Thursday, April 30, 2009

LIVE FROM THE NEWSROOM MORE HANK MORRIS AND A DAVID J LOGLISCI MAP

MucketyMap

New Mexico drops Aldus Equity, cites New York probe

Reuters -
By Jim Christie SAN FRANCISCO, April 29 (Reuters) - New Mexico's governor ordered the state investment officer to cut ties to private equity advisor Aldus ...


NM firing financial adviser mentioned in NY probe

The Associated Press -

SANTA FE, NM (AP) — A state investment office is firing a financial adviser caught up in a pay-to-play investigation involving a New York state pension fund ...


New Mexico Ousts Adviser Investigated in New York

New York Times - ‎

By MARY WILLIAMS WALSH and DANNY HAKIM The New Mexico State Investment Council fired one of its investment advisers, Aldus Equity Partners, on Wednesday as ...


New York City fights kickbacks at pension funds

Wall Street Journal - ‎

... political adviser Hank Morris, and a former official of the New York State pension fund allegedly gave investment firms access to the fund in exchange ...


NYCERS bans placement agents

Global Pensions - ‎

Thompson's request was prompted by media reports indicating that Hank Morris and Searle & Company had received a placement fee. Thompson and his office plan ...


Quadrangle Capital Partners pension 'agents' suspended

New York Daily News - ‎

Searle & Co. is run by Hank Morris, the indicted top political consultant for ex-state and city Controller Alan Hevesi.

Wednesday, April 29, 2009

LIVE FROM THE NEWSROOM IT'S SCHUMER'S "BRAIN" HANK MORRIS AND HIS BAND OF FEE FINDERS.



Peggy Lipton, The Girlfriend Who Sparked the Pension Scandal

Village Voice - ‎

This was partly due to his longtime friendship with Hank Morris, the sweater-wearing political guru who guided Hevesi to victory and who now stands accused ...


City Pensions Funds Ban Middlemen

WNYC - ‎

by Lisa Chow NEW YORK, NY April 28, 2009 —The largest of the city's five public pension funds - the New York City Employees Retirement System - voted today ...


DiNapoli's quandary

Long Island Business News - ‎

Though Comptroller Tom DiNapoli is being lauded for banning placement agents in the $120 billion state pension system, some supporters are worried that the ...


NYC Pension Fund Trustees Suspend Use Of Investment Agents

NASDAQ - ‎

Trustees of the New York City Employees' Retirement System unanimously agreed to immediately suspend the use of placement agents, firms and middlemen in ...



Overdue Reform: DiNapoli right to ban pension fund placement agents

The Post-Standard - Syracuse.com - ‎

The muck of Alan Hevesi's brief but scandalous term as state comptroller continues to stain the office today. That's why Comptroller Thomas DiNapoli's ban ...


NYC comptroller in Quadrangle vote

Global Pensions - ‎Apr 27, 2009‎

by Giovanni Legorano 27 April 2009 US – New York City comptroller William Thompson office has voted on behalf of the NYC pension funds to stop Quadrangle, ...


STATEMENT FROM ATTORNEY GENERAL CUOMO REGARDING ONGOING PENSION ...

Media Newswire (press release) - ‎Apr 27, 2009‎

"We applaud New York City Comptroller William Thompson's recommendation for reform involving the elimination of middlemen and finders - placement agents. ...


Other Views: State pension fund needs close protection

The Saratogian - ‎Apr 27, 2009‎

The adage that “where there's smoke, there's fire” isn't lost on investigators in state Attorney General Andrew Cuomo's office. That seems particularly true ...


Thompson takes heat over pension probe

Philadelphia Metro - ‎Apr 26, 2009‎

$423M Federal stimulus funds for 70 “shovel-ready” NYCHA projects citywide, Mayor Bloomberg announced yesterday with HUD Secretary (and former city ...


Tuesday, April 28, 2009

HANK MORRIS AND STEVE RATTNER PRESENTS A SCANDAL NAMED CHOOCH


Small film ‘Chooch’ at center of big political storm

By A. James Memmott

April 27, 2009 at 8:42am

Perhaps it’s time to re-release Chooch, an indie comedy that bombed at the box office in 2004.

