Category: Corruption

Headline of the Day

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Michael Bloomberg decides to hold a gun to the head of American democracy

It’a an interesting, and probably accurate assessment, that Bloomberg is making an implicit threat to the Democratic Party: That if Sanders wins the nomination, then he will queer the general in favor of Donald Trump or Ted Cruz:

According to this morning’s New York Times, former New York Mayor Michael Bloomberg has decided that there are not enough billionaires trying to sway the outcome of the next presidential election: “If Republicans were to nominate Mr. Trump or Senator Ted Cruz of Texas, a hard-line conservative, and Democrats were to pick Mr. Sanders, Mr. Bloomberg—who changed his party affiliation to independent in 2007—has told allies he would be likely to run.”

………

Bloomberg’s intent is clear: He’s considering running not because he has a viable program he wants to promote, but because he wants to exercise a veto over the already existing parties—especially a veto over whom the Democrats pick. His gambit makes Sanders’s path to the White House much more difficult but also explains why Sanders’s campaign is necessary.

Yet another Wall Street narcissist throwing a tantrum.

Vote Sanders, and tell Michael Bloomberg to go Cheney himself.

Well, Isn’t That Special

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In response to a request for transcripts of her extremely well remunerated speeches to Goldman Sach is a dismissive laugh:

After Hillary Clinton spoke at a town hall in Manchester, New Hampshire, on Friday, I asked her if she would release the transcripts of her paid speeches to Goldman Sachs. She laughed and turned away.

Clinton has recently been on the defensive about the speaking fees she and her husband have collected. Those fees total over $125 million since 2001.

Her rival Democratic presidential candidate, Bernie Sanders, has raised concerns in particular over the $675,000 she made from Goldman Sachs, an investment bank that has regularly used its influence with government officials to win favorable policies

………

During one of her paid speeches to Goldman Sachs, Clinton reportedly reassured the crowd and told them that banker-bashing was unproductive and foolish, according to a Politico report based on accounts offered by several attendees.

………

When asked by the Des Moines Register on Thursday if she regretted her decision to make money from speaking to various interest groups, Clinton compared herself to President Barack Obama, noting that significant campaign donations from Wall Street did not stop him from passing the Dodd-Frank reform law.

But the Obama administration did in fact go easy on Wall Street by refusing to criminally prosecute the major financial institutions responsible for the 2008 economic crisis. And Dodd-Frank, many critics say, does not go far enough in preventing systemic risk.

Clinton does not want a transcript of that speech released.

It is almost certainly something that she does not want to see the light of day, because it almost certainly a declaration of common cause with the banksters.

I rather do hope that someone recorded a cell phone video of her speech.

The Tamir Rice Investigatation Gets Even Less Credible

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It turns out that the grand jury investigating the two officers who shot 12 year old Tamir Rice to death never even took a vote on whether to indict:

The grand jury that opted not to indict Cleveland police officers Timothy Loehmann and Frank Garmback in the shooting death of Tamir Rice never actually took a vote on the matter, according to the Cuyahoga County Prosecutor’s Office.

What actually happened in the most significant grand jury hearing in county history isn’t quite clear, and the mechanism by which the grand jury “declined to indict” — in Prosecutor Timothy McGinty’s own words — is equally unclear.

At the conclusion of a typical grand jury hearing, there are two possible outcomes achieved via vote: a “true bill,” which results in criminal charges and a case number in the court system, or a “no bill,” which is a decision not to bring charges. A “no-bill notification” is signed and stamped and kept on record at the county clerk’s office.

Though Cuyahoga County Prosecutor Timothy McGinty never explicitly said the grand jury voted not to indict — nor did he utter the phrase “no bill” — in his Dec. 28 press conference, he declared that that grand jury had declined to indict.

How, then, if not by voting?

After learning and confirming on Jan. 15 that there was no “no-bill notification” on file at the county clerk’s office for the Tamir Rice grand jury proceedings, Scene formally requested the document officially showing the decision, however it was reached, and wherever said document might be. We were told that it didn’t exist. Employees at both the clerk’s and prosecutor’s officers were unable to explain the lack of paperwork.

Tuesday, Scene spoke with Joe Frolik, the communications director for the Prosecutor’s Office, who said no no-bill record exists because, “it’s technically not a no-bill, because they didn’t vote on charges.”
He elaborated: “This was an investigative grand jury. This was kind of their role. Sometimes, a grand jury, after its investigation, will decide if there are no votes to be taken on charges.”
But how that decision was reached and the location of any record of that decision remain publicly unaccounted for. The term “investigative grand jury” appears nowhere in McGinty’s public statements and reports on the proceedings.

………

As for a case that went before a grand jury but didn’t result in a vote, [Law Professor Jonathan] Witmer-Rich said, “I’m not aware of an example…It could happen, I suppose, but I’ve never heard anyone talk about that.”
Professor Lewis Katz, a criminal law expert at the Case Western Reserve University School of Law, noted that investigative grand juries are ordinarily held in secret. In his view, the Tamir Rice grand jury was not investigative.

………

Reached Tuesday, Subodh Chandra, the local attorney for the Rice family, said that the whole process has been “irregular.” He said he and his team had asked the county if the grand jury members were led through each possible charge for a vote or whether there was one overarching vote on all charges, but never received an answer. When informed no vote of any kind took place, Chandra said: “If it is true that the prosecutor didn’t even call for an up or down vote on potential criminal charges, including aggravated murder, then it is truly the ultimate insult to the Rice family,” Chandra said, “that the prosecutor didn’t even think it mattered to bring the grand jury proceedings to their proper conclusion.”

Our system allows a lot of leeway for prosecutors to make decisions, so I don’t think that there is any call here for a criminal investigation, but the good people of Cleveland need to put a permanent end to this guy’s political career.

