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How The "Emperor's Club" Probe Started
There's sure to be some scrutiny of how federal prosecutors netted Gov. Eliot Spitzer, a rising star in the Democratic party, in a prostitution ring. Especially considering that prosecutors from Manhattan's U.S. attorney's public corruption section are working the case.
According to an affidavit by an FBI agent filed for a search warrant in the case the investigation, led by the FBI and IRS criminal investigators, began in October of last year and focused on the ring itself for prostitution and money laundering charges. The Emperors Club ring allegedly used more than 50 prostitutes and set up dates all over the country and international cities like London and Paris, and had more than $1 million in proceeds through its front company, called QAT.
The feds intercepted more than 5,000 telephone calls and text messages used by the company's alleged managers and 6,000 emails in the course of their investigation. The wiretaps lasted from January 8th through February 7th, when it expired, and then were renewed on Februrary 11th. As you can see from the excerpt from the affidavit posted below, investigators intercepted calls involving "Client 9," who is reportedly Spitzer, starting on February 12th and into February 13th.
It's not clear precisely how the investigation began. The FBI agent, Kenneth Hosey, does cite a conversation with a "law enforcement officer who had been involved in the investigation of a number of prostitution businesses in the New York City area." That officer (it's not clear if he works with New York City, the state or the feds) told Hosey that "in the end of 2006," he spoke with a confidential source who had worked as a prostitute in New York City. That source, who had gained immunity from prosecution, had told the law enforcement officer that she'd worked for the Emperors Club as a prostitute in 2006. Hosey said that further evidence had corroborated this. Again, it's not clear if this was a tip that led to the investigation, or just further information investigators discovered after the investigation began.
Update: Here's some clarity.













Look at the guy, you can see why he's breaking out his billfold to play hide-the-salami.
March 10, 2008 5:13 PM | Reply | Permalink
If Spitzer is Client #9, then Spitzer had patronized the Emperor's Club in the past and there is a very good chance that the Feds knew it.
Were the Feds just waiting to catch Spitzer on tape? I wouldn't be at all surprised if that were the case.
March 10, 2008 5:14 PM | Reply | Permalink
Did warrantless wiretapping play a role, however distant? (SigInt picked up, some information passed to someone verbally, passed to someone else...)
How would we ever know?
March 10, 2008 5:19 PM | Reply | Permalink
Doesn't the FBI have anything better to do? I thought the terrorists were coming to get us.
March 10, 2008 5:20 PM | Reply | Permalink
Actually the GOV has access to classified materials, when a person such as this is compromised, there is a security risk inherient to the act. Most notably there is the blackmail and coercion aspect of this, where not the prostitute but "any" individual who has this information can levergae it.
Then there is the money laundering aspecting of this, where these crimes fund illegal activities including arms and drugs.
So yeah the DOJ definetly has a dog in this fight.
March 10, 2008 9:20 PM | Reply | Permalink
Hmmm. Wonder how all those corruption cases on republicans are going? There does seem to be a difference in speed.
March 10, 2008 5:20 PM | Reply | Permalink
Yeah! Even though Spitzer may be guilty, what about all those Republican rapists, etc.?
The law only applies to Democrats, especially governors, apparently.
March 10, 2008 5:37 PM | Reply | Permalink
Jack Kingston (R-GA) will be defending Spitzer on the teevee tonight because Spitzer wears a lapel pin.
March 10, 2008 5:23 PM | Reply | Permalink
so, the wiretap was renewed the day before it snagged spitzer?
March 10, 2008 5:25 PM | Reply | Permalink
So they caught one high-profile Democrat in their sting. How many Republicans were also caught. Or is that confidential?
March 10, 2008 5:28 PM | Reply | Permalink
Does this mean Spitzer isn't a superdelegate automatic delegate any more?
March 10, 2008 5:39 PM | Reply | Permalink
Hmm, apparently the strike tag doesn't work here.
March 10, 2008 5:47 PM | Reply | Permalink
Spitzer was Client 9? Egads, he must have been one of their first customers. Wonder who the 8 are that got in (no pun intended) ahead of him.
