Woo vs. Harmon - Witness Michael Cherkasky

David C. Farmer, Successor-Trustee vs. Harmon

(Formerly Woo vs. Harmon & Nicholson vs. Harmon)

CV05-00030 DAE KSC

U.S. District Court For the District of Hawaii

Judges: David A. Ezra; Kevin S. Chang

—

DEFENDANT’S WITNESS

MICHAEL CHERKASKY

CEO, Marsh & McLennan Companies

Marsh & McLennan Companies
1166 Avenue of the Americas
New York, NY 10036-2774

~ ~ ~

August 27, 2008

VIA fax: 808-529-7177 &

e-mail: sguttman@kdubm.com

David C. Farmer, Esq.
Office of the United States Trustee

c/o Steven Guttman, Esq., Kessner Duca Umebayashi, et al.

220 S. King Street, Floor 10

Honolulu, HI 96813

Re: CV05-00030 - David C. Farmer, Trustee vs. Bobby N. Harmon

Exhibit: “Marsh & McLennan: The Marsh Birds”

Witnesses: Mark Bennett; Lawrence Reifurth; J.P. Schmidt; Rocco Sansone, etc.

Dear Mr. Farmer & Mr. Guttman:

Due to the new discovery of important FACTS related to this case, I am updating the information for the subject Exhibit and witnesses, which you will find on-line at:

http://www.kycbs.net/MarshBirds.htm

http://www.kycbs.net/CV05-00030-Witness-Bennett-Mark.htm

http://www.kycbs.net/CV05-00030-Witness-Reifurth-Lawrence.htm

http://www.kycbs.net/CV05-00030-Witness-Schmidt-JP.htm

http://www.kycbs.net/CV05-00030-Witness-Sansone-Rocco.htm

These facts clearly show that there are numerous conflicting professional, financial and political relationships between entities involved in this case which cannot be dismissed as being merely “phantom dots”, “conspiracy theories”, “political opinions”, or “protected subject matter”.

As I have previously advised, I intend to file a MOTION TO REOPEN this case unless you are willing to try to resolve this matter NOW through voluntary NEGOTIATION or, as an alternative, through non-binding MEDIATION.

If you are not open to either of these alternatives, then please let me know immediately if you intend to file any Objections to my reopening this case.

Very truly yours,

Bobby N. Harmon, CPCU, ARM

cc: United States Attorney General Michael B. Mukasey

E-mail: AskDOJ@usdoj.gov

Carol Muranaka, Assistant U.S. Trustee, Office of the United States Trustee

Fax: 808-522-8156 & E-mail: ustp.region15@usdoj.gov

Governor Linda Lingle, State of Hawaii, Fax: (808) 586-0006

Mark Bennett, Attorney General, State of Hawaii, Fax: (808) 586-1239

Hugh Jones, Deputy Attorney General, State of Hawaii, Fax: (808) 586-1477

Lawrence Reifurth, Director, Dept. of Commerce & Consumer Affairs

Fax: (808) 586-2640

Jeffrey P. Schmidt, Hawaii Insurance Commissioner, Fax: (808) 586-2806

Ed Kubo, U.S. Attorney, Hawaii, Fax: (808) 541-2958

Charles H. Hurd, President, The Mediation Center of the Pacific

Fax: (808) 538-1454 & Email: mcp@mediatehawaii.org

Website: http://www.mediatehawaii.org/

Keith W. Hunter, President & CEO, Hawaii Dispute Prevention & Resolution

Fax: (808) 537-1377 & E-mail: www.dprhawaii.com/Contact.aspx

Website: www.dprhawaii.com

Sheryl L. Nicholson, President, ACLU of Hawaii

Fax: 808-522-5909 & E-mail: office@acluhawaii.org

Website: www.acluhawaii.org

Janet L. Kamerman, Special Agent in Charge, Federal Bureau of Investigation

Email: HONOLULU@FBI.GOV

Judge Robert Faris, U.S. Bankruptcy Court, State of Hawaii

Fax: 808-522-8120 & Email: hib@hib.uscourts.gov

Judge David A. Ezra, U.S. District Court, State of Hawaii

Fax: 808-541-3575 & Email: theresa_lam@hid.uscourts.gov

Judge Kevin Chang, U.S. District Court, State of Hawaii

Fax: 808-541-1181 & Email: sa@hid.uscourts.gov

Judge Barry Kurren, U.S. District Court, State of Hawaii

Fax: 808-541-1181 & Email: richlyn_young@hid.uscourts.gov

Steven Katzman, American Arbitration Association, Fax: (619) 557-5339

Dee Jay Mailer, CEO, Kamehameha Schools, Fax: (808) 541-5305

James Cribley, President, P&C Insurance Co., Fax: (808) 523-1888

Nathan Aipa, Esq., Pitluck Kido Stone & Aipa, LLP, Fax: (808) 545-4015

Matt Tsukazaki, Esq., Torkildson Katz... (Attorney for Kamehameha Schools)

Fax: (808) 523-6001

James Wriston, Jr., Esq., Ashford & Wriston, jwriston@awlaw.com

Robert Bruce Graham, Jr., Esq., Ashford & Wriston, bgraham@awlaw.com

Rocco Sansone, V.P., Marsh & McLennan, Fax: (808) 585-3510

Jeffrey Sia, Esq., Ayabe, Chong... (Attorney for P&C Insurance Co.)

Fax: (808) 586-2806

Marion Higa, Hawaii State Auditor, Fax: (808) 587-0830

Roy Hughes, Esq., Hughes & Taosaka

Fax: (808) 521-7489 and E-Mail: hthughes@hawaii.rr.com

Valerie U. Katz, CPCU, ARM, VP, Claims, Island Insurance Co.

Fax: (808) 275-8222 & E-Mail: clmrpt@islandinsurance.com

James Kawashima, Esq., Kawashima Lorusso & Tom LLP, Fax (808) 544-8399

Thomas Kaulukukui and Patrick Yim, Trustees, Queen Liliuokalani Trust

Fax (808) 203-6151

Stuart Ho, President, Waialae Country Club, Fax: (808) 734-4791

Peter K. Hanashiro, Partner, KMH LLP, E-mail: phanashiro@kmhllp.com

Dennis Tsuhako, CPA, Fax: (808) 531-3433

John English, American Arbitration Association, Email: EnglishJ@adr.org

View this page on-line at:

http://www.kycbs.net/CV05-00030-Farmer-8-27-8.htm

View archives of the original web-page at:

The Catbird Seat

~ ~ ~

August 21, 2008

VIA fax @ (808) 586-1239

and e-mail: hawaiiag@hawaii.gov

Mark Bennett, Attorney General

State of Hawaii

425 Queen Street

Honolulu, Hawaii 96813

RE: CV05-00030 - Office of the United States Trustee vs Bobby N. Harmon

Request for Criminal Investigation into Alleged Racketeering Activities

Marsh & McLennan, Inc., Chubb Group, PricewaterhouseCoopers, Kamehameha Schools, Prudential, Zurich Financial and others; and

Request for Enforcement of Hawaii Revised Statutes Vol. 13, Chap. 634F

Dear Attorney General Bennett:

This is to inform you that I have not received an acknowledgment of, or response to, my letter you dated August 1, 2007, regarding the referenced matter. A copy of this letter, and related information, can be found on the Internet at:

http://www.kycbs.net/CV05-00030-Hawaii-AG-8-1-7.htm

http://www.kycbs.net/Claims-Branch-Attorney-General.htm

http://www.kycbs.net/Confessions.htm

http://www.voy.com/129276/

Since this information is necessary in order for the subject case to be finally closed, I ask that you provide to me, as soon as possible, an accounting of the settlement recovered for Kamehameha Schools and P&C Insurance Co., Inc. for the fraudulent overcharges which I reported beginning in November, 1996, and which may be continuing to this date.