Not Unanticipated, but a Bummer None the Less

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Circuit Court Judge Barry Williams has rejected a request for a subpoena to compell Officer William Porter to testify against his co-conspirators on the Baltimore Police Force:

A Baltimore judge on Wednesday rejected prosecutors’ request to force an officer whose trial ended in a hung jury to testify against three of his fellow officers facing charges in the death of Freddie Gray.

Baltimore Circuit Judge Barry Williams refused the state’s motion to force William Porter to testify against Edward Nero, Garrett Miller and Lt. Brian Rice, who were the officers who initially arrested and detained Gray last April.

It was not until this month that prosecutors indicated that they wanted Porter to testify against the three officers. Previously, they identified him as a material witness only in the trials of two other officers, Caesar Goodson and Sgt. Alicia White.

………

Judge Williams ruled in December that Porter must testify against Goodson, despite Porter’s own pending retrial. Porter’s attorneys appealed to the Maryland Court of Special Appeals, which postponed Goodson’s trial until it decides whether to uphold or overturn the order. A hearing is scheduled for March 4.

Williams said he rejected the state’s request to compel Porter to testify against Nero, Miller and Rice because it would result in all of the officers’ trials being pushed back while the appeals court mulled whatever decision he made. Lawyers for the three officers had objected to pushing back their clients’ trials.

I really hope that the fix isn’t in.

A Little Justice ……… Not Enough, but a Little Justice

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The Pentagon is considering retroactively demoting David Petraeus for his mishandling of classified data and lying to investigators:

The defense secretary is looking to clamp down on misbehaving generals. Pentagon insiders say Petraeus could be the next general to face the consequences.

The Pentagon is considering retroactively demoting retired Gen. David Petraeus after he admitted to giving classified information to his biographer and mistress while he was still in uniform, three people with knowledge of the matter told The Daily Beast.

The decision now rests with Secretary of Defense Ash Carter, who is said to be willing to consider overruling an earlier recommendation by the Army that Petraeus not have his rank reduced. Such a demotion could cost the storied general hundreds of thousands of dollars—and deal an additional blow to his once-pristine reputation.

“The secretary is considering going in a different direction” from the Army, a defense official told The Daily Beast, because he wants to be consistent in his treatment of senior officers who engage in misconduct and to send a message that even men of Petraeus’s fame and esteemed reputation are not immune to punishment.

Pentagon spokesperson Peter Cook told The Daily Beast that Carter had requested the information ex-Army Secretary John McHugh had when he made his recommendation on the matter, before reaching a final decision. McHugh had recommended taking no action against Petraeus.

“The Department of the Army is still in the process of providing the secretary with information relevant to former‎ Secretary McHugh’s recommendation,” Cook told The Daily Beast. “Once the secretary‎ has an opportunity to consider this information, he will make his decision about next steps, if any, in this matter.”

………

Reducing Petraeus’s rank, most likely to lieutenant general, could mean he’d have to pay back the difference in pension payments and other benefits that he received as a retired four-star general. That would amount to hundreds of thousands of dollars over his retirement. According to Pentagon figures, a four-star general with roughly the same years of experience as Petraeus was entitled to receive a yearly pension of nearly $220,000. A three-star officer would receive about $170,000.

Petraeus didn’t respond to a request for comment.

But the financial pain to Petraeus isn’t likely to be severe. He has confided to friends and acquaintances that he’s making a hefty sum from his job at a private equity firm and through speaking fees.

The demotion in rank would be a bigger, lasting blow, and take from Petraeus the rare achievement he’d set his eyes on many years ago.

This guy is getting a 6 figure pension, and what is likely a 7 figure gig at a private equity firm, and the most that can be done is to hurt his feelings.

He should be in jail, but absent that, dropping a star, or better dropping more than one stars, is quite literally the least that they can do.

About Bloody Time

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After years of Orthodox Jewish control of the East Ramapo School Board, where they have done little but strip the school system for parts, parents have sued the New York State Department of Education demanding a state takeover.

From their press release:

On January 14, parents of public school children in East Ramapo Central School District filed a petition in State Supreme Court in Albany, asking the court to direct the New York State Board of Regents and the State Education Department (SED) to take concrete remedial action to safeguard their children’s right to a sound basic education as guaranteed by the New York State Constitution.

The petition describes numerous State and federal investigations and reports documenting a continuing pattern of fiscal mismanagement and neglect by the East Ramapo Board of Education over the last decade. The Board’s mismanagement has resulted in a severe lack critical educational resources, resulting in poor student outcomes and depriving district students of a sound basic education. The reports, including two in the last year by State-appointed monitors, provide compelling and overwhelming evidence of a district on the brink of financial collapse. 

In these reports, State and federal officials document the Board’s failures to provide essential programs and services to vulnerable student populations, including English Language Learners (ELL) and students with disabilities. They also spell out the signficiant cuts made by the Board in the number of classroom teachers and support staff employed by the district and in essential school programs.

Over a year ago, a comprehensive report by a fiscal monitor appointed by former State Commissioner John King made numerous recommendations to address the Board’s mismanagement, reallocate funding within the district’s budget, and begin restoring essential resources cut from district schools. These recommendations were echoed in a December 14, 2015, report to the Board of Regents by Dennis Walcott and a team of monitors appointed by State Commissioner Mary Ellen Elia in August.

Despite the State’s best efforts to secure their voluntary cooperation, the Board has steadfastly refused to take meaningful steps to fix the problems identified in the reports and take prompt corrective action to provide students with a sound basic education.

The East Ramapo school board is attempt to destroy the public school system for two reasons:

  • They don’t want to pay any taxes.
  • They are attempting to ethnically cleanse the town, and killing the public schools is a good start.