March 10, 2008 5:44 PM | Reply | Permalink
Lestor Freamon strikes again.
March 10, 2008 5:45 PM | Reply | Permalink
Hmm, apparently the strike tag doesn't work here.
March 10, 2008 5:47 PM | Reply | Permalink
Eliza, use and instead, with or without and . :-)
March 11, 2008 12:29 PM | Reply | Permalink
Thank God *someone* is making sure that the American people are safe from...well, something.
Why is it that conservatives love to talk about "less government" until the issue is sex or drugs? Then, we evidently need immediate government involvement, lest people get the misguided impression that they can make their own choices on issues of personal conduct.
Having said that, the guy is the Gov (or soon-to-be ex-Gov) of New York. If he couldn't exercise better judgment, I can't summon up too much pity. Too bad. I liked Spitzer, and am sorry to see him go.
March 10, 2008 5:49 PM | Reply | Permalink
on the bright side, doesn't this mean he's now crossed the Commander-in-Chief threshhold?
March 10, 2008 6:00 PM | Reply | Permalink
The Bush gang wants retroactive immunity for themselves and the telecoms because they were spying on their political enemies, you're seeing one of them in Spitzer.
What was it one of Bush's top officials said, Comey?: "If this ever gets out...." and, weren't a lot of Justice officials ready to resign over this spying?
March 10, 2008 6:01 PM | Reply | Permalink
Spitzer is a stupid person and should resign!
March 10, 2008 6:12 PM | Reply | Permalink
From the desk of:
Mark Poison Penn
Re: Spitzer Sex Scandal:
Senator Hillary Rodham Clinton wants the voters to know that she has the most experience to deal with such a unexpected emergency. Senator Clinton has past the threshold of being qualified to deal with Bimbo Eruptions, from day one. Experience counts. At 3.00am who do you want answering those phone calls from the Red Light Zone.
Hillary Clinton has 35 years of experience dealing with Bimbo Eruptions, and Senator Obama has never even made a speech about them.
Who do you want taking that 3.00AM Red Light call!
March 10, 2008 6:16 PM | Reply | Permalink
I'm pretty sure that "Client 9" probably refers to some indictment someplace. Just like in the Libby case, Rove was something like "person of interest 2" or some such.
At $5,500 a pop, how much do you want to bet that Spitzer isn't the only high-profile customer of the Emporer's club?
March 10, 2008 6:19 PM | Reply | Permalink
Eliot Spitzer has been both a customer and a protector of organized crime since he was a prosecutor and NY Attorney General. This press release shows that Spitzer ignored the death threat by an attorney, admitted before a civil judge, in order to protect organized crime in bankruptcy courts known as "bankruptcy rings" which Congress sought to fight since the early 1900s. www.lawyersunregulated.blogspot.com Spitzer was owned by criminals. Look at the similar patterns of fraud that happened in Worldcom, Enron, and eToys. Look at the admitted death threat in Worldcom Only Martha Stewart, rap stars, and baseball stars go to prison for such crimes, lawyers who are connected with organized crime merely manipulate the corrupted government officials that they own. Sorry to say that the U.S.A. is permeated with public corruption at the highest levels of our government in law enforcement and the Judiciary. Hey Barack Obama: Are you really for "change", or are you just a "new boss, same as the old boss"?
March 10, 2008 6:19 PM | Reply | Permalink
I'm as partisan and pro-Dem as the next person, but this guy (Spitzer, ideally ex-governor-to-be) was paying to sexually assault women. I don't care how good his politics were or were not otherwise, what he did was both immoral and illegal and violated state and federal law. The man should be indicted - not that Republicans or anyone else who commits these crimes should not be - but really, if Spitzer did this stuff, he deserves to go down. And I blame Spitzer personally for the consequences for the Democratic Party in New York State - his behavior was not only immoral and illegal it was irresponsible and disrespectful to the hundreds and thousands (if not millions - New York is a big state) of Democrats who placed their faith in him to bring an end to over a decade of a Republican governor and lead to a Democratic majority in both houses.