Also, as a tax-payer, I ask that you provide to me. and to the general public, complete details– including reimbursement of premiums, damages for wrongfully denied claims, penalties, etc.– regarding the settlement negotiations and monies received which involved any and all claims made by the State of Hawaii against the insurance agents, brokers and carriers involved in your investigations and settlement negotiations.

Your immediate response is respectfully requested.

Very truly yours,

Bobby N. Harmon, CPCU, ARM

cc: Hugh Jones, Dorothy Sellers, and Lawrence Goya,

Office of the Attorney General, c/o Hugh Jones (hugh.r.jones@hawaii.gov)

Michael B. Mukasey, U.S. Attorney General (AskDOJ@usdoj.gov)

Ed Kubo, U.S. Attorney, Hawaii (fax: 808-541-2958)

Janet L. Kamerman, Special Agent in Charge, Federal Bureau of Investigation

Email: HONOLULU@FBI.GOV

Laurence Reifurth, Director, Dept. of Commerce & Consumer Affairs
(fax: 808-586-2640)

Jeffrey P. Schmidt, Hawaii Insurance Commissioner (fax: 808-586-2806)

Linda Lingle, Governor, State of Hawaii (fax: 808-586-0006)

Carol Muranaka, Office of the U.S. Trustee (ustp.region15@usdoj.gov)

David C. Farmer, Trustee. (fax: 808-529-8642)

James B. Nicholson, Trustee (jamesbnicholson@aol.com)

Steven Guttman, Esq, Kessner Duca.... (sguttman@kdubm.com)

Judge Robert Faris, U.S. Bankruptcy Court, State of Hawaii

Fax: 808-522-8120 & Email: hib@hib.uscourts.gov

Judge David A. Ezra, U.S. District Court, State of Hawaii

Fax: 808-541-3575 & Email: theresa_lam@hid.uscourts.gov

Judge Kevin Chang, U.S. District Court, State of Hawaii

Fax: 808-541-1181 & Email: sa@hid.uscourts.gov

Judge Barry Kurren, U.S. District Court, State of Hawaii

Fax: 808-541-1181 & Email: richlyn_young@hid.uscourts.gov

Steven Katzman, American Arbitration Association

Fax: (619) 557-5339

Charles H. Hurd, President, The Mediation Center of the Pacific

Fax: (808) 538-1454 & Email: mcp@mediatehawaii.org

Website: http://www.mediatehawaii.org/

Keith W. Hunter, President & CEO, Hawaii Dispute Prevention & Resolution

Fax: (808) 537-1377 & E-mail: www.dprhawaii.com/Contact.aspx

Website: www.dprhawaii.com

Sheryl L. Nicholson, President, ACLU of Hawaii

Fax: 808-522-5909 & E-mail: office@acluhawaii.org

Dee Jay Mailer, CEO, Kamehameha Schools

Fax: (808) 541-5305

James Cribley, President, P&C Insurance Co.

Fax: (808) 523-1888

Nathan Aipa, Esq., Pitluck Kido Stone & Aipa, LLP
Fax: (808) 545-4015

Matt Tsukazaki, Esq., Torkildson Katz... (Attorney for Kamehameha Schools)

Fax: (808) 523-6001

James Wriston, Jr., Esq., Ashford & Wriston

jwriston@awlaw.com

Robert Bruce Graham, Jr., Esq., Ashford & Wriston

bgraham@awlaw.com

Rocco Sansone, V.P., Marsh & McLennan

Fax: (808) 585-3510

Jeffrey Sia, Esq., Ayabe, Chong... (Attorney for P&C Insurance Co.)

Fax: (808) 586-2806

Marion Higa, Hawaii State Auditor

Fax: (808) 587-0830

Roy Hughes, Esq., Hughes & Taosaka

Fax: (808) 521-7489 and E-Mail: hthughes@hawaii.rr.com

Valerie U. Katz, CPCU, ARM, VP, Claims, Island Insurance Co.

Fax: (808) 275-8222 & E-Mail: clmrpt@islandinsurance.com

James Kawashima, Esq., Kawashima Lorusso & Tom LLP

Fax (808) 544-8399

Thomas Kaulukukui and Patrick Yim, Trustees, Queen Liliuokalani Trust

Fax (808) 203-6151

Thomas Fitton, Judicial Watch, www.judicialwatch.org (info@judicialwatch.org)

Public Citizen, www.cleanupwashington.org (cleanupwashington@citizen.org)

Rocco Sansone, VP, Marsh & McLennan, Hawaii (fax: 808-585-3510)

Robin Campaniano, AIG Hawaii Insurance Co. (aighi001@aighawaii.com)

Margery Bronster, Esq. (info@bchlaw.net)

Judith Neustadter Fuqua, Esq., Arbitrator (Judy@tiki.net)

William K. Slate II, President/CEO, American Arbitration Association (Websitemail@adr.org)

John D. Finnegan, CEO, The Chubb Corporation (info@chubb.com)

Lissa H. Andrews, Rush Moore LLP, Atty for Federal Insurance Co. (landrews@rehawaii.com)

Susan Tius, Esq., Rush Moore LLP (Stius@rmhawaii.com)

Matt A. Tsukazaki, Esq., Torkildson Katz ... (mat@torkildson.com)

Paul Alston, Alston Hunt Floyd & Ing (palston@ahfi.com)

James Duca, Esq. (jduca@kdubm.com)

Bradley Tamm, Esq. (btamm@hawaii.rr.com)

Greg Dunn (gregdunn1@verizon.net)

Lyn Flanigan Anzai, Hawaii State Bar Association (lanzai@hsba.org)

Jeffrey N. Watanabe, Esq., Watanabe Ing... (jwatanabe@wik.com)

J. Arthur Rath (imua@spamarrest.com)

Randall Roth (rroth@hawaii.edu)

Judge Samuel P. King (leslie_sai@hid.uscourts.gov)

J.C. Shannon (hapa1234@aol.com)

V.K. Durham, www.theantechamber.net/#AnchorVK (Vkdtdht@pionet.net)

Eric Shine, www.martiallaw911.com (civilrights911@socal.rr.com)

Marshall Chriswell (mc@whistleblowers.org)

Others...

~ ~ ~

NEW DISCOVERY (07-09-08):

THE PEOPLE OF THE STATE OF NEW YORK,
By Eliot Spitzer, Attorney General of
the State of New York, Plaintiff

vs.

AON CORPORATION, Defendant

http://www.oag.state.ny.us/press/2005/mar/complaint.pdf

and

http://www.kycbs.net/Spitzer-vs-Aon.pdf

~ ~ ~NEW DISCOVERY (06-02-08):

June 2, 2008

Marsh & McLennan CFO Matthew Bartley stepping down

Associated Press

NEW YORK - Insurance brokerage Marsh & McLennan Cos. said Monday its executive vice president and chief financial officer, Matthew Bartley, is leaving the company.

