Richard Brodsky for AG?

by: Roatti

Wed Oct 07, 2009 at 00:31:27 AM EDT

Assemblyman Richard Brodsky dismissed criticism of the Assembly's process for rejecting congestion pricing, arguing that, "[i]n this case, the issue was so important that the conference substituted for a committee meeting. It was a committee of the whole, as it were."

Students of government will pick up on the problem right away--a traditional "committee of the whole" functions as a forum for debate for the whole legislative body. By excluding minority members and the public from the conversation, the Assembly's treatment of congestion pricing was almost exactly the opposite of a committee of the whole. Since when is it a good idea to make the most important debates the most secret?

BREAKING: Cuomo Says 15 Of 20 Top AIG Bonus Recipients Are Giving Them Back

by: phillip anderson

Mon Mar 23, 2009 at 18:03:29 PM EDT

UPDATE: Here we go:

9 Of Top 10 AIG Execs To Give Back Bonuses
In Addition, N.Y. Attorney General Cuomo Announces That 15 Of Top 20 Give Back Funds Equaling $30 Million

The insurance giant came under scrutiny last week after it was revealed that company executives were scheduled to receive more than $165 million in bonuses following a taxpayer bailout.

In all 15 of the top 20 bonus recipients have agreed to give back the money, which equals approximately $30 million.

AIG Coughs Up Bonus Names To Cuomo

by: phillip anderson

Thu Mar 19, 2009 at 17:00:41 PM EDT

I have received the list of AIG FP employees who received retention payouts. Mr. Liddy testified in Congress yesterday that he intended to comply with our subpoena and expressed concern for employee safety. Mr. Liddy has in fact now complied with the subpoena. We are aware of the security concerns of AIG employees, and we will be sensitive to those issues by doing a risk assessment before releasing any individual's name. The Attorney General's Office is a law enforcement agency and is experienced in making these assessments.

As we perform our review, we will simultaneously be working with AIG over the next few days to determine which employees received payments and which chose to return the money they received.

The Attorney General's Office will responsibly balance the public's right to know how their tax dollars are spent with individual security, privacy rights, and corporate prerogative.

At this moment, with emotions running high, it is important that we proceed diligently, with care, reflection, and sober judgment. We thank AIG for their compliance.

And for those looking for the New York political dimension in all this, I think it is simply that our current governor can't compete with this. Cuomo is following in Spitzer's footsteps here, becoming the new sheriff of Wall St. He's getting national attention for taking the least popular people in the world right now to task.

Paterson is stuck trying to craft a budget and save the MTA.

No way Paterson can hang with this.  

Breaking: Cuomo Subpoenas AIG Over Bonuses

by: phillip anderson

Mon Mar 16, 2009 at 16:44:36 PM EDT

Here we go:

New York Attorney General Andrew Cuomo has issued a subpoena to American International Group Inc. seeking a list with the names of executives receiving bonuses.

"We had given AGI up to 4 o'clock today to provide the information on the latest round of bonuses that they paid out," Cuomo said. "Four o'clock has come and gone."

Andrew Cuomo To AIG: Provide Bonus Info By 4PM Today, Or It's Subpoena Time

by: phillip anderson

Mon Mar 16, 2009 at 13:03:04 PM EDT

Dear Mr. Liddy:

The Office of the New York Attorney General has been investigating compensation arrangements at AIG since last Fall. We were disturbed to learn over the weekend of AIG's plans to pay millions of dollars to members of the Financial Products subsidiary through its Financial Products Retention Plan. Financial Products was, of course, the division of AIG that led to its meltdown and the huge infusion of taxpayer funds to save the firm. Previously, AIG had agreed at our request to make no payments out of its $600 million Financial Products deferred compensation pool.

We have requested the list of individuals who are to receive payments under this retention plan, as well as their positions at the firm, and it is surprising that you have yet to provide this information. Covering up the details of these payments breeds further cynicism and distrust in our already shaken financial system.

In addition, we also now request a description of each individual's job description and performance at AIG Financial Products. Please also provide whatever contracts you now claim obligate you to make these payments. Moreover, you should immediately provide us with a list of who negotiated these contracts and who developed this retention plan so we can begin to investigate the circumstances surrounding these questionable bonus arrangements. Finally, we demand an immediate status report as to whether the payments under the retention plan have been made.