March 10, 2008 6:28 PM | Reply | Permalink
there's nothing 'immoral' about two consenting adults touching each other's body parts.
and equating prostitution with sexual assault is just offensive.
who are you to tell me what to do with my body??
March 10, 2008 7:24 PM | Reply | Permalink
Wow, $5,500 a time? That's only $500 more than Alberto Gonzalez demanded for expenses when he spoke at a local university. (He got $30,000 for his speaking fee.)
Peace,
Paul
March 10, 2008 6:39 PM | Reply | Permalink
Hmmm, maybe Gonzo wanted an extra $500 to put on deposit?
March 11, 2008 12:56 AM | Reply | Permalink
5,000 phone calls; 6,000 e-mails.
So then, who else is on the list?
I can't believe Spitzer is the only high-profile character involved.
March 10, 2008 6:40 PM | Reply | Permalink
Oh my Eliott, thanks for cementing the image of politicians as stupid, self centered power mongers who screw everyone except their wives. Can we now expect Republican Senator David Vitter to resign as well for the exact same indiscretion? Or how about Senator "Wide Stance" Larry Craig but for the fact he likes to screw men in bathrooms? I thought so. Hippocrates are us, one and all. FauxNews should be fair and balanced about this...
March 10, 2008 6:41 PM | Reply | Permalink
What's all this whining about feds and the republicans? The problem is not whether they were in hunting-a-dem season, but that this dem was uber idiotically doing something illegal.
A guy who prosecuted two prostitution rings and run on a ethics-superhero platform nailed texting to have this favorite girl brought from NY to DC to spend the evening? Frankly, he deserves it.
My only doubt is why, again, a wife standing by the guy that does not deserve it. What's with the wives chauvinism? Why don't they leave them alone dealing with their mess? Or is Silda planning to run on a first-lady experience platform in a couple of years?
March 10, 2008 6:42 PM | Reply | Permalink
just point of information, I read all the docs, he paid $3500 for the night, including paying for her to come down from NYC by train. The extra $2k was a deposit towards future use, because the Spitz found it difficult to pay, didn't use credit cards and actually had to mail the money ahead of time no return address for this gig so they asked him to put some cash on deposit. Obviously not Spitz' first rodeo so to speak.
March 10, 2008 6:45 PM | Reply | Permalink
oh and the $3,500 was for four hours plus expenses. Granted still a lot a money...
March 10, 2008 6:46 PM | Reply | Permalink
Will Senator Clinton return his money and condemn his behavior? Boy am I glad at least Obama was far far away from this. Just what we need -- another high level Democratic alpha male with a zipper problem.
Dave Patterson is a great guy -- the first governor with a severe disability (He's blind.)
I do love NYYYYY.
March 10, 2008 6:58 PM | Reply | Permalink
YAWN.
Spitzer has made a lot of powerful enemies and I am sure they are salivating at this recent revelation.
I would hate to see him step down.
Nor were any of the women involved in this "victims" in any sense of the word as opposed to say sex slaves.
More petty nonsense being used to eliminate a threat to the moneyed interests.
It will be interesting to see whether or not Spitzer was targeted by a corrupt DOJ.
March 10, 2008 7:08 PM | Reply | Permalink
I'm waiting for a more thorough vetting of Spitzer's expenditures, however, at this point, the 'structuring' explanation looks weak--iirc, the threshold is $10,000, and Spitzer's trysts were in the $3-5k range.
Also fishy is the explanation that they were looking into Spitzer's expenses as possible bribes--I wouldn't claim to be privy to how bribes work, but it seems to me that, as AG, Spitzer would be receiving bribes, not paying them.
Finally, the dollar amounts here seem to be small beer, for either bribes or sex.
I'm not here to stand up for Spitzer, but it's starting to smell like Karl Rove...
March 10, 2008 7:54 PM | Reply | Permalink
$10,000 is the threshold under which the Bank Secrecy Act (how's that for an Orwellian name?) requires the financial institution to file a CTR (Currency Transaction Report) with the IRS, but banks will typically have a lower threshold for their internal reporting, in order to catch people who are trying to game the system by making only cash transactions that fall under the threshold (structuring).
