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March 16, 2010 07:42 AM UTC

Denver Post in the pocket of Michael Bennet?

  • 61 Comments
  • by: otoole

It has been brought to my attention that the Denver Post is planning to run an editorial blasting the Denver School Board members who have recently questioned the fuzzy math put forward by DPS.  How can the Post justify their actions?  Who are they protecting?  Tom Boasberg?  Michael Bennet?  Chris Romer?  (All names that have appeared in various stories about the DPS swap)  The lack of respect shown to the School Board by both the Post and Superintendent Boasberg is sickening.  Boasberg called the Board members “disgruntled.”  Tell me how this does not rise to the level of insubordination.  Correct me if I am wrong, but isn’t he calling his BOSSES disgruntled?  For someone to have the audacity to make that statement they must feel very confident there is someone in a position of power who will protect him.

From the virtual blackout of coverage of Andrew Romanoff to this story the Denver Post has demonstrated time and time again they are in the pocket of Michael Bennet.  After the School Board members sent out their press release the Post ran their story.  Did they even think about maybe doing some of their own research?  I have seen two people who they could contact for information.  In this diary here on Pols:

http://www.coloradopols.com/di…

it would appear that Christopher Scott knows what he is talking about.  He cites sources I am assuming are all public record.  Also Wade Norris brings up some very powerful points here:

http://www.huffingtonpost.com/…  

Why would the Denver Post not at least look into this story before they go off and criticize School Board members who are doing their job?  Why are they taking Superintendent Boasberg at his word?  The only conclusion I can make is that they are scared of APPOINTED Sen. Michael Bennet.  

This is an issue that needs to be explored and Boasberg seems more interested in killing this story rather than discussing it and the Denver Post are willing accomplices.  Why?  Boasberg was not Superintendent when this happened.  Does this look so bad for his pal Michael Bennet?  

We the taxpayers and parents of DPS students need answers.  If this turns out to be half as bad as it looks and Michael Bennet was involved the voters of Colorado need to know.  The Denver Post needs to show some spine here and report the truth no matter what it is and shame on them for chastising the School Board before all the facts are on the table.  If the Post are unwilling do their job I know there are parents, teachers and taxpayers who will not let this story die.  

Comments

61 thoughts on “Denver Post in the pocket of Michael Bennet?

  1. Are you kidding? You do realize they’re elected officials and they work for the public, which includes The Denver Post, right? And if a handful of them pull a blatantly political move that has less to do with DPS accounting than it does with trying to influence a Democratic primary, then I’d wager they’re getting all the respect they deserve.

    1. I think otoole is unsure what the phrase “in the pocket of” means, and what its use in a diary headline implies. Either that, or it’s intentional. If that’s the case, it’s far more egregious than the brouhaha that occurred yesterday over the same exact thing.

      Of course that wouldn’t be the first time that a Romanoff supporter has tried to imply bribery or corruption on the part of Michael Bennet.

                1. is growing in scope

                  http://www.huffingtonpost.com/


                  The new Valukas report on Lehman suggests there are grounds for civil action, i.e., people can sue for damages. News reports give no indication of potential criminal charges, but this may change soon. The hiding of Lehman’s true debt levels – through the so-called “Repo 105” structure – is strikingly reminiscent of how Enron’s balance sheet was disguised through fake asset “sales” (as Senator Kaufman now points out).

                  this quote highlights the illegal measures the big banks took to hide debt – (repo 105)

                  as part of swaps that currently have Greece sinking under crushing debt.

                  The swaps that DPS, New Mexico, New York, and other municipalities were not crimes in themselves, but the people who persuaded these municipalities to enter into swap agreements poorly advised their clients (in this case DPS) about the risk associated with a swap.

                  Laws may not have been broken, but that still does not absolve the person(s) responsible for the massive debts incurred – which in this case results in political consequences.  

                  1. Agreed. The DPS Board should be held responsible if they were poorly advised or made bad decisions, say, because they didn’t understand.