We need this information immediately in order to investigate and determine: (l) whether any of the individuals receiving such payments were involved in the conduct that led to AIG's demise and subsequent bailout; (2) whether, as you claim, such individuals are truly required to unwind AIG Financial Product's positions; (3) whether such contracts may be unenforceable for
fraud or other reasons; and (4) whether any of the retention payments may be considered fraudulent conveyances under New York law.

Taxpayers of this country are now supporting AIG, and they deserve at the very least to know how their money is being spent. And we owe it to the taxpayers to take every possible action to stop unwarranted bonus payments to those who caused the AIG meltdown in the first place.

If you do not provide this information by 4:00 p.m. today, we will issue subpoenas and seek, if necessary, to enforce compliance in court.

Andrew M. Cuomo

Attorney General of the State of New York

Good on Mr. Cuomo. Enough is enough.

UPDATE: Apparently, Cuomo wasn't just blowing smoke. He pulled the trigger on that subpoena.

NAMBLA Hates Cuomo

by: phillip anderson

Mon Mar 09, 2009 at 10:31:10 AM EDT

A $10,000 internet bounty was placed on Attorney General An drew Cuomo's head by a suspected agent of the North American Man/Boy Love Association, The Post has learned.

The shocking death threat by the infamous organization of pederasts was posted three weeks ago on an Internet news-group bulletin board that originated in The Bronx, law-enforcement sources said.

The threat, described by a source as "unprecedented" because it is believed to come from an organization, prompted a sweeping and ongoing criminal probe by the Attorney General's Office and at least one other law-enforcement organization, and subpoenas were issued, sources said.

The "reward" was offered under the headline: "$10,000 to shoot Andrew Cuomo in the face!"

"I am an official of NAMBLA, and I can confirm that we have raised the cash to reward any individual who manages to accomplish this task. Thank you," read the message, a transcript of which was obtained by The Post.

The message, which investigators have linked to an imprisoned pervert with strong NAMBLA ties - and whom Cuomo's office is seeking to keep behind bars under a "civil commitment" law - was spotted by a citizen who brought it to the attention of Verizon, his Internet service provider. Law-enforcement sources declined to reveal the imprisoned man's identity.

But an informant connected to the man's case told investigators NAMBLA is, in fact, out to kill Cuomo, sources said.

"He said he believes the death threat on the Internet is connected to an effort by NAMBLA to kill the attorney general," an investigative source said.

"It is our understanding that people in the, and I hate to call it this, 'pedophile community' are angry at Cuomo's office because he's been making the [Internet service providers] take responsibility for policing child pornography - and he's been very aggressive in seeking to keep NAMBLA types behind bars through civil commitment."

Talk about being able to pick your enemies...

Bank Of America, Thain Tell Cuomo To Pound Sand

by: phillip anderson

Mon Feb 23, 2009 at 15:12:24 PM EST

Andrew Cuomol rightly decided to look into this naked larceny last month. Apparently, Thain and BoA have decided to tell our Atorney General to stuff it.

New York State Attorney General Andrew Cuomo filed a motion Monday asking former Merrill Lynch Chief Executive John Thain to provide more information about bonuses paid out on the eve of the bank's merger with Bank of America last year.

Cuomo's office alleges that Thain is not answering the questions under instructions from Bank of America, and as a result, the bank is interfering with its investigation of the bonus payments.

In a deposition last week, Thain refused to answer questions about how the bonuses were determined for certain individuals, citing instructions from Bank of America attorneys.

...

Two weeks ago, Cuomo accused Merrill Lynch of "secretly" accelerating bonus payments last year and giving at least $1 million to each of nearly 700 employees, even as the brokerage was amassing billions of dollars in losses.

The bonuses stirred controversy because Merrill's  bigger than expected loss prompted Bank of America to seek more government bailout money to complete the acquisition. The government agreed to give Bank of America an additional $20 billion in January to absorb Merrill, which Bank of America agreed to buy last September amid the credit crisis.

Cuomo's office is focusing on allegations that the timetable for the bonus approval was accelerated given the $15 billion fourth-quarter loss at Merrill, sources said.

They'll take our money, but not our questions.

Cuomo Subpeonas Man Who Stole $4 Billion Dollars From You

by: phillip anderson

Tue Jan 27, 2009 at 14:05:34 PM EST

The New York attorney general on Tuesday issued subpoenas to former Merrill Lynch chief executive John Thain and Bank of America's chief administrative officer, J. Steele Alphin, amid an investigation into bonuses Merrill paid executives just before being sold to Bank of America.