If the bank believes the customer to be structuring his cash transactions to avoid CTR filings, or that the transactions are in some other way suggestive of money laundering or criminal activity, they are required under BSA to file a Suspicious Activity Report (SAR) with the Financial Crimes Enforcement Network. There is no specific trigger amount for a SAR.
A customer would be told if his transaction required the filing of a CTR. He would not be told about the filing of a SAR.
But Spitzer would have known all this, so how he thought his movements of money would not be detected is beyond me.
March 11, 2008 12:46 AM | Reply | Permalink
Spitzer hasn't exactly been making friends on Wall Street, and since the repeal of Glass-Steagall, the banks and brokerages are highly integrated (not that they had too far to go). Reporting suspicious activity below the legal requirement is highly subjective, but if you've got an axe to grind, you could certainly set the bar low and look for your nemesis. Of course, that might be too obvious, so you could ask for special attention for all state-wide elected officials, or some other group which happened to include the governor.
March 11, 2008 8:13 PM | Reply | Permalink
Can we expect a decrease in fees for VIP escorts now that the high-rollers have stopped bidding up the market? /;^)
March 10, 2008 8:00 PM | Reply | Permalink
Chris Mathews says that Hillary had nothing to do with Spitzer's involvement with a prostitute "as far as he knows"
March 10, 2008 8:00 PM | Reply | Permalink
One out of a hundred adults in America are in jail or prison. As a minority, I venture to say that, most likely, one out of ten of our politicians belong behind bars... or at the least... disbarred.
Too bad they are the ones making the ethics, misdemeanor, and felony regulations and penalties for themselves...
We need to throw them ALL out and give a new set of mobsters a chance... IMHO
March 10, 2008 8:04 PM | Reply | Permalink
We all villified Larry Craig. Shitzer deserves at least the same contempt. He is not immune simply because he is a Dem.
March 10, 2008 8:14 PM | Reply | Permalink
It's not any significant party that does wrong doings, it's the nature of the beast of politics.
Too much power and prestige is given to our politicians and they eat it up!!
Are you really surprised?
I'm not surprised at all!
March 10, 2008 8:25 PM | Reply | Permalink
Listen, this guy made a reservation, and made his way to Washington DC, and signed himself into a hotel using a friend's name apparently without the friend's consent, with the potential to damage the friend's name, and he used the services of a prostitute. There is no vast right wing conspiracy that gets a governor and anti-corruption crusader to get up in NY, leave his home, fly all the way to DC to sleep with a prostitute while his wife is at home. Let's please learn to hold people responsible for actions that they willingly take. Whether patronizing prostitutes is morally right or wrong is not something that this case will decide, but to suggest that the governor may have been targeted is equally mute. What if he was? He sure let himself into the net. When you live in a glass house, you gotta be careful about them stones.
March 10, 2008 8:36 PM | Reply | Permalink
I have pity, but not for Spitzer. For me. I admired him.
March 10, 2008 8:39 PM | Reply | Permalink
send him back to mommy... maybe she can send for him by train...
March 10, 2008 8:43 PM | Reply | Permalink
my armchair psychoanalysis: it isn't strictly about needing sex with prostitutes. I always sensed something fetishistic about the way in which Spitzer (who I've voted for every time he's run for anything, the very first primary included) went after white collar criminals. It seems to me he likely has and has always had a neurotic obsession with cheating and getting away with things which leads him to both go after cheaters and to cheat himself, obviously in ridiculously circuitous and elaborate ways that end up creating a trail rather than obscuring one. If I am right, then this is probably not an isolated incident.
I never saw the point of prostitution being illegal but in this instance, when you have a career in law enforcement at the highest echelons, you can't break the law, even a dumb law. He's got to go.
March 10, 2008 8:44 PM | Reply | Permalink
Why do some men pay for what they can get for FREE -- especially from their wives?
http://osi-speaks.blogspot.com/2008/03/back-to-new-york-governor-elliot.html#links
March 10, 2008 8:53 PM | Reply | Permalink
Illegal wiretaps?
