Political Prosecution of Elliot Spitzer
By Larry JohnsoncloseAuthor: Larry Johnson
Name: Larry Johnson
Email: larry_johnson@earthlink.net
Site: http://NoQuarterUSA.net
About: Larry C. Johnson is a former analyst at the U.S. Central Intelligence Agency, who moved subsequently in 1989 to the U.S. Department of State, where he served four years as the deputy director for transportation security, antiterrorism assistance training, and special operations in the State Department's Office of Counterterrorism. He left government service in October 1993 and set up a consulting business. He currently is the co-owner and CEO of BERG Associates, LLC (Business Exposure Reduction Group) and is an expert in the fields of terrorism, aviation security, and crisis and risk management, and money laundering investigations. Johnson is the founder and main author of No Quarter, a weblog that addresses issues of terrorism and intelligence and politics. NoQuarterUSA was nominated as Best Political Blog of 2008.[1] He has worked as a private consultant on issues of international terrorism and security for the U.S. Government and private companies. Johnson has appeared as a consultant and commentator in many major newspapers and news programs.[2]
Contents [hide]
1 Background
2 Views
2.1 1996
2.2 1998
2.3 1999
2.4 2000
2.5 2001
2.6 2003
2.6.1 Plame affair
2.7 2008
3 Notes
4 References
5 External links
[edit]Background
Larry Johnson moved to Washington, D.C. in 1979 to begin work on a Ph.D. at the American University. Although he completed successfully all coursework and comprehensive exams, he did not write a dissertation. In 1978 and in 1983-85 he worked in Latin America on community development projects as a community organizer. Returning to the United States in 1985 he joined the Central Intelligence Agency, thanks in part to a letter of recommendation from Republican Senator Orrin Hatch (R-UT) that helped to "open doors" for him at the Agency.[3] Johnson entered on duty at the CIA in September 1985 and was a classmate of Valerie Plame. Every member of that class was undercover. After a year in the Career Trainee program, which included a stint with the Afghan Task Force, Johnson was assigned as an analyst in the Middle America Caribbean Division in the Latin American Affairs Office of the Directorate of Intelligence. He received two Exceptional Performance awards and was promoted ultimately to Senior Regional Analyst for Central America.
Johnson remained undercover in the CIA until October 1989, when he resigned from the CIA and started a new job in the Office of Counter Terrorism at the Department of State. Johnson played an instrumental role in launching the Terrorism Rewards program international advertising campaign (working with Diplomatic Security officers Brad Smith and Michael Parks). [4] Johnson also was involved in a variety of crisis management response operations, including the release of hostages from Lebanon and liaison with the Pan Am 103 families. He left government service in October 1993 and started his own business as a consultant.
After leaving government service, Johnson became a frequent guest on many major television news shows when a question of terrorism came up. He was first interviewed by CNN following the capture of Carlos the Jackal. Johnson subsequently appeared on CNN, ABC's Nightline, CBS, the BBC, MSNBC, the Jim Lehrer News Hour, NBC, and NPR. In December of 1999, for example, Johnson was hired by NBC to serve as its terrorist expert for the Y2000 and was in Time Square with Tom Brokaw and Katie Couric ("a lot of fun and the best way to see in the New Year"). Johnson also was hired in January 2002 as a Fox News Analyst and remained under contract until February 2003.
Since 1994 a significant focus of Johnson's consulting work has been with the U.S. military special operations forces in scripting and conducting military counter terrorism exercises. He traveled under orders from the U.S. military to Iraq in May 2006 to work on a short term project.
A registered Republican who supported President Bush in 2000, Johnson became a strong critic of the Bush administration in May 2003 for its conduct of the war in Iraq and, a few months later, for its role in the outing of CIA operative Valerie Plame.[5] He was also featured in the 2004 political documentary Outfoxed: Rupert Murdoch's War on Journalism. Since Robert Novak's controversial disclosure of Valerie Plame as a CIA operative in July 2003, Johnson has contributed to public discourse on intelligence matters, often sparking further controversy. He has been interviewed by both the mass media and the alternative media and published commentaries on a variety of issues, including the Plame affair, the controversy concerning Mary McCarthy, and the resignation of Porter Goss as Director of Central Intelligence.
[edit]Views
This article or section may contain an inappropriate mixture of prose and timeline.
Please help convert this timeline into prose or, if necessary, a list.
