Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

WSJ: Mr. Spitzer Has Gone Too Far - Post-9/11 NY cannot afford to drive away corporate investors
Wall Street Journal ^ | April 22, 2005 | JOHN C. WHITEHEAD

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 ...


TOPICS: Business/Economy; Crime/Corruption; Editorial; Government; News/Current Events; Politics/Elections; US: New York
KEYWORDS: buffett; corruption; govwatch; greenberg; spitzer
Mr. Whitehead, former chairman of Goldman, Sachs, is chairman of the Lower Manhattan Development Corp.
1 posted on 04/22/2005 5:36:58 AM PDT by OESY
[ Post Reply | Private Reply | View Replies]

To: OESY
Former AIG CEO and Chairman Maurice "Hank" Greenberg has made some decisions that warrant investigation...
2 posted on 04/22/2005 5:39:09 AM PDT by 2banana (My common ground with terrorists - They want to die for Islam, and we want to kill them.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: 2banana
Former AIG CEO and Chairman Maurice "Hank" Greenberg has made some decisions that warrant investigation.

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.

3 posted on 04/22/2005 5:46:28 AM PDT by PBRSTREETGANG
[ Post Reply | Private Reply | To 2 | View Replies]

To: OESY

Spitzer has been abusing his office in order to promote himself into higher office. Wall Street is the unfortunate target.


4 posted on 04/22/2005 5:51:19 AM PDT by lowbridge
[ Post Reply | Private Reply | To 1 | View Replies]

To: lowbridge

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 !!


5 posted on 04/22/2005 6:09:20 AM PDT by Zenith
[ Post Reply | Private Reply | To 4 | View Replies]

To: 2banana

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.


6 posted on 04/22/2005 6:12:58 AM PDT by december12
[ Post Reply | Private Reply | To 2 | View Replies]

To: OESY

"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.


7 posted on 04/22/2005 7:07:19 AM PDT by Brilliant
[ Post Reply | Private Reply | To 1 | View Replies]

To: lowbridge

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 !


8 posted on 04/22/2005 7:11:14 AM PDT by Eric in the Ozarks
[ Post Reply | Private Reply | To 4 | View Replies]

To: OESY

They are both crooks....


9 posted on 04/22/2005 10:04:51 AM PDT by BurbankKarl
[ Post Reply | Private Reply | To 1 | View Replies]

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson