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$$$ Louis Bacon’s fund has dealt with other legal issues [Reuters]
$$$ Tyra Banks’ avorite Banker Moves to Deutsche Bank [WSJ]
$$$ Arrested Bank Prez Lists East 61st Townhouse for $8.5 Million [NYO]
$$$ Appeals Court Stays Order to Turn Over Galleon Wiretaps [Dealbook]
The SEC fucks up a lot. A whole lot. This is more or less a given. David Einhorn has been saying this for eons– from personal experience, having dealt with the brain trust in the case of Allied Capital–, as has Bernie Madoff who, from the jail cell in which he rots, made no bones about the fact that he was eternally grateful that the regulator operated at the intelligence level wherein it wouldn’t know not to stick its (collective) dick in a pencil sharpener. Still, for those of you who need just a little more proof, SEC inspector general David Kotz is happy to add some color.
About two miles separate the Securities and Exchange Commission’s headquarters in Washington from the offices of Allied Capital, a District-based private-equity company. But over the course of an 18-month government probe into whether Allied Capital overstated the value of its holdings, nobody from the regulator ever visited the firm to ask questions, according to a new, internal SEC review that raises questions about the agency’s oversight of the financial industry.
Goldman Sachs views a lot of “people” (using the term generously, and quite charitably) as second class citizens. Matt Taibbi, its clients, kittens, the list goes on. This isn’t a secret by any means, and even if you don’t have your own laminated copy from which to consult, it’d probably be a good assumption that anyone employees who would be off cavorting around instead of making it rain would be on it right? Which is why it’s sort of surprising to see someone attempting to throw the house policy back in Lloyd and Co’s faces, especially considering she’s a former employee who should know how this shit works.
The lawsuit, filed Wednesday in U.S. District Court in Manhattan, alleges that Charlotte Hanna, a former vice president at Goldman Sachs University, an internal training program, was discriminated against after having her first child in 2005 and was wrongfully terminated in 2009 while on maternity leave after having her second child. “Despite the firm’s touted, self-serving commitments toward working mothers, it is clear that Goldman Sachs views working mothers as second-class citizens who should be at home with their children rather than contributing in the workplace as a productive employee,” the lawsuit said.
Suit: Goldman ‘Mommy-Tracked’ Exec [WSJ via DI]
As it’s been previously mentioned, Dick Fuld has been sleeping like a baby since the examiner’s report on Lehman came out. Though some would suggest the report’s findings indicate Fuld is a criminal, the ex-CEO believes it painted him in a phenomenal light. Reading the final draft also put Dick in a great mood because it took a huge weight off his shoulders. This is going to seem crazy, but apparently he was actually a bit nervous about what the thing would say about him! To the extent he could barely enjoy himself! Not even picking out the perfect outfit soothed him; my god, he could barely match shirt and tie without collapsing on the closet floor. Basically, The Gorilla was an absolute ball of nerves and you if you want Charlie Gasparino’s opinion? Kind of acted like a big puss during the ordeal. Sayeth Chaz:
According to people who know how the former Lehman CEO behaved during the inquiry, he often appeared “hyper” and “highly agitated,” and “barely stood still” during the questioning. One person with knowledge of Fuld’s behavior said that at times “he broke down” when asked about Lehman’s demise, and at others exhibited a tremendous amount of “nervous energy.”
It’s honestly a good thing CG wasn’t around to witness this display first hand, as it would’ve sickened him. Ridiculous. Gaspo didn’t say this in his report, because he works for a family network, but it would not surprise him to hear that Fuld pissed his shorts in fear on a daily basis and furthermore, that those shorts were “frilly lace panties” (Chaz’s words, not mine). But if he had been there? You can bet he’d be having none of this, and would’ve had no problem telling Dick as much, while sharing a little piece of advice. Little something like this. Continue reading »
Postcards from tax evasion HQ:
More layoffs at UBS Wealth Management- today and tomorrow and more to come next month. My group lost a lot of EDs and about a third of the entire group. It’s a bloodbath.
Cameraman: “The financial crisis is ‘over’ and with that comes the freedom for the Fed to shred confidential documents at any fucking time they like. No more 3am double secret probation ninja shredding.“
The devil. He doesn't care about your happiness.
