McAuliffe: My Stock Killing Critics Should 'Move to Cuba'

NewsMax.com ^ | 1/30/02 | Carl Limbacher and NewsMax.com Staff

[kattracks]

Democratic National Committee Chairman Terry McAuliffe said Tuesday he's happy he made millions on his relatively tiny investment in telecommunications giant Global Crossing before the company went belly-up this week, saying that those who don't like it should "move to Cuba or China.

"I invested in many companies, and I'm happy this one worked," the leading Enrongate critic explained to Fox News Channel's Shepard Smith.

Sounding like a born-again disciple of the free market, McAuliffe then told his critics to take a hike.

"This is capitalism. You invest in stock, it goes up, it goes down. You know, if you don't like capitalism, you don't like making money with stock, move to Cuba or China."

After investing a mere $100,000, Global Crossing's stock run-up netted the DNC chief a cool $18 million. But while McAuliffe got out while the getting was good, the vast majority of GC shareholders were wiped out.

The leading Democrat was a whole lot less cavalier when it came to the Enron collapse.

"The people out there who are hurt the most are the small people, and once again the wealthy special interests got to take their money off the table, and that's what we need to investigate," McAuliffe told CNN last week.

Read more on this subject in related Hot Topics:

Clinton Scandals
DNC
Enron

[VoodooEconomist]

Hey, if it was honestly earned, good for McAulife. Unlike RATs who are full of envy, I'm happy when I see others prosper.

With that said, it remains my contention that the RATs are like the French. They still don't think their own s**t stinks.

[Registered]

[First_Salute]

"This is capitalism. You invest in stock, it goes up, it goes down. You know, if you don't like capitalism, you don't like making money with stock, move to Cuba or China."

A statement which is not a good career move when trying to "lead" a progressive movement of the socialists by the socialists for the socialists in the name of the people.

[TLBSHOW]

LOL

[Pete]

In my opinion, this is your best work to date. LOL.

[First_Salute]

R'4

[gorush]

I hope this guy stays in front of the cameras as the face of the Democrat Party. He's just got a quality that will make most people neither believe nor trust him. ...definitely lizardlike.

[MortMan]

I wouldn't care if he made 180 million - but I do care that he (and others like him, abetted by the "lamestream media") are given carte blanche (you mentioned the French) to hypocritically accuse others of what they themselves do, with no mention of their own similar "transgressions".

It's a strange coincidence, methinks (not), that any questioning of a liberal end up being returned via personal attacks against the questioner - exactly what they accuse conservatives of doing. Ad hominem ad nauseum, as it were...

[kattracks]

He's thow cute.

[SpinyNorman]

"The people out there who are hurt the most are the small people, and once again the wealthy special interests got to take their money off the table, and that's what we need to investigate," McAuliffe told CNN last week.

Okay, exactly how this is different from your situation? Sounds to me like McAuliffe is the "wealthy special interest" in the Global Crossing failure. Just switch the companies and players and the story is pretty identicle. And how, exactly, did he know when to bail out before GC's demise?

What did you know, Mr. McAuliffe, and when did you know it? I demand to see the official records of all of his stock transactions!!!! Call Waxman!!!!

[anniegetyourgun]

Especially with the dissing of commie countries like Cuba and China. The libs are supposed to embrace those folks. Didn't he get the memo?

[truthandlife]

XXXXX DRUDGE REPORT XXXXX WED JAN 30 2002 10:36:09 ET XXXXX

INTRIGUE SURROUNDS $400 MILLION GOVERNMENT AWARD TO GLOBAL CROSSING

**Exclusive**

Last summer the Bush Administration canceled a Defense Department contract valued up to $400 million with the soon-to-be bankrupt GLOBAL CROSSING after question were raised about the bidding process -- a process top-level GOP insiders now suggest was sweetened by players from the previous administration!

GLOBAL CROSSING filed the 4th largest bankruptcy in history this week. Chairman Gary Winnick saw his stock fortune plunge to zero from a high of more than $5 billion.

