Palin fundraiser fined $72 million by SEC for "unethical trading" less than 3 years ago
by terje, Tue Oct 07, 2008 at 10:49:49 AM EDT
Sarah Palin and John McCain are out talking about how "greed and corruption" on Wall Street led us into the financial chaos that is hurting us all right now. They say they'll use their "maverick-y" ways to clamp down on these abuses.
That's why the details of the fundraiser in Naples, Florida yesterday that Sarah Palin headlined at a $10,000 per person (closed to the press) is of great interest.
The fundraiser was held at the home of John "Jack" Donahue, the Chairman and founder of Federated Investors, a massive financial services company. In November 2005, Federated Investors paid $72 million in fines and penalties as the result of a SEC investigation into "unethical trading practices." They paid millions more in refunds to investors and as a settlement with then NY AG Spitzer.
Federated Investors settlement was the final part of the huge Canary Capital hedge fund/mutual fund scandal. Federated was collaborating with Canary to illegally manipulate trade times (essentially back-dating sales and purchases) and other shady practices.
I know we shouldn't be surprised by the hypocrisy and gall of Palin and McCain raising funds with/from the very people they claim to denounce. But doing this in the midst of a national financial meltdown linked to shady financial practices seems beyond belief to me.
Unfortunately, the mainstream press seems to be ignoring (or ignorant of) this hypocrisy. Pity, because it seems to me to be very newsworthy.