Bush's stupidity may be Spitzer's Carte Blanc.
March 10, 2008 9:18 PM | Reply | Permalink
waybackmachine
http://web.archive.org/web/*/emperorsclubvip.com
March 10, 2008 9:29 PM | Reply | Permalink
Kentucky JD,
What makes you sure that Spitzer's wife would service his pasty, narrow arse for free?
From a strictly capitalistic sense . . . Obviously Spitzer found Ms Lewis's service(s) worthy of trading a monetary token for . . .
From a strictly human PoV, men often don't fully consider outcomes and actions.
March 10, 2008 9:33 PM | Reply | Permalink
Maybe we are all rushing to judgement. Instead of projecting the idea that the former Attorney General, Governor of New York was paying thousands of dollars having anal sex with his escort maybe instead he was counseling her on safe sex. Instead of the Governor spanking this young lady and calling her naughty; maybe he was just having coffee and spending quality time discussing horticulture.
As it stands now, there is no evidence of threesomes, illegal sex toys, inflatible dolls, double dongs, or handcuffs.
March 10, 2008 9:58 PM | Reply | Permalink
Question Answered: Now we know what some US Attorneys are doing to keep their jobs.
Questions that remain: Have Democrats learned from the Clinton years not to "eat their own"? Have we all learned that a man can both be an outstanding public servant and have a personal life that is a mess?
March 10, 2008 10:31 PM | Reply | Permalink
Look, I have some sympathy for the guy and his family. He's gotten himself into a terrible mess (violations of the Mann Act can mean up to 20 years in federal prison), and his wife and daughters and other members of his family and circle of friends have to be horribly hurt by all this.
But this is more than somebody just having a messy personal life. This guy has committed what the law says is a serious felony. You may not agree with the law, but as a former federal prosecutor who has himself prosecuted others involved with prostitution rings, Spitzer had to be well aware of it. Not only has he been unbelievably reckless, he has shown a disregard of the law that is simply unacceptable for a sitting governor and a former prosecutor.
I don't want to pile on -- the guy has troubles enough without me throwing stones at him. And yes, up to this point, he has been an excellent public servant. Nevertheless, as the case now stands, I see no mitigating circumstances in any of it that would suggest he doesn't deserve prosecution.
March 11, 2008 1:24 AM | Reply | Permalink
This is about the political assassination of a human being who believes that government has a bona fide role to play in protecting its citizens against greedy bastards who are shitting on the Constitution.
As for the sex, all you Pavlovian dogs are doing exactly the job you've been conditioned to do: ignore the real issue for the fake one.
March 10, 2008 10:47 PM | Reply | Permalink
You can tell the news orgs are based in NY. As a non-New Yawker, this is a bit of a yawn for me. I understand the importance of NY Gov and Eliot Spitzer specifically, I also get what a friggin hypocrite he is but honestly, to me he is just another disgraced politician. Worthy of a news story, maybe a bit more time than others but this has little to no impact on my life and I just wish the news orgs would balance their coverage a little more.
I am in the minority I am sure but I am not really interested in his kinky sex life (like this is unique among uptight politicians...) and I don't think prostitution should be illegal. Money laudering, yes but that isn't what Spitzer is accused of. If he were still the AG that would be another story but he isn't.
The only person who should care a lot about this is his wife and if I were her, I would leave his bony white arse.
March 10, 2008 11:23 PM | Reply | Permalink
Sad but inevitable about Eliot and the ho. Too bad about Larry and the men's room. Clinton and Monica etc., etc.. They really are a bunch of deceitful criminals. Tut tut.
Hail Bush the alleged but silent former coke snorting reformed drunk driver who was too busy chasing tail to fulfil his duty to the Louisiana national guard but somehow cruised to an hon. discharge anyway and went on to institute the still derigeur policy of pre-emptive continuous war waged with 100% borrowed money, no sacrifice by the general US civilian population and massive collateral death and injury upon a foreign people.
Re-elect the Republicans - let's continue the epic struggle to expose illicit carnality by our public officials! I feel a new day dawning.
