Posted on 01/11/2002 5:31:22 PM PST by PhiKapMom
Friday January 11, 11:10 am Eastern Time
Enron's Lay called Greenspan in October
WASHINGTON, Jan 11 (Reuters) - Enron Corp.'s (NYSE:ENE - news) Chairman Kenneth Lay telephoned Federal Reserve Chairman Alan Greenspan on Oct. 26, a Fed spokesman confirmed on Friday.
The spokesman would not say what was discussed during the conversation but he did say that Greenspan did not follow up the call with any action.
``He did nothing in response to the call. It would have been inappropriate,'' the spokesman said.
The White House has said Lay called U.S. Treasury Secretary Paul O'Neill and Commerce Secretary Don Evans in the autumn. The White House said the two officials opted to do nothing about their calls.
The Justice Department on Wednesday announced it had opened a criminal investigation into the energy trading company, whose December bankruptcy threw thousands out of work, devastated investors and wiped out the pension plans of many employees when its stock price plunged.
Do you teach in the public schools?
Here's a couple of stories on Racicot:
New GOP Chairman Marc Racicot Mixes Politics and Profits
December 10, 2002
"President Bush's recent decision to name an active, registered lobbyist to head the Republican National Committee is a stunning metaphor about how power, money and hubris in Washington can dull the ethical judgment of an Administration that vowed to "restore honor and dignity" to the White House. It also provides a rare glimpse at the seamy side of our major political parties.
Former Montana Governor Marc Racicot is a registered lobbyist for the Houston law firm of Bracewell & Patterson, personally representing the controversial energy firm Enron, the American Forest and Paper Association, Burlington Northern Santa Fe, the National Energy Coordinating Council, the Recording Industry Association of America, and Quintana Minerals...
The Los Angeles Times reported in August that Racicot had lobbied Vice President Dick Cheney on behalf of the National Electric Reliability Council and his energy task force director, Andrew Lundquist, on the Environmental Protection Agency's attempts to require old plants to update their clean air equipment. The Cheney task force later recommended that the Justice Department consider dropping lawsuits it had filed against certain companies for alleged environmental violations. The Bush administration continues to stonewall requests to release information about the energy task force...
White House press secretary Ari Fleischer said, "There's been ample history on both the Democratic and Republican side of chairmen being involved in either lobbying or having outside sources of income."...
[Comment about Ron Brown, also connected to Enron]
...Now Racicot has unabashedly, publicly declared at the onset of his tenure as national party chairman that he will simultaneously, actively lobby for major corporate clients with business before the federal government. That is a first, even in ethically challenged Washington...
_________
Racicot often defended his continuing lobbying stance. Here's an article from January 10, 2002 where he changes his view. The article implies two-sided pressure. I think that's the cover, it more likely was the announcement of criminal investigations. Representing a company labelled connected to the word "criminal", and also running the party is a bit too much even for Washington.:
Racicot to Give Up Lobbying Work
Bush's Pick to Run RNC Yields to Criticism From Both Parties
Marc F. Racicot, President Bush's choice to chair the Republican Party, yesterday yielded to complaints from the political right and left by announcing he will no longer lobby on behalf of major corporations and interest groups.
If confirmed next week as chairman of the Republican National Committee, Racicot said, "I will not represent the interests of clients before the Congress or the administration." He said he will continue, however, to work for the Texas-based law firm Bracewell & Patterson, which has numerous Washington clients.
...His clients have included Enron Corp., which is now under congressional and Justice Department investigation; the Recording Industry Association of America, which is often engaged in disputes over violent or sexual lyrics and copyright issues; [!] and the National Electric Reliability Coordinating Council, an alliance of electric companies seeking to modify enforcement of the Clean Air Act....
As soon as you can tell me how any clear-thinking DemocRAT (oxymoron) can think that ENRON gave hundreds of thousands of dollars to Clinton by funnelling money from LIPPO Group, the RIADY's, the People's Liberation Army and more during the '96 campaign finance scandal.
But Lay called Treasury, Commerce and the Federal Reserve. He didn't call Justice. Not that we know of, anyway.
And Robert Rubin called Treasury, too. In behalf of Enron's banker...
You have certainly struck a nerve here...the truth is most painful for the deluded.
Those so quick to jump to the party line should take a moment to consider just how difficult this will be for the hard-working, long-time Enron employees who are nearing retirement...401(k) GONE...high paying job to finish paying off mortgage and putting kids through college GONE.
CAMPAIGN FINANCE REFORM, ANYONE?
Surely, you jest.
No matter who Enron or its creditors called, or how often, they didn't get any satisfaction, did they?
And that is the point of this here exercise. The Bush administration apparently acted ethically in every respect -- not offering a taxpayer-financed bail-out (unlike the prior administration with ICMH) nor affording any legal relief (unlike the prior administration with Loral Corp.).
Net/net: Enron is a giant financial scandal...if there is a political scandal, as well, it belongs to the prior administration.
Tell me, just how does the Enron fraud bear on "Campaign Finance Reform"?
How would "campaign finance reform" have kept the fraud from happening? And how would it impact the sentencing of Lay and his henchmen for criminal fraud?
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