[edit]1996
In 1996, Johnson noted that terrorism worldwide was on the decline. "Terrorist incidents [both internationally and in the US] have fallen to levels not seen since the 1970s. Whether measured by the number of incidents, the number of fatalities, or the number of groups, raw statistics demonstrate that the level of terrorist violence has declined since the mid-1980s. In fact, the evidence suggests terrorism was more widespread and deadly 10 years ago."[6]
He also wrote an op-ed piece for the New York Times suggesting that the newer and more deadly terrorist threat to the U.S. was embodied by "networks of terrorists, mostly foreign, working within its borders." Exemplifying this threat was Ramzi Yousef, one of the masterminds behind the 1993 attack on the World Trade Center. In the article, Johnson suggests that enhanced cooperation between intelligence agencies, particularly the FBI and CIA, is mandatory to meet the growing threat of terror networks.[7]
[edit]1998
In 1998, Johnson argued that while overall terrorism was declining, the threat from bin Laden and al-Qaeda should be the focus of American counterterrorism policy:
The nature of the threat posed by Bin Ladin is highlighted by my final chart, number 7. Osama Bin Ladin and individuals associated with him have killed and wounded more Americans than any other group. This chart also illustrates that groups such as Hamas and the Tamil Tigers (LTTE) prior to 1998 have killed more foreigners in the anti-US terrorist attacks. If we take into account the bombings of the US Embassies in Kenya and Tanzania, Osama's status as the most lethal terrorist is certain.[8]
In addition, he told USA Today that bin Laden had participated in "virtually every major attack of terrorism against the United States" in the 1990s. Johnson underlined the threat posed by bin Laden, saying that he was possessed by "hatred and craziness." If left unanswered, "he would continue to terrorize Americans around the world. He has no compunction about killing women and children. He's a complete egalitarian in his murderous attitude."[9]
[edit]1999
In an interview with PBS's Frontline for its 1999 program, Hunting bin Laden, Johnson discussed Osama bin Laden.[10] According to Johnson, Americans had "tended to make Osama bin Laden sort of a superman in Muslim garb." "Actually," he continues, "Osama bin Laden, in my view, represents more of a symptom of a problem, and the problem is this: the Saudi Arabian government, not just Osama bin Laden but many people in Saudi Arabia, have been sending money to radical Islamic groups for years." Johnson continued:
When you look at who's killed Americans in the last 10 years, the individuals he's supported and backed--I'm basing that upon the initial information that's been released in the indictments and conversations with others in the intelligence communities--Osama bin Laden has been the one killing Americans. No other terrorist group in the world has been out killing Americans except for Osama bin Laden.... Osama bin Laden remains out there as the one really targeting us. So, we recognize that he's the threat. He's serious about wanting to kill Americans, but as long as he's in Afghanistan, as long as he doesn't have access to a cell phone, as long as he can't just hop on a plane and travel wherever he wants without fear of being arrested, his ability to plan and conduct terrorist operations is extremely limited. We have to recognize [that] he would like to do a lot of damage. He would like to kill Americans, but wanting to is different from being able to, having the full capabilities in place.[11]
In the interview, Johnson doubted the ability of members of bin Laden's organization to plan and put their lives on the line:
There's not another Ali or Mustafa out there at this point and Osama bin Laden in my view has not been a very effective organizer or leader. He talks a great game and puts out terrific threats as far as stirring the passions in the United States and maybe firing up the imaginations of some young Muslims throughout the world. But when push comes to shove, can he get a group of people who are together who will say: we are going to plan an operation, we're going to put our lives on the line, we're going to go out and try and kill people and we don't care what the consequence is? It hasn't happened.[12]
Frontline asked:
[Is it] ... fair to say what you're saying is that the president of the United States, his national security advisor, his deputy national security advisor for counter-terrorism, are basically blowing smoke [about the danger posed by bin Laden] and his followers]?
Johnson responded:
They're grossly exaggerating the problem. They are hyping it. They shouldn't be talking about rising terrorism. Instead of saying "terrorism's rising," it's not. "Terrorism is spreading," it's not. "More people are dying from terrorism," not the case. But what they should be saying is, "There's one individual out there that really doesn't like us, and he's made it his mission in life to kill Americans, and we've gotta deal with him." But we need to have a voice of reason in that process instead of putting ourselves out crying wolf, because this is essentially what's taking place right now. They call it the administration that cries wolf.[12]
[edit]2000
Johnson co-authored an article in 2000 with Milt Bearden which focused on the threat posed by al-Qaeda specifically, rather than terrorism trends in general. Beardon and Johnson note that new information emerging about the bombings at Kenya and Tanzania in 1998 points to the threat posed by Imad Mugniyah and Osama Bin Laden will require "a coordinated policy that will employ a full range of covert, clandestine, diplomatic, and military operations," concluding:
