauds within frauds.

                              http://wallstreetonparade.com/2014/0...within-frauds/

                              Comment

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