Thain, 53, was serving as the head of the newly combined company's wealth management division before he resigned last week. The resignation came shortly after reports surfaced that billions of dollars were paid to Merrill executives in late December.

Those bonuses were paid as Merrill was about to report a $15 billion fourth-quarter loss, and while Bank of America was seeking more federal funds to help it absorb the mounting losses at the New York-based investment bank.

Attorney General Andrew Cuomo's investigation will center on trying to determine why the timetable for paying the bonuses was moved up to December from its normal period in January; who knew about the bonuses; and how Merrill could justify spending billions of dollars on bonuses knowing its was on the brink of reporting a multibillion loss for the quarter, a person familiar with the probe told The Associated Press. The person spoke on condition of anonymity because the investigation is ongoing.

At first glance, this looks like nothing more than simple theft, albeit on a rather grand scale. Thieves should go to prison.

Cuomo Targeting School Districts' Lawyers For Benefits Scam

by: robert.harding

Thu Apr 10, 2008 at 13:36:54 PM EDT

Now his investigation has taken a statewide turn.

From Capital Confidential:

Cuomo today said he's subpoenaed multiple law firms and school districts upstate, as part of his previously-promised plan to expand the probe beyond Long Island, where the abuses first turned up earlier this year.

So far, the AG has turned up more than 90 lawyers, including 70 upstate who may have abused the system.
The investigation now entails more than 180 school districts including 150 upstate in counties such as Albany (including the greater Capital Region), Broome, Delaware, Erie, Madison and Monroe.

Cuomo made it clear that many of these cases are far more than a simple misunderstanding about who should or shouldn't be on the state pension system. Some of them could entail outright fraud, which could bring commensurate criminal charges.

"It is egregious conduct, and there is no excuse for the fact that it went on as long as it did .... If I were a taxpayer, I'd be offended ... I am offended, by the way, I am offended," he added, noting that, he too, is a taxpayer.

While the list of possible abusers is long, the money involved is big. One lawyer may have already collected more than $700,000 in state benefits and another already retired, collected benefits and died in what Cuomo said was a vast "scam" that's gone on for years.

I am certain that many people will be offended by this. Here is what Cuomo said in the press release:

"Ensuring the highest standards of public integrity is of paramount concern to my office and to this State," said Attorney General Cuomo.  "State resources should never be expended on those who are not legally entitled to receive them.  We are talking about lawyers well versed in employment statutes who know that 'business as usual' is no excuse for breaking the law.  In many instances, these were not simple misunderstandings but repeated acts of fraud.  My office is committed to rooting out this problem and protecting the public from abuses like these in the future."

This is an important investigation. It is fraud like this that needs to be squashed.  

Cuomo investigating health insurers

by: robert.harding

Wed Feb 13, 2008 at 20:14:38 PM EST

Attorney General Andrew M. Cuomo today announced that he is conducting an industry-wide investigation into a scheme by health insurers to defraud consumers by manipulating reimbursement rates.   At the center of the scheme is Ingenix, Inc., the nation's largest provider of healthcare billing information, which serves as a conduit for rigged data to the largest insurers in the country.  

Cuomo also announced that he has issued 16 subpoenas to the nation's largest health insurance companies including Aetna (NYSE: AET), CIGNA (NYSE: CI), and Empire BlueCross BlueShield (NYSE: WLP), and that he intends to file suit against Ingenix, Inc, its parent UnitedHealth Group (NYSE: UNH), and three additional subsidiaries.

The six-month investigation found that Ingenix operates a defective and manipulated database that most major health insurance companies use to set reimbursement rates for out-of-network medical expenses. Further, the investigation found that two subsidiaries of United (the "United insurers") dramatically under-reimbursed their members for out-of-network medical expenses by using data provided by Ingenix.  

Under the United insurers' health plans, members pay a higher premium for the right to use out-of-network doctors.  In exchange, the insurers promise to cover up to 80% of either the doctor's full bill or of the "reasonable and customary" rate depending upon which is cheaper.  

The Attorney General's investigation found that by distorting the "reasonable and customary" rate, the United insurers were able to keep their reimbursements artificially low and force patients to absorb a higher share of the costs.

