« previous | MUCK HOME | next »

Obama Advisory Board Member Is Senior Exec With Firm Under Federal Investigation For Tax Scam
Last week, President Obama announced the members of his new Economic Recovery Advisory Board.
And one of the names piqued our interest:
Robert Wolf, Chairman & CEO, UBS Group Americas
That's because UBS isn't exactly the kind of company you'd expect Obama might want to associate with just at the moment. It's the subject of a widening federal investigation, being conducted by both DOJ and the IRS, into its offshore private banking services, focused on allegations that it helped an estimated 19,000 wealthy clients evade billions in taxes.
Last fall, Raoul Weil, who ran the firm's global wealth management and business banking division, was indicted in connection with the alleged scheme.
A few months earlier, a former UBS exec, Bradley Birkenfeld, pleaded guilty to helping a client evade millions of dollars in federal income taxes while with the firm.
Of course, there's no indication that Wolf had any connection to the alleged scheme. But it's worth noting that he and Weil did serve together on UBS's Group Executive Board. So it's not like they don't know each other, it appears. (Weil stepped down from the board temporarily after his indictment.)
You'd think President Obama could have rounded out his advisory board with someone from a firm that's not under federal investigation for helping rich people cheat on their taxes -- especially given the current financial climate. Guess not.













I'm beginning to believe that those folks at the higher levels of our government have just never associated with hard working honest people who still have integrity. It seems as though they have absolutely no concept of what your word means... or actually paying ALL your taxes, or honoring the memory of your ancestors who actually SERVED this nation rather than use it for your own gains, or...
and "WE THE PEOPLE" apparently have no concept as to how to keep them from destroying us....
February 10, 2009 7:38 PM | Reply | Permalink
Did someone forget to mention who else worked for USB? Isn't/wasn't Phil Grahamn, the killer of the Glass act , also a USB employee, or should I say mucky-muck ?
February 10, 2009 7:58 PM | Reply | Permalink
Why does this remind me so much of the Bill Ayers attack on President Obama? He worked with Weil so he obviously knows him so he obviously shouldn't be on the economic advisory board?
As for why President Obama might have chosen Wolf, next time try using teh google!
http://nymag.com/news/politics/30634/
February 10, 2009 8:18 PM | Reply | Permalink
Oh. He picked him for a significant policy position because he's a big rainmaker.
That makes me feel all better. Thanks for clearing it up.
February 11, 2009 1:25 AM | Reply | Permalink
I'm a bit tired of all this guilt by association stuff, especially during the election where everything was guilt by association, and the candidates barely took time off to actually criticize things their opponent had actually done.
February 10, 2009 8:26 PM | Reply | Permalink
Uh, did you miss this graf?
And who exactly is Robert Wolf, again?
This is "guilt by association"? The chair/CEO of a company that's a target of a DOJ/IRS investigation (not to mention a number of other unsavory stories that have come out over the last year) is now advising the President of the United States on the economy? And you don't see a problem with that, and howl "guilt by association"? Gimme a f$#@!ing break. Where does the buck stop again?
That's sure "changing the way Washington works."
Of course, the securities and investment industry's contributions to the Obama campaign outstripped those to the McCain campaign by about 3:2. (Commercial banking contribution ratios were roughly similar.) Looks like they've started to cash in in a big way.
February 11, 2009 1:43 AM | Reply | Permalink
There's certainly a relationship to look into.
However, I'd like to point out that UBS and UBS Group Americas are different critters. UBS Group Americas isn't referenced in any of the linked articles - only UBS, and UBS AG, both Swiss entities.
Personally, I am suspicious that there's a few places in those articles wherein the authors should have referenced UBS Group Americas rather than UBS instead.
But, they did not, so I am left to wonder whether it was lousy reporting, lousy writing, lousy editing, or if UBS Group Americas is not the organization being investigated.
It's kinda like lambasting Nancy Pelosi for something Harry Reid did - sure they're both in Congress, but Nancy Pelosi is not part of the Senate Democratic Leadership, nor is she invited to their meetings under normal circumstances. She does not tell Harry what to do, nor is she responsible for overseeing his actions or statements.
Or for another example - bashing the CEO of GM for something done by the CEO of GMAC.
February 11, 2009 11:23 AM | Reply | Permalink
I'm too am tired of the guilt by association meme. However I am also tired, more so even, of the same guys who effed-up everything to begin with getting placed in positions from which they can continue to rape and pillage. Geithner is another example of that. Did I not vote for change? I thought I did. I thought I voted for real, honest-to-goodness change. The last two weeks have been a serious let-down. And I don't need anybody to tell me to chill and let Obama do his thing...I'm telling myself that enough.
February 10, 2009 8:36 PM | Reply | Permalink
There ya go! He's pallin' around with people under investagation fer something or other fancy and complicated. He probly even knows a buncha rich people!
February 10, 2009 8:40 PM | Reply | Permalink
What are you some kinda' commie?
