Daily Intel

Forget Everything You’ve Heard: Raj Rajaratnam Never Traded on Inside Information

Jessica Pressler — Tue, 24 Nov 2009 15:23:00 GMT

]]> Lawyers for the Galleon founder rejected insider-trading charges against him this morning. In their reply, they tried to make the case that the supposed "proof" the government heard over wiretap (such as Raj shouting "Bring it on, baby," at an accomplice) was obtained improperly, and therefore should not exist. And even if Raj had received insider information, they pointed out, "the information he supposedly received on the stocks in question was less precise and less detailed than Galleon’s own research." So there. [DealBook/NYT]

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Filed Under: ballsy crime, business, hedge funds, raj rajaratnam

Many People Are Reading Sarah Palin’s Book

Dan Amira — Tue, 24 Nov 2009 14:47:00 GMT

]]> Going Rogue, Sarah Palin's memoir of maverickdom, has sold 700,000 copies in its first week (including preorders), which is apparently better than all other nonfiction debuts except for Bill Clinton's My Life. Just imagine how many books she'll sell after she gets a couple of terms as president under her belt — or, more realistically, half of one term. [AP via Google]

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Filed Under: america's sweetheart, books, going rogue, politics, sarah palin

Now You Have a Better Excuse to Not Give to the Homeless

Dan Amira — Tue, 24 Nov 2009 14:21:00 GMT

]]> We've all seen those guys on the street with folding tables and a big empty water jug, soliciting funds for the homeless. We've all also probably wondered whether the operation is really legit — and with good reason! Attorney General Cuomo has filed suit against the United Homeless Organization and is looking to shut it down for good after discovering that founder Stephen Riley and director Myra Walker were using the funds as their personal bank account.

]]> The way it works is, the homeless people who man the tables pay a $15 fee to the UHO for each shift, and keep the change they collect for themselves. This is not news; it's how the organization openly admits it is run. Also not news is that the fees go not to the homeless population at large but to upper management. In 2008, Guest of a Guest looked at the UHO's tax returns and found that most of those $15 shift fees went toward "support stipends" for Riley and "management expenses." "I’ll leave you to speculate as to what the UHO could possible [sic] spend" that money on, the author of that post, Samantha Queen, wrote at the time.

Well, now we know: According to the papers filed by Cuomo, Riley and Walker spend it on "personal shopping sprees at the GameStop, Home Shopping Network, Bed Bath & Beyond and P.C. Richard, as well as their monthly cable bills." Well then. Glad that's all cleared up. At least now when you walk right past those big jugs, you can blame your indifference on your knowledge of this scam, and not on your cold, selfish heart.

Homeless beggar jars a sham: AG [NYP]

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Filed Under: the holiday spirit, charity, homeless, myra walker, stephen riley, uho, united homeless organization

Hurting AIG Is the Same As Hurting Ourselves

Jessica Pressler — Tue, 24 Nov 2009 14:00:00 GMT

]]> We're all angry at AIG for losing all that money like that. Really angry. Like, we'd just like to punch that bastard in the face (if it were a bastard and not a multinational company) and scream, "YOU BASTARD!" and then take away its pay and burn it along with its favorite records and T-shirts on the lawn. But what would that accomplish, really, other than making us look like a psycho? Douglas Elliott, a fellow with the Brookings Institution, talks us down in today's Wall Street Journal.

"Unfortunately ... the truly emotionally satisfying things are all going to just hurt us. The taxpayer is better off venting their anger in a different way rather than punishing the companies that we own."

It's true. There are other ways to vent.

]]> Like you could take up kickboxing. Or capoeira (although don't pronounce it with the accent — people who do that are really annoying). Or TP the headquarters of 85 Broad Street. And then maybe, one day, you'll run into AIG CEO Bob Benmosche, and by then all you'll want to do is bury your face in his belly and let the tears soak through his polo shirt. And we think that would probably be okay to do, since you pay his salary.