                    Until an outisde audit- or any audit- concludes that DPS was in fact “poorly advised by Lehman” I think you shuold avoid lumping all swaps everywhere into the same pot with Greece and New Mexico.

                    Next thing you know we’ll be hacking up that water bond in Alabama that got flushed when the auction markets froze.

                    1. i have read so far.

                      And even with an audit, Boasberg, Bennet, Kaplan (the entire board) can say,

                      “Well the banks were not honest about the swap”

                      which would provide cover for this financial misstep.

                      The question i posed here, what is the political fallout?

                      I see boasberg as the most vulnerable.

  2. because the DPS members asked for the investigation late last week.

    otoole, Yes, the Post’s timing is questionable seeing how that the editorial comes out on Caucus day, but the investigation was just requested (which some have said was aimed at the caucus as well).

    Senate race aside, the Post has always had questionable stances editorially, (for instance their endorsement of Bush for re-election in 2004 – and I challenge anyone reading this to defend that decision), but I do not think the Post is in the ‘pocket’ of Senator Bennet.

    This derivative swap issue is huge, and has the potential to make some heads roll.

    Bennet may escape this issue as he is no longer at DPS and has not made a statement on the subject, but Boasberg could lose his post for the statements he has made in reference to the board, (which are his bosses) and for the fact that Colorado is one of those places where messing with  ‘taxpayer’s money’ is one of the worst thing to do in elected office.

    This issue did not influence who I support for the Primary, and may be too complex, frankly for most voters to influence the outcome of the caucus (but perhaps not the primary as time goes on).

    I make this statement as someone quoted in this diary – and looking at the facts, I do not think in this day and age of the internet that the Denver Post or a Senator or Boasberg could cover up a scandal like the derivatives scandal, if the evidence bears out.

    I will ask the readers here this question – if this same type of scandal – brokered by our own Chris Romer in New Mexico on behalf of JP Morgan caused Bill Richardson to remove his name from consideration for Commerce Secretary,

    what will the same type of scandal do in this state?

    1. Wade, the problems Richardson ran into are of a very different sort than this. Every public entity buys financial instruments of one kind or another, and some made decisions that turned out, in hindsight, to be less than prescient. That’s not at all the same as what entangled Richardson, and it’s shameful that you’re trying to connect the two things.

      1. That’s not at all the same as what entangled Richardson, and it’s shameful that you’re trying to connect the two things

        They were touted as a state-of-the-art financing tool that would help New Mexico stretch its highway improvement dollars. Nearly five years later, state officials are trying to keep the $420 million in fancy financing from turning sour. In the last six months, one of the banks involved in the so-called interest rate swaps has gone bankrupt and the state has had to post about $16 million in collateral because the value of the investments dropped. That’s in addition to major political fallout. The swaps and how a California company was selected to handle them are at the center of a federal grand jury investigation that derailed Gov. Bill Richardson’s nomination as commerce secretary.

        http://trujilloenterprises.com

        foot meet mouth

      2. That’s not at all the same as what entangled Richardson, and it’s shameful that you’re trying to connect the two things

        They were touted as a state-of-the-art financing tool that would help New Mexico stretch its highway improvement dollars. Nearly five years later, state officials are trying to keep the $420 million in fancy financing from turning sour. In the last six months, one of the banks involved in the so-called interest rate swaps has gone bankrupt and the state has had to post about $16 million in collateral because the value of the investments dropped. That’s in addition to major political fallout. The swaps and how a California company was selected to handle them are at the center of a federal grand jury investigation that derailed Gov. Bill Richardson’s nomination as commerce secretary.

        http://trujilloenterprises.com

        foot meet mouth

      3. That’s not at all the same as what entangled Richardson, and it’s shameful that you’re trying to connect the two things

        They were touted as a state-of-the-art financing tool that would help New Mexico stretch its highway improvement dollars. Nearly five years later, state officials are trying to keep the $420 million in fancy financing from turning sour. In the last six months, one of the banks involved in the so-called interest rate swaps has gone bankrupt and the state has had to post about $16 million in collateral because the value of the investments dropped. That’s in addition to major political fallout. The swaps and how a California company was selected to handle them are at the center of a federal grand jury investigation that derailed Gov. Bill Richardson’s nomination as commerce secretary.