Unfortunately, the politicians, and hence the bureaucracy, is unwilling to take any political heat from New York’s frum Jewish community, so nothing has happened.

If I were a plaintiff, I would be asking to move the elections to the November elections for President and Congress.

Having the elections at an odd time, Spring of odd-numbered years, is a recipe for this sort of crap.

I would also see any number of the board members prosecuted for corruption, as it is clear that they are engaging in sweetheart deals with the local Yeshivas, but I don’t see that as being politically possible unless the Feds step in.

Can We Give Florida Back to Spain?

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In response to donations from sub-par hospitals to the state Republican Party, Florida has abandoned surgical standards for hospitals:

Children’s heart doctors in Florida are reeling from a recent decision by the state to drop surgical standards for pediatric open heart surgery, CNN reports. To add insult to injury, doctors and medical experts suspect that the decision was purely political.

The decision follows a 2014 medical review and a June 2015 report by CNN, which found that one particular medical facility, St. Mary’s Medical Center and Palm Beach Children’s Hospital, had an abysmal track record for pediatric open-heart surgery—a death rate more than three times the national average. And the two reports found that the facility was failing to meet the now-repealed standards, which include proficiency in performing the surgeries themselves.

The St. Mary’s facility is run by Tenet Healthcare, which coincidentally donated $200,000 to the state’s republicans between 2013 and 2014, including $100,000 to Republican Governor Rick Scott’s political action committee. Those donations were the highest of any Tenet gave to political groups in other states.

A month after CNN’s report, the state announced that it would repeal the standards for children’s heart surgery. Florida’s health department explained the move by saying that the standards were never properly approved by the legislature, but it failed to explain to reporters why legislative approval was not sought upon realizing the lapse.

It appears that Florida is in a competition with Texas for most repulsively corrupt politics in the United States.

Misquoting Deming

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It turns out that a common argument for expanded school testing is based on a selective quote of the efficiency expert Edward Deming which reverses its meaning:

………

If challenged, test fans often quote the late Dr. W. Edward Deming, the world-famous quality guru who showed Japanese companies how to build better stuff than anybody else. In his book, “The New Economics,” Deming wrote, “If you can’t measure it, you can’t manage it.”

Here’s the whole sentence as he wrote it: “It is wrong to suppose that if you can’t measure it, you can’t manage it — a costly myth.”

This full Demings quote is not a surprise.

One of the central conceits of his theories statistical quality control is that testing is a sign of faulty process and faulty product.

Of course accurate quotes do not matter to the educational reform community. Mendacity is at the core of their modus operandi.

The school reform movement is largely driven by two things, the desire to crush teachers’ unions, and the desire to turn public tax dollars into private profit.

Truth is not, nor has it ever been, a meaningful part of their process.

Bought and Paid for by the Vampire Squid

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It appears that during his first campaign for the Texas Senate, Ted Cruz got a million dollar loan from Goldman Sachs, and then in contravention of campaign finance laws, did not report it to the Federal Election Commission:


As Ted Cruz tells it, the story of how he financed his upstart campaign for the United States Senate four years ago is an endearing example of loyalty and shared sacrifice between a married couple.

“Sweetheart, I’d like us to liquidate our entire net worth, liquid net worth, and put it into the campaign,” he says he told his wife, Heidi, who readily agreed.

But the couple’s decision to pump more than $1 million into Mr. Cruz’s successful Tea Party-darling Senate bid in Texas was made easier by a large loan from Goldman Sachs, where Mrs. Cruz works. That loan was not disclosed in campaign finance reports.

Those reports show that in the critical weeks before the May 2012 Republican primary, Mr. Cruz — currently a leading contender for his party’s presidential nomination — put “personal funds” totaling $960,000 into his Senate campaign. Two months later, shortly before a scheduled runoff election, he added more, bringing the total to $1.2 million — “which is all we had saved,” as Mr. Cruz described it in an interview with The New York Times several years ago.

A review of personal financial disclosures that Mr. Cruz filed later with the Senate does not find a liquidation of assets that would have accounted for all the money he spent on his campaign. What it does show, however, is that in the first half of 2012, Ted and Heidi Cruz obtained the low-interest loan from Goldman Sachs, as well as another one from Citibank. The loans totaled as much as $750,000 and eventually increased to a maximum of $1 million before being paid down later that year. There is no explanation of their purpose.

Neither loan appears in reports the Ted Cruz for Senate Committee filed with the Federal Election Commission, in which candidates are required to disclose the source of money they borrow to finance their campaigns. Other campaigns have been investigated and fined for failing to make such disclosures, which are intended to inform voters and prevent candidates from receiving special treatment from lenders. There is no evidence that the Cruzes got a break on their loans.

He should take a hit for this, particularly because much of his personal story is about how he risked it all to run for the US Senate, but it won’t make a difference in the primaries, because the Republican Party base has drunk too much Flint municipal tap water.

No, the FBI Won’t Investigate Questionable Pension Fund Deals

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It appears that pensioners have finally begun to realize private equity and its ilk are robbing their funds blind while underperforming the market, but I predict that their calls for an investigation of private equity and hedge fund  practices will go largely unanswered:

Diane Bucci and her fellow retired Rhode Island schoolteachers were angry about a deal last year to cut their promised retirement benefits. For 28 years, the elementary school teacher devoted between 7 and 9 percent of her paycheck to the state’s pension system. In return, the 72-year-old had been promised a consistent cost-of-living increase to make sure her retirement stipend kept pace with inflation. Now, though, state officials were trimming her check in the name of replenishing the depleted pension fund.

There was, however, a sliver of hope — or so it seemed: If the pension system could generate better investment returns and amass 80 percent of the money needed to pay current and future retirees, the annual cost-of-living increases would return.