The low-budget movie grossed $30,792 before it was withdrawn after seven weeks.



MucketyMap



California Pension Fund to Regulate Placement Agents

ProPublica - ‎

... placement agents have become controversial thanks to the onoing “pay-to-play” investigation in New York, where Hank Morris, a placement agent and ...


Calpers to tighten the reins on placement agents

Financial News (subscription) -

David Loglisci, who was the chief investment officer and Hank Morris who was a political adviser and chief fundraiser, are accused of accepting kickbacks in ...



New Scandal: Pension Fund Pay to Play

ProPublica - ‎

... to Hank Morris, a former political consultant. Lawyers for both Morris and Loglisci, who were indicted in March, have denied those accusations. ...


NY State Probe Links Wetherly To Hank Morris

Money Management Letter - ‎

... get business from pension funds and paying over $300000 to the former firm of indicted political adviser, Hank Morris, The Wall Street Journal reports. ...


Who's Watching Those Public Pension Funds?

National Review Online Blogs - ‎

... New Mexico investment fund officials about a Dallas-based equity fund that shared fees with [indicted Democratic political consultant Hank] Morris. ...


News Of The Day

New York Daily News - ‎

"Either ex-Comptroller Alan Hevesi knew of his confidant Hank Morris' estimated $35 million in "placement" fees - or he became one of the most bamboozled ...


NY pension probe spreads to Israel

Globes - ‎

Investigators are examining whether money from Giza Venture Capital went to Hank Morris, a political advisor and close friend of former New York State ...

Saturday, April 25, 2009

LOOK MA A MAP AND MORE STORIES ON HANK MORRIS AND STEVEN RATTNER THE NEW BONNIE AND CLYDE OF PENSION FUNDS.



MucketyMap

Hank Morris inhaled machine politics growing up in Westbury, LI

Muckety - ‎

By Carol Eisenberg Back in the early 1990s, when he was still considered a wunderkind, Hank Morris would get almost misty-eyed reminiscing about how he came ...


SEC Letters Outline “Informal Inquiry” into California Pension Deals

ProPublica -

Wetherly had a fee-splitting deal with Hank Morris, the subject of a 123-count indictment issued last month by Cuomo's office. A former political consultant ...



Quadrangle loses NYC and NYS funds' support

Reuters - ‎

"Given the current investigation by the New York State Attorney General regarding the Hank Morris matter, I believed that it was in the best interest of the ...


Kickback case goes LA

LA Observed - ‎

In a nutshell, Quadrangle apparently did not disclose that it paid fees to the former firm of now-indicted political adviser Hank Morris for the purpose of ...


No business between ex-senator, pension figure: aide

Reuters - ‎

"The senator has never had a business relationship with Hank Morris, whatsoever," Jackson said, adding that Torricelli never met Morris while in Congress. ...


Disclosure Issue Emerges for Quadrangle

Wall Street Journal - ‎

... to the former firm of now-indicted political adviser Hank Morris in connection with a $10 million investment the pension made with Quadrangle that year, ...


Influence for Sale By Henry J. Stern

Yonkers Tribune - ‎

Hank Morris, a political intimate of Hevesi for many years, is said to have been paid thirty million dollars for his services as an intermediary. ...


New York City votes to stop putting capital in Quadrangle fund

Reuters - ‎

"Given the current investigation by the New York State Attorney General regarding the Hank Morris matter, I believed that it was in the best interest of the ...


SEC sends 'informal inquiry' letters to two Villaraigosa appointees

Los Angeles Times - ‎

Last month, Cuomo and the SEC accused Morris and a former official in the state comptroller's office, David Loglisci, of taking millions of dollars in ...

Pennacchio and Baroni Say Scandal Demonstrates Why Corzine Should ...

PolitickerNJ - ‎

The reports have come to light amid the investigation of a pension-fund pay-to-play scandal that has led to the indictment of Hank Morris, a political ...




ProPublica

Indicted NY Consultant Earned Fees From LA Police and Fire Pension ...