March 10, 2008 11:28 PM | Reply | Permalink
I feel sorry for Spitzer. I am sorry that his attempts to reform the government will suffer because of his weakness. However, we all have to be concerned that the DoJ may have become an arm of the Republican party focusing on high profile Democratic officials in order to gain political advantage. Selective prosecution for political purposes must always concern the electorate. It has been used in the past and by other governments to the detriment of the rule of law. If it were not for the politicizing of voter fraud cases, the firing of US Attorneys for failing to make partisan political decisions and the cases brought against Gov. Sieglman we could all say that Spitzer is getting what he deserves. The present climate undermines that righteous indignation. This is a problem that will continue during this and (God forbid) a successor Republican administration.
March 10, 2008 11:51 PM | Reply | Permalink
My sympathies to Mrs Spitzer. How humiliated this woman must feel.
March 11, 2008 1:14 AM | Reply | Permalink
yes, spitzer let his dick get him in trouble. gee, where have we seen that before? but there's something wrong with the explanations that have been posited so far about this investigation.
allegedly, this investigation was triggered by money transfers, not by the prostitution sting. but according to the accounts I've read, spitzer paid in cash, and he mailed it. I'm sorry, but withdrawing $3K or $4K in cash is not enough to trigger a bank reporting it -- if it were, we'd all be under investigation. (and maybe we are.)
the speed with which this all came down is equally troubling. feb 13 spitzer gets his surfboard waxed, and less than a month later it's all over the headlines. meanwhile, this investigation has been going on since last october?
something is fishy. equally fishy are the dollar amounts. the escort service charges $1K to $5K an hour, they have 50 working girls, and they've made "more than a million in profits" over 4 years? do the math on that one. they'd each have to work about 5 hours a year, at the lower rates, for only $1 mill profit.
no, somebody flipped on spitzer. and when the feds learned who they had on the hook, they reeled in hard. yes, spitzer screwed up. but he also got screwed. that man has a lot of enemies, and they all have friends in the white house.
dt
March 11, 2008 6:07 AM | Reply | Permalink
I don't buy it. We have seen too many instances in the past few years where DOJ was used for purely political prosecutions and this entire ordeal has the same stink.
Look, I'm not saying Spitzer didn't break the law, or at least he's acting like a guilty man, my question is why were they looking at him in the first place? Following his money? Why? Tapping his phones? Why? Could it be that Spitzer has some enemies in the Bushco White House? Rove is gone but someone there wanted him gone and I wouldn't be shocked if they directed DOJ to find dirt on him at all costs.
This is the second Democratic Gov. they have nailed yet Vitter gets off, Craig gets off? Now the R's are crying moral outrage?
Give me a break.
March 11, 2008 7:14 AM | Reply | Permalink
You can believe that they're high-fiving at the NRCC and the Whitehouse. Spitzer committed the crime, but who put the prostitute in his path? Who got the DOJ to track his financial records? This has got Republican dirty tricks written all over it.
March 11, 2008 8:47 AM | Reply | Permalink
Funny how it took six months to net the governor through funny money transfers while it took six years to net Jack abramoff and his connections to the administration. And Tom Delay? and on and on.
March 11, 2008 9:42 AM | Reply | Permalink
Did you know the President of the United States just vetoed a Bill that makes torture illegal?
March 11, 2008 11:12 AM | Reply | Permalink
Pathetic. Here is another guy with a ton of cash, power to burn, not too ugly and he has to rent women? I find this sad as I am only upper middle class, a nobody, and kinda ugly and I have never had to rent anyone to have a good time. Also from a cost versus benefit standpoint this seems more of real crime. I mean given the finite number of sex acts possible in a given hour, I just can't see how $5000 for one hooker wouldn't be better spent on 10 hours with a $500 hooker...
Of course, maybe we've got this loser all wrong. Maybe he was just trying to set up summer intern work for his three daughters as high class call girls. Now there's a Dad that will go the extra mile for his girls!
March 11, 2008 11:13 AM | Reply | Permalink
Was Eliot Spitzer setup?