“There was a lot of unrest and anger among teachers, but at that point we buckled down and focused on how we could get to solvency,” said Bucci, who is on the board of the 700-member Rhode Island Retired Teachers Association. “So even though we aren’t Wall Street experts, we just started to ask questions about how the pension fund was managed, and what it was invested in. That’s when we realized the fees we’ve been paying to the investment companies were the problem.”

Those levies — which hit $79 million last year — were the product of the state’s recent investment strategy. Following a controversial national trend, Rhode Island pension officials led by then-General Treasurer Gina Raimondo shifted roughly a quarter of the state’s pension portfolio into high-fee hedge funds, private equity firms and other so-called “alternative investments.”

The shift by Raimondo, a Democrat who is now governor, has generated big revenues for Wall Street firms, but only middling returns for a $7.6 billion pension fund on which more than 58,000 current and future retirees rely.

When Bucci and the members of her organization began asking questions about those results, they learned of a federal review showing that roughly half of all private equity firms are charging hidden fees, and they saw a hedge fund industry whose returns have failed to keep pace with the stock market. When they dug deeper, they stumbled onto an even more disturbing revelation. What they found, they say, is evidence that some investors can obtain special rights that may let them secretly siphon money from the state pensioners’ retirement savings.

The retirees are now petitioning federal law enforcement officials to investigate whether the widely used provisions are violating laws designed to make sure all investors are treated fairly. In a letter sent last month to the Securities and Exchange Commission and the FBI, the retirees’ adviser — former SEC investigator Edward Siedle — pointed out that some of the firms managing Rhode Island pension money claim the right to offer different fee rates, inside information and cash-out rights to some investors but not to others.

Raimondo f%$#ed her pension fund, and she did so knowingly, both because they are “people like her” (Ivy league graduates) who are supposed to be “exceptional”, and because she knows that this behavior gets her a 7 figure payday at the end of the rainbow.

It’s corrupt tribalism, and it’s harming our country.

Your Law Enforcement Misconduct Update

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First, we have former (Yay!) Texas State Trooper Brian Encinia, who went postal on Sandra Band, has been indicted for perjury and fired by the Texas DPS:

The state trooper who arrested Sandra Bland, the 28-year-old African-American woman who was found dead three days later in her Waller County jail cell, has been indicted on perjury charges, a special prosecutor said.

 Hours after the decision was announced, the Texas Department of Public Safety said it was initiating termination proceedings against Brian Encinia, the 30-year-old trooper who last July stopped Bland for failing to signal a lane change and arrested her.

 The announcement came late Wednesday afternoon at the courthouse in Hempstead, about 50 miles northwest of Houston, during the grand jury’s fourth meeting since it was convened this fall to deliberate the circumstances around Bland’s arrest and incarceration.

 Darrell Jordan, one of five special prosecutors, said the grand jury’s indictment stemmed from a statement the trooper made in a one-page affidavit he filed in Bland’s arrest, in which he said he pulled her out of her Hyundai Azera to “further conduct a safe traffic investigation.”

Well, that was fairly clearly a lie, and it was material, which is the basic definition of perjury.

Meanwhile, in my hometown of Baltimore, the prosecution continues apace, with Officer William Porter, whose trial ended in a hung jury, being ordered by a judge to testify at the trial of Officer Caesar Goodson, Jr.:

In an unprecedented move, Judge Barry G. Williams ordered Officer William G. Porter on Wednesday to testify at the upcoming trial of a fellow city officer charged in the death of Freddie Gray.

 Porter’s attorneys immediately said they would seek an injunction to block the ruling.

 Williams said he found himself in “uncharted territory” but felt the law was “clear.” He granted Porter a type of immunity that allows his charges to stand, but which precludes his testimony in the trial of Officer Caesar R. Goodson Jr. from being used against him.

 Legal experts — and Williams — said the ruling was unprecedented for a criminal defendant with pending charges.

 Williams also warned prosecutors that calling Porter as a witness could have serious implications for their ability to retry him. Porter’s trial on manslaughter and other charges ended last month in a hung jury, and he is scheduled to be tried again in June.

 “The second he testifies, that may change the game,” Williams said.

 After Williams issued the ruling, defense attorney Gary Proctor leapt to his feet and told Williams he intended to appeal to the Court of Special Appeals on Thursday to block prosecutors from calling Porter to testify.

 Should Williams’ ruling stand, Porter would not be able to invoke the Fifth Amendment and would have to testify or face the threat of contempt and jail time.

I think that the strategy here is to force him to testify in the hope that some of the other officers get angry enough to roll in him, and under those circumstances, the first guy to make it to the prosecutor’s office wins, and everyone else loses.

Also, the prosecution has let slip some elements of its strategy, and it appears that they will be attempting to prove that Gray was the victim was of a “Rough Ride” where officers use abrupt maneuvers to throw a detainee around a car to punish him:

The idea has long been floated that Freddie Gray might have been given a “rough ride” — a practice in which police transport vans are intentionally driven erratically to harm unbuckled, handcuffed detainees.

 Now prosecutors have signaled for the first time that they may adopt the theory in the case against Officer Caesar R. Goodson Jr., the driver of the van in which they say Gray suffered a fatal spinal cord injury. Goodson faces second-degree depraved-heart murder charges in a trial that begins with jury selection Monday.

 Prosecutors have notified Goodson’s attorneys that they intend to call expert witness Neill Franklin, a retired Baltimore police officer and Maryland state trooper who has testified in Annapolis on policing, to talk about “retaliatory prisoner transportation practices.” Legal experts said that refers to what is colloquially known in Baltimore as a “rough ride.”

 “That is a retaliatory, sort of ‘teach the guy a lesson’ move,” said Geoffrey Alpert, a University of South Carolina professor and an expert in use of force by police.

