Posted on 06/25/2013 7:37:30 AM PDT by fatboy
Jon Corzine to be hit with civil charges, report says
Former MF Global head Jon Corzine is expected to have civil charges filed against him, according to a report on NYTimes.com.
(Excerpt) Read more at nj.com ...
I predict a very long trial, followed by many appeals - of course Jon will be OR’ed during the process.
I would say that the final verdict will happen a couple of days after Jon dies of old age.
If we had a star chamber, this stuff would never happen.
There is a double standard, isn’t there?!
If not for double standards, the feral government would have no standards whatever.
“Only if it’s a Republican.
Then it merits the death penalty.”
The George W. Bush justice department prosecuted Ken Lay and other Enron executives. The same department prosecuted Jack Abramoff. it also named a special prosecutor to persecute Scooter Libby.
When the Democrats are in power, there is no criminal prosecution of their own politicians. We need only look at Corzine and Menendez as evidence not to mention tax cheats Charlie Rangels and Timothy Geithner.
However, we must remember that the George H. W. Bush justice department did fail to criminally prosecute Senator john McCain and the rest of the Keating 5 for influence peddling and likely accepting bribes. So Republicans don’t always go after their own. Given the disgrace McCain has become we could only wish he had been tried, convicted and sent to prison in the early 1990’s as he should have been.
He appears to have made false certifications under Sarbanes Oxley. Nothing particularly complicated in that because either making knowingly a false certification of compliance or negligence in making a required certification is a criminal act.
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Sen Charles Grassley (R-Iowa) is probing longtime Hillary Rodham Clinton aide’s employment status, asking how Huma Abedin got a sweetheart deal as a private six-figure consultant while at the State Department. Abedin is married to former Rep. Anthony Weiner, who’s in the NYC mayoral race. The two hauled in as much as $350,000 in outside income on top of Abedin’s $135,000 government salary after Weiner quit Congress over a sexting scandal.
Abedin was assigned “special government employee” status, and was able to haul in cash as a private contractor. One of her clients was Teneo Holdings, a consulting firm founded by Bill Clinton aide Doug Band.
Quoting from Teneo’s Web site, which calls the firm the “next chapter in strategic advisory,”
NOTE: Last Dec, a former MF Global employee accused former president Bill Clinton of collecting $50,000 per month through his Teneo advisory firm in the months before MFG careened towards its Halloween filing for Chapter 11 bankruptcy, reports Human Events.
Bill Clinton is the chairman of Teneo's advisory board.
Teneo was hired by MF Global’s former CEO Jon S. Corzine to improve his image and to enhance his connections with Clinton’s political family, said the employee, who asked that his name be withheld because he feared retribution, according to HE. The Teneo contract with MF Global lasted at least five months, the souce said. “The board cancelled it after Corzine resigned.”
The source, who is no longer associated with MF Global, said Teneo is a dual-track company with one side devoted to merchant and investment banking and the other side set up to provide image and strategy consulting services.
The trustee for investors later sued JPMorgan bank for return of about $450M that MFG had transferred to the bank.
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They need to mobilize the Bank Secrecy Act---in which banks are required to establish, implement and maintain programs designed to detect and report suspicious activity indicative of money laundering and other financial crimes.
The Bank Secrecy Act was enacted to protect the public from harm by identifying and detecting money laundering from criminal enterprises, terrorism, tax evasion or other unlawful activities.
L/E needs to examine Corzine and Clinton's bank accounts
<><> Joint bank accounts might be used to facilitate the transfer of of govt funds. MFG monies may pay for personal and private expenses, credit cards, real estate sunsidies and vehicle purchases.
<><> To cover their tracks, fake invoices might be created to show that money deposited into accounts was being used for legitimate investment purposes.
The scheme might be advanced by issuing phony statements of payments from financial sources that actually covered the transfer of funds for MFG insiders own use.
<><> L/E is directed to get ahold of: (1) copies of MFG checks, (2) wire transfers, (3) account statements, (4) invoices, (5) bills, (6) delivery tickets, (7) correspondence including e-mail, contracts, loan agreements, and, (8) any other books or records. L/E should also explore (a) monies paid to brokers, sub-brokers, (b) family members, (c) mortgage brokers, (d) financial managers, and, (e) real estate agents, brokers, and developers.
<><> L/E should scrutinize MFG bank accounts for suspicious activites: (A) large deposits, (B) funds transferred from one account into another, (C) frequent requests for withdrawals.
‘Bout Time!!
He’ll be on the next plane to Hong Kong...
OR
Moscow or Ecuador or Cuba or Iceland...................
This should be criminal!
I would add an H to the end of that....for HOURLY.
SOX is very complex. Corzine probably asserted that they have processes in place to comply. Well, they do have such processes.
A CEO cannot certify that some dishonest or careless person will not ignore or bypass these controls, because he has no way of stopping that before the fact. It is his job to insure that the processes exist and the employees are aware they are supposed to follow them.
Good, but he should have been indicted on criminal charges - and would have if the DoJ were not corrupt.
What the HELL took so long???
It is the height of perfidy to say that a sum of money that large can't be found. It is like saying the rubble field from an avalanche can't be found. It is so immense that its trail can't be hidden.
Who did VP Joe Biden say that he and barry thought of when they were in need of financial advice?Answer: John Corzine
¶Something wrong in your financial world... who you gonna call...John Corzine ..da. ..da.da.hu
His ignorance doesn’t matter. If he signed off that there were controls, and that is true, then he is not liable.
Now look at what actually happened. This woman Edith O’Brien did transfer customer funds. Alarms went off in the control systems within hours, indicating a problem. So it seems like they did have effective SOX accounting controls.
What he is accused of, however, is ‘failure to supervise’. That is extraordinarily vague, and very possibly unconstitutionally vague. He told everyone to follow proper accounting policies, but there is always a chance someone won’t. If the system sets off an alarm, it is his responsibility to look at the problem, which he apparently did.
It doesn’t really matter if his SOX certification was correct or not, because that it is not the subject of the suit. The subject is ‘failure to supervise’.
Now if you look at all the other ‘failure to supervise’ cases, they are brokerage houses that let their stockbrokers engage in a pattern of abuses. The customers complained, they should have known, but they looked the other way.
Now take the Corzine case. Up until that fatal Friday, Edith O’Brien had obeyed all the CFTC regulations. Corzine had no reasonable expectation that she would suddenly start transferring customer funds. When she did so, the accounting system immediately flagged it and everyone started investigating.
That is why I believe Corzine has a pretty strong defense against these particular accusatinos.
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