Well, it looks like the media will finally have their fall guy, so expect it to be banner news on a daily basis now that a Republican can be blamed.
The fraud investigation of Wall Street money manager Bernard L. Madoff took unusual twists Wednesday as the U.S. attorney general removed himself and the Securities and Exchange Commission looked into the relationship between Madoff's niece and a former SEC attorney who reviewed Madoff's business.Cox, of course, was a GOP Congressman and was appointed by George W. Bush, so he's the perfect guy to take the hit.
The developments reflect growing criticism that Wall Street and regulators in Washington have grown too close. Madoff himself has boasted of his ties to the SEC.
The question of Madoff's connection to regulators goes to the heart of the investigation of the alleged $50 billion fraud, SEC Chairman Christopher Cox told reporters.
Congress jumped into the Madoff scandal, too. The chairman of the House capital markets subcommittee, Rep. Paul Kanjorski, D-Pa., announced an inquiry that will begin early next month into what may be the biggest Ponzi scheme of all time and how the government failed to detect it.
Oh, don't get me wrong. If this was still going on under his watch he should be concerned. But you just know the fact Madoff is a Democrat who largely donated to Democrats will be ignored.
The tangled web gets even murkier.
U.S. Attorney General Michael Mukasey recused himself from the Madoff probe because his son, Marc Mukasey, is representing Frank DiPascali, a top financial officer at Madoff's investment firm. The Justice Department refused to say when Mukasey became aware of the conflict but confirmed Wednesday he was removing himself all aspects of the case.Look for craven opportunists like Dingy Harry Reid to take full advantage and lay the whole thing at the feet of Republicans, who better be on notice.
DiPascali was the Madoff employee who had the most day-to-day contact with the firm's investors. Several described him as the man they reached by phone when they had questions about the firm's investment strategy, or wanted to add or subtract money from their accounts.
The turmoil at the SEC came as the investigation into the scandal widened.
Senate Majority Leader Harry Reid, D-Nev., suggested Cox bears some of the responsibility for what went wrong.Harry Reid was Senate Majority Leader when Chuckie Schumer took over $200,000 from Madoff. I guess that means the Dim Bulb from Searchlight was an innocent benchwarmer.
"I served in Congress with Christopher Cox, but I don't think he's going to make the All-Star team," said Reid.