 Both the defense and prosecution are barred by a gag order from discussing the case, and retained witnesses are not allowed to discuss their intended testimony.

Here is the kicker:

Gray was unbuckled, handcuffed, placed in leg shackles and driven around West Baltimore for about 45 minutes before he was found unconscious and not breathing in the back of the van when it arrived at the Western District police station.

There is no reason for it take 45 minutes to get him to booking.

I am sure that the defense will attempt to provide an alternate theory for this, but there is no justification for going on a joy ride with a detainee in the back.

And Now, Even the Rich People are Throwing Rahm Emanuel Under the Bus

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Since emails came out revealing the Rahm Emanuel administrations aggressive efforts to manage and suppress information on the Laquan McDonald shooting, Rahm’s old friends, basically rich corrupt people from whom he has raised money from over the years, have been avoiding him like the plague.

One of his very good friends, they have vacationed together and Rauner was a former client of Emanuel’s, was wingnut, gazillionaire, and now Illinois Governor Bruce Rauner how has announced that he would sign a bill allowing for a recall vote for the Chicago Mayor:

Fresh from a Saharan Desert holiday where he says he and his family rode camels and slept in tents, Gov. Bruce Rauner did nothing Monday to quell the shifting sands beneath Mayor Rahm Emanuel.

 Rauner told reporters he would sign a bill allowing Chicago voters to recall their mayor from office if it reaches his desk.

 The governor also said he was “very disappointed” in Emanuel and Cook County State’s Attorney Anita Alvarez over their handling of Chicago police misconduct cases.

 ………

 Asked about state Rep. La Shawn Ford’s legislation that would allow Chicago voters to attempt recall the mayor, Rauner said he hasn’t studied the bill but based on what he’s been told about it, “I would sign that bill.”

 The governor went on to say that he would also be “broadly supportive of the recall concept in general for all elected officials in the state. … That would be the best bill to pass.”

6 months ago, I would not have predicted the degree to which his power base, once thought to be unassailable, to have collapsed like this.

It’s gone from a crazy guy on the street corner rant to an implosion in a very short time.

Additionally, it appears that people appointed after the sh%$ hit the fan have absolutely no interest whatsoever in having his back:

The new chief of the agency that looks into shootings by Chicago police officers says she wants to hear out an investigator who was fired by her predecessor last July after refusing orders to change findings that the cops were at fault in several cases.

Sharon Fairley, acting chief administrator of the Independent Police Review Authority, last month reached out to the investigator, Lorenzo Davis, a former Chicago police commander.

“I’d like to hear about his side of what happened,” Fairley said at a news conference Monday afternoon. “I look forward to that conversation and I think that that will be happening soon.”

Davis’s lawyer, Torreya Hamilton, said an attorney with the city’s Law Department called two weeks ago to set up the meeting. Hamilton said Davis, who is suing the city for wrongful termination, is eager to meet with Fairley. The sides have not yet set a time and place.

Fairley, a former federal prosecutor appointed a month ago by Mayor Rahm Emanuel, said she also wants to examine the work that got Davis fired.


………



WBEZ revealed Davis’s termination and his resistance to orders by IPRA superiors that he change findings about at least a dozen incidents, all shootings or alleged excessive-force cases.

Davis said Monday evening he would welcome Fairley’s review of his findings. “I’d like to be present when she does it,” he said. “It’s better to review a report with the person who wrote it.”

………

Fairley’s predecessor, Scott M. Ando, was forced out as IPRA’s chief administrator after heading the agency since 2013. Ando, a former U.S. Drug Enforcement Administration agent, filled several key IPRA posts with former sworn law-enforcement officers, including two other former DEA agents, a WBEZ investigation found.

Fairley did not directly criticize Ando’s hiring but said the agency needs “stronger independence.”

“I was a prosecutor for eight years, where my job was to collect evidence and then make the call,” said Fairley, who worked at the U.S. Attorney’s Office in Chicago. “That’s what I’m planning on doing here.”

Fairley also insisted she is independent from Emanuel despite a pile of email messages that show coordination between his aides and IPRA in recent years.

“Yes, I’m in communication with the mayor’s office,” Fairley said. “They’ve been very helpful in helping me get situated here but they have not tried to direct my activities or tell me what to do. I don’t have any pressure on me from the mayor to conduct an investigation any particular way.”

Fairley serves at the pleasure of Rahm Emanuel.

The fact that she is subtly dismissive of the Mayor’s office is significant.

I’m hoping that Rahm ends up recalled, and in jail, and it actually looks like these outcomes are no longer outside of the range of possibility.

I Can Haz Impeachment?

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I used to say that Antonin “Fat Tony” Scalia would die by choking on his own bile.

It turns out that I was wrong.

It appears that bile and resentment have driven him insane:

Government support for religion is not only justified by the Constitution, it was the norm for hundreds of years and it helped the United States become a free and prosperous nation, Supreme Court Justice Antonin Scalia said Saturday in Metairie.

Speaking before a small crowd at Archbishop Rummel High School, Scalia delivered a short but provocative speech on religious freedom that saw the conservative Catholic take aim at those who confuse freedom of religion for freedom from it.

The Constitution’s First Amendment protects the free practice of religion and forbids the government from playing favorites among the various sects, Scalia said, but that doesn’t mean the government can’t favor religion over nonreligion.

That was never the case historically, he said. It didn’t become the law of the land until the 60s, Scalia said, when he said activist judges attempted to resolve the question of government support of religion by imposing their own abstract rule rather than simply observing common practice.

If people want strict prohibition against government endorsement of religion, let them vote on it, he said. “Don’t cram it down the throats of an American people that has always honored God on the pretext that the Constitution requires it.”