Marsh & McLennan is in the process of searching for his replacement. Bartley, who has served as CFO since 2006, will remain with the company until a successor is appointed.

www.forbes.com

~ ~ ~

June 11, 2007

Marsh Names New CFO

Mark C. McGivney joins the insurance broker
from the Hanover Insurance Group.

Stephen Taub, CFO.com

Marsh Inc. named Mark C. McGivney its new chief financial officer.

McGivney joins the insurance broker from the Hanover Insurance Group, where he was senior vice president of finance, corporate treasurer and CFO for the company's property/casualty business.

"In addition to his strong financial background, Mark brings both insurance market experience and a strategic skill set that will enhance finance support for Marsh's accelerating growth and operational transformation," said Matthew Bartley, CFO for Marsh's parent company, MMC, in a statement.

"He brings us a broad array of experience in all areas of finance, including treasury, mergers and acquisitions, rating agency relationships, internal audit and Sarbanes-Oxley," said Brian Storms, chairman and chief executive officer of Marsh, in a statement. ( http://en.wikipedia.org/wiki/Sarbanes-Oxley_Act )

McGivney joined The Hanover in 1997 as vice president of mergers and acquisitions. Prior to that, he worked in investment banking in the financial institutions sector at Merrill Lynch and Salomon Brothers. He was also a CPA with Price Waterhouse earlier in his career.

Back in February 2005, Marsh & McLennan Cos. agreed to pay $850 million to settle charges of fraud and anti-competitive practices at its Marsh unit stemming from an investigation by New York State Attorney General Eliot Spitzer into bid-rigging.

Under the agreement, the insurance broker agreed to provide restitution to its policyholders who were harmed by its actions and adopt a new business model designed to avoid conflicts of interest, according to an announcement made by Spitzer and the superintendent of the New York State Insurance Department, at the time.

In addition, the company had agreed to adopt what Spitzer's office called "dramatic new reforms," including a limit on insurance brokerage compensation to a single fee or commission at the time of placement, a ban on contingent commissions, and a requirement that all forms of compensation will be disclosed to and approved by Marsh's clients.

~ ~ ~

(Question for Hawaii Insurance Commissioner J.P. Schmidt: What restitution was made to Kamehameha Schools/Bishop Estate and P&C Insurance Company for Marsh & McLennan’s overcharges? See: www.kycbs.net/KSBE-INTERROGATORIES.htm and www.kycbs.net/Claims-Branch-Commissioners.htm)

~ ~ ~

In October 2004, Spitzer alleged that Marsh steered its clients to insurers with which it had lucrative payoff agreements, and that the firm solicited rigged bids for insurance contracts. Later that month, Jeffrey Greenberg stepped down as Marsh's chairman and CEO.

In February 2005, former Marsh executive Kathryn Winter pleaded guilty to criminal charges in New York County Supreme Court, admitting that she took part in a scheme to defraud clients between 2001 and 2004.

~ ~ ~

NEW DISCOVERY (01-07-08):

January 7, 2008

Trial Opens for 5 Former
Insurance Execs

By JOHN CHRISTOFFERSEN, Forbes, AP

HARTFORD, Conn. - The former chairman and CEO of the world's largest insurer initiated a deal that led to five ex-executives being charged with participating in a scheme to manipulate the company's financial statements, a federal prosecutor said Monday during opening arguments at their trial.

Four former executives of Berkshire Hathaway (nyse: BRKA - news - people )'s General Re Corp. and a former executive of American International Group Inc. (nyse: AIG - news - people ) are charged in the scheme involving AIG's financial statements.

Prosecutor Raymond Patricco said former AIG CEO Maurice "Hank" Greenberg, who has not been charged in the case, started the scheme in 2000, after AIG's stock price dropped 6 percent, representing a loss of $12 billion to shareholders. The price dropped because loss reserves had declined.

"Greenberg and AIG came to Gen Re for this deal," Patricco said.

Attorneys for the defendants denied their clients did anything wrong Monday and said the case involved complex, subjective accounting. They attacked government witnesses - two senior Gen Re executives who pleaded guilty to conspiracy to falsify SEC filings - as out to save themselves.

They also said their clients did not benefit financially from the scheme.

"This is not Enron or WorldCom," said Anthony Pacheco, attorney for former General Re Senior Vice President Christopher P. Garand, referring to two of the biggest recent business scandals.

Greenberg, who headed New York-based AIG for nearly 40 years, has denied any wrongdoing. He was referred to as an unindicted coconspirator in an indictment.

Allegations of accounting irregularities, including the Gen Re transactions, led to his resignation in 2005.

At issue in the trial of the former executives are two reinsurance transactions between AIG and Stamford-based General Re. Reinsurance policies are backups purchased by insurance companies to completely or partly insure the risk they have assumed for their customers.

Prosecutors said the transactions were initiated by an AIG senior executive to quell criticism by analysts of a reduction in AIG's loss reserves in the third quarter of 2000. The indictment alleges that the aim was to make it appear that AIG increased its loss reserves by about $500 million in 2000 and 2001, pacifying the analysts and investors and artificially boosting the company's stock price.

"But the evidence in this case will show that deal was nothing more than a sham transaction," Patricco said. "The defendants in this case knew what appeared in the contracts was a lie."

Prosecutors said Greenberg called his friend, former General Re CEO Ronald Ferguson, who is one of the defendants, and told him that AIG wanted to increase its loss reserves by $500 million, but did not want to bear the risk.

Ferguson agreed to the deal Greenberg proposed, Patricco said.

For a reinsurance transaction to be legitimate, there must be a transfer of risk, which was lacking in the deal in question, prosecutors said.

"The evidence in this case will show the defendants knew this would be a no-risk deal for AIG," Patricco said.

Greenberg and the company later reported that the loss reserves had gone up.

"Plain and simple, ladies and gentlemen, the statements about AIG's loss reserves were lies," Patricco said.

In opening arguments, Patricco never mentioned billionaire investor Warren Buffett, who could play a role in the trial. Some of the executives say they believed Buffett was involved and supported the deal that led to the charges. Buffett leads Berkshire Hathaway.

But prosecutors say they only named Buffett, who has not been charged with any wrongdoing, as a potential witness to rebut any suggestion by the defense that he was involved in or approved the deal.

Michael Horowitz, Ferguson's attorney, said Monday that his client told Buffett and others about the requested transaction.

"Not a single red cent went into his pocket," Horowitz said.

The former General Re executives charged were Ferguson, chief executive officer from about 1987 through September 2001; Elizabeth Monrad, chief financial officer from June 2000 through July 2003; Robert Graham, a senior vice president and assistant general counsel from about 1986 through October 2005; and Garand, a senior vice president from 1994 until 2005.

Also charged was Christian Milton, AIG's vice president of reinsurance from about April 1982 until March 2005. Patricco said Monday that he lost $360,000 when the stock price dropped.

The defendants have pleaded not guilty to the charges.

AIG filed a restatement in 2005 related to the transactions and agreed to pay a record $1.64 billion in a settlement with federal and New York authorities.

In 2005, two senior Gen Re executives, John Houldsworth and Richard Napier, pleaded guilty to conspiracy to falsify SEC filings in connection with the investigation and are awaiting sentencing.