The Clinton Administration has shot its bolt on the terrorist problem with small effect, and no last minute show of force will change the record. A new administration can start afresh with a more sharply defined set of terrorism goals – Mughniyeh and bin Laden and their protectors for starters – and bring the full, coordinated force of American diplomatic, military, and intelligence capabilities to bear on the problem.[13]
[edit]2001
After Johnson's testimony to the special forum at the U.S. Senate, Gary J. Schmitt, executive director and CEO of the Project for the New American Century, refers in the Daily Standard (blog) to an op-ed piece Johnson wrote two months prior to the 9/11 attacks, claiming that Johnson argued that the US had little to fear from terrorism.[14]
In an editorial entitled "The Declining Terrorist Threat," published in the New York Times on 10 July 2001, Johnson says:
Judging from news reports and the portrayal of villains in our popular entertainment, Americans are bedeviled by fantasies about terrorism. They seem to believe that terrorism is the greatest threat to the United States and that it is becoming more widespread and lethal. They are likely to think that the United States is the most popular target of terrorists. And they almost certainly have the impression that extremist Islamic groups cause most terrorism.... None of these beliefs are based in fact.... While terrorism is not vanquished, in a world where thousands of nuclear warheads are still aimed across the continents, terrorism is not the biggest security challenge confronting the United States, and it should not be portrayed that way.[15]
Ten days after the 9/11 attacks, after quoting the above passage, Timothy Noah concludes a post in his "Chatterbox" feature at Slate: "Johnson's analysis, we now see, was bold, persuasive, and 100 percent wrong."[16] Johnson defended himself against such attacks:
The rightwing is resurrecting an op-ed I wrote in July 2001. I stand by the full article. It is still relevant today. I am accused, incorrectly, of ignoring the threat of terrorism. In fact, I correctly noted that the real threat emanated from Bin Laden and Islamic extremism. President Bush, for his part, ignored the CIA warning in August 2001 that Al Qaeda was posed to strike inside the United States.[17]
After September 11, Johnson appeared several times on FOX News to address the question of military action against terrorism. On 14 November, he defended the FBI's proposal to interview 5,000 students in the U.S. suspected of having information relevant to the September 11 investigations:
I think they should talk to everyone that they feel they have a need to talk to. I mean, look, this is war. This is not a legal proceeding. This isn't the O.J. Simpson trial. The folks that attacked us -- they murdered Americans. And we've got to recognize that in wartime, we should do things differently.[18]
[edit]2003
In January 2003, Johnson wrote an analysis of the relationship between the upcoming U.S. invasion of Iraq and the threat of transnational terrorism. According to Johnson, Bremer's response was to tell him that "it didn't matter what Saddam did or didn't do, we were going to war."[19] The paper warned that an invasion would "do little to destroy the infrastructure of radical Islamic terrorism responsible for the 9-11 attacks." Noting that Saddam Hussein's regime has been a longtime supporter of regional terrorist organizations such as the PLO, Johnson examines contacts between Saddam Hussein and transnational terrorist organizations such as al-Qaeda:
There is no doubt that Iraq is a state sponsor of terrorism—i.e., a country that provides financial support, safe haven, training, or weapons and explosives to groups or individuals that carry out terrorist attacks. . . . According to Central Intelligence Agency data, there is no credible evidence implicating Iraq in any mass casualty terrorist attacks since 1991. . . .
Johnson notes that the period immediately leading up to 2003 saw a rise of activity surrounding terrorist Abu Musab al-Zarqawi, suggesting that "Iraq is willing to help a movement that it would otherwise oppose on ideological grounds. Nonetheless," Johnson concludes, "it is important to understand that Iraqi entreaties to Al Qaeda, are most likely intended as a tactic to bolster Iraq’s ability to fight off a U.S. invasion rather than a deep-seated theological and ideological commitment to the terrorist agenda of Bin Laden.[20]
In that analysis Johnson also warns that the U.S.-led invasion was likely to backfire:
In fact there is a serious risk that a U.S. led war against Iraq may crystallize the diffused anger in the Arab and Muslim world — a heretofore unattained goal of bin Laden and his followers — and persuade more Muslim youths to take up the terrorist banner against America and her citizens.... If we decide to invade Iraq we must be prepared for the contingency that our attack will inspire young Muslims to pursue jihad against the West in general and the United States in particular. Just as the 1979 Soviet invasion of Afghanistan rallied many Muslims, especially young adults to the cause of jihad, a U.S. attack may enable Islamic extremists to attract new followers.[20]
Johnson also gave interviews on the topic of what to do with captured al-Qaeda leaders; while he did not condone torture, he suggested that a "sleep deprivation and reward system" might be useful for getting information from Khalid Sheikh Mohammed:
I don't see a constitutional right to have eight hours of sleep. You shouldn't subject someone to freezing but they don't get to wear mink coats, either.[21]