AIG's Rescue Bedevils U.S. [WSJ]
Related: Show Me the Money [NYM]

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Filed Under: aggratating insurance giants, aig, robert benmosche, the rich hunt

Joe Bruno: Thug or Mensch?

Adam K. Raymond — Tue, 24 Nov 2009 05:58:26 GMT

]]> That was the debate on the final day of former New York State Senate leader Joe Bruno's corruption trial yesterday. Prosecutors portrayed Bruno as a tough-guy who used his position in the State Senate to benefit the clients he kept as a part-time lawyer. Prosecutors also said he took steps to hide the conflicts between his private business activities and his public duties. Then William Pericak, one of two U.S. attorneys prosecuting the case, started talking about Bruno and calling him "Tiny," for some reason:

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“Some people give their lunch money to Tiny. Some people fight for it. Some people run away. He’s the weight of Albany. That’s what he’s there for," Pericak said.

The defense told a different story, about a man who worked hard as a part-time legislator and followed the rules as best as he understood them. But their version of Bruno was also named "Tiny":

"Tiny was in the playground,” Lowell said. “But Tiny wasn’t alone. The principal was there. The teachers were there. The hall monitor was there. The school superintendent was there.”

The creative writing teacher was clearly also there.

In Closing Arguments, Bruno as Bully or Honest Worker [NYT]

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Filed Under: oh albany!, albany, joe bruno, politics, state senate

People Who Know Review Levi's Nudie Pics

Adam K. Raymond — Tue, 24 Nov 2009 04:59:36 GMT

]]> Unlike us, some people were willing to shell out $19.99 to examine Levi Johnston's naked body and US has collected their reviews. Experts include a Chippendales dancer, the general manger of Scores and the editor-in- chief of The Advocate, among others. Their opinions range from disappointed ("His body is a little soft.") to the pleased ("I do appreciate the tan lines.") but most seem to agree on the superiority of one feature: that face. [US]

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Filed Under: sex on skates, levi johnston, playgirl

RNC May Subject Members to Conservative Test

Adam K. Raymond — Tue, 24 Nov 2009 03:55:11 GMT

]]> When the Republican National Committee gets together in January to talk about the things they talk about, the "Resolution on Reagan's Unity Principle for Support of Candidates" will come up for a vote. The goal of the resolution is to subject Republican politicians to a test that measures their support for ten basic party principles. If someone disagrees with three or more of the policies, the resolution's supporters want to withhold party money and endorsement. The 80 percent threshold comes from a famous Reagan quote: "The person who agrees with you 80 percent of the time is a friend and an ally — not a 20 percent traitor."

]]> So, what does the test look like?

(1) Smaller government, smaller national debt, lower deficits and lower taxes by opposing bills like Obama’s “stimulus” bill
(2) Market-based health care reform and oppose Obama-style government run healthcare

(3) Market-based energy reforms by opposing cap and trade legislation

(4) Workers’ right to secret ballot by opposing card check

(5) Legal immigration and assimilation into American society by opposing amnesty for illegal immigrants

(6) Victory in Iraq and Afghanistan by supporting military-recommended troop surges

(7) Containment of Iran and North Korea, particularly effective action to eliminate their nuclear weapons threat

(8) Retention of the Defense of Marriage Act

(9) Protecting the lives of vulnerable persons by opposing health care rationing and denial of health care and government funding of abortion

(10) The right to keep and bear arms by opposing government restrictions on gun ownership

So, would the Republican party give you money?