If convicted of all the charges, Ferguson, Monrad, Milton and Graham each face up to 230 years in prison and a fine of up to $46 million. Garand faces up to 160 years in prison and a fine of up to $29.5 million.

The trial is expected to last about two months.

The indictment:

www.usdoj.gov/usao/ct/Documents/FERGUSON_SS_Indictment.pdf

~ ~ ~

NEW DISCOVERY (02-09-08): Kamehameha Schools made a “confidential” settlement agreement with the plaintiff in the John Doe vs. Kamehameha Schools case, which my former attorney, John Goemans, Esq., says, according to what he has learned from the IRS, violates the rules for a non-profit charitable trust:

February 9, 2008

$7M

An attorney involved in a challenge to Kamehameha Schools' Hawaiians-only policy reveals the amount of a settlement

By Ken Kobayashi, Honolulu Star-Bulletin

Kamehameha Schools made the first move to settle a legal challenge to their admissions policy giving preference to native Hawaiians and later agreed to pay $7 million, a lawyer involved in the case said yesterday.

John Goemans, an attorney for an unnamed non-native Hawaiian student who filed a lawsuit contesting the policy, said the charitable trust offered for the first time to talk about an out-of-court settlement last May, just days before the U.S. Supreme Court was to decide whether to hear the case.

Goemans, a former Big Island attorney recuperating in Florida from heart surgery, and Sacramento, Calif., lawyer Eric Grant, the lead attorney, represented the unnamed student and his mother.

"They (the schools) approached Eric and said we wanted to settle and we have to settle by Friday morning," when it was believed the high court was to make a decision about accepting the case, Goemans said.

He said it appeared the high court would accept their appeal of an 8-7 decision by the 9th U.S. Circuit Court of Appeals that upheld the policy.

"They (the schools) were worried about losing in the Supreme Court," Goemans said.

Goemans said he did not know how Grant and the Kamehameha Schools arrived at the $7 million figure.

The hotly disputed federal civil rights lawsuit caused a firestorm of controversy among Kamehameha Schools supporters who believed the challenge struck at the more than century-old admissions policy and the heart of the charitable trust's mission to educate children of Hawaiian ancestry.

The confidential settlement was announced on May 14. Those connected with the case repeatedly refused to disclose the terms.

Goemans said he was disclosing the amount because he said he recently learned from Internal Revenue Service officials that Kamehameha Schools, a tax-exempt charitable trust, cannot keep the figure confidential.

"Because exempt organizations operate in the public good, you got to report all your expenses with particularity, and you cannot keep information relative to those expenses confidential," he said. "It's in the public interest to have full disclosure."

Ann Botticelli, Kamehameha Schools spokeswoman, said yesterday the settlement contained a confidentiality clause.

"We intend to honor the terms, and we will not be discussing the settlement or John Goemans' assertions," she said.

Grant said yesterday he had no comment.

Kamehameha Schools, a multibillion-dollar charitable trust and the state's largest private landowner, was established under the 1883 will of Princess Bernice Pauahi Bishop. It educates more than 6,700 students at its flagship campus at Kapalama Heights, two other campuses on Maui and the Big Island, and 31 preschools throughout the state.

Senior U.S. District Judge Alan Kay upheld the school's Hawaiians-first policy, but a panel of the appeals court in San Francisco ruled 2-1 that the practice violated federal civil rights laws. That decision triggered statewide protests and marches by school supporters.

Later, a larger appeals court panel voted 8-7 to uphold the policy.

It was an appeal by Grant of that 8-7 ruling that was on the doorsteps of the U.S. Supreme Court when the settlement was announced.

At the time, school officials indicated that the settlement calling for the dismissal of the lawsuit leaves intact the appeals court's 8-7 decision upholding the admissions policy.

But the dismissal does not guarantee that another lawsuit might surface and make its way to the high court, although it would first have to go through the federal trial and appeals courts, where the 8-7 ruling would be considered to be binding on the issue. But even if those who file the new lawsuit lose on those two levels, they could still ask the high court to review the case.

Honolulu attorney David Rosen said he has plaintiffs for a lawsuit to challenge the admissions policy. He said the settlement does not affect his case. Rosen said he expects the suit will be filed this year.

Goemans said Grant received 40 percent, or $2.8 million of the $7 million. Goemans said he is preparing to file his own lawsuit seeking to recover a "reasonable percentage" of the $7 million for his work in the case.

Goemans said he found the unnamed student and arranged for Grant to be the attorney for the student and his mother.

"I put the whole thing together," Goemans said. "But for me there would not have been a $7 million payment."

The student never was admitted to Kamehameha Schools because his case was pending. He has since graduated from high school and had been attending college, Grant said last year.

http://starbulletin.com/2008/02/09/news/story02.html

~ ~ ~

February 9, 2008

Amount of settlement
raises critical concern

By Robert Shikina, rshikina@starbulletin.com

Supporters and critics expressed surprise yesterday at the $7 million Kamehameha Schools paid a student to settle a lawsuit disputing its Hawaiians-first admission policy.

One Kamehameha Schools alumnus says disclosure of the settlement with the anonymous, non-Hawaiian student will prompt questions among Hawaiians.

"I'm not happy with $7 million," said Kamehameha Schools alumnus Jan E. Hanohano Dill. "Unfortunately, that's a lot of money, and it's going to create a lot of questions in the Hawaiian community whether it was right or wrong and to continue."

Dill, also a board member of Na Pua a Ke Ali'i Pauahi, a nonprofit group whose members include students, parents, and alumni of Kamehameha Schools, said he continues to support the school's decision.

"I don't know the details, and I think that's something that has to be cleared," he said. "You settle because you want to avoid costs that would be incurred as you go forward."

He added, "I have to believe that they understood that this was something good for the Hawaiian people. ... It will be clear as things unfold whether that was true."

Dill, who is also president of the nonprofit Partners in Development Foundation, said the admissions policy must eventually be addressed and that the settlement avoids this case but does not stop other cases.

Marion Joy, former vice president of Na Pua, called the settlement a "misuse of trust funds."

"The trust is continually going to be challenged," she said. "This is not going to be the last. ... As far as settling for the particular lawsuit, it's not in the best interests of the beneficiaries (of the 1883 will of Princess Bernice Pauahi Bishop)."

Kamehameha Schools declined comment.

Honolulu attorney David Rosen, who has sought potential clients to sue Kamehameha over its admissions policy after the settlement, sent out a statement yesterday that said the $7 million settlement was used to "buy off this case."

He added that the trustees should open a campus on the Leeward Coast of Oahu and possibly Molokai where increased educational opportunities are needed.

H. William Burgess, a retired attorney and founder of Aloha for All, a group opposed to Hawaiian sovereignty, said the settlement raises questions about the proper use of the trust funds.

"Normally, trustees, if they're doubtful about doing something, they ask the court to give them instructions," he said. "Yet in this case, the biggest charitable trust, probably in the nation, instead of welcoming the opportunity to get the highest court in the land to settle it, they pay $7 million to leave it open. And it is very much open."

http://starbulletin.com/2008/02/09/news/story03.html

* * *

NEW DISCOVERY OF FACTS: Proposed Successor-Trustee David Farmer has worked with Judge Robert Faris and Marsh & McLennan’s Mercer Consulting Services in the Aloha Airlines bankruptcy case.