During his run Winnick showered political players with cash and options, helping DNC head Terry McAuliffe turn a $100,000 stock investment into $18,000,000 in the late 1990s. Winnick gave a million dollars to help build Clinton's presidential library; hosted fundraising dinners for Senator Tom Daschle; gifted thousands of dollars to Rep. Henry Waxman and other key lawmakers on both sides of the aisle.

Six months before Winnick's stunning bankruptcy call -- the United States awarded GLOBAL CROSSING a massive contract, which called for an extensive phone and data network linking more than 6,000 scientists and engineers at far-flung defense test centers, laboratories, universities and industry locations.

The three-year fiber-optic contract, valued at $137 million for the initial phase and more than $400 million if the Defense Department exercised all options, was canceled just a month after it was awarded when serious question were raised about the bidding process.

"We think there's something smelly here," said Ray Bjorklund, vice president of Federal Sources Inc., a market research and consulting firm. "Something was wrong in the award."

Protests were lodged by AT&T CORP., QWEST COMMUNICATIONS INTERNATIONAL INC., SPRINT CORP. and WORLDCOM INC. after a lengthy bidding window, which began during the Clinton administration.

"Flags have been raised all over the place about GLOBAL CROSSING winning this deal," a top congressional source told the DRUDGE REPORT late Tuesday. "It sure looks like someone in high office wanted GLOBAL CROSSING from the git-go."

"The U.S. taxpayers sure are fortunate the Defense Department made a quick reversal," said the congressional source. "[However,] I sure would like to know how a company that was on the verge of bankruptcy got the contract! Spread a little money around? Give some cash to a presidential library, take some folks out to fancy dinners? That's all it took? We've got to take a look at this."

A finance executive at Winnick's CROSSING warned last August -- just weeks after the lucrative Defense Department contract was awarded -- how the company's financial condition was being enhanced with misleading accounting techniques.

The five-page letter, written by the former vice president of finance, contains a detailed analysis of deceptive accounting practices: including inflating revenue and cash-flow figures, numbers that may have helped convince investors and analysts that GLOBAL CROSSING was healthier than it was, the LOS ANGELES TIMES reported in Wednesday editions.

Eat your chart out, ENRON!

[Atlas Sneezed]

"This is capitalism. You invest in stock, it goes up, it goes down. You know, if you don't like capitalism, you don't like making money with stock, move to Cuba or China."

Don't tell Little Dick Gephart, who is afraid we will "gamble away" our money in the stock market.

[VOA]

McAuliffe: My Stock Killing Critics Should 'Move to Cuba'

Wow!
I don't think I've heard a more "Repubican Fat-Cat" sort of statement than this.

McAuliffe must be hedging his bets with this sort of capitalism-booster statement!
He's laying groundwork to get a job with the GOP when the Democrats get ripped
in the elections of 2002.

[finnman69]

What a schmuck. I can't believe he said if you don't like it, move to Cuba. Classic.

I wonder how many memos he will get from the socialists in office now.

[OldFriend]

I am falling out of my chair.........McAuliff actually said.....'this is capitalism'?????????????????????after all the hysterical criticism of O'Neil when he said that Enron's failure was simply the result of capitalism!!!! I am speechless!

[finnman69]

Someone post this on DU. LOL. One of their own spouting the greatness of capitalism. ROFL.

[1Old Pro]

Hey, if it was honestly earned

Nice try!

[lasereye]

Okay, exactly how this is different from your situation? Sounds to me like McAuliffe is the "wealthy special interest" in the Global Crossing failure. Just switch the companies and players and the story is pretty identicle. And how, exactly, did he know when to bail out before GC's demise? What did you know, Mr. McAuliffe, and when did you know it? I demand to see the official records of all of his stock transactions!!!! Call Waxman!!!!

You can't compare this to Enron because McAuliffe isn't an insider in Global Crossing. I don't think the situations are equivalent at all.

However, if there was a prominent Republican who profited this way, McAuliffe, Waxman the media etc. would be suggesting that something was fishy about it, without saying specifically what. The Republicans don't use these tactics of innuendo, mainly because they respect people's intelligence.