Editor’s Note – Once again, more corruption questions arise at the DOJ. This time, the answer to why Jon Corzine is not being prosecuted may be answered by the ties that bind. The lawyers appointed to the DOJ, are from the very same firms that defended MF Global. As we have been reporting, this administration is like a Mafia Family. The entire administration is tied through blood and something tighter, money.
Then, the next accusation concerns family itself. Nepotism in this case. Read the following two articles and judge for yourself:
Those wondering why the Department of Justice has refused to go after Jon Corzine for the vaporization of $1.6 billion in MF Global client funds need look no further than the documents uncovered by the Government Accountability Institute that reveal that the now-defunct MF Global was a client of Attorney General Eric Holder and Assistant Attorney General Lanny Breuer’s former law firm, Covington & Burling.
Records also reveal that MF Global’s trustee for the Chapter 11 bankruptcy retained as its general bankruptcy counsel Morrison & Foerester–the very law firm from which Associate Attorney General Tony West came to DOJ.
As Government Accountability Institute President Peter Schweizer explains in the Washington Times Thursday, the trustee overseeing MF Global’s bankruptcy is former FBI Director Louis Freeh. At Holder’s Senate confirmation hearing Freeh served as a character witness for Holder and revealed that Holder had previously worked for Freeh. “As general counsel,” Freeh said, “I could have engaged any lawyer in America to represent our bank. I chose Eric.”
Until now, the conventional wisdom for why Holder wouldn’t throw the book at Corzine was that Corzine is an Obama campaign bundler. Indeed, as Breitbart News reported, four of the top officials at the Department of Justice–Eric Holder, Thomas Perrelli, Karol Mason, and Tony West–were also big money bundlers for Obama.
But the newly understood crony connections reveal conflicts of interest that extend well beyond mere political support for a common candidate–they go to a tangle of prior business dealings that further underscore the need for a special prosecutor in the Corzine case.
At least 65 members of Congress have already signed a letter to Attorney General Eric Holder requesting that he appoint a special prosecutor to investigate MF Global’s collapse and the loss of $1.6 billion in customer money. What’s more, even progressives have begun to wonder whether Holder’s Covington & Burling connection explains why the Department of Justice has not charged, prosecuted, or jailed a single Wall Street executive after the biggest financial collapse in American history.
As Richard Eskow of the Huffington Post recently wrote:
More and more Washington insiders are asking a question that was considered off-limits in the nation’s capital just a few months ago: Who, exactly, is Attorney General Eric Holder representing? As scandal after scandal erupts on Wall Street, involving everything from global lending manipulation to cocaine and prostitution, more and more people are worrying about Holder’s seeming inaction — or worse — in the face of mounting evidence.
This isn’t going away.
Both the left and the right are onto Holder’s Wall Street head fake. With the revelation of the new crony connections, the time for Eric Holder to appoint a special prosecutor in the Corzine/MF Global case is now.
The Justice Department’s inspector general found at least seven instances of federal employees engaging in illegal attempts to hire family members at the agency, according to a report issued Thursday.
The report is the third investigation in less than a decade that has found numerous examples of illegal hiring practices, amounting to nepotism, within the DOJ.
The latest series of nepotistic attempts came after Rep. Frank Wolf (R-Va.) alerted the IG to complaints he received in 2010 from a former DOJ employee-turned-whistleblower.
Wolf said the report was “alarming” and called on the DOJ employees, whose attempts at hiring relatives are exposed in the IG’s report, to be punished by the department.
“The report issued by the Department of Justice Inspector General today is alarming, especially given that the department has twice been warned about these illegal practices before,” said Wolf, who is the chairman of the House Appropriations subcommittee that oversees the DOJ’s budget, in a statement.
“I expect for the employees involved in this nepotism ring to be punished under full extent of the law. I also expect the department to move quickly to enact the necessary reforms to prevent this from happening again.”
The IG’s report found seven examples of employees within the DOJ’s Justice Management Division (JMD) attempting to hire the family members of their fellow employees.
According to the IG’s report, in two separate instances a pair of employees, who worked in different sections of the DOJ, engaged in schemes to hire the other’s child. In another example, a DOJ employee tried to secure employment for his cousin and nephew.
The IG released two prior reports on nepotistic hiring practices in 2004 and again in 2008, in which they found that employees manipulated the DOJ’s hiring process to favor certain candidates.
In 2008, the IG recommended that the department conduct ethics training and establish a “zero-tolerance” policy for future attempts at illegal hiring.