In May 2003, Johnson joined members of Veteran Intelligence Professionals for Sanity (VIPS) in condemning the manipulation of intelligence for political purposes:
It is a misuse and abuse of intelligence. The president was being misled. He was ill served by the folks who are supposed to protect him on this. Whether this was witting or unwitting, I don't know, but I'll give him the benefit of the doubt.[22]
[edit]Plame affair
After Robert Novak wrote a column identifying the wife of former ambassador Joseph C. Wilson as a CIA officer, the media invited Johnson to comment on the ensuing scandal because he had been a member of the same Career Trainee class with Valerie Plame Wilson. For example, in October 2003, he appeared on Democracy Now to discuss the Plame affair. He told interviewer Amy Goodman that Valerie Wilson's cover should have been respected whether she was an "analyst" or a "cleaning lady": "if she's undercover she's undercover, period. If the media allows themselves to get distracted with those kinds of curve balls, they ignore the issue."[23]
He told a Senate Democratic Policy Committee in October 2003, "My classmates and I have been betrayed. Together, we have kept the secrets of each other's identities a secret for 18 years. Each and every one of us have kept that secret, whether we were in the CIA, in other government service or in the private sector. But this issue is not just about a blown cover. It is about the destruction of the very essence, the core of human intelligence collection activities: plausible deniability, apparently, for partisan domestic political reasons."[24]
Johnson testified at a special joint hearing of Congressional and Senate Democrats on 22 July 2005 about the consequences arising from the Plame affair.[25]
[edit]2008
In 2008, Johnson emerged as a staunch supporter of Hillary Clinton and a strong critic of Barack Obama. Larry Johnson's blog, NoQuarterUSA, became a rally point for Clinton supporters wary of Barack Obama's qualifications to be president. Supporters of Barack Obama insist that a story that first appeared on Johnson's blog--a report that Republican operatives have a tape of Michelle Obama making racially insenstive comments about caucasians--has been "refuted" Barack Obama's Fight the Smears website.[26]. However, Johnson never claimed to have the tape and reported that the Republican operatives controlling it intended to release the tape sometime after the Democratic Convention in August 2008. On October 21, however, he asserted that the operative in possession of the tape had been instructed by the McCain campaign not to release it.[27]
[edit]Notes
^ http://2008.weblogawards.org/polls/best-political-coverage/
^ Larry C. Johnson, "About Me," No Quarter (personal blog).
^ "Former CIA Official Larry Johnson Delivers Democratic Radio Address," transcript posted on official Democratic National Committee's website for The Democratic Party, July 23, 2005], accessed November 21, 2006.
^ Interview with Larry Johnson, confirmed by his supervisor
^ "Ex-CIA official Blasts Bush on Leak of Operative's Name: Democrats' Radio Address Focuses on White House Aides' Role," CNN July 23, 2005, accessed November 21, 2006.
^ Gail Russell Chaddock, "Why Terrorists Pick On the French," Christian Science Monitor (5 December 1996) p. 1.
^ Larry Johnson, "Terrorists Among Us," New York Times (20 August 1996) p. A19.
^ Terrorism Today
^ Lee Michael Katz, "The Hunt for Bin Laden," USA Today (21 August 1998) p. 1A.
^ See Transcript of original interview with Larry C. Johnson, as broadcast on Frontline in 1999. Cf. "Interview: Larry C. Johnson," for Hunting bin Laden, transcript of interview broadcast on Frontline subsequently on 13 April 2001. See also dedicated PBS webpages for media links: Iraq and the War on Terror, Frontline PBS, online featured programs, accessed 19 November 2006.
^ frontline: hunting bin laden: interviews: larry c. johnson | PBS
^ a b [1].
^ As posted in [2].
^ Gary Schmitt, [ 07/25/2005 "Meet Larry Johnson: The CIA official Turned Democratic Spokesman Has a Pre-9/11 Mindset," Daily Standard (blog), July 25, 2005, accessed November 20, 2006.
^ *Larry C. Johnson, "The Declining Terrorist Threat," The New York Times 10 July 2001: A19.
^ Timothy Noah, "(Not Exactly a) Whopper of the Week: Larry C. Johnson," Chatterbox: Gossip, speculation, and scuttlebutt about politics (blog), hosted by Slate September 21, 2001, accessed November 20, 2006. Note the full context of this quotation:
It is, to be sure, a little bit cheap (and slightly at odds with the usual parameters of this feature) to criticize someone for making an erroneous prediction, particularly after a tragedy. Chatterbox is especially reluctant to tag Johnson because Johnson's op-ed was argued forcefully, backed up meticulously with factual data, and bravely at odds with conventional wisdom at the time of its publication. Add in that Johnson now makes his living as a consultant to corporations about terrorism, and therefore had everything to gain by exaggerating the dangers terrorism poses, and the guy practically looks like a hero. Chatterbox, who two decades ago was an editor for the New York Times op-ed page, would have published Johnson's piece had he still been an editor there this past July. In his capacity at Slate, Chatterbox might well have written up Johnson's prediction, and perhaps even endorsed it.
But boy, is he glad he didn't! Johnson's analysis, we now see, was bold, persuasive, and 100 percent wrong. Sadly, a mistake this embarrassing cannot be ignored. As a fellow skeptic, Chatterbox in all sincerity wishes Johnson better luck next time.