While there has seemingly been an endless amount of bitching and moaning over Comp Cop Ken Feinberg’s infernal “views” on banker compensation, so far no one has actually been able to come up with a legit reason for why his freaky ass rules should be scrapped. Until now. Surely hearing that his pay structure is throwing a wrench in finance guys’ plans to leave their wives without rendering themselves penniless will be a wake-up call to K. Fein that all of this has too far, right? I mean, he’s got to listen to reason, DOESN’T HE? Continue reading »
As many of you are aware, when Bill Ackman was just a young pup of a money manager, before he was coming up with genius one-stock funds, he placed a bet against MBIA, based on Ackman’s belief that the company’s AAA rating was the stuff of bull shit. No one had ever dared question the bond insurer, so when its CEO, Jay Brown, got wind of the news, he demanded Ackman show up to his office to discuss the matter, probably referring to the meddlesome manager as “the little pissant” under his breath. Or something. Doesn’t matter. What does matter is what Bill was noshing on before the meeting. It’s something I’ve been thinking about for years as have many of you, as conversations with you leading lights would indicate. Today, finally– finally!– we have an answer.
Before his meeting with MBIA’s CEO, Ackman had lunch with Michael Ovitz, the founder of Hollywood’s Creative Artists Agency and a longtime investor in his fund. As they worked their way through six different versions of toro, the Japanese fatty tuna delicacy, Ackman asked Ovitz’s advice about the upcoming meeting with Brown. “It sounds like a very Japanese meeting,” Ovitz said. In other words, he said, “Just shut up and listen.”
Oh, and here’s how the meeting went (spoiler alert: not great-ish. Because Ackman’s hands smelled like fish. I’m kidding, it’s because Jay Brown was raised in a barn). Continue reading »
Tax-Break Law Could Benefit JPMorgan (WSJ)
JPM is nearing a deal that would allow it to benefit from a tax refund of as much as $1.4 billion, becoming the latest company to tap a little-noticed plank in an economic stimulus bill. That law let companies apply losses from 2008 or ’09 against taxes paid in the previous five years, instead of the previous two years. Failed Seattle thrift Washington Mutual is eligible for about $2.6 billion in tax refunds, thanks to big losses in 2008. Now J.P. Morgan, which took over WaMu’s banking operations in September 2008, is in discussions with the Federal Deposit Insurance Corp. and bondholders about the refund. According to people familiar with the talks, an agreement under discussion would let J.P. Morgan claim more than half of the total, to be held in an FDIC receivership as part of a larger settlement with bondholders. J.P. Morgan could dip into that pot to satisfy certain claims related to WaMu’s collapse.
Wall Street Despised by Americans in Poll Showing Majority Want Regulation (Bloomberg)
Tell us how you…really feel?
Financier Is Pulled Back Into Focus (WSJ)
Louis Bacon has “recorded the largest personal property purchase in U.S. history and is known for stalking prey and for a fondness for polo and other sports.” People are talking about this because, you know, the whole raid of his London office on suspicions of insider trading thing.
Plea Anticipated For Former IBM Executive (AP)
Robert Moffat is the latest of Raj Rajaratnam’s friends to plead guilty.
Tough-Talking Feinberg Eases A Bit On GMAC (NYT)
According to Mr. Feinberg’s determination letter, GMAC’s compensation committee is free to grant up to $12.5 million of stock to employees that will paid out only if they meet individual performance goals. In addition, the company will be able to award up to another $12.5 million worth of long-term stock at the end of this 2010. That second portion must be approved by Mr. Feinberg and can only be paid out if the company itself turns an annual profit from its continuing operations.
Paul Krugman: Jamie Dimon Was Right (NYT)
About the 19th Century.
$$$ Corzine Returns to Wall Street as CEO of MF Global [Bloomberg]
$$$ To The FDIC Small Is Beautiful [TBM]
$$$ SEC Employees Were Masturbating to Kiddie Porn While Your Economy Tanked [Gawker]
$$$ Feinberg Caps Pay At AIG, Others [WSJ]
You bitches don't know from sexual harassment.
Apparently the answer is yes. Whether or not your boss doing things to you with whiteboard markers is a new occurrence or you were just scared to come forward and the financial crisis for some reason gave you the courage is unclear.
Since the start of the recession, a growing number of sexual harassment complaints have come from men. Some 16.4% of all sexual harassment claims—or 2,094 claims—were filed by men in fiscal 2009, up from 15.4%, or 1,869 claims, in fiscal 2006, according to the U.S. Equal Employment Opportunity Commission.
Does everyone go with the golden shower/choking you out/nicknaming you “stupid girl” model? Not really. That’s pretty much reserved for the pros. Most of you are getting you simply having your taints grazed while messing around on the desk (I’m not saying that makes it okay or trying to minimize it but I am saying: amatuer hour. Miss).
While male victims sometimes experience behavior like groping and unwanted sexual advances, employment lawyers say increasingly “locker room” type behavior like vulgar talk and horseplay with sexual connotations have been the subject of claims.
Recession Spurs Sexual Harassment Claims By Men [WSJ via Daily Intel]