        http://trujilloenterprises.com

        foot meet mouth

      4. That’s not at all the same as what entangled Richardson, and it’s shameful that you’re trying to connect the two things

        They were touted as a state-of-the-art financing tool that would help New Mexico stretch its highway improvement dollars. Nearly five years later, state officials are trying to keep the $420 million in fancy financing from turning sour. In the last six months, one of the banks involved in the so-called interest rate swaps has gone bankrupt and the state has had to post about $16 million in collateral because the value of the investments dropped. That’s in addition to major political fallout. The swaps and how a California company was selected to handle them are at the center of a federal grand jury investigation that derailed Gov. Bill Richardson’s nomination as commerce secretary.

        http://trujilloenterprises.com

        foot meet mouth

          1. but the fact Richardson ran into some serious trouble over New Mexico’s use of credit swaps in some tainted deals doesn’t implicate DPS just because the district also bought swaps (which was an extremely common move for public entities).  

            1. That’s not at all the same as what entangled Richardson, and it’s shameful that you’re trying to connect the two things

              and I don’t know how things will turn out with this DPS investigation, but if it follows the same path as the state of California, New Mexico, Alabama, which are all conducting investigations of the swaps with the banks that are oh so popular with the electorate, like AIG, Goldman Sachs and JP Morgan, then I expect this issue to become much more relevant heading towards August.

              1. The DPS swap deals might have turned out to be costly and too clever by half, in hindsight, but the New Mexico deals were part of criminal enterprises.  

                1. but the New Mexico deals were part of criminal enterprises.

                   

                  Colorado State Senator and son of a former Governor, Chris Romer, Brokered the New Mexico deal.


                  NMFA records show that among those lobbying for the swaps was a lead banker for JP Morgan, Chris Romer. His company ended up among the five banks that entered into swap agreements with the state.

                  (are you saying he is a criminal? I was not even willing to do that prior to an investigation…)

                  I believe that the national banking scandal that is what TARP was all about, is coming home to roost locally.

                  Friend to big banks = not who we want in office.

                  1. Does it hurt when you make these kid of gigantic stretches? Do you warm up first or just go for it? Are you even the slightest bit sore after? Does aspirin help?

      5. I heard once, that a public entity was involved in a complicated financial transaction that resulted in several convictions of public officials. The list of those conviced would have been longer, but the local news paper’s coverage was so slanted that some big names got a pass

        Maybe that’s not what has happened here, but can you prove it didn’t’?

    2. You call the issue “huge” and say it could “make some heads roll”. You characterize the transaction as “messing with taxpayer’s money” and call it a “scandal.”

      You should cite your sources- clearly you have access to as yet unreferenced and perhaps unpublished audits that show wrong doing. Which and where?

      Yes, you threw in a “if the evidence bears out”, which implies both that there is evidence of wrong doing and that it just needs investigating.  If you’re referring to the “news release” already posted her on Pols and referenced in the Post, it’s a bit of a stretch to call it “evidence.”  It would be more accurate to describe it as the innuendo and musings of a few.  Or even the well timed complaints of some Romanoff supporters, two of whom approved the transaction they now question.

      Perhaps the diary was updated – but where were you quoted?

      Your question is just slightly more loaded than the famous “when did you stop beating your wife” More like “when did you stop beating your wife…if she was in fact your wife, or if you even have one, or she wasn’t a man”

  3. i Just reviewed all the recent DP edtorials- the only thing related to public schools is Vince Carroll wondering whether we even need them or something.

    Nice trick haveing access to the news before it is published.

    How do you do that?   Can you do the weather or the lotto numbers? Or maybe just the sports page?

    Did DenPo contact you for contact? If so, what’s your connection to the DPS?

