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To: T L Comiskey who wrote (51512)5/15/2002 10:15:30 PM
From: Dealer  Read Replies (1) | Respond to of 65232
 
Hi TL! Good one! Thanks, dealie



To: T L Comiskey who wrote (51512)5/15/2002 10:24:06 PM
From: stockman_scott  Read Replies (1) | Respond to of 65232
 
Army Secy. White Should Go--Now

thenation.com

COMMENT | May 27, 2002

White Should Go--Now by Jason Leopold

Army Secretary Thomas White appears to be inching closer to becoming the first Bush Administration casualty of the Enron scandal. Senators Dianne Feinstein and Barbara Boxer of California have asked Attorney General John Ashcroft to launch a criminal probe into Enron's role in manipulating California's electricity market, after Enron memos released by the Federal Energy Regulatory Commission showed how Enron boosted electricity prices in California and created shortages.

People close to Feinstein and California Congressman Henry Waxman said the lawmakers will ask Ashcroft to direct that the criminal investigation include White and whether the unit he helped lead, Enron Energy Services, played a part in California's two-year energy crisis. "We believe we have evidence, based on our conversations with former Enron employees, that Mr. White and other executives from Enron Energy Services may have worked side by side with Enron's traders and supplied inside information about the amount of electricity California needed," an aide to Feinstein said. "We believe, based on this information, that the traders were then able to create shortages and manipulate the price of power in the state."

Neither a spokesman for White nor for Enron returned calls for comment. Enron is already under investigation by California Attorney General Bill Lockyer for allegedly manipulating the price of electricity and natural gas. White is being investigated by the FBI on the timing of his sale of Enron stock last year and by the Inspector General's office on his use in March of a government airplane to fly to Aspen to sign papers on the sale of a $6.5 million house he owned, prompted by Enron-related financial problems. Separately, he engaged in a dispute with Defense Secretary Donald Rumsfeld over the Crusader weapons system; Rumsfeld continued to express support for him.

Former employees of EES have come forward saying that the retail unit, under White's leadership, played a role in California's power crisis and that White told his staff that EES would earn millions in profits because of the crisis. In addition, former employees are coming forward with information about White that indicates that his involvement with Enron's suspect accounting was far deeper that he has let on. White has said that EES was a legitimate operation and not a house of illusory profits.

John Olson, an analyst now with Sanders Morris Harris, recalls asking White in 1999 how EES, a relatively small operation, could show millions of dollars in profit with barely a shred of business. "I did not believe Mr. White, nor any of the other Enron executives I spoke with, were being honest or forthcoming about EES's profits," Olson said. "When I pressed Mr. White for an answer he said, 'One word: California.'"

White told EES's sales team in 1998 that they could earn hefty bonuses by signing energy contracts with large businesses in California to manage their electricity needs for a substantially cheaper price than these companies had been paying through their local utilities. But promising customers a discount at the beginning of the contracts meant EES wasn't earning enough money to cover what the local utilities were charging for gas and electricity. Moreover, EES was spending much more than anticipated setting up the infrastructure for the contracts, said Lee Jestings, a former EES executive who worked directly with White.

Jestings said he told White that EES would actually lose money this way, but White said Enron would make up the difference by selling electricity on the spot market in California, which Enron had bet would skyrocket in 2000. Jestings said he continued to complain to White that the profits declared by the retail unit were not real. "Tom told me those are the orders," Jestings said. "He said he never questions a direct order. This man spent thirty years in the Army and was a four-star general. His life was based on taking orders." Jestings said he resigned from EES in 2000 because he did not agree with the way EES reported profits. He is now working as an energy consultant.

The ex-employees, more than a dozen interviewed, said White often clashed with Lou Pai, chairman of EES, over the company's use of "aggressive" accounting methods to make the unit appear profitable when it wasn't but that ultimately White agreed that EES would have to use such methods because the unit was hemorrhaging cash right from the start. Steve Barth, a former EES vice president of special projects who attended meetings with White and Pai, said White's job was that of cheerleader--he was supposed to motivate the EES sales force to show, by any means necessary, that the retail unit made a profit. "That meant lying to Wall Street," Barth said. "White did it, and so did I." Barth, who transferred from EES to Enron's broadband unit in 1999 and left last July to start a broadband firm, said his experience at the company had been positive.