ProPublica - ‎

... we've found some more information about the California activities of Hank Morris, the political operative who has been indicted on charges that he ran a ...


Quadrangle Paid Morris' Firm Fees for LA Investment

Bloomberg - ‎

By William Selway April 24 (Bloomberg) -- Quadrangle Group LLC paid the former firm of Hank Morris, the New York political adviser indicted for an alleged ...


OBAMA AIDE RATTNER GAVE 20G AND GOT N. MEX. BIZ

KFMB -

Quadrangle used Hank Morris, the political guru who has been indicted on pay-to-play charges in New York, as a third-party broker in New Mexico to secure a ...



Friday, April 24, 2009

HANK MORRIS SCHUMERS "BRAIN" THE STORIES KEEP ON COMING



SEC Queries Los Angeles Pension Fund Over Conflicts of Interest

Bloomberg -

... Hank Morris, claiming they orchestrated a scheme to extract kickbacks from public equity firms and hedge funds seeking to manage state pension money. ...


Time to retire these middlemen

Albany Times Union - ‎

In March, Attorney General Andrew Cuomo in a 123-count indictment accused Hank Morris, a political adviser to former Comptroller Alan Hevesi, ...


Fund Probe Connects LA Firm to Morris

Wall Street Journal - ‎

... helped investment firms get business from prominent pension funds, paid more than $300000 to the former firm of indicted political adviser Hank Morris. ...


Torricelli Is Linked to Inquiry on Pensions

New York Times - ‎

He did work from 2005 to 2008 for Searle & Company, a Connecticut investment firm that employed his longtime friend Hank Morris, a spokesman for Mr. ...


NY speaker set up pension meetings; LA firm eyed

Reuters - ‎

However, "our senior investment officer (for private equity) says he has never had any dealings with Hank Morris," she said. ...


FBI questions NM investment funds about adviser

The Associated Press - ‎

... already had relationships with the pension fund when they agreed to hire the consultant, Hank Morris, who was indicted in March but through his lawyer ...


California May Launch Pay-to-Play Probe After NY

Bloomberg

... peddling issues raised by the indictment last month of Henry “HankMorris, a political adviser to former New York State Comptroller Alan Hevesi. ...

Cuomo's Inquiry and Buyout Firms

New York Times

But if that's the explanation — and Carlyle declined to comment — it raises further questions about how much Carlyle knew about Hank Morris, the placement ...


From the shores of East Hampton to sunny LA Schumers "Brain" Hank Morris was making money.

But what about his "Financial Printing" business who are his clients,

DiNapoli was a "CLIENT" of Hank Morris in 2001.

Was it Hank Morris who arranged for DiNapoli to replace Hevesi ?

Did Hank Morris call Silver ? Did he call Bruno?

Did Breakfast, Lunch, and Dinner Schumer make any calls ?

These questions need to be asked and answered.

Was Hank Morris trying to save his business deals by selecting and helping to elect DiNapoli ???

VJ Machiavelli
http://www.vjmachiavelli.blogspot.com
NO MORE SCHUMER
NO MORE PELOSI
NO MORE RANGEL
NO MORE ENGEL AND HIS MILLION DOLLAR HOME IN MARYLAND
PS Hank Morris has a 4 million dollar plus home in East Hampton.


Thursday, April 23, 2009

FROM EAST HAMPTON TO SUNNY LOS ANGELES SCHUMERS "BRAIN" HANK MORRIS KNOWS HOW TO MAKE MONEY


======================================================

California Firm Split Fees With Figure in NY Pension Scandal

by Sharona Coutts, ProPublica - April 22, 2009

A prominent Los Angeles investment firm shared fees from pension fund deals in New York and California with Hank Morris, the former political consultant under indictment (PDF) for selling access to New York’s $122 billion retirement fund, ProPublica has learned.

Investigators say they are focusing on the role of Wetherly Capital Group, which allegedly funneled $314,000 in checks to Morris through an intermediary firm he owned. Wetherly received up to $3 million in fees for one pension deal in New York, investigators say. In their indictment of Morris, authorities described the checks from Wetherly as “proceeds of criminal conduct.”

