David Sirota, from Pando Daily is just breaking a story entitled, Chris Christie’s $300m pension proposal broke state anti-corruption laws (And now the intended recipient threatens to sue Pando.)
Yet, late last month, the New Jersey State Investment Council moved to award a controversial $300 million investment contract to Chatham Asset Management, despite the fact that Chatham’s principal, and a woman living at his address and sharing his surname, donated more than $50,000 to a Republican election group that oversaw major portions of Gov. Christie’s 2013 re-election operation. The proposed investment is already highly controversial given the hedge fund also reportedly owns a stake in the Atlantic City casino, Revel.
Sirota quotes, Craig Holman of Public Citizen, a watchdog group which advocated the "pay-to-play" statue saying that Christie's $300 million plan,“appears to be not an indirect violation, but a direct violation of the law.”
New Jersey lawmakers seem to agree. “The optics are clearly horrible and the intent of the law is that this not happen,” said New Jersey Assemblyman John Wisniewski, the co-leader of the New Jersey Legislative Select Committee on Investigation. “There is a violation of the pay to play laws where someone donates funds to the RNC that are later used in New Jersey, and then that person receives a contract – in this case, a management of a large amount of money in return.”
Chatham Management responded to Pando's inquiry saying “Chatham Asset Management is not currently, nor has previously, managed funds for the State of New Jersey.”
David Sirota, who I believe also blogs here, also alleges that Chatham Asset Management then threatened to sue him, saying “(p)lease be advised that if you choose to run a factually incorrect story, we reserve all legal rights we may have against you and your employer.”
Sirota provides many examples of the RNC working along side Governor Christie's reelection campaign where they spent up to $1.5 million to reelect him.
He also shows evidence that Chatham Asset Management was a regular substantial contributor to the RNC.
The decision to award Chatham Asset Management the contract was made despite State Investment Council rules explicitly banning investment managers doing business with New Jersey from making (or having made) any political contributions “for the purpose of influencing any election for State office.” Those rules bar pension contracts from going to investment managers who have made such contributions in any of the two years leading up to a proposed pension contract.
“If these contributions were made to the RNC in order to get around state laws, then it is a violation of the law,” said Melanie Sloan, executive director of the watchdog group Citizens for Responsibility and Ethics In Washington. “New Jersey law is clear: you cannot do indirectly what you are prohibited from doing directly.”
David Sirota reports the Governor's office says it needs more time to respond and he has given them two hours plus an additional hour, and promises to update his story, with whatever response they offer.
Also, Anna Shane has reminded us that today is Grand Jury day in New Jersery so we are all watching to see if any witnesses or "alleged perpetrators" are seen leaving the courthouse. As of 5:33 pm. I've heard nothing so far. In 27 minutes, I'm lifting the self imposed embargo on pictures of popcorn, and other fun graphics and officially declaring that Friday evening has arrived so we not only have permission to have fun, and even be silly, but it will be encouraged.
I wonder if Chris Christie will be celebrating another week passed without indictments? But what a week for him. Two major NJ Newspapers editorials declaring he is a disgrace, two separate U.S. Attorneys investigating him for possible criminal violations, the NJ legislative committee, and now this. Dang, and I thought my life was "ruff." Really "ruff, ruff." Woof, woof!
Cheers.