^ Larry C. Johnson, "Johnson vs. President Bush," re-posted and updated by SusanHu at DailyKos (blog) July 25, 2005.
^ FOX News Interview with John Garrett (14 November 2001) Transcript #111405cb.260.
^ [3].
^ a b Larry C. Johnson, "Setting the Record Straight on Iraqi Terrorism," posted in Booman Tribune: A Progressive Community (personal blog) 27 January 2003. accessed 19 November 2006.
^ Qtd. in Toby Harnden, "CIA 'pressure' on al-Qa'eda chief," The London Telegraph 5 March 2003: 16.
^ Qtd. in Nicolas D. Kristof, "Save Our Spooks," The New York Times 30 May 2003:A6.
^ Democracy Now (3 October 2003)[4]
^ U.S. Senate, Democratic Policy Committee Meeting on the CIA Operative Leak, (24 October 2003).
^ Letter to the Senate.[Needs full source citation; see "References" section.]
^ Tumulty, Karen (2008-06-12). "Will Obama's Anti-Rumor Plan Work?", Time Magazine. Retrieved on 20 June 2008.:"a story that apparently first made a big splash on the Internet in late May in a post by pro-Hillary Clinton blogger Larry Johnson"
^ Whitey Tape, API, Phil Berg, and Andy MartinSee Authors Posts (1090) on March 11, 2008 at 5:16 PM in Current Affairs
As someone who has been involved in money laundering investigations for more than a decade, the explanation for how the Feds “stumbled” on Elliot Spitzer’s filandering stinks to high heaven. I have a very libertarian attitude on the issue of prostitution. What two consenting adults do is their own business. Of course, Spitzer is married and he has some explaining to do to his wife. But again, that is between them. And yes, I know prostitution is against the law, but it is a stupid law.
Scott Horton was first out of the blocks throwing a penalty flag on this nonsense. See his post The Spitzer Sex Sting: A Few More Questions. The explanation that the banks reported “suspicious” activity does not wash. The amounts involved were not large enough to trip such reporting. There is no denying Spitzer put himself into this position and partisan prosecutors will exploit the hell out of it. But this is a gross abuse of prosecutorial power. Spitzer’s standing as a living morality play just set him up for the colossal fall. A tragedy all around.


















We agree on the legality of the oldest profession.
But it’s apparent you have not been following Spitzer’s brief stint as Governor or recall his tenure as Attorney General.
As Attorney General he made a big issue out of prosecuting prostitution rings. He cannot have it both ways.
As Governor he is being investigated for abuse of office regarding what is called Choppergate. When he first came to office he warned the oppositions Assembly leader not to get in his way because he was a “F–king Steamroller.” Then there was his unilateral move to try and give driver’s licenses to illegals which did not even have the support of his own Party. He had become an embarrassment to his own party and his re-election was doubtful - now it’s zero.
Other than the press reports I’m not sure of the details and I would hope that with a condition that he resign he will not be prosecuted.
The only person who abused his position was Spitzer himself and Democrats in NYS know that. The last thing NYS needed was another high level scandal like that of Alan Hevisi who was forced to resign.
I disagree with your supposition that the only person that abused his position was Spitzer. Scott Horton and ABC news has brought out the serious problems with the DOJ and the targeting of Democrats. This is the worst case of abuse of power and must be stopped. These are serious issues and underlay our whole structure of democracy.
I agree that Spitzer is culpable and a hypocrite. That said, I don’t want him to resign until all the questions that Mr. Horton’s has presented have been satisfactorily answered; and if there are any abuses by the Federal Government, they must be addressed in the appropriate manner. Whatever Spitzer did pales in comparison if is shown that there was a witch hunt perpetrated by the DOJ to malign and overthrow a duly elected official.
I couldn’t agree more. This guy made his own bed and he willfully enagaged in this illegal activity for several years. I don’t care how they found out about it. He intended to beak the law when he ordered these hookers across state lines and when he set up dummy corps to engage in wire fraud.
Spitzer engaged in numerous overzealous prosecutions and it is only fitting that he be brought down by one. The only way to really beat a bully is to stand up and beat him at his own game. He got exactly what he deserved.
The Mann act is still on the books. Still a federal offense. The transportation or arrainging for the transportation across state lines of woman/women for purposes of prostitution or debaucery is a federal offense.
Smurfing, or structuring financial transactions so as to avoid triggering the $10,000 transaction reporting requirement is also a federal offense.
But there is an interesting question so far unasked. who are numbers 1-8.
There is another question: were these exquisite ladies paid from his personal accounts or did he do a Rudy and charge them to his office account?
At least one report of the search of the manager’s apartment mentioned that the manager held an Israeli passport among others. Might be that Spitzer ran his member into a mossad honey trap.