February 10, 2009 9:02 PM | Reply | Permalink
This isn't guilt by association. But it's fair to ask if the Admin shouldn't be a little more conscious of the appearance choices like these have with the public. Obama himself said the he "screwed up" with the Daschle and that it was a distraction. And after Richardson and Killefer and Geithner, couldn't they just take a pass on Robert Wolf who, rightly or wrongly, provides yet another distraction?
February 10, 2009 9:10 PM | Reply | Permalink
Charles Manson was friends with Dennis Wilson of The Beach Boys...damn pop star surfer dude psycho.
February 10, 2009 10:01 PM | Reply | Permalink
You know what, eff it. President Obama just shouldn't fill out of the other positions in his cabinet or in his administration. I mean hell if we are now trying to disqualify somebody because he WORKED with a guy who got in trouble who in the phuck would qualify to BE in Obama's cabinet/administration? How many people on this website work at a job where every single person there is squeaky clean? I know I for damn sure don't. To say this has gotten to the point of being ridiculous would be doing a disservice to the word ridiculous. In the end I realize that we are so used to belly aching that we will search high and low to find something to biotch about but really it might be time to actually, you know, embrace hope and change.
Jeebus
February 10, 2009 10:02 PM | Reply | Permalink
I guess from the season of guilt by association we are moving into the season of guilt by association's association.
I don't want to just dismiss it, but please tell me they're better grounds for implication?
February 10, 2009 10:36 PM | Reply | Permalink
It is beginning to look like everybody advising the new President on economics is a tax-evader, a retread hack, or somebody who was responsible for the mess in the first place. After Geithner's jaw-droppingly uninformative presentation today, I am beginning to wonder if anybody on the economic team is to be given any credence or confidence at all. From what I have seen so far, it would not be disastrous if the President simply said, again, "I screwed up," fired the whole lot of them, and started with a new crew, Krugman among them.
February 10, 2009 11:04 PM | Reply | Permalink
Except Krugman worked as an adviser for Enron, so that would be pretty hypocritical.
February 10, 2009 11:23 PM | Reply | Permalink
I got an idea for job stimulus!
We need gang audits of every person in the country who:
- has served in the US House or Senate, and White House or federal court at a senior level;
- has served as a C or V level of a partnership, corporation or LLC with annual earnings that have ever exceeded $10 million;
- has personal or family assets(including trusts) exceeding $10 million
This way we'll have a frame of reference for when an appointee has failed to pay $25 or $125 thousand in taxes.
That ought to employ a couple dozen thousand of the lawyers and financial types who are about to default on their Alt-A mortgages because they were laid off.
I imagine pre-employment screening could weed out those who were looking for a gravy train in Finance, OR wreaking vengeance on their former employers.
February 11, 2009 11:32 AM | Reply | Permalink
Don't forget that Paul Krugman worked for Enron, just because someone works for a company doesn't mean all the sins of the company should taint them forever.
February 10, 2009 11:22 PM | Reply | Permalink
"The chairman of UBS Americas, Robert Wolf, helped raise more than $250,000 for Sen. Barack Obama's Democratic presidential bid."
"Pragasam noted that Wolf's role in the Obama campaign predates the Senate investigation by more than a year, and that Wolf oversees the bank's American operations, while the Senate probe is focused on the activities of UBS offices in Switzerland.
"He was a very early supporter of Senator Obama, and began that support long before the Senate investigation into tax havens," she said."
http://www.washingtonpost.com/wp-dyn/content/article/2008/07/31/AR2008073102828.html
We don't really know if Wolf is a good guy or bad guy, so unless we see obvious favors by Obama to UBS - I'll reserve any opinion.
I was always more disappointed that Rubin was an advisor to Obama. I can only hope that association is completely gone.
February 11, 2009 12:19 AM | Reply | Permalink
ERAB has morphed.
http://tpmcafe.talkingpointsmemo.com/talk/blogs/eds/2009/02/doing-things-backwards-summers.php
Originally "charged with injecting fresh, outside ideas into policy debates" it more recently can be described as "Looks like the mission of ERAB has shifted and been muted from a new idea machine to some kind of vague focus group function"
I have not seen the new official mission statement, if there is one...
It looks like Wolf's position would be pretty thin, just a token status thing, but let's see what they can come up with.
February 11, 2009 1:33 AM | Reply | Permalink
I think that it really is difficult to find anyone at that level of an enterprise with the requisite experience that is squeaky clean. I know from working for a large corporation in a regulated industry in a junior position that the pressure is always there to skirt as much regulation as possible to make an ever increasing income target. People make mistakes in these environments. There is always the monthly number games and the ever persistent question, "Are you certain we can't make this deal conform in some manner? Of course we only want to perform in the most ethical manner but it's important that we don't disallow legitimate income streams." The next month it's, "Could you re-review the controlling regulations; maybe you missed a paragraph that would allow us to conduct that business. This is really important to the guys upstairs." The pressure persist and becomes increasingly more uncomfortable each time it is applied until someone says, "Yes. I think I found a way for us to net that additional million each month" So it's likely that President Obama may be having trouble filling his positions under the strict standards he set. I imagine if you are seeking someone with extensive experience in business that involves working with regulatory agencies it may be difficult to find someone available that has never made a mistake.