BTW, it appears that the first thing to go is a sense of irony, because he unironically quotes Charles de Gaulle insulting the United States:

Citing a quotation attributed to former French President Charles de Gaulle, Scalia said “‘God takes care of little children, drunkards and the United States of America.'” Scalia then added, “I think that’s true. God has been very good to us. One of the reasons God has been good to us is that we have done him honor.”

Seriously, He’s lost it.

I do understand that technically impeachment is for “high crimes and misdemeanors”, but the juxtaposition of batsh%$ insane and just does not give a flying f%$# in a rolling doughnut, particularly when he has no interest at all in recusing himself on cases where he has explicitly stated that his mind is already made up.

This ain’t the first time.

How Did This Company Get Any Backers?

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Looks Like VC Pump and Dump Bullsh%$to Me

In the continuing revelations regarding the Silicon Valley-eaque medical startup, I have come to the conclusion that it’s investors, and its market cap, are more a product of its founder is an earnest attractive blond who dropped out of Stanford.

First it was repeated reports that their technology failed to work even in highly scripted dog and pony shows for potential investors, now we discover that the company was doing of this while using regulatory loopholes to avoid FDA oversight:

This suggests one of two possibilities: either Theranos’ customers received test results generated by equipment that no federal official checked for accuracy, or Theranos wasn’t using the proprietary technology behind its $9 billion valuation to return results to patients. A recent report from The Wall Street Journal pointed toward an extreme version of option number one: that Theranos actively hid its proprietary technology from lab inspectors, which would explain why the inventions were never checked. And Theranos has publicly proclaimed it used its technology on patients, which means either that the company’s lying or patients received tests that had not been validated by any federal authorities.

“CMS did not inspect the Theranos proprietary technology.”Theranos first came under scrutiny after a report in the Journal in October, which said that Theranos’ inventions were only used on a small number of tests sold to patients. On Sunday, the paper reported that during an inspection by Centers for Medicare and Medicaid Services auditors, employees who worked in the “Normandy” section of the Theranos lab were told not to enter or exit the lab; the inspectors toured the section of the lab that housed traditional lab instruments Theranos bought from other companies but never saw the Edison machines — Theranos’ highly publicized blood analyzers. This account fits with lab inspection documents that The Verge obtained from CMS, which do not mention Theranos’ proprietary technology at all. There’s a reason for that: “CMS did not inspect the Theranos proprietary technology,” a spokesperson for CMS told The Verge in an email. Consequently, at no point between Theranos opening its first wellness center in 2013 and a surprise inspection by the FDA in August did any federal official examine the company’s proprietary technology — either its Edison machine, which reads samples, or its “Nanotainer” device, which stores blood from pinprick testing.

The lack of inspection was possible in part because Theranos registered its technology in categories that have minimal oversight. Theranos sold its tests under a designation that even the US Food and Drug Administration calls a regulatory loophole: the “lab-developed test.” Under this designation, no pre-market FDA approval is required for the company’s blood tests — as it typically is for most drugs and devices. The category was meant for research hospitals, which sometimes adapt commercial tests to suit patients’ needs, and Theranos is one of several companies using the loophole to sell its tests to the public. Instead of the FDA, regulation of Theranos’ labs fell to the Centers for Medicare and Medicaid Services.

Theranos also registered its blood containers as FDA Class I medical devices in 2013, according to the FDA. That category of medical device doesn’t require an FDA inspection. No FDA inspectors entered a Theranos facility until August of this year, during a round of surprise inspections. In the FDA’s inspection report, it referred to Theranos’ Nanotainer as an “uncleared medical device” and altered its registration to a Class II medical device, which requires greater oversight.

CMS declined to provide us with additional information about Theranos. The FDA provided some information about Theranos’ regulatory status — including the fact that Theranos registered its containers as Class I in 2013 — but declined to reveal anything further about the company.

I’m beginning to think that the whole startup culture is a code word for some sort of charity for overpriviliged white boys.

DoJ Shuts down One Method of Law Enforcement Extortion

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One of the most widely used asset forfeiture program in the United States has been shut down by the Department of Justice.

Unfortunately, the reason for closing it down is not widespread evidence of abuse and corruption in the program, but rather budget issues:

The Department of Justice announced this week that it’s suspending a controversial program that allows local police departments to keep a large portion of assets seized from citizens under federal law and funnel it into their own coffers.

The “equitable-sharing” program gives police the option of prosecuting asset forfeiture cases under federal instead of state law. Federal forfeiture policies are more permissive than many state policies, allowing police to keep up to 80 percent of assets they seize — even if the people they took from are never charged with a crime.

The DOJ is suspending payments under this program due to budget cuts included in the recent spending bill.

“While we had hoped to minimize any adverse impact on state, local, and tribal law enforcement partners, the Department is deferring for the time being any equitable sharing payments from the Program,” M. Kendall Day, chief of the asset forfeiture and money laundering section, wrote in a letter to state and local law enforcement agencies.

In addition to budget cuts last year, the program has lost $1.2 billion, according to Day’s letter. “The Department does not take this step lightly,” he wrote. “We explored every conceivable option that would have enabled us to preserve some form of meaningful equitable sharing. … Unfortunately, the combined effect of the two reductions totaling $1.2 billion made that impossible.”

Asset forfeiture has become an increasingly contentious practice in recent years. It lets police seize and keep cash and property from people who are never convicted — and in many cases, never charged — with wrongdoing. Recent reports have found that the use of the practice has exploded in recent years, prompting concern that, in some cases, police are motivated more by profits and less by justiceAsset forfeiture has become an increasingly contentious practice in recent years. It lets police seize and keep cash and property from people who are never convicted — and in many cases, never charged — with wrongdoing. Recent reports have found that the use of the practice has exploded in recent years, prompting concern that, in some cases, police are motivated more by profits and less by justice.

