Posted on 04/22/2005 5:36:55 AM PDT by OESY
Something has gone seriously awry when a state attorney general can go on television and charge one of America's best CEOs and most generous philanthropists with fraud before any charges have been brought, before the possible defendant has even had a chance to know what he personally is alleged to have done, and while the investigation is still under way.
In a recent nationally televised interview, New York Attorney General Eliot Spitzer issued serious allegations against former AIG CEO and Chairman Maurice "Hank" Greenberg. While it is the responsibility of the attorney general to prosecute cases in court, it is neither proper nor fair, and may be a violation of ethics, for a prosecutor to publicly air such charges under these circumstances. Mr. Spitzer's television appearances followed weeks of leaks from his office accusing Mr. Greenberg of wrongdoing. Those leaks and Mr. Spitzer's televised charges have damaged Mr. Greenberg's reputation.
Recent media reports have focused on the different treatment Warren Buffett and Hank Greenberg....
Mr. Spitzer's pursuit of renegade companies has earned him recognition and approval (including from me), but his increasingly relentless crusade against boards and senior executives, particularly when they are unfairly singled out because they have antagonized him, goes too far. These actions fuel recession, not growth. As New York continues its slow recovery from 9/11 we cannot afford to drive away corporate investment out of fear of corporate persecution by Mr. Spitzer....
I believe in scrupulous respect for the law and the highest ethical standards. I support efforts to hold corporations accountable and testified in Congress in support of the Sarbanes-Oxley bill. I often side with reformers. This time, however, Mr. Spitzer has gone too far. His actions are beginning to do more harm than good.
(Excerpt) Read more at online.wsj.com ...
Greenberg deserves to be investigated. Spitzer going on TV and alleging crimes that haven't yet been charged was grandstanding that shouldn't be tolerated from prosecutors either...despite their political aspirations.
Spitzer has been abusing his office in order to promote himself into higher office. Wall Street is the unfortunate target.
Spitzer is a EGO driven, LIAR and Cheat that will cause all good Businesses in New York City will LEAVE.
The City will have NO INCOME from business.
Spitzer has to be STOPPED !!
Yes, Greenberg's transactions deserve to be investigated. And, the New York State Insurance Department is the governmental body who is responsible for such an investigation. I doubt that the AG's office has the reinsurance technical expertise to handle the matter. The best they could ever do was to use threats and drum up publicity.
I would take exception to one point in the article - that is, questioning why Buffet was treated differently from Greenberg. The transaction itself was perfectly legal. Buffet's company accounted for it correctly. Greenberg's company may have accounted for it incorrectly. However, the accounting rules for suce deals are loose enough that Greenberg's accounting may have been acceptible after all. It certainly wasn't fraud.
"beginning to do more harm than good..."
I've been saying that from the beginning of Spitzer's crusade. It was obvious from the beginning that Spitzer was going to end up driving business away from NY. I've posted that several times.
No revelation here.
Let a Clinton croney steal national security papers from a national archieve and hear the WSJ go tut-tut. Let some Wall Street moneyman get in a self-dealing jam and the WSJ says, Stop the Presses !
They are both crooks....
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