A GOP purity test? [First Read]

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Filed Under: hot gop on gop action, gop, michael steele, rnc, ronald reagan

Naked Photo of Carla Bruni Not Worth as Much as it Once Was

Adam K. Raymond — Tue, 24 Nov 2009 02:06:29 GMT

]]> Way back in April 2008, a naked photo of Carla Bruni sold for a jarring $91,000 at Christie's. Today, another print of that same photo didn't sell at all. After bidding reached 5,800 euros (about $8,600), the collector who owns the piece withdrew it. And with that, a new economic indicator was born. [HuffPo]

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Filed Under: nudes, carla bruni

Firms Cleaning Up Madoff Mess Are Raking In the Cash

Adam K. Raymond — Tue, 24 Nov 2009 01:29:24 GMT

]]> Irving Picard, the court-appointed trustee responsible for recovering money for Bernie Madoff's victims, may be universally hated, but at least he's getting rich. Today he, his lawyers, and a few other firms helping make sense of Madoff's estate submitted a bill for almost $25 million to a federal bankruptcy court. That brings the price tag for sorting through Bernie's Ponzi scheme to a hefty $40 million. Or what Bernie used to spend on lunch.

Fees in Madoff Case Rise Nearly $25 Million [Dealbook/NYT]

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Filed Under: made-off, bernie madoff, business, irving picard

Rupert Murdoch Is Using Bing to Make Google Jealous

Jessica Pressler — Mon, 23 Nov 2009 23:26:00 GMT

"I adjust my glasses in a way that shows that I am serious."]]> Rupert Murdoch, who has for ages been muttering about putting all of the content produced by News Corp. behind a pay wall in order to keep it away from Google, is attempting to force the company to change its attitude toward new media using a decidedly old-fashioned tactic: making them nervous about the competition. According to the Financial Times, Murdoch has been talking to Microsoft about being paid to remove its news content from Google’s search engine and making it available on Microsoft's search engine, the relatively uncool Bing. Says the FT:

Philippe Jannet, chief executive of Le Monde Interactif, said News Corp’s move was “crafty”. “Murdoch is playing on competition between Bing and Google. What he is doing is remarkable because it is a commercial solution. The French media, on the other hand, instinctively turn towards the state [for help].”

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Even if Murdoch doesn't really have any intention of going through with a Microsoft deal (there are all kinds of issues, among them that barely anyone in America uses Bing), putting the rumor of a dalliance out there can only serve to enhance both of their statuses. The old man's still got it in him.

Microsoft in move to cut out Google [FT via Media Decoder/NYT]

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Filed Under: ink-stained wretches, google, media, microsoft, rupert murdoch

Shark!

Ben Mathis-Lilley — Mon, 23 Nov 2009 22:31:26 GMT

A shark of the sand, here on the land.]]> Cancel your Thanksgiving plans of swimming in Battery Park! A fisherman downtown apparently caught a sand shark today off the esplanade. Developing. [BatteryPark.TV]

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Filed Under: neighborhood news, sharks

Sarah Palin Meets Sarah Palin

Jessica Pressler — Mon, 23 Nov 2009 21:50:34 GMT

]]> Everyone in New York dressed up as Sarah Palin for Halloween 2008. Apparently, it took this long for the trend to migrate to Noblesville, Indiana. And they say the Internet has changed everything.

[Via BuzzFeed]
Related: Hillary Clinton Encounters Doppelgänger During Trip to Germany

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Filed Under: photo op, quilted vests, sarah palin, the great white middle of the country

Tinsley: Constantine Maroulis Is a ‘Really Nice Guy’

Meg Prossnitz — Mon, 23 Nov 2009 21:35:05 GMT

]]> "I don't really know what to say about that," the socialite said coyly when we asked her about the recent photos of her engaged in an intimate moment with Constantine Maroulis of American Idol (at Samantha Thavasa's tea party in support of New Yorkers for Children this weekend). "He's a really nice guy, and yes, we did meet in the course of filming the show. He's so talented, and he's a cool guy." So, yeah, it's fake.