~ ~ ~

March 17, 2002

Dead air deal rankles Aloha

By Susan Hooper, Honolulu Advertiser

The proposed merger between the state's two local airlines foundered because Hawaiian Airlines wanted to change the terms of the agreement, including eliminating the Houston consulting firm coordinating the deal, the chief executive of Aloha Airlines said in a statement today.

Hawaiian's proposal also would have given Hawaiian chairman John Adams the top spots in the merged airline, eliminating Greg Brenneman, the TurnWorks executive who had been orchestrating the merger, according to Glenn Zander, Aloha's president and chief executive officer.

"Aloha could not accept Hawaiian's new proposal because in our judgment, it was not in the best interest of the state, the traveling public or Aloha's shareholders and employees," Zander said.

The details emerged a day after Hawaiian said it was pulling out of the deal because it did not wish to extend what it called an April 18 "outside date for completing the merger." It said increasing costs and risks of the deal were factors.

The announcement surprised many in the state, including employees of both airlines and state legislators who as late as last Tuesday had held a hearing on the merger.

Today, Zander said Hawaiian's action was "regrettable" and said members of Aloha's board of directors voted unanimously to reject Hawaiian's proposal. He also praised Brenneman and TurnWorks for their work on the merger.

Hawaiian spokesman Keoni Wagner said tonight, "We don't necessarily agree with Aloha's characterization of the negotiations, but we also choose not to discuss publicly what would otherwise be private conversations."

The apparent power grab by Adams came even though he and his affiliated companies would have been the financial winners if the merger had gone through. Adams stood to receive assets valued at about $109 million. Adams, his companies and other Hawaiian shareholders also would have held a 52 percent stake in the new airline.

Under terms of the original merger, the shareholders of privately owned Aloha Airlines — many of them relatives of the company founders — would have gotten 28 percent of the merged airline, worth an estimated $56 million.

TurnWorks would have received a 20 percent stake in the company.

For more than a year, Aloha and its consultant have viewed TurnWorks and Brenneman as essential to the success of the merger, according to documents filed with the Securities and Exchange Commission last month that outlined how the merger came about.

Aloha's consultant, Mercer Management, initially approached Brenneman in February 2001 asking whether he wanted to invest in the airline. In July, Brenneman, a former top executive with Continental Airlines, met further with Mercer to discuss a possible investment and subsequent merger with Hawaiian.

Hawaiian officials, contacted in August, initially appeared cool to the idea but after the Sept. 11 terrorist attacks, and subsequent downturn in travel, they agreed to "discuss a possible merger involving the two airlines and TurnWorks," according to the documents.

On Sept. 22, according to the documents, Mercer and senior management officials of Aloha and Hawaiian met and Mercer proposed that both airlines should continue to include Brenneman and TurnWorks in the merger discussions as Brenneman "was likely to be an important factor in creating an agreement between the two airlines, leading the integration efforts, and running the combined carrier and in generating maximum value for shareholders of both companies."

On Sept. 25, the documents say, all parties agreed to proceed with merger talks. They also agreed "that the involvement of TurnWorks and Brenneman would be an important factor in consummating a deal, as past efforts to combine the two airlines were not successful."

TurnWorks officials said in a statement today, "We were surprised and disappointed (by Hawaiian's decision) ... The failure to extend the timetable essentially precludes completing this complex transaction....

The abrupt end to the merger, which was announced Dec. 19, leaves the future of the two airlines and of Hawai'i's interisland airline market uncertain. In announcing the deal three months ago, executives with both airlines said they needed to merge because conditions in the airline industry — and in the interisland market in particular — had made it impossible for them to survive separately.

After the Sept. 11 attacks, both airlines lost tens of thousands of dollars a day and furloughed hundreds of workers. In recent weeks, as the Mainland economy has recovered, there have been signs of improvement in the local airline market.

Still, documents filed with the Securities and Exchange Commission show that Aloha is financially more vulnerable than Hawaiian. The privately held airline has more debt on its books and reported a $1.25 million loss at the end of the third quarter Sept. 30. The airline also has smaller and older aircraft and fewer flights to the Mainland.

Today Zander said Aloha has its own business plan to move ahead "on a stand-alone basis." Aloha spokesman Stu Glauberman said Zander will be meeting with Aloha's employees' union executives tomorrow.

Before the announcements over the weekend, the two airlines had been working on a joint application to take advantage of a special antitrust exemption granted by Congress last November to cooperate on some operations, such as routes, scheduling and pricing....

Gov. Ben Cayetano had been a supporter of the merger and said today, "The failure of the merger had nothing to do with the U.S. Department of Justice, the state Legislature or public opposition. This was a business decision that we will have to accept. The state administration will do its best to try to assure that Hawai'i will continue to have two viable interisland carriers."

State Sen. Ron Menor, D-18th (Mililani, Waipahu, Crestview), chairman of the Senate Commerce, Consumer Protection and Housing Committee, had opposed the merger and his committee took part in statewide hearings....

The mood among workers at Honolulu's interisland terminal was split between the two airlines today, with Aloha employees grim-faced and in no mood to talk about the failed merger, and Hawaiian employees buoyant.

~ ~ ~

March 16, 2008

From:"V.K. Durham" <vkdtdht@pionet.net>

To: "V.K. DURHAM, DURHAM HOLDING TRUST, TIAS 12087" <vkdtdht@pionet.net>

Subject: LEO WANTA HAD ACCESS TO THE RED MERCURY FILE; SO DID "ELLIOT SPITZER"

Ambassador Wanta has sent both Patriotlad and myself very credible, undeniable, irrefutable documentation and evidence.. I really do not think we are objecting to, or 'discrediting' or "denying" Ambassador Wanta.. Of all people.. I know what Ambassador, Queens Knight, Sir Leo Wanta is confronted with.. it's just that MI-6 operative.. associated with Ambassador "Sir" Wanta I personally object to..

Aside from this going as a response to PATRIOTLAD's Articles.. This is also going to those men and women currently investigating this MONEY LAUNDERING all the way back to ROSEBUD and PROJECT HAMMER.

Gentlemen: I believe you will all be interested in this as it corresponds with U.S. Dept. of the Treasury Agent, Marion Aiken (Akien, Akiens, Aikens) ERKAV documents which names many of the same names banks and so forth..

Further, the previous LEO WANTA HAD ACCESS TO GOOD, CLEAN, CLEAR FUNDS IN 1991 contains names of individuals and banks contained in those files hand carried to ELLIOT SPITZER involving the 1991 BANK FAILURES and BRADY BONDS and VINCE FOSTERS & RUSSELL HERMAN'S 'HOMICIDE'S.. and http://www.theantechamber.net/V_K_Durham/More911FinancialTerror.htm .

However there was the tripple "F"s (find 'em, fluck 'em and 'forget 'em', and tripple "D's" of Deny, Discredit and Destroy.. all TOP LEVEL stuff..

"Every single bit of this has been covered up by the Department of Justice since the Clinton Administration.. and ordered Do not investigate per Jamie Gorelick of the DoJ infamous memorandum.

http://www.usdoj.gov/ag/testimony/supplementarymaterial.pdf ..

One must inevitably ask WHY!?

LEO WANTA HAD ACCESS TO THE RED MERCURY FILE

http://www.rumormillnews.com/cgi-bin/forum.cgi?read=120621

HAARETZ: ELIOT SPITZER WAS AIMING TO BE THE FIRST JEWISH AMERICAN PRESIDENT?

http://www.rumormillnews.com/cgi-bin/forum.cgi?read=120634 and

http://www.haaretz.com/hasen/spages/963139.html

Are you aware of these Corporations & Individuals:?