Smurfing is a specific type of structuring, and Spitzer clearly was not smurfing. Smurfing refers to guys who work for Colombian drug traffickers who are tasked on a daily basis to feed money into multiple accounts. And yes, the Mann act is still on the books, but if Kristen reports she actually paid her way to Washington, DC and that the sex was consensual, will be difficult for a slam dunk case.
I’m not arguing Spitzer was a saint or is being abused. But there is something more going on here.
The FBI affidavit indicates that “Client-9″ paid for everything: train tickets, cab fare from the hotel and back, mini-bar or room service, travel time and hotel. (See graf 74 at top of page 2)
Does that make a difference?
Actually he was smurfing as defined in the law.
That he is not a columbian drug lord is not relevant, the law does not restrict itself to finanacial transactions made by columbians. Banks are supposed to report all smurfing type transactions. Spitzer made multiple wire transfers out of various accounts and into a specific shell company account. And he asked his bank to remove his name from the wire transfers.
As a high powered prosecutor/gouvernor he might have some reason to believe that his bank would apply the proper noblesse oblige and assist him in breaking the law. They didn’t. When a gouvernor starts smurfing one can think that blackmail or kickbacks might be involved, to find that it was good old fashioned slap and tickle is a comedown of course, but once the machine is in motion it does tend to stay in motion.
The sex was a financial transaction, consensuality has nothing to do with prostitution as a crime. Sex for money without a wedding ring is illegal. An argument about whether it should be illegal has not much merit unless one is hoping for jury nullification. Prosecutors have a huge dislike for jury nullification and for those who would do their citizens duty to judge both the facts and the law.
Is there something more going on, probably. Self righteous braggarts and bullies often create enemies. Bruno in upstate NY is not a fan, the wall street types are enjoying Spitzer’s downfall, several dozen people who are in prison for running prostitution rings are smiling at the thought of their former nemesis prosecutor sharing living quarters with them.
Ck,
You are wrong. Smurfing involves moving proceeds from illegal sources into bank accounts. The term was coined because Colombian drug lords employed folks who were tasked everyday to deposit money from drug proceeds into bank accounts in order to repatriate the money to Colombia.
Nothing that Spitzer did qualifies as Smurfing. You do not know what you are talking about.
And how does one tell if the sources are illegal? He smurfed. The transactions looked like smurfings and were followed up as if they were illegal smurfings.
The law assumes that structuring transactions this way is evidence of illegal behaviour.
Structuring transactions so as not to trip the $10,000 mandatory single transaction reporting requirement is illegal. It does not matter whether the source of the funds was illegal. Your bank will rat you out to the feds, the irs, any anyone else they might be secretly required to.
So)
1) He moved monies from his accounts in multiple transaction in quantities below the manadatory single amount for reporting.
2) into a shell company account
3) asked his bank to remove his name from the transfers.
It qualifies.
The specific term “smurfing” did indeed come from the multiple little blue columbian money launderers. The law against Structuring ( smurfing ) went a bit farther in defining what would qualify as a smurf. Smurfing, it’s not just for Columbians anymore.
CK,
I read about this on YNet. The guy had three passports and it did make me think of what happened to McGreevy.
Spitzer investigated the misuse of money for Holocaust in the past.
Holocaust victims
This really does not pass the smell test. While I personally disapprove of prostitution I don’t think there is anything wrong with it between consenting adults. If people are stupid enough to pay for it then so be it.
These suspicious sums reported by the bank are suspect in themselves. How much money could they possibly be talking about for a prostitute? Was Spitzer really getting laid by prostitutes that frequently without his wife knowing something was up? And were they really worth that much money?
I think some people have been out to get Spitzer for a number of years. It looks like they got their chance. And took it.
6 years
$1500-$4300 an hour.
Price is an objective thing, value is subjective.
I would appreciate knowing whatever tricks the ladies might possess that makes their hourly rate so much higher than the market clearing rate.
The banks really do not have a lot of leeway, thanks to the bedwetters who passed the Patriot act and its many kin, an american’s money is not really his at all. The banks have to report single transactions of $10,000 or more. They also have to report “patterns of transactions that have the appearance of being done only to avoid triggering the single amount report minimum.
Frequency of interaction is an unknown so far.
Maybe he was using HGH or Cialis or some other chemical aid.
If the activities end up going to a jury trial, Spitzer can only hope that one of the jury members believes in Jury nullification. It would be ironic and delicious for a prosecutor to find himself in need of a nullifier.
I swear to god I thought smurfs had to do with Europeans.
And I have been seeing so many around, just on the TV, in the stores, oh, for god’s sake, in my dreams, those blueboy smurfs.
zGlad I understand the term, now…
lololololololol…
The banks really do not have a lot of leeway, thanks to the bedwetters who passed the Patriot act
CK,
Unfortunately Spitzer supported these overreaching measures
Scott Horton is on to something. Think Don Siegelman. This is for maximum humiliation.