Enron reported that EES, founded in 1997, became profitable during the fourth quarter of 1999 and had steadily rising profits every quarter thereafter. Those reports helped send Enron's stock price to $83 by the end of 2000, from $43 at the beginning of the year. As part of his employment contract with Enron, White was given a small financial stake in EES, later converted into Enron stock, which he sold for more than $50 million.

Eventually, with Enron becoming a target of California lawmakers, White may have decided it was time to get out. In early 2001, according to Barth, when then-Enron chairman Kenneth Lay was under consideration to be Energy Secretary, Lay met with George W. Bush and urged him to appoint White as Secretary of the Army. Barth said White told him that the California energy crisis was hurting EES and that the unit's profits would never materialize. White "just wasn't happy with his role at the company anymore," Barth said.



To: T L Comiskey who wrote (51512)5/16/2002 2:22:47 AM
From: stockman_scott  Respond to of 65232
 
GOP Takes In $33 Million At Fundraiser Dinner & Shatters Record; Sept. 11 Photo to Be Sold

Donors who give $150 or more to Republican House and Senate campaign committees get this photo of President Bush aboard Air Force One on Sept. 11. (Eric Draper - The White House)

By Mike Allen
Washington Post Staff Writer
Wednesday, May 15, 2002; Page A01

Republicans shattered the record for a single political fundraiser last night by collecting $33 million at a dinner featuring President Bush, and they hoped to increase their pre-election haul by selling donors a photo of Bush calling Vice President Cheney from Air Force One on Sept. 11.

The activities are part of a Republican fundraising frenzy less than six months before the advent of a law that will bar the political parties from accepting unlimited checks. Throughout Washington yesterday, major donors received private briefings by Cabinet secretaries and top White House officials.

Republican officials said the $33 million record from last night's black-tie dinner could stand in perpetuity, because the huge takes at such events consist largely of loosely regulated "soft money," which is to be banned after the November elections under the McCain-Feingold campaign finance law Bush signed in March.

"This will be the final punctuation mark on the era of soft money," a top Republican said proudly.

Republicans were quick to criticize Democrats for fundraising excesses under President Bill Clinton, including overnight stays in the Lincoln Bedroom for big givers. But Democrats accused Republicans yesterday of breaking a new barrier by trying to cash in on the emotions surrounding the September terrorist attacks and their aftermath.

Former vice president Al Gore, who until now has confined his criticisms of Bush to policy matters, issued a statement attacking Republicans for offering the Air Force One photograph to donors who give $150 or more to the GOP's House and Senate campaign committees.

"While most pictures are worth a thousand words, a photo that seeks to capitalize on one of the most tragic moments in our nation's history is worth only one -- disgraceful," said Gore, who suffered his own fundraising controversies in 1996. "I cannot imagine that the families of those who lost their lives on September 11th condone this -- and neither should the president of the United States."

White House press secretary Ari Fleischer said Bush was aware of the use of the photos and the criticism, and said the president did not object. "The White House was generally aware of the fact that they wanted to use pictures for fundraising purposes, and no objections were raised," Fleischer said. "The specific pictures were not run past the White House first." The photos, he said, "represent the president at work for the American people."

"What the Democrats are really saying is, once somebody is elected president, they should never be allowed to have any pictures taken of them for any purpose at any time in the course of their administration for the purposes of helping to build a Republican Party, or in the case of the Democrats, a Democratic Party," Fleischer said.

The photo is featured in a mailing promoting a June fundraising dinner for the GOP's two main congressional campaign committees. The dinner will feature Bush, Cheney and country music star Vince Gill. The Air Force One photo and two others, part of a "specially commissioned, individually numbered and matted" series titled "George W. Bush: The First Year," are a bonus for those who give at least $150. The other photos show Bush taking the oath of office and delivering his first address to Congress. Tickets for the dinner start at $2,500, but many people will give much more and it is expected to raise more than $20 million.

The mailing promoting the congressional dinner includes a three-page letter from Cheney, who says the annual event "takes on special meaning" this year as "an opportunity to honor President Bush for his courageous leadership during this historic time." An enclosed note from Sen. George Allen (R-Va.), the dinner's co-chairman, touts the photo series in a postscript. "Seating is limited," Allen warns.