The True Owners of the Federal Reserve

What this doesn't show is that the true owners of the Federal Reserve are eight so-called Jewish families. These families control the entire FED, and only three reside in American. According to page 609 of Called To Serve, that source stated:

The Eight principal stock holders of the US federal reserve are: Rothschilds of London and Berlin, Lazard Bros-Paris, Israel Moses Schiff-Italy, Kuhn and Loeb-Germany, Warburg-Hamburg, Lehman Bros-NY, Goldman and Sachs-NY and Rockefellers-NY.

Do federal income tax revenues pay for any government services and, if so, which government services are funded by federal income taxes?

Answer: No. The money trail is very difficult to follow, in this instance, because the IRS is technically a trust with a domicile in Puerto Rico.

See 31 U.S.C. 1321(a)(62). As such, their records are protected by laws which guarantee the privacy of trust records within that territorial jurisdiction, provided that the trust is not also violating the Sherman Antitrust Act.

They are technically not an "agency" of the federal government, as that term is defined in the Freedom of Information Act and in the Administrative Procedures Act. The governments of the federal territories are expressly excluded from the definition of "agency" in those Acts of Congress. See 5 U.S.C. 551(1)(C). (See also the Answer to Question 5 above.)

All evidence indicates that they are a money laundry, extortion racket, and conspiracy to engage in a pattern of racketeering activity, in violation of 18 U.S.C. 1951 and 1961 et seq.

They appear to be laundering huge sums of money into foreign banks, mostly in Europe, and quite possibly into the Vatican. See the national policy on money laundering at 31 U.S.C. 5341.

The final report of the Grace Commission, convened under President Ronald Reagan, quietly admitted that none of the funds they collect from federal income taxes goes to pay for any federal government services. The Grace Commission found that those funds were being used to pay for interest on the federal debt, and income transfer payments to beneficiaries of entitlement programs like federal pension plans. [source: http://www.supremelaw.org/reading.list.htm ]

But, there is more, thanks to my readers who so graciously provide quality information via email.. such as this: "

Spitzer was up to his ears in the 911 cover up.

Spitzer scandals continue.

This comes out of Henk Russenaars [Foreign News Correspondent] Camp..

In 2004, Eliot Spitzer was asked to investigate 9/11 by 66% of New Yorkers. Those pleas were ignored. 51% of the USA wants Bush and Cheney investigated for 9/11, according to a Zogby poll last week.

On the 6th anniversary of the 9/11 attack, Brooklyn activist newspaper the New York Megaphone breaks this exclusive story:

NY Governor Eliot Spitzer filed an amicus brief on 1/15/03 on behalf of the World Trade Center's controversial lease-holder, the real estate magnate Larry Silverstein. This document shows that Spitzer, as Attorney General, helped Silverstein get the whopping $4.5 billion windfall for the 9/11 attacks. The record is clear: Spitzer helped reverse a lower court's decision, by making credible Silverstein's argument that the two different plane crashes on 9/11/01 should be compensated as two different terrorist attacks.

His amicus brief has never been reported before today, in print or online. It was discovered in the court archives on the 17th floor of the 2nd Circuit Court (NYC), and released to the New York Megaphone by attorney Carl Person.

In reporter Sander Hicks's exclusive story, author and lawyer Carl Person says: "I was surprised to see that Spitzer had used his position as attorney general to support one private litigant over another. Normally, this is not done."

Hicks' story also covers Governor Spitzer's recent scandals with police spying on rival Joe Bruno, the Roger Stone voice mail threat, as well as new information and interviews regarding the Spitzer links to Kroll executives Michael Cherkasky and Jerome Hauer. Hicks hands in an original interview with Jerome Hauer, probing his documented links to anthrax suspect Steven Hatfill. Hauer is widely believed to be the source of the White House's foreknowledge about the anthrax attacks on 9/11/01.

In 2004, Eliot Spitzer was asked to investigate 9/11 by 66% of New Yorkers. Those pleas were ignored. 51% of the USA wants Bush and Cheney investigated for 9/11, according to a Zogby poll last week.

This is the 6th issue of the New York Megaphone, a quarterly newspaper published by activist writers and "Citizen Journalists Pursuing the Unreported Story" at the Vox Pop coffeehouse and community center in Ditmas Park, Brooklyn. http://voxpopnet.net

"The Real Spitzer Scandal" is currently distributed in a print run of 40,000 for the Fall NY Megaphone, distributed throughout NYC. Circulation is estimated to be over 62,000. "The Real Spitzer Scandal" is also online, free and in full, at http://www.nymegaphone.com/node/24

This issue of the New York Megaphone also includes a wide variety of quality original reporting, small business features, and humor.

Hicks' original interview with "bio-terror expert" Jerome Hauer is at http://www.voxpopnet.net/podcasts/hauer.mp3

The Spitzer/Silverstein Amicus Brief is at: http://voxpopnet.net/Documents/spitzerbrief.pdf

The story was reported and written by Sander Hicks, with reporting help from Igor Kossov and Kempshall McAndrew.

Contact: Sander Hicks, Publisher, NY Megaphone

718 940 2084 sander@voxpopnet.net

http://nymegaphone.com

TO CONTACT GOVERNOR SPITZER'S NYC PR OFFICE:

Jennifer Givner

jennifer.givner@chamber.state.ny.us

212 681 4640

[Ed.: See also, The Nation's Top Ten Worst State Attorneys General]

______________________________

"The Real Spitzer Scandal"

"Eliot Spitzer is like the good-looking bouncer in a bar, who is secretly dealing drugs," explained forensic microbiologist Mike Copass. We were in a San Diego bar this July, down near the water in Ocean Beach. Copass had acted as a facilitator of San Diego's 9/11 Citizen's Grand Jury, an extra-legal group which mounted a mock trial in April. Copass has degrees from Stanford and Harvard, and an eager glint in his eye. Despite his preppy appearance, Copass makes some pretty radical allegations:

That Eliot Spitzer acted as a firewall, preventing public disclosure of his friends' roles in the anthrax attacks that occurred shortly after 9/11, in addition to facilitating his associates' windfall from the bloated insurance pay-outs at the World Trade Center. He even accuses Spitzer of covering up the real perpetrators of the 9/11 attack itself.

Last fall, Eliot Spitzer was swept into the governor's mansion with 70 per cent of the vote. His public reputation was that of a heroic fighter of white collar crime. Earlier he bragged about being "very close" to Hillary Clinton. He hinted he wouldn't refuse an invitation to run for vice president, if his friend Hillary got the nomination.

But this summer in Albany, the Spitzer façade cracked. Instead of creating consensus, Spitzer's team spent its time plotting to unseat Republican rivals in the Legislature sometimes at the ballot box, sometimes using the police. His own attorney general, Andrew Cuomo, is now investigating the governor's office's misuse of state troopers to monitor political rival Joe Bruno. To minority leader James Tedisco, Spitzer recently snapped, "I'm a fucking steamroller, and I'll roll over you."

No major media outlet has paid attention to the San Diego Citizens Grand Jury's indictments of Rudy Giuliani, or his former "terror-expert" Jerome Hauer. The Megaphone received documents recently that indicate Eliot Spitzer's social connections may be preventing him from investigating 9/11.