--------
Lawyer questions whether Spitzer was set up, noting political prosecutions
Published March 11, 2008
March 11, 2008 2:54 PM | Reply | Permalink
Has the Republican politicization of the US Department of Justice ensnared the Democrat Governor of New York?
Here’s one oddity about the complaint. Client–9 (who is Governor Spitzer) is referenced many more times than any other client. Why?
The complaint refers to ten clients. Here’s how many times each client is cited in the complaint:client–1 (16 times)
client–2 (8 times)
client–3 (8 times)
client–4 (18 times)
client–5 (10 times)
client–6 (11 times)
client–7 (5 times)
client–8 (6 times)
client–9 (57 times—Governor Spitzer)
client-10 (7 times)
Why was more attention paid to the Governor than other clients?
We should all wonder whether the complaint was crafted to embarrass Governor Spitzer -- especially after last month’s startling upset election that reduced the Republican margin in the New York Senate to a single seat.
March 11, 2008 3:00 PM | Reply | Permalink
Spitzer's perfect LSAT score.
Was not an indicator of real world smarts.
One would think that after taking down one of the big money boys on Wall Street and making a huge show of saber rattling at the rest of them, that Eliot Spitzer would have enough sense to watch his ass. He was watching ass alright-just not the right one.
The current admin has access to all your old telephone calls, emails, text messages and whatever crap you have put into the ether. Any time they want you they go after your data and filter it- A Democratic governor of a huge state with Muckracking tendencies would probably be on any Repugs top ten list.
In a spacious and airy office somewhere somebody is wielding the awesome power of fielding requests and doing searches and going through data and finding the dirt on everybody-a self righteous prig like Spitzer is easy-pickins.
This unlimited data mining is why everyone in the justice department almost quit. It was the subject that Ashcroft would not sign off on while he was recovering from surgery and that James Comey testified about. It is the ten ton elephant in the living room that none of the alcoholics can talk about.
Of course they had to wipe their ass with the constitution to do it, but as Gore Vidal says, speaking as John Hay in Empire:
The Supreme Court and the police together ensured not only the protection of property but the right of any vigorous man to bankrupt the nation, whilst the congress was, for the most part, bought.
Len
March 11, 2008 3:25 PM | Reply | Permalink
The Republicans in Albany are suddenly concerned about support for executives and their alleged criminal conduct. Why has this "concern" not leaked into the Republicans in DC in re the President, alleged FISA/Geneva violations, and the lack of Presidential support?
The President's support is below 20%. Apparently, high enough to justify GOP inaction in DC. If Spitzer is challenged because of "loss of support," why isn't Bush being challenged because of "loss of interest in the rule of law"?
March 11, 2008 10:20 PM | Reply | Permalink
How did they trace cash transfers to/from their destination/origin; and why did DoJ disclose "Client 9" was Spitzer? DOJ OPR, where are you?
DoJ AG approved a prosecution for cash transfers, but won't approve a grand jury to review contempt citations against WH counsel?
>March 11, 2008 10:55 PM | Reply | Permalink
Something else isn't adding up.
March 11, 2008 11:02 PM | Reply | Permalink
Is the Spitzer-DoJ connection going to lead back to the GOP and Bush on NSA's domestic surveillance?
Did NSA domestic surveillance provide an investigative lead to IRS, law enforcement?
The natures of the US DOJ action on Spitzer is curious. It doesn't appear credible that the IRS was tracing cash transfers. Rather, it appears more likely that DHS received intelligence, then forwarded that to IRS for review.
- What really got the IRS alerted to these cash transfers?
- Are DHS and NSA willing to say that they did not first monitor Spitzer's phone calls, then forward that information to DHS and IRS?
- How much of the "story about the bank notification" was based on NSA-DHS-sourced information provided by DoJ to the bank?
- How much does DHS want to openly discuss it's warrantless interrogation/surveillance activity of US citizens?
March 11, 2008 11:11 PM | Reply | Permalink
Incidentally, I heard on the radio on the way home during my hour plus commute that the gd idiot spent 80,000 in the last year on escorts from just this one agency. Unbelievable. 80k in cash run throw shell companies funnelling cash back and forth ultimately to an escort agency. No wonder he was investigated. What a buffoon.