Although mentioned in the Morris indictment, Wetherly has not been accused of any crime. The firm, founded in 2001 by Daniel N. Weinstein, a prominent Democratic fundraiser in California and former union political operative there, did not return calls seeking comment.

Wetherly and the firm with which Morris was affiliated, Searle & Co., also have shared fees for helping a private equity firm seal three multimillion dollar deals with California funds, ProPublica has learned. The funds are the California Public Employees’ Retirement System -- the nation’s biggest pension fund -- the California State Teachers’ Retirement System, and the Los Angeles Fire and Police Pensions.

Until now, the spotlight in the two-year-old investigation by New York Attorney General Andrew Cuomo’s office has been mainly on Morris’ deals in New York. Existence of a relationship between Morris and Wetherly involving California pension funds hadn’t been disclosed. Investigators said that while all of Morris’ activities are of interest, the California pension funds are not under scrutiny.

Wetherly has represented 10 companies that have won a collective $300 million in investments from CalPERS, records show. The company was a “placement agent” in those deals, essentially acting as a middleman on behalf of private-equity firms that sought business handling the pension fund’s money.

Placement agents typically collect 1 percent to 2 percent of the value of any investment that results. Fees are paid by the investment firms they represent, not the pension funds, and typically aren’t disclosed.

The New York pay-to-play investigation is among a string of recent corruption cases involving placement agents in other states. On Wednesday, New York state Comptroller Thomas P. DiNapoli banned placement agents from deals involving the pension fund, which his office oversees. Comptroller William C. Thompson Jr. proposed a similar prohibition over New York City’s $83 billion in pension accounts.

More

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VJ Machiavelli


NO MORE SCHUMER

NO MORE PELOSI

NO MORE RANGEL

NO MORE ENGEL AND HIS MILLION DOLLAR HOME IN MARYLAND.

PS HANK MORRIS AND A 4 MILLION DOLLAR PLUS HOME IN EAST HAMPTON


HANK MORRIS SCHUMERS "BRAIN" MAKES NEWS AGAIN AND WHO PICKED DINAPOLI ?



NY bans placement agents

FT Alphaville - ‎

Amid a widening probe into possible kickbacks involving New York's pension fund, Thomas DiNapoli, the state's comptroller, announced Wednesday he was ...

Pension Funds Inquiry Turns to New York City Comptroller's Office

New York Times - ‎

By DANNY HAKIM Attorney General Andrew M. Cuomo's office said Wednesday that it would begin investigating the office of William C. Thompson Jr., ...

New York State Common bans all placement agents

PrivateEquityRealEstate.com -

The state's comptroller, Thomas DiNapoli, has banned the use of placement agents in investments with the $122bn pension, and has launched a review of ...

Comptroller, 'placement agent' ties raise questions Dan Janison

Newsday - ‎

New York's public scandal of the day boils down to whether and when "paid intermediary" means "bagman." New curbs announced Wednesday on "placement agents" ...

DiNapoli bans placement agents

EmpireStateNews.net -

ALBANY - State Comptroller Thomas DiNapoli Wednesday announced he has banned the involvement of placement agents, paid intermediaries and registered ...

DiNapoli establishes tighter state pension controls

Press & Sun-Bulletin - ‎

By Joseph Spector • Albany Bureau • April 22, 2009 ALBANY -- Amid ongoing investigations and indictments surrounding the state's pension fund, ...

NY state, city crack down on pension investments

The Associated Press - ‎

NEW YORK (AP) — Amid an expanding corruption investigation, top officials in Albany and New York City said Wednesday that they would bar lobbyists known as ...

DiNapoli Banning Middlemen from State Pension Fund

WNYC - ‎

by Lisa Chow NEW YORK, NY April 22, 2009 —New York State Comptroller Thomas DiNapoli says he's banning lobbyists and other middlemen from getting involved ...

New York Probes Placement Agents; State Issues Ban

Bloomberg - ‎

By Michael Quint and Karen Freifeld April 22 (Bloomberg) -- New York Attorney General Andrew Cuomo is investigating possible illegal conduct by placement ...

