Friday, September 26, 2008

And This is Why Skelos' Judgement Cannot be Trusted

As AIG was collapsing 10 days ago, Dean Skelos went on the attack blaming Eliot Spitzer for the companies demise. Skelos said that because Spitzer went after the corruption of Wall Street fat-cats, “What Spitzer did is costing our pension system right now about $700 million. Those were his head-hunting days, and unfortunately his head-hunting days are costing our pension system.”
Yes Dean, going after former AIG boss Maurice Greenberg was the reason AIG made huge mistakes. But Greenberg is a big GOP donor so as AIG was falling apart, Skelos wanted to bring him back "He has credibility with Wall Street, he has credibility with investors, and it’s his baby. Nobody knows their kid better than a parent.”
Newsday's Spincycle had to remind Skelos that "Greenberg, this very month, agreed to a $115 million settlement of a shareholder suit brought against him and other former execs that alleged they diverted $1 billion in assets from AIG to CV Starr, a company they controlled?
Does he, by chance, realize that Greenberg was just deposed in a civil fraud case that is being pursued by new AG Andrew Cuomo, the very guy whose fairness Joe Bruno used to regularly praise? A case that, according to the WSJ, focuses on accounting irregularities and charges of improperly "polishing" AIG's results?"

And now what does Greenberg do after AIG is bailed out by taxpayers to the tune of $85billion? "Former American International Group Inc. chief executive Maurice "Hank" Greenberg intends to sell his AIG stock, according to a regulatory filing on Thursday."
Greenberg is going to profit off of the bailout.
What would have been worthless is being propped up by the taxpayers and Greenberg who owns 10% of the company is walking away from the mess.
What a guy.

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