By the way no this was not a set-up or part of the vast right-wing conspiracy. This guy was a stupid buffoon that deserves what he gets. Unbelievable. Another depressing day in the life of the democratic party.
March 11, 2008 11:21 PM | Reply | Permalink
- Were there other agencies he used/had been using; or did he just happen to find one on the first attempt?
- How would he know that this agency would accommodate him?
- Was he using information he gathered while NY AG to know this agency was the one that would be untraceable?
- What other agencies might he have used, but decided to stop using because of problems, lack of secrecy, or problems the service?
March 11, 2008 11:50 PM | Reply | Permalink
For the moment and only discussion purposes only, let's set aside the issue of whether Spitzer violated any laws, or was engaged in illegal conduct. For the sake of discussion only, let's examine Spitzer's assumptions. These were based on what he knew as NY State AG: He transferred money using cash, which shouldn't be traceable.
In Spitzer's mind, he would have done "everything he could" to not get caught only if he narrowly did things he, as NY AG, would know to look at. Going back to the Chertoff comments, it would appear that Spitzer as NY AG, wouldn't have known the details of the NSA monitoring. The apparent one area Spitzer didn't count on, it appears, was the things he, as NY AG, wouldn't know the details: How the NSA domestically monitors phone calls; and how phone call-related evidence is anonymously provided to law enforcement as investigative leads. It's possible Spitzer as NY AG was never told about the methods by which he and other prosecutors were told about how evidence was really developed.
Suppose you have $1M invested in the stock market, evenly in three [3] stocks, $333K each. Suppose, out of the blue, the stock for one company tanks, and you lose $330K; and you sell the other two stocks. The IRS will record the transaction not as a $330K loss, but as a gain of $667K. They don't trace where the money went; they want to know where this 667 came from.
However, if the IRS doesn't get an answer, there's more to the story. The problem with the "IRS suspected something"-argument with Spitzer is that we're only dealing with $80K. The IRS may open an investigation because they "can't explain" the wire transfer. However, what prompted the IRS to press for a full disclosure of the $80K; yet the IRS, without an affidavit or statement under perjury, will close an investigation without determining where the funds went, where they came from?
Something, for this "small" amount which Spitzer was transferring told the IRS to key in on this; but ignore the other "unexplained" funds.
- Why did the IRS know to follow-up with Spitzer; but it ignores larger funds transfers and unexplained wire transfers, as is the case with the example?
- Has this "out of the blue"-evidence related to Spitzer opened a new line of inquiry into the NSA domestic surveillance activities?
- Which came first: The warrantless surveillance by NSA of Spitzer, which provided this information to IRS, DoJ and DHS; or the "out of the blue" IRS examination, based on a bank alert; why is the IRS concerned with funds less than $10K, but they ignore "unexplained" funds which are really residuals from stock losses?
- Is it reasonable to examine "what Spitzer as AG knew" when examining the types of things State Attorney Generals would be alarmed with, notified, or have knowledge of?
- Is the fact that Spitzer got caught, and didn't cover his tracks, evidence that he, as former NY AG, wasn't aware of federal-level-options which even a State Attorney General isn't told?
- Does Spitzer's alleged conduct show us the possible things that the US government is doing which even a State AG has no idea is happening?
- Is is possible to link the [a] State AG privacy lawsuits against the telecoms with [b] the lines of evidence Spitzer didn't know the NSA was domestically collecting?
- To what extent is "Spitzer getting caught using evidence he, as former NY AG didn't know about" a reasonable line of inquiry to examine to what extent NSA is engaged in domestic law enforcement/intelligence gathering which the lead prosecutors in each state are not told?
- Does the NSA regularly watch all domestic phone calls, and did the NSA-DHS-DoJ target all phone calls, and retroactively ask for permission to tap Spitzer's phone, despite them having information only available from the phone call?
- Is the fall out issue: Spitzer was first illegally surveilled; then DoJ-DHS-NSA provided this information to IRS, who then developed a case using illegally captured information?
March 11, 2008 11:46 PM | Reply | Permalink