This is huge and very important. It's also very coincidental for a situation with my family. My mother was admitted to the hospital a few months ago for an issue with her stomach. She ended up getting a bill from Blue Cross & Blue Shield that didn't add up. My father, being a former insurance man himself, smelled a rat. He has submitted the information to, among other agencies, the AG's office. Sounds like it's in good hands. REAL good hands.

The Times-Union also has the scoop:

"I believe it involves a fraud in the hundreds of millions of dollars and affects thousands and thousands of families," Cuomo said. "That's what this investigation is about today." He said the practice and what he called conflicts of interest have gone on for nearly a decade.

"We will continue to cooperate fully," stated UnitedHealth Group in a statement about Cuomo's investigation.

Cuomo's investigation focused on the "reasonable and customary" rate that UnitedHealth used, but which investigators claim was kept artificially low, resulting in profit for the company and unnecessary cost for consumers.

"When insurers like United create convoluted and dishonest systems for determining the rate of reimbursement, real people get stuck with excessive bills and are less likely to seek the care they need," Cuomo said.

His investigators claim UnitedHealth manipulated data and even lied that its reimbursement rates were based on national research.

This is good news. Health insurance companies are a part of the problem, not the solution. Practices like this must stop.  

Speaking of Mukasey...

by: phillip anderson

Mon Nov 05, 2007 at 15:22:54 PM EST

Dean on Mukasey

As the Senate Democrats complete another sad concession to President Bush, and confirms a nominee who refuses to declare "water-boarding" torture, allow me to offer a brief historical reminder: the Senate Judiciary Committee has conspicuously forgotten that there are direct situational and historical parallels with Judge Mukasey's nomination to be Attorney General and that of President Richard Nixon nominating Elliot Richardson to be Attorney General during Watergate.

Nixon's Attorney General had been removed (and was later prosecuted for lying to Congress) - a situation not unlike Alberto Gonzales's leaving the job under such a cloud. Nixon was under deep suspicion of covering up the true facts relating to the bungled break-in at the Democratic National Committee headquarters at the Watergate, not to mention widespread rumors that he had engaged in abuses of power and corrupt campaign practices. Today, Bush is under even deeper suspicion for activities far more serious than anything Nixon engaged in for there is evidence Bush has abused the laws of war, violated treaties, and ordered (or approved) the use of torture and political renditions, which are war crimes.

Since Judge Mukasey's situation is not unlike that facing Elliot Richardson when he was appointed Attorney General during Watergate, why should not the Senate Judiciary Committee similarly make it a quid pro quo for his confirmation that he appoint a special prosecutor to investigate war crimes? Richardson was only confirmed when he agreed to appoint a special prosecutor, which, of course, he did. And when Nixon fired that prosecutor, Archibald Cox, it lead to his impeachment.

Before the Democrats on the Senate Judiciary Committee completely cave-in to Bush, at minimum they should demand that Judge Mukasey appoint a special prosecutor to investigate if war crimes have been committed. If Mukasey refuses he should be rejected. This, indeed, should be a pre-condition to anyone filling the post of Attorney General under Bush.

If the Democrats in the Senate refuse to demand any such requirement, it will be act that should send chills down the spine of every thinking American.

Indeed.

Schumer Caves on Mukasey

by: phillip anderson

Fri Nov 02, 2007 at 17:41:21 PM EDT

This afternoon, I met with Judge Michael Mukasey one more time. I requested the meeting to address, in person, some of my concerns. The Judge made clear to me that, were Congress to pass a law banning certain interrogation techniques, we would clearly be acting within our constitutional authority. And he flatly told me that the President would have absolutely no legal authority to ignore such a law, not even under some theory of inherent authority under Article II of the Constitution. He also pledged to enforce such a law and repeated his willingness to leave office rather than participate in a violation of law.

Chuck, these assurances and $4.50 will get you a flippin' mochachino.

What Say You, Schumer?

by: phillip anderson

Fri Nov 02, 2007 at 14:37:26 PM EDT

"I like Michael Mukasey," the Senate Judiciary Chairman says. "I wish that I could support his nomination. But I cannot."

What will Schumer do?

