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General discussion

Spitzer preparing to sue former NYSE head?

Mar 1, 2004 2:22AM PST
Source: Spitzer Preparing to Sue Grasso.
Last week Grasor responded (through his lawyer) to an NYSE request that he return some of his previous compensation, and he basically responded "no, and I want $50 million more that I was scheduled to be paid and wasn't." Spitzer can do a bit more than say "pretty please," however. I think Spitzer would make an excellent replacement for John Ashcroft as USAG...

-- Dave K.
Speakeasy Moderator
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The opinions expressed above are my own,
and do not necessarily reflect those of CNET!

Discussion is locked

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Re:Spitzer preparing to sue former NYSE head?
Mar 1, 2004 9:11AM PST

Dave,

That Mr. Spitzer has very real designs on higher office is obvious. Now, attorneys general using their prosecutorial powers to raise their profile prior to seeking higher office is nothing new; the names Rudy Giuliani and Robert Kennedy spring readily to mind. What I do find distressing in Mr. Spitzer's recent actions is not his campaign against Mr. Grasso's bank account; he has over the past few years shown his willingness to demonize corporations and their officers in an attempt to get the attention of Democrats. What I do find offensive is that Mr. spitzer has apparently decided to do a little pandering to a predominantly Democratic constituency at the expense of upholding the rule of law - his primary responsibility as New York AG - by making it clear that he'll take no action on stopping same sex marriages being performed in New Paltz, NY:

New York Attorney General Eliot Spitzer refused a request from state health officials to block the marriages, but did not issue an opinion on whether the unions were legal.

...which is absolute BS, Dave. New York law is absolutely clear on this issue. Ain't political pandering just wonderful - even if it disrespects the law?

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Re: Spitzer preparing to sue former NYSE head?
Mar 1, 2004 12:37PM PST

Hi, Paul.

Maybe Spitzer recognizes that no one is harmed by a gay marriage, while lots of people are being harmed by the various financial misbehaviors he's targeting. He and the SEC are at odds, btw, as the SEC has settled some with some of the mutual funds for pennies on the dollar relative to the estimated loss to investors.

-- Dave K, Speakeasy Moderator
click here to email semods4@yahoo.com

The opinions expressed above are my own,
and do not necessarily reflect those of CNET!

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That doesn't address the issue, Dave.
Mar 1, 2004 5:51PM PST

An Attorney General has the legal and moral duty to administer and enforce all the laws he/she is responsible for enforcing - not just those with which he/she agrees or has no problem with.

Of course, there's no connection between Mr. Spitzer's campaign against Wall Street (much of which may be justified, IMO) and the fact that he's received over $3 million - much of it from out of state interests - for his widely expected campaign to be New York's next governor...

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Sure it does.
Mar 1, 2004 9:44PM PST

It's the AG's responsibility to not only prosecute criminals but to manage the law enforcement resources that he is responsible for. Living downstream from NY both hydrologically and economically, I think his emphasis on corporate wrongdoing is just fine, thank you very much. It would be wrong of him to pull investigators and prosecutors off the pollution cases to start chasing down newlyweds. That would benefit no one except the real criminals not being pursued.

Dan

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Re: That doesn't address the issue, Dave.
Mar 1, 2004 9:51PM PST

Hi, Paul.

In the real world, there simply aren't enough resources to prosecute all the crimes committed. A DA or AG has to prioritize, hopefully according to those deemed most destructive to the community. And as far as I'm concerned, gay marriage ranks down there with spitting on the sidewalk.

-- Dave K, Speakeasy Moderator
click here to email semods4@yahoo.com

The opinions expressed above are my own,
and do not necessarily reflect those of CNET!

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Re:Spitzer preparing to sue former NYSE head?
Mar 1, 2004 11:45AM PST

You know, I realize that NYSE is in NY state, and subject to it's laws.

But it actually brings up an interesting point. Should an institution that just about rules the US economy be regulated by a single state?

The stock trading centers are such a huge infuence on the entire country, I think you could make an argument against a single state controlling them.

I know that all huge corporations are regulated by where they are located, and even different sites have to meet different regulations. And the overall corporation has to meet regulations where it is chartered.

It is an interesting question. Are some things (like the NYSE, the Nasdaq, maybe the Chicago futures exhange) so influential in the national market that they should be regulated by federal agencies and Congress and excluded from state laws. Like DC was originally excluded from being a state and a member of Congress to prevent local undue influence.

Interesting question, one I hadn't thought on before I admit. One I don't have answer for now.

RogerNC
click here to email semods4@yahoo.com

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Re: Spitzer preparing to sue former NYSE head?
Mar 1, 2004 12:40PM PST

Hi, Roger.

I f corporations weren't ruled by the laws of the state where they're located, tiny Deleware (with three electoral votes and the second smallest area) wouldn't have the highest number of corporations per capita of any State in the Union.

-- Dave K, Speakeasy Moderator
click here to email semods4@yahoo.com

The opinions expressed above are my own,
and do not necessarily reflect those of CNET!

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Granted corporations have to fall under someone's regulation
Mar 2, 2004 3:50AM PST

and they'll seek the most advantageous, just like why so many cruise and cargo ships fly flags for countries they almost never visit.

It just struck me that the NYSE, NASDAQ, Chicago futures market, etc, are of such total national scope and influence on all of us in the USA, as well as influence around the world. And that perhaps with so much national influence, it was time to evaluate if it was still proper to have one state control how they do business.


RogerNC

click here to email semods4@yahoo.com