There's a scandal in Albany, but police spying on Bruno is just the tip of the iceberg.

Spitzer & Silverstein: The Amicus Brief

Prescient New York real estate baron Larry Silverstein became primary lease-holder on the World Trade Center a mere six weeks before 9/11. It had never changed hands before. For a down payment, Silverstein put up only $14 million of his own money, and his friends at the powerful investment bank Blackstone Group kicked in another $111 million.

After 9/11, Silverstein demanded a whopping $7 billion insurance payout, in the form of two $3.5 billion payments. He argued the two different plane crashes were two separate "occurrences" of two separate attacks.The Megaphone has now learned that as attorney general, Spitzer got involved behind the scenes, and in the courts, filing an amicus curiae ("friend of the court") brief on Silverstein's behalf on Jan. 15, 2003.

For years, this brief languished in the files of the public records room on the 17th floor of the Second Circuit Court in Manhattan, until it was discovered and brought to The New York Megaphone by NYC attorney and author Carl Person. The court ended up agreeing with Spitzer and Silverstein, over-turning the decision of a lower court. Spitzer helped midwife a fat compromise and an eventual $4.5 billion payout for Silverstein. The Megaphone's multiple requests for comment from Governor Spitzer were ignored.

Attorney Carl Person told The Megaphone, "I was surprised to see that Spitzer had used his position as attorney general to support one private litigant over another. Normally, this is not done…Silverstein could well have been someone who destroyed evidence concerning the 9/11 events by apparently ordering or consenting to the tearing (pulling) down of 7 WTC and the removal of the debris from his multiple ground leased premises thereafter."

Silverstein's World Trade Center Building 7 collapsed at 5:20 p.m. on 9/11 without being hit by an airplane. Thirty-seven eyewitnesses working on the ground as firefighters, EMTs, and reporters, recalled being warned in advance the tower was coming down. The official story however, claims a fire ignited a fuel tank in the building, hastening its sudden collapse.

WTC 7 was the NY headquarters of CIA and the SEC office investigating Enron. 9/11 skeptics believe the building was taken down by controlled demolition.

Larry Silverstein himself said in a 2002 episode of PBS's Frontline that on 9/11 he recalled remarking, "Maybe the smartest thing to do is pull it…they made that decision to pull and we watched the building collapse."

Silverstein later claimed that by "pull," he meant removing firefighters, not pulling the building down. However, all firefighters had been "pulled" from the building three hours earlier.

The Kroll Connection

This past August, another scandal radiated from the Spitzer circle. This time it was Nixon's arch-strategist Roger Stone leaving a threatening voice mail for Spitzer's dad, Bernard. Stone allegedly claimed he would subpoena the elder Spitzer for the $5 million in illegal loans Spitzer senior made to his son during his 1998 Attorney General campaign. Stone denied he had made the call. To prove he did, the Spitzer family hired Kroll Associates to trace the call. Why Kroll? Spitzer has a long relationship with this powerful, cryptic security company.

Kroll's CEO on 9/11 was one of Spitzer's old mentors from the Manhattan DA's office, Michael Cherkasky. Cherkasky investigated bank BCCI (which had links to both Islamic terror and the CIA), and the mysterious 1993 World Trade Center (WTC) bombing. Cherkasky's 2002 book Forewarned: Why the Government is Failing to Protect Us, and What We Must Do to Protect Ourselves is a confused mix of fear-mongering and insider's analysis. He sheepishly admits that the CIA was in part culpable for the 1993 WTC bombing, since they helped pull known terrorist "Blind Sheikh" Abdel bin-Rahman into the country. Cherkasky admits the FBI had a mole inside Rahman's 1993 WTC bombing cell, and lays blame for the bombing on the FBI.

After observing the 1993 WTC bombing as an operation penetrated by CIA and FBI, Cherkasky became head of Kroll, the "the CIA of Wall Street."

Kroll took on the management of WTC after the 1993 bombing. Blackstone Group, the same financiers who backed the Larry Silverstein, have also been involved with Kroll, owning big chunks of Kroll stock on occasion, according to SEC reports.

Cherkasky has donated $14,500 to Eliot Spitzer's political campaigns.

The Anthrax Connection

Eliot Spitzer's connection to key 9/11 players extends to fellow life-long Democrat, Jerome Hauer, managing director of Kroll on 9/11. Only Jerome Hauer and his former boss, Rudolph Giuliani, were also indicted by the San Diego Citizens Grand Jury.

According to Bay Area News (a San Francisco-bay based publication) and Wikipedia, Jerome Hauer warned the Bush White House to go on Cipro, the anti-anthrax drug, on 9/11/01. Hauer denied this allegation to The Megaphone. The White House did go on Cipro. Six days later, the anthrax attacks started, and sent the country back into paroxysms of terror.

Government watchdog group Judicial Watch demanded to know who warned the Bush White House, but not the public, about anthrax. The White House stonewalled their Freedom of Information Act requests.

"I read that the White House did know, and they went on the antibiotics," says Judicial Watch founder Larry Klayman. He got involved because, "African American employees at Brentwood [US Postal Facility] were basically left out there to twist in the wind when the white guys up on Capitol Hill got immediate treatment."

Post-9/11, Jerome Hauer went on to be Coordinator of the National Institute of Health's investigation of anthrax deaths. His report blamed Osama bin Laden and al Qaeda. That assertion has been widely discredited, since the five deaths in 2001 were from a fine, "weaponized" form of anthrax, the "Ames Strain" that only the U.S. military and U.S. federal government possessed.

On 9/11, Jerome Hauer appeared on television with Dan Rather. Rather posited that the 9/11 attacks must have had state sponsorship. Hauer urged Rather to blame Bin Laden only. When Rather voiced suspicions about the way the buildings fell, Hauer offered that they simply came down because they were hit by a plane. Without an investigation, Hauer somehow knew two major parts of 9/11's official story before it emerged.

Hauer is a biological terrorism expert whose resume includes time at Science Applications International Corp (SAIC), a military contractor doing work in nuclear issues and psy-ops, and Bioport, manufacturer of the controversial anthrax vaccine.

Jerry Hauer and anthrax go way back. In May of 1998, he spoke at the Council on Foreign Relations on the topic of "Building a 'Biobomb': Terrorist Challenge." That evening Hauer co-presented on the topic Steven Hatfill. Yes, that Steven Hatfill, the one who later became the FBI's prime suspect in the anthrax mailings.

A year after their CFR presentations, Hatfill and Hauer would become coworkers at SAIC's Center for Counterterrorism Technology and Analysis.

Hatfill had worked at Ft. Detrick, the U.S. Army's bio-weapons lab in Maryland. Hatfill was never convicted, nor even prosecuted, for anything. Today he's suing reporters for defamation. On Aug. 15, a judge ruled that five top national reporters would have to reveal confidential government sources who fingered Hatfill.

In his interview with The Megaphone, Hauer repeatedly referred to the Grand Jury as "a bunch of nutjobs" and he defended Steven Hatfill. But when asked directly if Hatfill was innocent, Hauer was less than clear:

"I think that the FBI should not have said anything about Hatfill until they knew more. I do not believe Hatfill is a murderer. And I think Steve Hatfill is very passionate, but I don't think he's a murderer, and I don't believe he did it."