Lawmakers Call For An End To Pension System Middlemen

NY1 - ‎

With criminal investigations already underway into the handling of the state's pension system, Governor David Paterson said today he wants to permanently ...

Comptroller Bans Placement Agents For NY Pension Fund

Hedge Fund Net -

by Daniel Kiernan ,Reporter , April 22, 2009 New York Comptroller Thomas DiNapoli has a lot on his plate at the moment, so it is not totally surprising that ...

New York state bans middlemen for pension fund

Reuters - ‎

By Joan Gralla NEW YORK, April 22 (Reuters) - New York state has banned middlemen from helping money managers get hired to invest the $122 billion state ...

DiNapoli bans lobbyists from pension fund involvement

Bizjournals.com - ‎

State Comptroller Thomas DiNapoli has banned lobbyists and other “middlemen” from getting involved in the $121.9 billion state pension fund. ...

NY AG Probing Placement Agents For City Pensions

Wall Street Journal - ‎

By Chad Bray Of DOW JONES NEWSWIRES NEW YORK (Dow Jones)--New York Attorney General Andrew Cuomo said Wednesday that he's probing whether placement agents ...

NY pension bans placement agents

Financial News (subscription) - ‎

New York has banned companies that charge fees to get institutional mandates for asset managers from doing business with its state pension fund at a time ...

NYC comptroller bans agents in pension investments

The Associated Press -

NEW YORK (AP) — New York City's comptroller has joined state officials in saying he wants to ban lobbyists known as placement agents from soliciting ...

Comptroller Bans Lobbyists from Pension Investments

WNYC - ‎

NEW YORK, NY April 22, 2009 —New York Comptroller Thomas DiNapoli says he has banned middlemen and lobbyists from helping to steer investments from the ...

Cuomo To Probe City Pension Deal (Updated)

New York Daily News - ‎

AG Andrew Cuomo just released a statement announcing he is broadening his pension investigation to include the city retirement system at the request of ...

pension fund bans controversial middlemen

Crain's New York Business - ‎

Exploding pay-to-play scandal inspires state comptroller to end use of placement agents charging for access to pension billions. Gov., NYC comptroller chime ...

Intermediaries banned from NY state fund investments

Pensions & Investments - ‎

By John D'Antona Jr. April 22, 2009, 10:22 AM EST Placement agents, paid intermediaries and registered lobbyists are now barred from any involvement with in ...

DiNapoli Bans Pension Fund Middlemen

New York Times Blogs - ‎

By The New York Times Amid a widening investigation into possible kickbacks involving New York's pension fund, Thomas P. DiNapoli, the state's comptroller, ...

DiNapoli Bans Placement Agents from Touching Pension Fund

Village Voice - ‎

In the current environment, it makes sense that comptroller Thomas DiNapoli would want to be as squeaky-clean as possible. He was the first statewide ...

NY Takes Aim at Pension Agents

Wall Street Journal -

By CRAIG KARMIN, PETER LATTMAN and JENNY STRASBURG New York state said its public pension fund, one of the nation's largest, would ban the use of middlemen ...

====================================================================================

Who masterminded the selection and election of DiNapoli ?

This is ONE of the missing pieces in this puzzle.

Their were tens of Millions of dollars at stake. Hevesi was toast, but the very last thing they needed was for him to lose to Chris Callaghan.

So they called in all the IOU's. First Schumer came to his added, followed by Clinton then William Thompson and McCall, and bring up the rear was The Empire State Pride Agenda along with Suozzi and Spano as reported by David Saltnstall of the NY Daily News on 11/3/06, then on Sunday the Editorial Board endorsed Hevesi.they slamed Chris Callaghan calling him "A small-town government accountant, lacks the qualifications to be controller,most particulrly to mange ny $145 billion pension fund: HIS FITNESS DOESN'T RISE AS HEVESI DECLINES" Hevesi was also endorsed by the Albany Times "Useless" Hank Morris thru the kitchen sick and everything else he could find. It worked Hevesi WON, but in winning he also "LOST" they now had to line up a replacement WHO COULD THEY FIND ?