Until yesterday, Schumer was ducking cameras rather than answer questions about Mukasey. And when he finally talked to reporters, it was clear why he'd been camera shy. He told reporters yesterday on a conference call that he's caught in a "substantive tough spot." And even during that call he vaulted back and forth on how he might vote:

  "From this administration, we will never get somebody who agrees with us on issues like torture and wiretapping," Schumer said at one point, suggesting an argument in favor of Mukasey, who faces a Senate Judiciary Committee vote on Tuesday. "The best thing we can hope for is someone who will depoliticize the Justice Department and put rule of law first."

  But Schumer said minutes later that his mind is not made up: "He's the best we can get, but that doesn't necessarily ensure a yes vote. I thought John Roberts was the best we could get, but I voted no."...

  "The question is whether he will show the requisite independence," Schumer said. "That's what I want to clear in my own head. . . . If Congress passes a law forbidding waterboarding, would he enforce that?"

Maybe you should ask him and maybe, if you feel as I do about the Mukasey nomination, You could tell him to vote "no."

In Washington:  202-224-6542
In NYC:  212-486-4430

Schumer's List

by: phillip anderson

Wed Aug 29, 2007 at 13:30:02 PM EDT

Several influential Democrats urged the White House to pick a consensus candidate to replace Gonzales, who announced on Monday his decision to resign after seven months of bitter confrontation with Congress. Sen. Charles E. Schumer (D-N.Y.), a prominent member of the Senate Judiciary Committee who was the first lawmaker to call for Gonzales's resignation early this year, said he was heartened by a courtesy call on Monday from White House counsel Fred F. Fielding. Schumer said he shared a list of potential candidates with the White House.

"We understand that we're not going to have the same ideological views as they do," Schumer said, referring to whomever is nominated by Bush. "But there are lots of people who would meet the requirements we have, which is to adhere to the rule of law above politics. . . . I think the majority of Democrats are interested in looking forward and solving things."

I can't imagine that the decider guy will give all that much credence to Schumer's picks, but I'm curious to know who the more lawyerly TAP readers might think is on that list. The one name I've heard more than any other is that of Michael Mukasey, the former chief judge for the Southern District of New York.

Andrew Cuomo: So Far, So Good

by: BrooklynRaider

Sun Feb 25, 2007 at 12:05:16 PM EST

But that's not all Cuomo's been up to. As the Rochester Democrat has noted, Cuomo is doubling the size of the Civil Rights Bureau "to more aggressively enforce employment discrimination laws, fight sexual harassment and address other issues such as consumer fraud and wage and hour laws" - and he has promised to loan lawyers to the Albany County D.A. in order to take on government corruption.

Meanwhile, he's aggressively investigating the Starrett City sale, preparing to sue the companies responsible for the Greenpoint oil spill - raising the prospect of justice in that case after 50 years of neglect, and taking steps to reign in member item funds abuse (well, arguably member items are inherently an abuse of taxpayer funds in any case, but that's for another time).

Cuomo Makes One Hell Of A Hire

by: phillip anderson

Fri Feb 23, 2007 at 11:40:19 AM EST

Cuomo Hires NYPIRG's Horner

Attorney General Andrew Cuomo said this morning he was hiring Blair Horner, the legislative director of the New York Public Interest Research Group, to run what he calls "project sunlight," an uber-database he proposed during his campaign that will track activity of lobbyists, donors, elected officials and special interests. Horner has been the dean of the good government groups in Albany and a go-to quote for Empire Zone and other members of the Fourth Estate, and his hiring will likely be seen as a pr win for the attorney general.

"In terms of public integrity we take a big step forward today," Mr. Cuomo said during a press conference with Mr. Horner. "You currently have a vast web of different disclosure databases," he said, adding, "you have a whole collage of databases but it doesn't really serve to inform the public."

Horner will also be a special advisor to Mr. Cuomo on policy matters.

This is really fabulous news for the reform movement in New York. Blair Horner is the real deal.

Friday Clippage: Pork Patrol Edition

by: phillip anderson

Fri Jan 05, 2007 at 10:01:23 AM EST

Cuomo Goes Pork Hunting

by: phillip anderson

Thu Jan 04, 2007 at 14:18:13 PM EST

Let loose the hounds!

Cuomo to Feast on Pork

The death watch continues for the member item system that proliferated in the Pataki era, as Attorney General Andrew Cuomo said this morning he will review the roughly 6,000 items sponsored by legislators this year "and seek to recover any misspent funds."

"The taxpayers of New York must be assured that their hard-earned dollars are used for legitimate public purposes-period," Mr. Cuomo said in a statement.