Both major parties, while privately admitting they are eager to profit politically from the war on terrorism, have been reluctant to make such appeals overtly. Terence R. McAuliffe, a legendary political fundraiser who chairs the Democratic National Committee, called the sale of the photo a "grotesque . . . strategy to use the war for political gain."

The statement accused the GOP of a "potentially illegal misuse of a White House photograph," but that did not appear to be the case. The Air Force One photo was taken by White House photographer Eric Draper. The House Republican campaign committee, which is holding the dinner jointly with its Senate counterpart, said it obtained the photo commercially from Corbis.com after the White House released it to all news media.

Rep. Thomas M. Davis III (R-Va.), chairman of the Republicans' House campaign committee, said he saw the fundraising appeal for the first time yesterday. "These are photos that are available on the Internet, and Republicans ought to be proud to have pictures of the president up there," Davis said. "I don't think anyone felt this was in any way exploiting 9/11."

The controversy about the Air Force One photo raged on the same day the Republican National Committee staged its annual gala at the Washington Convention Center. Democrats held the previous one-day fundraising record, for a $26.5 million barbecue in 2000.

In his remarks at the dinner, Bush saluted "our grand party" and said, "I want to thank all who made this dinner possible." He said he sees "great progress" toward his goal of a changed tone in Washington, and in his effort "to get rid of the needless name-calling that tends to go on here."

Before tucking into their balsamic-glazed tenderloins of beef, top donors were invited to breakfast with Cheney's counselor, Mary Matalin, at the St. Regis Hotel, followed by a meeting with senators and House members. About 70 were rewarded with lunch with Cheney at the Willard Inter-Continental Hotel. Other GOP high rollers heard from Commerce Secretary Donald L. Evans; Education Secretary Roderick R. Paige; Environmental Protection Agency Administrator Christine Todd Whitman; Karl Rove, Bush's senior adviser; and White House political director Ken Mehlman.

The GOP's Presidential Gala 2002 was underwritten by 19 chairmen and co-chairmen who gave $500,000 each, including Carl H. Lindner, chairman of Chiquita Brands International and managing partner of the Cincinnati Reds; and Dwight C. Schar, chairman of NVR Inc., the McLean home-building and mortgage concern.

Corporate donors included many firms that would be affected by issues pending in Congress, including energy and pharmaceutical companies, as well as accounting firms, which face proposals for new regulation after the Enron Corp. bankruptcy.

Bankrolling the dinner were 56 vice chairmen giving $250,000 each, including American International Group Inc., ChevronTexaco Corp., El Paso Corp., Microsoft Corp., Philip Morris Cos. and Union Pacific Corp.; 49 deputy chairmen giving $100,000 each, including the American Hospital Association, AT&T Corp., Cigna Corp., Dominion Inc., Ernst & Young, First Energy Corp., Lockheed Martin Corp., Schering-Plough Corp. and UST Inc.; and 25 dinner committee members giving $50,000 each, including Citigroup, Deloitte & Touche and Morgan Stanley Dean Witter & Co.

Staff writers Dan Balz, Juliet Eilperin and Al Kamen contributed to this report.

© 2002 The Washington Post Company

washingtonpost.com



To: T L Comiskey who wrote (51512)5/16/2002 5:46:38 AM
From: T L Comiskey  Respond to of 65232
 
Your most welcome D...
Stay well
T



To: T L Comiskey who wrote (51512)5/16/2002 7:28:57 AM
From: Clappy  Read Replies (1) | Respond to of 65232
 
That was cool TLC. Excellent.

For what ever reason, I don't picture some of those sentences coming out of Carlin's mouth.
The words seem too soft. Being a NYer, perhaps 911 has changed him.


> > A kiss and an embrace will mend hurt when it comes from deep inside of you.
> > Remember to hold hands and cherish the moment for someday that person
> > will not be there again.
> > Give time to love, give time to speak and give time to share the precious
> > thoughts in your mind


"George" Carlin, the comedian, said this?!

The only way I can picture him saying this is if he was bent over showing his back pockets to the audience and then following it up with some sort of sarcasm... <g> <ng>

Regardless, I really enjoyed that list.

Thanks for posting it.

-Clapper