Hauer was not willing to conclusively say that Hatfill was uninvolved in the anthrax attacks, stating, "I'm not going to get into those details."

Of the five people who died from anthrax exposure, one was a New Yorker. Kathy Nguyen, a hospital worker in the Bronx, was a victim of inhalation anthrax. She died alone in a hospital on October 31, 2001.

A 2004 petition gathered 100,000 signatures begging then-Attorney General Eliot Spitzer to investigate the real source of the 2001 attacks. A Zogby poll that year likewise found that 66 per cent of voters wanted Eliot Spitzer, to tackle these tough questions. What those poll respondents didn't know is that Spitzer can't investigate 9/11 or anthrax. He would have to indict his friends from Kroll, Jerry Hauer and Michael Cherkasky.

That's the real scandal.

To listen to Sander Hicks's interview with Jerry Hauer, or see the Spitzer/Silverstein Amicus Brief in full, log onto the new http://www.nymegaphone.com

Your comments are welcome.

More info on Vox Pop:

The place for "Books, Coffee, Democracy," Vox Pop is a vibrant, fair-trade, community-empowering, consciousness-raising space, on Cortelyou Road, in Flatbush, Brooklyn. In three years, Vox Pop has spawned new activist groups, redefined "community development", and published a muck-raking tabloid, The New York Megaphone.

More info on Sander Hicks:

Sander Hicks is one of the most provocative media activists of his generation. He runs the Drench Kiss Media Corporation's retail dynamo, "Vox Pop." In 1996, he founded Soft Skull Press, Inc. (acquired in 2007 by Winton & Shoemaker). In 2003, Hicks was star of "Horns and Halos" (HBO/Cinemax) the independent publishing documentary that recorded Hicks's attempts to get unpopular truths out about G.W.Bush, through the biography Fortunate Son (Soft Skull, 1999). His own book, The Big Wedding (Vox Pop, 2005) breaks new ground on the working-class intelligence assets and whistle-blowers who tried to stop 9/11 from happening. Hicks has reported for Alternet, GNN, Long Island Press, New York Press, and INN World Report Television (FSTV, Dish Network).

http://www.911truth.org/article.php?story=20070911220531634

~ ~ ~

December 21, 2007

Marsh & McLennan's
CEO Shake Up

Ruthie Ackerman, Forbes

Ailing insurance broker Marsh & McLennan announced on Friday it was hoping to boost shareholder value by replacing its embattled Chief Executive Michael Cherkasky and evaluating its other businesses, making it sound like it may be putting all, or at least some, of its businesses up for sale.

Cherkasky has held the position since October 2004.

The New York-based Marsh & McLennan said it's begun its search for Cherkasky’s replacement and that a change in leadership will help the company move forward. Cherkasky will continue to serve as the CEO while the search is conducted.

Citigroup analyst Keith F. Walsh said that during Cherkasky's three-year tenure its Marsh brokerage unit, its core business, underperformed on sales, margins, and share price, allowing its competitor Aon to usurp its position as the world's largest insurance broker.

Walsh estimates that Cherkasky will receive a severance package of up to $27 million, or 3 cents per share after taxes, based on the company's 2007 proxy statement.

Rob Haines, an analyst at CreditSights, said the company has experienced a lot of negative morale over the last several years as the stock dropped significantly and many employees defected to insurance startups like Integra, or other larger firms. “Cherkasky was really not viewed by the market as an insurance guy,” Haines said. “He wasn’t liked by investors, and not internally, either. But he was a good caretaker.”

Cherkasky’s caretaker role stemmed from his help pulling the company out of a scandal with then-New York Attorney General Eliot Spitzer. Spitzer pounded the company for accepting payments to steer clients from insurers. Spitzer called the payments kickbacks and charges ensued. Cherkasky, a friend of Spitzer’s, was able to negotiate an $800 million settlement. But the deal hurt the company because it was forced to lose a substantial amount of its revenue from insurers.

But Cherkasky was never an insurance guy. He was from a regulatory background, Haines said. And he just wasn’t able to get the company over its hump. “It was one disappointment after another. He had his shot and he didn’t get it done,” Haines said....

Stephen R. Hardis, the non-executive chairman of the board, pointed to the company’s worse-than-expected financial performance and concerns raised by the company’s largest shareholders as the reason for the ouster.

Hardis said the board will evaluate all of its options for enhancing shareholder value, which includes maximizing capital structure, reviewing its mix of businesses, and improving operating performance, especially at its core business, Marsh.

“To that end, we hired Dan Glaser as Chairman and Chief Executive Officer of Marsh to significantly improve Marsh’s profitability,” Hardis said. “The Board believes that the full recovery of Marsh is essential to maximizing shareholder value in the most prudent and sustainable manner.”

Walsh said he thinks it will take time for Marsh to turn itself around. "While it appears new brokerage head Daniel Glaser has an extensive insurance background, we believe the problems at Marsh will take a long time to resolve," he said. Walsh pointed out that it took Aon two years to turn itself around after it hired Greg Case in April 2005, but now Walsh would much rather invest in Aon or even Willis Group Holdings than Marsh because their management teams have proven they can grow sales, margins and earnings per share despite soft pricing.

Haines thinks Marsh & McLennan will split the company in three and sell off Mercer, its consulting, outsourcing and investment services business and Kroll its security consulting business, to focus on Marsh.

“There are really no synergies between these companies and actually because of the regulatory environment there are now probably negative synergies between the companies,” Haines said.

Marsh & McLennan will most likely look for a replacement for Cherkasky that is willing to split up the company. Word on the Street is that Glaser, a former executive at American International Group hired as the head of the Marsh unit in November, is an obvious choice.

Five years ago Marsh was considered the gold standard in insurance brokerage. But over the last several years it has been crushed. In August the company sold its Putnam asset management unit to Canada’s Great-West Lifeco for $3.9 billion.

If the company is to prosper again, Haines thinks it will need to focus on its brokers and broker relationships.

Haines thinks the move to replace Cherkasky is a good one. Investors seem to agree. The company’s shares jumped 5.3%, or $1.32, to $26.21 at the close. Aon’s shares rose shot up 1.9%, or 91 cents, to $49.11 on Friday. Willis Group Holdings shares soared 3.7%, or $1.36, to $38.48.

~ ~ ~

Michael Cherkasky is expected to testify regarding Marsh & McLennan’s alleged practices of bribery, bid rigging, over-charging, kickbacks, and other wrongful acts, in an alleged conspiracy with AIG, Ace, Allied World Assurance, Chubb Group, PricewaterhouseCoopers, XL, Zurich and other insurance, accounting, and financial entities. Mr. Cherkasky is also expected to testify regarding Marsh & McLennan’s financial, business, and professional relationships with Jules Kroll, Kroll Associates; Kamehameha Schools/Bishop Estate; PricewaterhouseCoopers; Sumitomo; Carlyle Group; Apollo Advisors; Investcorp; Henry Kissinger; Jeffrey Greenberg; Maurice “Hank” Greenberg; AIG; the Chubb Group, Eliot Spitzer, Jim Nicholson, David Farmer, and others to be named upon discovery. As a “Real Party in Interest” and a recipient of Harmon’s letters, he is expected to testify regarding Harmon’s alleged “letter writing campaign”, including how this “campaign” violated the terms of the Settlement Agreement, and what damages Marsh & McLennan sustained as a result of the alleged campaign.