I think it smells to high heaven also. Even Chris Matthews, was questioning it last night at one point.
It made me feel a little less tin foil and in denial when he did that. The reinforcer for me was when I read the report from ABC that Scott Horton references and to my great suprirse, they were going after him specifically!!
A very wealthy person moving this amount of money around sets off bells? It just isn’t logical to me. The ABC report also references that they thought he was being bribed, you don’t usually take money out of your account when you are being bribed, you get it put in! The withdrawal was raising bells?
Maybe I read too many mysteries, but the whole thing seems odd to me. I think Mr. Spitzer made too many powerful enemies or just the fact that he is a Dem gov. Whether he was a good governor for the state of NY? Since I’m not a resident, I won’t pass judgment.
Heartbreaking for his family. It really looks more and more to me that they were out to get him. I really don’t see that it was anybody’s business what he did. I found it interesting also in the PDF, that they were sure to record all the details that would be relavent to the Mann Act on the wiretap, that alone made me suspicious. Another thing I thought odd, was that the article said that the ring made a million since 2003 or 2004. I thought to myself, they only made a million at the rates they are charging? That just didn’t sound quite right to me, but perhaps they are hiding it somewhere….
Larry..
Looks like Spitzer just got caught up the Middle of Ongoing Federal Organized crime Investigations..Wire Taps.. and Recent Arrests..
Spitzer, of All People ..should have known Better..
Just like LIBBY..
According to today’s Newsday article, he broke down the over $10K payment in several wires, then called the bank after the fact, asking them to take his name off the wires.
The bank noted that was impossible as the wires left, then filed the SAR because (FTA:) “the transfer of the money that exceeded $10,000, but had been broken down into smaller amounts, the sources said.”
The FBI picked up on it, fearing there was a blackmailer involved. According to the article, it surprised them it was fees for service instead.
I agree that the oldest profession in the world doesn’t trigger my ire. It is, however, offensive that one who made a name, crusading on busting prostitution rings, also indulges himself. It is, at best, indication of a dual standard. An inherent attitude that is unacceptable as an elected official.
It is unfortunate. The right wingers are pissing with glee.
Thank you Larry, for validating what I have suspected. This case smells funny.
Obviously the response to it is all out of proportion, David Vitter and Larry Craig are still employed. Spitzer hasn’t even been charged yet and they’re already talking impeachment. Also the news mentioned that he may not be charged at all if he just resigns and goes away. That sounds kind of like extortion to me.
I also remember attorney-gate and how some attorneys said they were canned for not particpating in politically motivated prosecutions. In Wa state, specifcally for not prosecuting fabrications of election fraud and delivering the governor’s office to the Republicans. So there is a precedent for politcally motivated prosecutions and people should be suspicious.
Spitzer absolutely should have known better. That, by itself, makes the whole thing stink that much more. Sort of like Monica Lewdinsky. I wouldn’t be surprised if it is discovered some time in the future that both cases were set up by the repubs.
How exactly do you set up a man to spend 80K on hookers over an extended period?
Bill Clinton had a long time reputation as a horndog. Putting a pretty little thing in a thong into his office staff might be doable. Making sure he hit on the pretty little thing is not a guaranteed slam dunk.
Spitzer went to the escort service, it didn’t come to him. As far as we can see, he did not get a discount on the services.
I am neither a shrink nor a defense attorney, why Spitzer bought sex is for others to examine.
As a generality, purchased sex is really two things, the sex which might be something one cannot get or cannot get in a way he enoys at home, and the knowledge that the seller will not be there in the morning. Hollywood movies aside, purchased sex is not a gateway drug to love and marriage.
And even at 5500 an hour, it is still just a piece-work job.
It seemed too clean a break. granted it was indeed a bad break for Spitzer.
They were phishing his finances.
It does not remove the culpability. However, the worst way to be seen smurfing is to donate the minimum amount to a campaign as a flag that you’re working low end items. Why not stay one dollar under and forgo disclosure? Because it sending a signal to those you back that results will come your way if you continue to thread the web of paybacks.
It’s traditional nomenclature for such items. A certain candidate right now had just such a flag go up regarding some questionable business in his state.
As for Eliot, he got off light, he’s not taking money from the same ones he’s paying. Usually that’s the way you protect your own stake in the illegal enterprise. Work off the presumption that people in it to the level you are will be motivated by their own self interest to avoid disclosure.
I don’t doubt that Spitzer was a target, but you might want to look into SAR a bit more. That is an issue in itself. You may have been reported, too. The standard is not limited to only a specific monetary amount. It is a real “Big Brother” standard now and the bank standard for generating a report is governed by CYA.
Also, maybe this was just a “Pretty Woman” type of prostitution, but you have to look at a lot more than that surface before making that determination. Trafficking, slavery, underage girls, violence, drugs, and lots of other unsavory things often go along with that business. What else was going on? Do we know?