They found DiNapoli and they then Mastermind his election.


It is time DiNapoli comes clean and tells ALLLLLLLLLLLLL

the sooner they better.


VJ Machiavelli

Wednesday, April 22, 2009

HANK MORRIS SCHUMERS "BRAIN" AND STEVE RATTNER THE NEWS MAKERS

Hank Morris and Steve Rattner the Bonnie and Clyde of the Pension world


READ ALL ABOUT IT BELOW THEY ARE THE TALK OF THE TOWN


Quadrangle Is Facing Questions Over Pension Funds

New York Times - ‎

By LOUISE STORY Two months after Steven Rattner left Wall Street for Washington, his private investment company is facing a widening investigation into ...


New York's $122 Billion Quagmire

New York Times - ‎

For years there have been rumors about the way political operatives doled out investment opportunities with New York State's $122 billion pension fund. ...


New Mexico Governor Raised $197300 From Brokers, Investors

Bloomberg - ‎

By Martin Z. Braun and William Selway April 22 (Bloomberg) -- New Mexico Governor Bill Richardson's campaigns and political action committees received at ...


NY City probes Quadrangle

FT Alphaville - ‎

New York City's pension funds are probing whether private equity fund Quadrangle “intentionally misled” it about placement agents used to win pension fund ...


When Is a Fee a Bribe? By Henry J. Stern

Yonkers Tribune - ‎

Years ago, the number of violent crimes committed in New York was much greater than it is today. One could count on four to six murders each 24 hours in the ...


AROUND THE NATION More attention on auto figure

Houston Chronicle - ‎

New York City Comptroller William Thompson Jr. said Tuesday his office is investigating whether it and the city's pension funds were intentionally misled or ...


Rattner's Quadrangle Under Investigation In Kickback Scam

The Business Insider - ‎

Car Czar Steve Rattner's former firm, Quadrangle, is no longer just a cooperating witness in the New York retirement fund kickback scandal. ...


NY City probes if Quadrangle misled pension funds

Reuters - ‎

By Joan Gralla and Megan Davies NEW YORK (Reuters) - New York City's pension funds are probing whether private equity fund Quadrangle "intentionally misled" ...


Why Hasn't Cuomo Indicted Rattner?

Black Star News - ‎

By Edward Manfredonia Steven Rattner, the current leader of President Obama's task force on the auto industry is an oleaginous sycophant of the Sulzberger ...


NYC Comptroller To Probe Quadrangle-Morris Link

Competition Law 360 (subscription) - ‎

Law360, New York (April 21, 2009) -- New York City's comptroller has launched an investigation into whether the private equity firm Quadrangle Group LLC ...


Quadrangle Questioned on Pension Disclosure

Wall Street Journal - ‎

By CRAIG KARMIN and PETER LATTMAN The New York City comptroller said Tuesday it is conducting an internal investigation into whether private-equity firm ...


Obama Official Reportedly Tied to New York Corruption Case Also a ...

The Washington Independent - ‎

By Matthew DeLong 4/21/09 1:47 PM It looks like Gov. Bill Richardson's (DN.M.) troubles might be getting a bit worse. Richardson is currently entangled in a ...


If Steve Rattner's Scandal Sounds A Lot Like Bill Richardson's ...

TPMMuckraker - ‎

By Moe Tkacik - April 21, 2009, 11:24AM It may not be sexy like Kwame's sexting, or Larry's bathroom stall rendezvous, or Foggo's prostitutes in hot tubs, ...


New Mexico investment funds suspend Dallas equity adviser

Dallas Morning News - ‎

By BRENDAN CASE / The Dallas Morning News Two public investment funds from New Mexico have temporarily suspended their Dallas-based private equity adviser, ...


Questions for Obama's Car Czar

Daily Beast - ‎

Why did Quadrangle Group, run by Steven Rattner whom the president has chosen as the auto industry's fix-it man, have a subsidiary buy the DVD rights to ...