Of course, the usual suspects’ heads are exploding with people like the National Sheriff’s Association invoking the specter of narco gangs and terrorists.

The truth here is that these people could still seize property in much the same way that they do now.  The only difference is that they can no longer keep quite as much as they used to.

What this means is that cops will have to find other money sources to buy their: (Buzzfeed listicle ahead)

  • Gatorade
  • Zambonies
  • Segway scooters
  • “Disney Training” (Not The Onion)
  • First class flights and car rentals
  • Parties
  • Tequila, Kegs, and a Margarita Machines (Again, not The Onion)
  • Tanning Salons (OK, this one resulted in corruption charges)
  • Casino Junkets
  • Hawaii Vacations 
  • Bribing other cops (Convicted, but reversed on appeal)
  • A Dodge Viper supercar (Because they want to play Grand Theft Auto for real, I guess)
  • A “Party House”
  • Marijuana and Prostitutes (Again, charges pending)

Bernie Sanders Nails It

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Writing in the New York Times, Bernie Sanders talks about the elephant in the room, that the Federal Reserve has been completely captured by the financial industry:

Wall Street is still out of control. Seven years ago, the Federal Reserve and the Treasury Department bailed out the largest financial institutions in this country because they were considered too big to fail. But almost every one is bigger today than it was before the bailout. If any were to fail again, taxpayers could be on the hook for another bailout, perhaps a larger one this time.

To rein in Wall Street, we should begin by reforming the Federal Reserve, which oversees financial institutions and which uses monetary policy to maintain price stability and full employment. Unfortunately, an institution that was created to serve all Americans has been hijacked by the very bankers it regulates.

The recent decision by the Fed to raise interest rates is the latest example of the rigged economic system. Big bankers and their supporters in Congress have been telling us for years that runaway inflation is just around the corner. They have been dead wrong each time. Raising interest rates now is a disaster for small business owners who need loans to hire more workers and Americans who need more jobs and higher wages. As a rule, the Fed should not raise interest rates until unemployment is lower than 4 percent. Raising rates must be done only as a last resort — not to fight phantom inflation.

What went wrong at the Fed? The chief executives of some of the largest banks in America are allowed to serve on its boards. During the Wall Street crisis of 2007, Jamie Dimon, the chief executive and chairman of JPMorgan Chase, served on the New York Fed’s board of directors while his bank received more than $390 billion in financial assistance from the Fed. Next year, four of the 12 presidents at the regional Federal Reserve Banks will be former executives from one firm: Goldman Sachs.

Just read it.

Well, It’s a Start

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In order to fund health benefits for 911 first responders, the fees for H1B visas have been doubled, and the software houses in India who abuse the program are unamused:

The United States is set to pass a bill named the “9/11 Health and Compensation Act” and Indian IT companies are mad as hell about it.

The bill delivers funding to compensate those whose lives were impacted by the 9/11 attack on the World Trade Centre in New York. To keep those dollars flowing, the Bill has changed the amount businesses must pay to secure an H1-B or L1 visa to bring workers into the USA.

Indian IT companies use those visas a lot, to bring people from India to work in the USA. Use of such visas has become an issue in the US presidential election, as some candidates seek to curb use of the permit in order to promote employment of local workers. Critics of H1-B visas also argue that they are used to keep wages low, as by bringing in foreign workers it becomes possible to give them a modest pay bump to cope with the cost of living in the US without paying them the same wage as permanent residents or citizens.

Whatever the rights and wrongs of the H1-B, Congress will on Friday double the cost of using one to US$4,000, with the increase funnelled into funds for the victims of 9/11.

India’s large IT concerns, which are among the heaviest users of H1-Bs, are livid because the fee increase will push up their costs. So livid that when Barack Obama called Indian Prime Minister Narendra Modi to thank him for help negotiating the Paris climate change agreement, Modi pointedly “shared with President the concerns of the Indian IT industry and professionals on the proposed legislation in the U.S. Congress relating to H1B and L1 visas.”

The H1B program is about letting people in who cannot be found in the US.

The Indian IT firms, as well as large IT firms in the US, use it to cut their labor costs, both by hiring cheap slave labor, and by pushing down wages for domestic workers.

I think that this fee should be closer to $40,000 than it is to $4,000.

Companies should never save money by bringing in H1B and L1 visas.

As to Tata and Infosys and the rest of the Indian software firms, they can take the implicit subsidy to their business model that comes from the H1B program and shove it up their ass.

Whiskey Tango Foxtrot?

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It appears that the Cuyahoga County district attorney has been pulling out all the stops in the grand jury proceedings to ensure that the police walk free:

Lawyers for the family of a 12-year-old boy fatally shot by a Cleveland police officer called for a federal investigation into his death because they say the local prosecutor has been biased in favor of law enforcement.

In a letter to Attorney General Loretta Lynch that was released on Tuesday, the legal team for Tamir Rice’s mother and sister complained about the unusual measures taken by the Cuyahoga County prosecutor’s office in reviewing the 2014 shooting.

“We write to request that your office launch an independent investigation into Tamir’s death because the local prosecutor has abdicated his responsibility to conduct a fair and impartial investigation and has severely compromised the grand-jury process,” attorneys for the Rice family wrote.

Among a variety of complaints, the letter describes a bizarre moment when a prosecutor allegedly shoved a toy gun in the face of a police expert testifying to the grand jury that the shooting of Tamir was unjustified.

………

But the letter to Lynch shows that the family’s frustrations have widened under prosecutor Timothy McGinty’s oversight. The family’s lawyers allege that he has manipulated the investigation and grand jury proceedings to benefit the officers.

This month, McGinty allowed Loehman and Officer Frank Garmback, who drove the squad car to the playground, to read prepared statements to the grand jury, but then allowed them to invoke the Fifth Amendment to avoid questioning by lawyers.