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Filed Under: hellivision, constantine maroulis, reality tv, rock of ages, socialites, tinsley mortimer, tv, we don't even know which one of them is slumming here

Alberto Gonzales Won't Be Charged Over Eavesdropping Testimony

Murray Waas — Mon, 23 Nov 2009 20:58:24 GMT

]]> Alberto Gonzales, pilloried for allegedly misleading Congress about the Bush administration’s warrantless eavesdropping program, has been exonerated — sort of. According to public records and interviews with federal law-enforcement officials, the Justice Department has concluded that there’s insufficient evidence to bring criminal charges against the former attorney general. His critics might groan, but they have some solace: The Justice Department’s inspector general, who conducted the investigation, concluded that his testimony before Congress about the eavesdropping program was “confusing,” “incomplete,” and had the “effect of misleading” both Congress and the public. Surely Jon Stewart can do something with that.

]]> Gonzales also remains under investigation by the Justice Department for matters connected to the wiretaps and the firings, thought to be politically motivated, of nine U.S. attorneys — scandal aplenty. But it’s been allegations about his eavesdropping testimony to the Senate Judiciary Committee that put him in the greatest legal jeopardy by far. A major reason he escaped criminal charges, according to people close to the investigation, was that he finally admitted what he never would have before, when he seemed the most loyal of George W. Bush’s servants: that many of his most controversial decisions (first as White House counsel, and later, as attorney general) in authorizing, overseeing, and concealing the eavesdropping program were done at the specific direction of the former president. In other instances, Gonzales and his attorneys argued that his actions were done in furtherance of the Bush administration’s policies — meaning, for what it’s worth, that he did not act with personal intent to do wrong.

“He was willing to be a lightning rod in the past for the president,” said one legal source close to the investigation. “He has done that during the entire course of his career. But it was pressed upon him that that was not going to work in this instance — and he did what he had to do.”

Ironically, in finally talking to investigators about the president, Gonzales might actually have been protecting his old boss, as well as himself. A senior Bush-administration official familiar with the matter told me that Fred Fielding, the White House counsel in the closing days of the Bush presidency, feared that the Justice Department’s probe of Gonzales’s misleading testimony might morph into a special prosecutor’s investigation not only of Gonzales, but also of the conduct of others in the Bush White House — including perhaps Bush himself. (The Justice Department can refer an investigation to the attorney general for a criminal or special prosecutor to take over.) Fielding quietly counseled Gonzales’s cooperation, and Gonzales’s legal team, headed by George J. Terwilliger III, a deputy attorney general during the presidency of the first President Bush, made an early decision to fully cooperate with the inspector general.

Fielding declined to comment for this article. But a former Bush-administration official who worked closely with him said Fielding called the possibility of a special prosecutor investigating the eavesdropping program “the nightmare scenario.” Gonzalez has pulled this feint before: One factor in his decision to resign in August 2007, senior Justice Department officials speculated at the time, was to avoid the appointment of a special prosecutor.

Bush’s “nightmare scenario” apparently averted, Gonzales remains under investigation by the Justice Department he once led for two matters: the firings of those nine U. S. attorneys, and — this should sound familiar — whether Gonzales and other government attorneys acted properly in authorizing and overseeing the eavesdropping program. (The latter case is being brought by the Justice Department’s Office of Professional Responsibility.) Little could be learned about those investigations, but it has long been widely believed that Gonzales’s most serious legal charges were the ones he now seems to have dodged. Give the guy credit — he’s a lawyer, after all.

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Filed Under: machinations, alberto gonzales, attorney general, congress, crime, early and often, eavesdropping, george w. bush, investigations, law, politics, special prosecutor

President Obama Acknowledges Potential for Robot Apocalypse

Dan Amira — Mon, 23 Nov 2009 20:27:00 GMT

]]> President Obama visited a D.C.-area high school today to hammer home, once again, how important he thinks math and science and all the like are to the future of the country, and to watch a demonstration of this ball-launching machine that some of the students made. "I believe that robotics can inspire young people to pursue science and engineering. And I also want to keep an eye on those robots in case they try anything," he said in his remarks, to the laughter of the students. You know who wasn't laughing, though? That ball-launching machine. It was too busy plotting.

Obama Remarks on Math, Science and Technology Education [WP]

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Filed Under: photo op, barack obama, robot apocalypse, robots