Am I the only one appalled that some bank can just go rifling through a bank account to see what you are spending your money on? First illegal wire tapping, and now nosey bankers? They could actually be potential blackmailers.
Not some bank
All banks
Not some accounts
All accounts
Supposedly this makes you more secure.
You could have voted for someone who would actually work to repeal these laws.
Instead you have a choice among three candidates who love these laws.
I find cash in hand is nice stuff. And given that any savings account you might find pays less in interest than the prevailing rate of inflation, cash in hand is not a bad form of security.
Except that if you are stopped by a security officer, and you have cash on you, the cash can and will be confiscated as proof of nefarious behaviour on your part.
You’re not the only one. I’ve been appalled by how much power banks have and how much they can violate your privacy. If you make a big enough deposit or withdrawl they notify the IRS. You’re contantly being tattled on and your job becomes always having to be prepared to defend yourself. It’s your money, but you always have to be able to justify how you got it and how you’re spending it. It might make sense if they’re tracking foreign billionaires or something, but when it comes to a dinky company like me doing payroll or paying bills, it gets annoying. And invasive. And time consuming.
yttik,
Last year I gave a contractor a check to pick up extra supplies he needed. He went to my bank to cash it. They didn’t want to give him the money!!
I almost had to show up in person.
Spitzer’s status as a high elected official obviously affected the bank-IRS reporting requirements (as though a filthy rich man like Spitzer were taking bribes). What is to stop them from doing this to any high elected Democratic official?
Come on people! This is about HYPOCRISY! No one cares about the sex or the money he spent on it or how he got busted. This is about a man with such a tremendous EGO, ARROGANCE and in-your-face attitude. It’s about someone who was faililng MISERABLY at governing. Someone who rode to office with a HUGE LANDSLIDE victory due to his posturing and proclaimations for change and cleaning up gov’t. People believed him, I believed him and gave him my vote. And he turned out to be a LIAR and a FRAUD.
Now who does this remind you of??? Instead of defending this dead-in-the-water loser, we should be using this to our advantage about the difference between posturing and governing. About substance and the lack of.
Come on people….. let’s make it work!
Maybe he is a liar and a fraud. But we’ve got someone in the white house who lied about WMD and has caused the deaths of thousands of troops and close to a million Iraqis. So where are the calls for him to resign? Where are the threats of impeachment? Where are the criminal charges?
And speaking of simply lying about sex, why do Vitter and Craig still have their jobs?
They still have there jobs because they did not prosecute and jail any prosties. They still have their jobs because they only vote to criminalize consensual sex between people of the same sex.
The fraud in the white house will have served fully his two terms, he will start another war sometime before election day under the belief that Amurcans will not elect a black or a woman when the country is in a real war.
Mimi,
I told you when the story broke that I suspected something more was going on.
Who decided to target him?
[...] Sex Sting: A Few More Questions (by Scott Horton at No Comment, Harper’s Magazine, thanks to No Quarter) Note that [the Eliot Spitzer] prosecution was managed with staffers from the Public Integrity [...]
The Thieves of Virtue: legislating morality undermines representative government….
Legislating Authority, removes power from those who are elected to protect our freedoms.
Thoughts on how a sex prostitution political scandal undermines effective representative governement.
INCLUDES: Whoopie Goldberg discussing Spitzer
Noam Chomsky…
La rage
The Thieves of Virtue: legislating morality undermines representative government.
…if enough laws legislate morality, no representative gov’t official is beyond the reach of legal intimidation…
think about it.
is it a crime because its a crime…? or because its VICE crimes make it easier for Power to keep their feet on your Human Rights-seeking neck?
… how exactly does *a vice crime* impact one’s ability to do their job? the fact a vice is a policed & monitored *activity*… not the activity… thus, you create a society where *nobody is perfect enough to do their job on THE ELECTORATE’s behalf*… & for whom does that works out?
isn’t government about putting a representative in place to potentially level the playing field so we have a *shot* at justice in a culture where Money & Power have no interest in our free participation?
its about our COMPLIANCE & SUBMISSION.
“Serf-fulfilling” @ Montebello: Police accused of using provocateurs at Security & Prosperity Partnership Summit
Are we naturally mean? thoughts on Howard Zinn’s “The Myth of the Killer Instinct“
Join the Revolution: get laid
~~~
Spread Love…
BlueBerry Pick’n
can be found @
ThisCanadian
~~~
“We, two, form a Multitude” ~ Ovid.
~~~
“Silent Freedom is Freedom Silenced”
thoughts on “Holding the Bully’s Coat” …
Linda McQuaid’s discussion on the SPP …
There is no WE in corruption…
How dumb do you have to be to believe that corruption or ‘getting in on the action’ will benefit YOU?
Obviously, North America has come to the conclusion that *cheating* is only for Winners….