Let every American, every lover of liberty, every well wisher to his posterity, swear by the blood of the Revolution, never to violate in the least particular, the laws of the country; and never to tolerate their violation by others.

As the patriots of seventy-six did to the support of the Declaration of Independence, so to the support of the Constitution and Laws, let every American pledge his life, his property, and his sacred honor; let every man remember that to violate the law, is to trample on the blood of his father, and to tear the charter of his own, and his children's liberty.

Let reverence for the laws, be breathed by every American mother, to the lisping babe, that prattles on her lap; let it be taught in schools, in seminaries, and in colleges; let it be written in Primers, spelling books, and in Almanacs; let it be preached from the pulpit, proclaimed in legislative halls, and enforced in courts of justice. And, in short, let it become the political religion of the nation; and Let the old and the young, the rich and the poor, the grave and the gay, of all sexes and tongues, and colors and conditions, sacrifice unceasingly upon its altars.

While ever a state of feeling, such as this, shall universally, or even, very generally prevail throughout the nation, vain will be every effort, and fruitless every attempt, to subvert our national freedom.

- Abraham Lincoln, January 27, 1838
  Address Before the Young Men's Lyceum of Springfield, Illinois

Tuesday, July 24, 2007

Vast Enron-like fraud probe abandoned by DOJ

Well isn't this fishy. And what a shock -- it appears the DoJ was involved:

US Dropped Enron-Like Fraud Probe
By Marisa Taylor
McClatchy Newspapers

Monday 23 July 2007

Prosecutor who built case against Virginia insurer was replaced.

Two years into a fraud investigation, veteran federal prosecutor David Maguire told colleagues he'd uncovered one of the biggest cases of his career.

Maguire described crimes "far worse" than those of Arthur Andersen, the accounting giant that collapsed in the wake of the Enron scandal. Among those in his sights: executives from a subsidiary of Berkshire Hathaway, the investment empire overseen by billionaire Warren Buffett.

In May 2006, he felt strongly enough about his case that he prepared a draft indictment accusing executives from a Virginia insurer, Reciprocal of America, of concocting a series of secret deals to hide its losses from regulators. Although he didn't name anyone from Berkshire Hathaway's subsidiary, he described the company as a participant in the scheme.

But Maguire never brought those charges.

Months after preparing the draft, he was removed as the lead prosecutor on the case and reassigned.

(What would we do without McClatchy? I mean -- who else is covering this? Did you see it on the news tonight? Cronkite would have run it... but those days are long over.)

It appears the Enron scandal scared the neocons and their business backers more than just a little bit. Nowadays, they keep close watch on 'real' prosecutors. If they step out of line (by trying to prosecute high profile criminals) they just 'reassign' them and pad the system with guys who won't do the work; won't prosecute the big fish.

Because surely, if this has been fully prosecuted, it would have been a WHALE of a story. (I know, I know... whales aren't fish. Let me off the hook this time.)

OK... a shark. Not as big, but more appropriate. And no insult to sharks intended... but these guys are definitely predators.

Even some within the DoJ were suspicious. After spending a cool two million bucks on the investigation, why would the government decline to prosecute? Some of DoJ insiders believed that Maguire 'overreached and had been knocked down.' Another story was that the government needed 'resources for terrorism investigations.' Heh, right. When you need an excuse for anything these days, pull out the terrorism card.

In the Reciprocal of America case, the fallout was clear. More than 80,000 lawyers, doctors and hospitals in 30 states lost their malpractice coverage. As they couldn't expect new insurers to cover them for past cases, some who were sued have claimed losses of hundreds of millions of dollars.

That's right; people lost money, lost coverage... were cheated. People suffered.

But surely that's just peachy as long as the big fish are never made to pay. There were even guilty pleas in this case; the CEO & Executive Vice President of Reciprocal of America were jailed on charges of fraud. Maguire was going after the parent companies for their involvement... and that apparently wasn't allowed.

Not by the DoJ.

The DoJ is of course declining to comment, because of course -- they can't remember. The corporation's lawyers insist the parent companies had no part in the crimes. So really there is no story here. And that is undoubtedly why none of the major media corporations covered it. Crazy McClatchy and their dedication to fringe news... the news American journalists don't want to report.

Tom Gober, an independent fraud analyst suggested that Maguire's supervisors were urging him to drop the case against General Reinsurance shortly before he was reassigned:

[He] concluded that the Justice Department had buckled under pressure from defense lawyers. Shortly before Maguire was removed, his supervisors were urging him to drop the case against General Reinsurance... Gober's suspicions were fanned by allegations of politicization in the Justice Department after nine U.S. attorneys were fired. He took his complaints to the Office of Professional Responsibility, which investigates Justice Department misconduct.

"It just stinks," he said. "You don't come in out of nowhere and in no time kill three years of sophisticated effort."

Even the FBI was urging additional prosecution; both the FBI and the Assistant U.S. Attorney attested that there was plenty of evidence against the parent corporations. Only the DoJ stood between justice and the 'big fish.'

Only the DoJ...

And isn't that becoming the familiar story... and I'm sure we'll hear it over and over and over again within the next year and a half, as the Democrats refuse to prosecute (anyone for anything) in their attempt to cruise right into a landslide 2008 victory. I wonder when it will occur to Democrats that we'd like substance -- not just a bland, inept alternative to criminality?

Read the entire article. I can't post the entire thing here, although I'd like to. I'm still reeling. This stinks worse than a salmon in a trash can on a hot and humid day.

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