    Can you cite  a source other “it’s come to my attention” because as useful as that source can be, it sounds an awful lot like another poster who has cited ” I have heard…”

    Hey, waitaminute I get it, maybe this is just made up stuff. Cool I always wanted to try and write for the Onion

    Mike Shnahan Files to Run for Gov,  Cutler to be LtGuv

    Denver Post to Change Name – DenPolst

    Denver Post to Change Name – Denver Pist

    Hey this is fun- just making up the news.

    This is ridiculous.

    Why are you for Romanoff?

    1. Susan Greene’s Tuesday Column

      Susan Greene writes Sundays, Tuesdays and Thursdays. Reach her at 303-954-1989 or greene@denverpost.com.

      It is not technically an “editorial” which is why I missed it when I went to look for it. And I probably wouldn’t have seen it at all because I don’t usually read Susan Greene.

      But it is a reasonable summation of the situation, even if it makes you and Wade look foolish.

      1. That does appear to be the “editorial” that has ofoole’s knickers in a bunch.

        I’ll ask again, what on earth leads ofoole to believe some of these school board members deserve “respect”? Kaplan as much as admits she doesn’t understand swaps, even though she voted for the policy she’s now harping on.

        Could the same be true for bloggers who see the word “swap” and immediately think it has anything to do with the mess in New Mexico? After all, both states conducted transactions in dollars! Doesn’t that mean they’re the same?

        These kind of innuendo slurs have become a hallmark of a certain brand of Romanoff supporter. It’s really a shame his supporters are sullying the reputation of a devoted public servant.  

          1. is embroiled in trouble isn’t because his administration bought derivative swaps. It’s because of a pay-to-play scandal involving his PAC, involving financial institutions funneling contributions to his PAC in exchange for winning contracts. This has NOTHING to do with what the DPS board members are complaining about. There is NO connection.

            1. Remember 2008 primary season? He’ll now be beating this drum because unlike the rest of us, his tendency to exaggerate/lie/tell big whoopers always overcomes his ability to stick with the facts, particularly if the exaggeration benefits his candidate.

              Recall with me now, if you will, how Edwards was going to win the caucuses, was going to win Iowa, was going to be the next president of the United States, even though the only poll that showed that was the freeped poll posted almost weekly at Daily Kos.

              After last weekend, I’m done with Wade. He’s nothing more than The Tool with a radio show.

              1. you mean when i called out Barron X for something this site said


                The diary has been removed

                We’re not pleased, and we are consulting on next steps. This kind of thing is never, ever appropriate and will always be dealt with as swiftly as we become aware of it.

                by: Colorado Pols @ Sun Mar 14, 2010 at 17:52:17 PM MDT

                [ Reply ]

                so writing a diary which called out another diary, which printed something the editors of this site state is ‘never appropriate’ is wrong to you?

                if defending the integrity of what passes as blogworthy on this site offended you MOTR, then by all means, be done with me.

                1. I’m talking about your inability to call out people that joined within an hour of each other on a Friday to engage in a smear diary.

                  But I should have figured you would think we are all still talking about the Barron diary. I forget sometimes about your odd fixation with certain topics.

                  1. I’m talking about your inability to call out people that joined within an hour of each other on a Friday to engage in a smear diary.

                    Hey, Dick, God forbid anyone join Colorado Pols and provide fact-based commentary.  That really sucked, right?  

                    Like any dick named Cheney, its clear you believe facts should be dismissed in favor of rhetoric.  Better yet, dismiss the facts because they come from someone “new.” That’s sound neo-con thinking.

                    And we should all give you credibility because you use the pseudonym Real Dick?  That’s standing behind your opinions. I’m sure people are always saying, “My most trusted sources of political commentary are the New York Times, Washington Post, and Real Dick.”

                    Just a suggestion: there must be a porn site where you can provide comments.  That might be a more appropriate venue for you, Dick.  I think there might be a site out there called, Real Dick and His Self Licking Ice Cream Cone. Given what I have read of your comments to date, that should be right up your “alley.”

                    And for the record, Dick, that’s a smear campaign. Next time you’ll know the difference…

                    (My apologies to anyone named Richard.)