An individual cannot selectively use Fifth Amendment protections against self-incrimination after giving some testimony under oath, the Rice family attorneys said.

………

The letter also alleges that McGinty’s office, in another unusual move, asked Rice’s family to gather evidence on its own for the grand jury. Experts rounded up by attorneys for Rice’s family were then subjected to perverse questioning by prosecutors last week, the letter alleged.

In one instance, a prosecutor removed a toy gun from his pants and pointed it in the face of an expert during his testimony, according to the letter. The letter says the surprise use of a prop in court was an exaggerated reference to the threat Loehman allegedly felt when encountering Tamir.

The expert was Roger Clark, a 27-year veteran of the Los Angeles County Sheriff’s department. He was one of two experts with law enforcement backgrounds who’d been retained by Tamir’s family and wrote reports that concluded the killing was unjustified. HuffPost has been unable to reach Clark for comment.

I would suggest that a criminal,and a state bar, investigation against by the McGinty are justified, because the allegations appear to be credible, and if they are true, there appear to be a lot of lawyers who need to be marched out of their offices in handcuffs.

Putin Wins Troll of the Day Award

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Vladimir Putin handed out a couple of ringing—if not entirely official—endorsements to two of this year’s most notorious men: Donald Trump and suspended FIFA President Sepp Blatter. During his annual press conference on Thursday, the Russian president praised Donald Trump, calling the frontrunner in the Republican primary race a “bright and talented person,” according to the Associated Press. He also welcomed Trump’s calls for improved U.S-Russia relations.

A recurring theme among GOP presidential candidates is whether they possess the negotiating chops to deal with the Russian strongman. It appears Trump and Putin would be bosom buddies. (Trump has previously said he thinks he’d get along with Putin “very well.”)

Putin also handed out praise to Sepp Blatter, who’s facing a criminal investigation in Switzerland for allegations of corruption. Blatter, Putin said, is “a very well respected person.”

“He has always tried to treat football not as a sport but as an element of cooperation between countries and peoples,” Putin added. “He is the one who must be awarded the Nobel Peace Prize.”

 Seriously, he is just poking us with a stick for his personal amusement.

Can Someone Please Hang Him from the Empire State Building by His Underwear?

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Martin Shkreli is at it again:

After dropping $2 million on a Wu-Tang Clan album, the pharmaceutical executive Martin Shkreli has found a new project: making an essential treatment unaffordable for poor immigrants from Latin America.

Shkreli, otherwise known as “pharma bro,” gained notoriety earlier this year when his company, Turing Pharmaceuticals, increased the price of a drug used to treat AIDS patients from around $13.50 to $750. He’s now the CEO of KaloBios Pharmaceuticals, which recently announced its plans to submit benznidazole, a treatment for Chagas disease purchased earlier this month, for Food and Drug Administration approval next year. The Centers for Disease Control and Prevention estimates that about 300,000 people in the United States have the deadly disease. Most of them are immigrants from Latin America, where as many as 8 million people are infected.

………

Right now, doctors in the U.S. obtain benznidazole free of charge through the CDC. According to Rachel Cohen, the regional executive director of the Drugs for Neglected Disease Initiative in North America, the drug sells in Latin America for somewhere between $60 and $100 for each course of treatment. Both of these would change the moment the FDA approved benznidazole from any company—and Shkreli, in particular, seems determined to price this drug out of reach of the people who need it. In filings with the Securities and Exchange Commission, KaloBios wrote that it expects to price the Chagas drug similarly to antivirals for Hepatitis C, which can cost almost $100,000 for a single course of treatment in the United States.

………

The CDC currently purchases benznidazole from a Brazilian company. They used to send less than a dozen treatments a year to physicians across the country, according to Susan Montgomery, who leads the epidemiology team at the CDC’s Parasitic Diseases Branch. But after blood banks started testing people for Chagas in 2007, that number spiked.

In theory, FDA approval for benznidazole would make it more accessible to patients: Right now, because benznidazole isn’t approved, a patient who needs the drug has to be enrolled in a clinical trial in order to receive it from the CDC. In practice, though, the current plans for pricing will negate any good that could come from removing the drug’s “experimental” label.

………

Recently, the FDA added Chagas to a special program for neglected diseases. If a pharmaceutical company submits a drug for a disease on the program’s list, the FDA gives the company a “priority review voucher.” That voucher lets companies bring another drug to the FDA for expedited review, usually around six months between submitting the application and receiving a decision (a process that usually takes years. The hope is that the program will incentivize companies to invest in new treatments for neglected diseases that afflict the poorest regions of the world. But companies aren’t required to come up with new drugs to get those fast-track vouchers. The drugs only have to be new to the FDA. (Companies can also sell those vouchers for big money—last August, for example, United Therapeutics sold its voucher for $350 million.)

Last month, Doctors Without Borders, joined by a number of other public-health organizations, asked the Senate Committee on Health, Education, Labor, and Pensions to amend this voucher program. The groups argued that companies should be eligible only if they actually invest in researching and developing new treatments for neglected diseases, and that they should be required to submit a strategy for how they would keep the drugs accessible for patients.

“If this price hike were to happen, it would be a complete disaster for Chagas patients in the United States,” Cohen said. “People affected by this disease in the United States are poor, are marginalized, have very limited access to health care to begin with. It would be catastrophic.”

2 years ago, on the occasion of actor Jack Klugman’s death, I noted that one of the things that he was lauded for was lobbying for the Orphan Drug Act of 1983.

I took issue, and said that the effect of the act was to manufacture non-patent monopolies that primarily served to raise the cost of drugs through rent-seeking behavior.

The IP restrictions and incentives that are a part of the US medication development regime are killing and impoverishing us.

How about price controls and compulsory licensing?  That sounds good.