New Mexico pension fund suspends advisory relationship

Reuters - ‎

By Megan Davies NEW YORK (Reuters) - New Mexico's pension fund, which is taking a closer look at its investment partners in the wake of the New York pension ...


Obama aide's ex-firm paid fees on 4 pension investments: report

Reuters - ‎Apr 21, 2009‎

(Reuters) - A private equity firm formerly run by the leader of the Obama administration's auto task force paid finder's fees to the firm of indicted ...

======================================================

Folks remember this all started when Chris Callaghan who was running against Hevesi for Comptroller set up a hotline for tips in 2006 which lead to Hevesi resignation, and how where it will end is anybodies guess.


Just like in Watergate you have to "FOLLOW THE MONEY"

VJ Machiavelli


NO MORE SCHUMER

NO MORE PELOSI

NO MORE RANGEL

NO MORE ENGEL AND HIS MILLION DOLLAR HOME IN MARYLAND

ps Hank Morris has 4 million dollar plus home in East Hampton









Tuesday, April 21, 2009

HANK MORRIS SCHUMERS "BRAIN" AND STEVE RATTNER THE NEW BONNIE AND CLYDE ?

The Wall Street Journal
April 21, 2009

Former Firm of Obama Aide Tied to Pension-Fund Probe


By PETER LATTMAN and CRAIG KARMIN

The private-equity firm formerly run by Steven Rattner, who is leading President Obama's auto-industry bailout, paid finders fees to the firm of now-indicted political adviser Hank Morris on investments in more pension funds than previously reported, according to a lawyer for Mr. Morris's former firm.

The new disclosures concern investments by Quadrangle Group, Mr. Rattner's former firm, in funds in New York City and Los Angeles. Mr. Rattner left the firm earlier this year to take the post at the Treasury Department. Until now, only investments with New York State's fund, and a New Mexico fund, had been disclosed.

The New York attorney general indicted Mr. Morris last month on allegations of extracting from investment firms improper fees in exchange for investments from the New York state pension fund. Mr. Morris through his lawyer has said he denies the charges and is fighting them. His lawyer, William J. Schwartz, on Monday declined to comment.

Neither Mr. Rattner nor Quadrangle have been accused of wrongdoing, and Quadrangle has said it is cooperating with and isn't a target of the New York investigation, which is ongoing. There has been no allegation that fee arrangements in other public funds were on any front improper.

When Mr. Rattner was building his investment fund in 2005, Quadrangle paid fees to Searle & Co., Mr. Morris's then-employer, for an $85 million investment from the New York City Employee Retirement System and a $10 million investment from the Los Angeles Fire and Police Pension System, according to his former firm's lawyer and a person familiar with the matter.

Jeff Simmons, communications director for the New York City comptroller, which oversees the New York City fund, said Monday: "The New York City Comptroller's Office has no record of Hank Morris or Searle being an intermediary in any deal involving NYCERS (New York City Employee Retirement System) and Quadrangle." The Los Angeles fund wasn't reached for comment.

(More)

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Keep on following the money.

VJ Machiavelli


Monday, April 20, 2009

FROM NEW YORK TO NEW MEXICO SCHUMER'S "BRAIN" HANK MORRIS MAKES MONEY


  • WALL STREET JOURNAL APRIL 20, 2009

Pension-Deals Scrutiny Spreads

Indicted N.Y. Political Adviser's Firm Secured Business in Another State


By CRAIG KARMIN and PETER LATTMAN

A firm affiliated with Hank Morris, the political adviser indicted last month on allegations of extracting improper fees in exchange for investments from New York state's pension fund, helped investment firms secure business in at least one other state, according to people familiar with the matter.

Private-equity firms Quadrangle Group and Carlyle Group, whose names have already surfaced in connection with the alleged pay-to-play case involving New York's public pension fund, used the placement firm Searle & Co., with which Mr. Morris was affiliated, to get investments from a government-run fund in New Mexico, according to a spokesman for the New Mexico fund.

Neither Quadrangle nor Carlyle has been accused of wrongdoing and both have said they are cooperating with the New York investigation and aren't targets of it. Searle hasn't been accused of wrongdoing.