February 11, 2009 4:28 AM | Reply | Permalink
I posted this yesterday on a different thread, this Wolf business is just more of the same.
Every day that I read the news I become more and more disillusioned with Obama. To name a few, yesterday it was Obaman going back on his word and joining the Bush administration in the extraordinary rendition/state secrets case in San Fransisco.
Today its Geithner overruling others in the administration regarding regulations and restrictions on Wall Street bankers.
A new found reluctance to repeal the tax cuts on the wealthiest among us.
Obama's reticence in prosecuting criminality during the Bush years.
What I think we have in Obama is Bill Clinton II.
A guy who has a great demeanor, a great appearance, is quite articulate, intelligent, a guy who speaks to the populist issues quite well, who is quite likeable, but who, in the end, is way too friendly with the money changers, Wall Street Bankers and Corporate boys.
February 11, 2009 7:13 AM | Reply | Permalink
OMG, it's an advisory board position. He's run the US bank ops, which aren't where the criminal activities occurred. And, yes, "...it's worth noting that he and Weil did serve together on UBS's Group Executive Board. So it's not like they don't know each other, it appears" sounds just like the Ayers crap.
February 11, 2009 8:34 AM | Reply | Permalink
The chairman of UBS Americas, Robert Wolf, helped raise more than $250,000 for Sen. Barack Obama's Democratic presidential bid. And another top executive at UBS, former senator Phil Gramm, was until recently a close adviser to Sen. John McCain's Republican campaign.
"UBS, the largest Swiss bank and the largest in Europe in terms of assets, posted a fourth-quarter net loss of 12.5 billion Swiss francs, or $11.3 billion, as it wrote off $13.7 billion in soured U.S. investments, mostly on subprime loans."
http://www.iht.com/articles/2008/02/14/business/ubs.php
This whole thing stinks, it seems like the quintessential example of the Washington/Corporate incestuous behavior, and unfortunately, its beginning to seem like Obama is just another player.
February 11, 2009 8:45 AM | Reply | Permalink
I don't get it. Is someone that contributed a large sum to a presidential candidate's election barred by law from accepting any type of invitation for an appointment for an ambassadorship or advisory board member?
I thought this is business as usual in American politics. What gives?
February 11, 2009 9:48 AM | Reply | Permalink
arias,
"business as usual" is the problem.
February 11, 2009 10:38 AM | Reply | Permalink
Obama is proving himself to be more of the same old same old than change anyone can believe in. It's sickening.
Gethner, Rubin, Summers. These are all Wall Street insiders who helped make the mess we're in. Obama couldn't find anyone, anywhere, besides these men to advise him about and manage the economic policy of his administration?
Of course he could. That he chose these men tells you all you need to know about who really, truly matters to to this President.
Wake up. This is who Obama is, not the man preaching hope and change. After the Geithner/Obama plan I can't delude myself anymore.
I only wish I could take my votes, primary and general election, back.
February 11, 2009 10:14 AM | Reply | Permalink
I must say that since the inauguration I have been very unnerved by the media and many of the blogs which I regularly read. Maybe I am wrong but it would seem that the circumstances that we face in this country demand a much more long-term measured observation than the typical knee-jerk responses I have see thus far. On any given day and on any variety of topics there is an urgent dissatisfaction of Obama's choices, of congressional choices or policy decisions being made in the 4th week since the new POTUS took office. It has become apparent that many in our country want to continue to live in a world where temporary emotions get the better press coverage as well as the most reaction from the perceived public. I think it is abundantly clear that before Obama took office that he would disappoint many on the left as well as the right on any number of choices. I also believe it was abundantly clear with former Pres Bush handling of our economy, foreign diplomacy, defense, energy, etc that it would take thousands of people including our new President many years to turn the US around. I empathize with people's frustrations and I agree that not all of Obama's decisions have left me smiling but there is still lots of time to see what sorts of decisions the new government will make as well as see their results. Patience is a virtue. Obama surely isn't a saint nor do I think he is playing some game we can't figure out. I simply believe that he like many of us wants the public and those dedicated civil servants to raise their voice and rationalize their opinions about how to bring about substantial change. It is up to is, damn it. Right your congressman, go volunteer in your community, change the world by changing your life.
Peace
February 11, 2009 11:10 AM | Reply | Permalink
They say a President is only as good as his advisor's..President Obama is headed in the wrong direction...using advisor's who will side with Wall Street, while protecting and coddling their former Wall Street companies and buddies...is the wrong direction..it will only make matters worse...
We need real legisilation..bring back the Glass-Stegal Act and some of the other consumer and banking protections...regulations that were in place...thats what kept this economic mess at bay for the last fifty years and our economic foundations solid...before Reagan, Greenspan, Gramm, and Congress, etc., opened up the flood gates of greed and corruption in the form of a "free, self-regulating" market (what a joke!) setting up an "American Oligarchy"...see where that got us..?
February 11, 2009 1:21 PM | Reply | Permalink