                    1. That sig line and that comment came from JO, a wondrously popular poster here that supports AR.

                      But boy, your panties sure are in a twist. Can’t say I blame you–things didn’t quite go as planned last night, did they?

                      Are you sure you aren’t the one that should be writing some soft porn for Playboy? This was outstanding. Hard to believe you didn’t pick up more votes in your school board race with that sweet mouth of yours.

                      I think there might be a site out there called, Real Dick and His Self Licking Ice Cream Cone.

            1. that’s why our economy is doing so well. Even the venerable Alan Greenspan is on record as saying how much these creative financial instruments helped our economy in those halcyon days of the most recent bubble boom. Sure seems like he understood them.

              But people who claim a certain expertise and sure knowledge of these “instruments of mass destruction” (Warren Buffett) are full of puffery.

              Interest rate swaps are a roll of the dice, pure and simple. And for financial industry advisors, managers, etc, it is a heads I win, tails you lose proposition. They will get there fees on both sides of the deal. So it is always in their interests to promote and recommend these products because that is what they are compensated to do.

              “It is difficult to get a man to understand something when his job depends on not understanding it” (Upton Sinclaire)

              1. Do you have a source for your Greenspan claim?

                So you are saying that sawps are always inherently dangerous to all participants and should never be used?

                Are you also saying they should be illegal?

                1. are always inherently dangerous to those who don’t understand them, which is most people. I think it is unreasonable to expect lay people to understand them. Unless someone spends their entire working life dealing with them, I doubt that they will really get the concepts and the risks and will simply defer to the “experts”.

                  Greenspan quote: “The use of a growing array of derivatives and the related application of more-sophisticated approaches to measuring and managing risk are key factors underpinning the greater resilience of our largest financial institutions …. Derivatives have permitted the unbundling of financial risks.” — May 2005

                  Source http://www.thefool.com

                    1. I think Buffett was specifically referring to “credit default swaps” which have never been mentioned in connection to DPS.

                      As for the larger question- were interest rate swaps like DPS entered respsonsible for the financial melt down – I’d say it was highly unlikely.  These are not the instruments that overleveraged Lehmman, Bear Stearns, et al.

                      But if you think swaps should be prohibited as a part of financial reform here in the US – make the case.  If your candidate thinks that, he should make the case.

                  1. is not to prohibit the freedom to undertake risk, but rather to prohibit the exploitation of some by others, or the assumption of risk in ways which eventually impose a public burden.

                    Derivatives clearly need to be better regulated, because they facilitate the creation of a house of cards of risk taking diffused through the economy. Interest swaps, while perhaps requiring regulations appropriate to them, do not suffer from the same defect.

              2. Part of the nature of a complex division of labor which mobilizes information-intensive expertise upon which others rely, is the difficulty of ensuring that the agent is acting in the principal’s interests, rather than in the agent’s own at the principal’s expense. This is a challenge to be faced through legal design, not shunned as somehow inherently contrary to human welfare. Clearly, the ubiquitousness of principal-agent relationships, and their extraordinary usefulness in producing wealth and utility of various kinds, militates against any crude prohibition of such relationships merely because of the potential for abuse. Rather, an understanding of the economic and legal theories of agency should be mobilized in the attempt to mitigate against the opportunities for abuse, while carefully avoiding any curtailment of the opportunities for mutual and public benefit.

          1. of the complex modern world is that the information embedded in it exceeds the capacity of individuals to encompass. The California energy crisis of 2000-2001 was in part due to aspects of the energy markets that no one understood, and the effects of certain kinds of regulatory reforms on those markets.

            Such complex markets require complex regulatory architectures, to be sure. But those architectures are frequently challenged to keep up with the complexity of the markets they are regulating, and to meet the intense information gathering and processing demands involved. The mere fact of complexity is not an argument against the existence of its components.

      2. No wonder The Tool is worried about this article. To say it’s unflattering is an understatement. Not only did she vote for it, twice, but she attended specific discussions that explained the details.

