Winnick's Voyage to the Bottom of the Sea (WSJ: Global Crossing)

The Wall Street Journal ^ | 20 March 2002 | ANDY KESSLER

[Petronski]

Those who forget history are doomed to testify before congressional committees, and the execs at Global Crossing Ltd. are the latest to earn that dubious distinction. Move over, Enron. Amid allegations of sales fraud and accounting irregularities, the House Financial Services Committee opens hearings today on the accounting practices of everyone's favorite fallen telecommunications giant.

[Petronski]

Paging mainstream media. Mainstream media, please pick up the red phone...

[Petronski]

But then to get out of his jam it appears that Global Crossing got really desperate. Enron-like, the company concocted fake revenues to appease the Street. Global Crossing swapped parts of its network capacity with other carriers like Qwest and EPIK Communications.

Desperation breeds criminality.

[Liz]

bump and ping

[Petronski]

Milken was a fabulous scumbag!

Yep, (prior to his bust) when it comes to being a scumbag, his work was fabulous and second-to-none.

Since then, he has done good work trying to redeem himself.

[Liz]

.....to get out of his jam it appears that GX got really desperate. Enron-like, the company concocted fake revenues to appease the Street. GX swapped parts of its network capacity with other carriers like Qwest and EPIK Communications. Each reported revenue immediately and wrote off the new expenses over 25 years. These transactions were cashless, with no economic value. Their accountants would never agree to that, would they? Arthur Andersen gave its blessing. Did Mr. Winnick order this, or was it his revolving door CEOs? Who knows, who cares? He ran the company and he's going down with the ship to where his cables lie on the ocean floor........

Aha. The criminal pump and dump stock scheme anointed by acct's Andersen even.
Except it looks like Winnick was pumped, and now he's gonna get dumped. LOL

[eureka!]

"Paging mainstream media. Mainstream media, please pick up the red phone"

My thoughts too. But for the WSJ and few others, GX would just be a bankruptcy. The Clymers in the lamestream presstitution racket, however, don't care because it does not tarnish W or pubbies. To the contrary, it is the Rats and they are on the same side...

[gaspar]

The Qwest connection is interesting. It is a corportation whose service is so miserable that if anyone in Congress opens that can of worms they will find it full of snakes.

[eureka!]

I don't know about Qwest but I do know that GX stinks to high heavens. Oh, that the truth may out....

[d14truth]

A nice piece. Spreads out most of the 'cans' for all those who would open them to find the 'worms'.

[Grampa Dave]

Which senator's wife is this babe? Is it Dodd's wife?:

In 1999, Mr. Winnick hired an ex-Justice Department antitrust biggie and wife of a senator, Anne Bingaman, and paid $2.5 million over six months to do anti-antitrust work to lobby away competition.

[d14truth]

Anne Bingaman is the wife of Sen. Jeff Bingaman of New Mexico.

[d14truth]

Dodd's wife is ex-EXIM bank official Jackie Clegg.

[Liz]

.......lot of creepy crawlies in there......

[Grampa Dave]

I guess that if you want to strike it rich as a senator, you need a wife like Da$$holes, Dodd's or Bingham's or a hubby like ChiFi's!

Everyone of these Rat wives and hubby's should be investigated to see how many millions (billions re Blum/ChiFi's sweetie) they have made since their Senator Spouse became Senator.

Thanks as usual!

[Liz]

.....if you want to strike it rich as a senator, you need a wife like Da$$holes, Dodd's or Bingham's or a hubby like ChiFi's! Everyone of these Rat wives and hubby's should be investigated to see how many millions (billions re Blum/ChiFi's sweetie) they have made since their Senator Spouse became Senator.

These shysters turned the US into a banana republic....with relatives on the gubmint payroll or profiting from it.....

[Grampa Dave]

Actually the big money is not being on the government payroll. It is best to be married to a senator and use his/her influence for extortion or to collect big money for influencing your pillow mate!

I think ChiFi spent like 20 million in her last election, of which a lot was her hubbie's money. Blum's money to re elect the Scarf ChiFi was just a business investment in his most valuable asset, his wife a US Senator.

[Liz]

Amazing isn't it? Spouses using their connections to do deals? If the Pubbies do it,
it's deemed unethical. Don't see the LA Times getting into a snit about ChiFi do you?

Profit-making aside, being a Senator's spouse on the gubmint payroll, usurping jobs, key
positions, and benefits (like Dodd's wife) to me is so Argentina-ish (and all the corruption that
country stands for). It shuts out the ordinary citizen and empowers the elected official unduly.

[spald]

. . . "Figuring he'd need them down the line, Mr. Winnick enticed union leaders and heavyweights in the Democratic Party, most notably Terry McAuliffe, now chairman of the Democratic National Committee, to invest early and often."

Very nicely constructed sentence.

[spald]

ping