Separately, Mr. Morris or one of Mr. Morris's associates placed or tried to place other investment firms with government-run funds in California, New Jersey, Connecticut and New York City, according to a person familiar with the matter who declined to name the particular funds. Mr. Morris or his associates collected additional fees from investment firms in cases when they successfully secured those investments, the person said.

Mr. Morris's lawyer, William J. Schwartz, has said Mr. Morris is innocent and is fighting the charges, and that there was no fraud and no corruption on Mr. Morris's part. Mr. Schwartz on Sunday declined comment.

Placement agents typically perform a variety of client services, such as crafting marketing materials and investor presentations, to help firms win business with pension funds. A Securities and Exchange Commission complaint alleges that between Janaury 2003 and December 2006 Mr. Morris made more than $15 million in "purported placement and finder fees" but was "rarely, if ever, paid for providing legitimate finding or placement services."

The latest developments suggest that the reach of Mr. Morris or his associates extended beyond New York, where he had been chief fund-raiser for the state's former comptroller Alan Hevesi, who oversaw the pension. Mr. Hevesi hasn't been charged with wrongdoing in the matter.

Mr. Morris and the former deputy comptroller, David J. Loglisci, were arrested last month and charged in a 123-count state indictment that included money-laundering, enterprise-corruption and bribery charges. Mr. Loglisci's lawyer has called the accusations false. The New York Attorney General's office and the SEC allege that about 20 investment firms made payments in exchange for investments from the $122 billion New York State Common Retirement Fund. The investigation is ongoing.

After the Attorney General's office and SEC's charges were filed last month, the New Mexico State Investment Council asked investment firms to disclose if they used a placement firm or other outside broker to get business with the New Mexico fund, according to a council spokesman.

(More)

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Folks as I have said before this is bigger than Watergate, and always follow the money

VJ Machiavelli

Sunday, April 19, 2009

NO MORE DAVID X LI'S AND THEIR MANCHURIAN FORMULAS


BEWARE THE GEEKS

FORMULAS THAT FAILED WALL ST. ARE HEADED TO DC



By MICHAEL BARONE

BEWARE of geeks bearing formulas.

That's the lesson most of us have learned from the financial crisis. The "quants" who devised the risk models that induced so many financial institutions to buy mortgage-backed securities thought they had reduced risk down to zero.

Turns out they got a few things wrong. Their formulas were based on only a few years of actual data. Or they failed to take into account the possibility that housing prices would fall. Or that the market for mortgage-backed securities might suddenly stop functioning.

The lesson seems clear. Don't allow a whole system to become hostage to the workings of some geek's formula. Keep in mind the possibility that the real world might not behave as the formula indicates.

But, astonishingly, our society seems about to forget that lesson, just as it should have been learned. Congress is poised, at least if the Obama administration gets its way, to pass major new laws on carbon emissions and on health care whose success depends on geeks bearing formulas.

Consider carbon emissions. Carbon dioxide is a harmless gas, not a pollutant. But geeks bearing formulas tell us that increasing amounts of it will heat up the world's climate and cause catastrophic damage some decades hence.

Al Gore is so certain of this that he tells us all debate must end -- disagreeing is like denying the Holocaust. But the Holocaust happened, while the disasters that Gore predicts have not.

When you try to predict climate, you are dealing with even more factors and more unknowns than when you try to predict financial risk. Prudent people will want to hedge against some risks that seem possible. But imposing huge costs on the private-sector economy -- raising the price of electricity for everybody -- solely on the basis of some geeks' formulas seems, well, not prudent. But that's what Barack Obama tells us we must do.

Or consider health care. One element of proposed health-care reforms is restricting care to procedures that are indicated as optimal by "quality metrics." The Obama campaign called for comparative-effective research to produce such metrics. The problem, as Dr. Jerome Groopman of Harvard Medical School points out (though not in these words), is that the geeks keep producing different formulas.

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I agree NO MORE MANCHURIAN FORMULAS BY THE DAVID X LI'S OF THIS WORLD