        Kaplan claims not to have been informed about the credit swap, even though records show she attended several detailed sessions about its risks and benefits. She voted in April 2008 to approve the deal, then voted shortly after to finalize it.

        Read more: http://www.denverpost.com/sear

        What her news release doesn’t mention is she didn’t bother understanding the deal before she voted.

        And what’s clear two years later is that, through no fault of district brass, she’s still clueless.

        “The resolution was 13 pages, and it has I don’t know how many ‘whereases’ all through it. It’s very complicated stuff,” says Kaplan, revealing her ineptitude both with finance and basic reading.

        Read more: http://www.denverpost.com/sear

        So, either she was snoozing at meeting after meeting while district officials explained the refinancing – whereases and all – or she and her two colleagues are exploiting the financial downturn to affect the outcome of the Senate race.

        Or both – all while they manage to insult the intelligence of the entire board, including members whose dogs didn’t eat their homework:

        “I’m not sure any of us really knew what we were voting on,” Kaplan says. “It’s one of those things. You say the word ‘derivative swaps.’ And come on now, how many people really understand that?

        “I admit that I probably didn’t have as much information as I should have,” she says. “That could well be my responsibility.”

        Gee, Jeannie. You think?

        Read more: http://www.denverpost.com/sear

        Maybe it’s time for Jeannie to retire. DPS’s Board deserves better than this.

        1. You say the word ‘derivative swaps.’ And come on now, how many people really understand that?

          Reminds me of that other famous woman’s quotes

          Math class is tough!  I love shopping!

          Barbie by Mattel, 1992

  4. And for ease of reference, here’s where you can see that otoole is a pathological liar, consistently telling lies about verifiable facts:

    (1) denying Bennet co-sponsored legislation he clearly did co-sponsor (http://www.coloradopols.com/showComment.do?commentId=287125);

    (2) falsely accusing Bennet supporters on Pols, “Some of you have even used the phrase ‘my campaign told me’ in your posts.  You are holding yourself out as a mouthpiece of the campaign.” — notably, otoole never said who wrote that or where, when I repeatedly asked him who said such things (http://www.coloradopols.com/showComment.do?commentId=287121)

    (3) saying an anti-Romanoff diary “shows  that … the Bennet crew getting very nervous about Romanoff’s momentum” even though it was written by a righty Constitution Party member, and no Bennet supporters even defended the diary (http://www.coloradopols.com/showComment.do?commentId=291491)

    There probably are more; note that Otoole has racked up this impressive record of lying in just a few weeks on pols.

    Otoole doesn’t even defend himself when I have basically taunted him repeatedly with the truth about his lies. I’m not sure whether he knows his statements are indefensible or whether he’s a coward in addition to a liar. Either way, he’s such an awful repeat offender that it’s now my special job to call him out for the liar he is, every time he posts.

    1. I’m wondering if posts like the ones you refer to are really from R’s trying to stir up the D primary.  Sort of like that fat man’s “Operation Chaos” in 2008 designed to confuse and comlpicate the D presidential primary.

      1. … some speculate he’s a sock puppet for an existing user to say particularly harsh & indefensible things; but maybe he’s just a R masquerading as an AR supporter to cause trouble. Hard to figure out what goes on in a crazy man’s head.

  5. More  from our friends that even take offense to my saying that they make a good strawberry cheese cake.

    Do they have anything good to say about their own candidate that doesn’t involve fabrications or exagerrations?

  6. It is really and honor to see Colorado Pols bloggers and commentators have such a record of perfection.  Because most of you have sat on a Board of Directors and run for office, you know so much.  Because you have such agile minds and depth of experience, anything that comes your way will be immediately understood.  Therefore, you’ll never have to go back and reassess your vote to make sure you did the right thing.  You’ll never have to ask for additional information to make this assessment.  And when you don’t get the information, you’ll just be able to figure out if you are meeting your responsibilities by reading your coffee grounds in the morning.

    If this sounds like you, look in the mirror.  The reflection you’ll see is called a simpleton.  

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