Bernanke, Paulson, Merkin---salivating to divvy up the taxpayers' billions. Americans have not yet learned the full extent of official corruption, thievery, schemes and scams involving $TRILLIONS of tax dollars aided and abetted by the dupes on Capitol Hill.
THE WHIFF OF MADOFF J, Ezra Merkin---ousted head of GMAC---got a $6 Billion taxpayer bailout---and was also feeding funds to Madoff from four investment vehicles he ran.
JUDGE MAY UNSEAL FILES Details of J. Ezra Merkin’s lies to investors could be laid bare in five crucial documents that detail what Merkin told investors, how much in fees he earned for "managing" investments via his $1.8B Ariel hedge fund invested with Madoff. Merkin’s lawyers claim details might put Merkin's so-called "sub managers and advisors" at risk. The documents include Merkin and his cohorts had with investors, that show Merkin promised to do due diligence and invest in a broad array of stocks. Despite such promises, Merkin simply handed the money over to his pal Bernie Madoff…. documents also include personal details that reveal how much Merkin's close advisors -- such as fund manager Victor Teicher got paid helping Merkin…..and details of the ongoing investigation into Merkin's affairs by NY AG Andrew Cuomo.
THE MERKIN STORY J. Ezra Merkin lives in a posh duplex at 740 Park Ave, Manhattan, known as the richest address in NYC. Merkin is the son of the late Hermann Merkin, a lion of Jewish philanthropy who gave millions to help build Yeshiva University, the Fifth Avenue Synagogue, and NYC's Merkin Concert Hall. Merkin's father was a director of the Israel Discount Bank of New York......this is the bank US investigators leaned on for money laundering misdeeds.
MERKIN'S CAYMAN ISLAND HEDGE FUND As GMAC chairman, J Ezra Merkin ran hedge funds as a sideline and was feeding funds into Madoff's operation (and pocketing hundreds of $millions in fees)-----Merkin's name is connected to 1) Ariel Fund, based in the Cayman Islands (an infamous money laundering haven--a partnership between Merkin and London's Fortis Bank), (2) Ascot Partners, (3) general partner of Gabriel Capital LP, a $5 billion family of hedge funds, and, (4) managing partner of Gotham Capital.
On April 6, 2009, New York Attorney General Andrew Cuomo filed civil fraud charges against J. Ezra Merkin alleging he "betrayed hundreds of investors" by moving $2.4 billion of clients' money to Bernard Madoff without their knowledge. The complaint states, he lied about putting the money with Madoff, failed to disclose conflicts of interest, and collected over $470 million in fees for his three hedge funds, Ascot Partners LP with Ascot Fund Ltd., Gabriel Capital Corp. and Ariel Fund Ltd. He promised he would actively manage the money, but instead, he misguided investors about his Madoff investments in quarterly reports, in investor presentations, and in conversations with investors. "Merkin held himself out to investors as an investing guru.......In reality, Merkin was but a master marketer."
Madoff depended on feeder funds to funnel investor deposits directly to him. In 2000, Merkin told investors in his Gabriel and Ariel funds that he was investing in distressed assets and bankruptcies when he actually transferred more than one third of each of those funds' money to Madoff.
Merkin's Ascot Partners formed in 1992, held $1.7 billion from 300 investors, and earned him $25.5 million per year by the end of December, 2008. He advised investors that only 15% of the fund was invested with Madoff. "Substantially all" of its assets went to Madoff, although he represented the contributions as only a 15% investment.
Merkin became embroiled in controversy when Ascot Partners investors were told of the connection in a letter faxed to them on December 11. Many of them were not aware or told of the connection to Madoff, and Merkin denied any connection to Madoff when asked by an investor. Merkin lied to a client that his investment was with Morgan Stanley, and protected.
BACKSTORY GMAC chair J Ezra Merkin and Chrysler's Stephen A. Feinberg (who also owns private equity firm---Cerberus Capital Management LP). The two partnered to buy Bank Leumi from the Israeli government for $500 million.
BAILOUT SWILLERS Stephen A. Fineberg's private equity firm---Cerberus Capital Management LP--- also owns Chrysler Motors. The US Treasury bought a $5 billion stake in GMAC, and lent $1 billion to GM. This latest loan is IN ADDITION to the $13.4 billion the US Treasury lent earlier to J Ezra Merkin's GM, and Fineberg's Chrysler.
SWILLING TIMELINE In 2006, GM sold 51% of Merkin's GMAC to Feinberg's private equity firm Cerberus Capital Management LP (which also owns Chrysler).
HOGGING AT THE PUBLIC TROUGH In May 2004, Feinberg's "private investment group," Cerberus Capital Management, LP (Cerebrus is the three-headed dog that guards Hades), became majority owner of IAP Worldwide Services, Inc, one of the US Army’s largest contractors in Iraq. In Afghanistan, Feinberg's IAP runs a drug/addiction center" in Kunduz---Kunduz is the largest opium supplier in the world. BUSY LITTLE BEAVER IAP also provides infrastructure support for the British Ministry of Defence in Kandahar....apart from supporting the US Army in Basra.
TIMELINE On October 19, 2006, John W. Snow, Secretary of the Treasury under George H.W. Bush, was named head of Cerebrus.
BAILED OUT AND STILL SWILLING Stephen A. Feinberg's IAP also serves a broad array of federal clients including the US DOD, NASA, the US Geological Survey, the US Agency for International Development, the IRS, and a variety of other federal agencies.
FEDERAL RESERVE INFO A FACTOR? Madoff's connections to J Ezra Merkin and Stephen Fineberg's company---Cerebrus---could also mean the connivers were stealing Federal Reserve insider info. Ex-Treasury Sect John Snow headed Cerebrus. Knowing Federal Reserves moves in advance would make zillions for the thieves...........on top of the billions they were swilling elsewere. These termites were running rampant allover the US government---Merkin and Feinberg's auto companies received billions in govt bailouts.
