The Path to 9/11: PART 10 - Blackstone, Bear-Stearns, Warren Buffett, Larry Silverstein, Eliot Spitzer, Kroll, Jerry Hauer, BCCI, SAIC ...

Buffett and Blackstone in the News

Blackstone Group eyes German utility giant RWE
Marietta Cauchi, LBO Wire
30 May 2008

" ... Blackstone Group has been looking at German utility giant RWE, a person familiar with the situation told Dow Jones. The person was responding to market rumors that Blackstone was working with Permira and Warren Buffett on a joint bid for RWE. ... "
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Blackstone Group, Larry Silverstein, Kroll Associates, Eliot Spitzer

From: "Spitzer's Real Scandal"
http://www.nymegaphone.com/node/24

... 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 a 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 mid-wife 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 he 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 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 anti-biotics,” 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 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.
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SCAM: BEAR STEARNS - TIMOTHY GEITHNER AND THE BLACKSTONE-BCCI SET UP

http://www.corpwatch.org/article.php?id=14995

SUMMARY


The Blackstone Group, a major private equity firm tied to foreign policy influence lobbying groups such as Kissinger Associates, Scowcroft Advisors, and the Madeline Albright Group, had an affiliated spinoff company, BlackRock, a Caymans Island foreign bank associate, evaluate the “fairness” to shareholders of the JP Morgan Acquisition of Bear Stearns. The deal involved a bailout of Bear Stearns creditors directly, and indirectly through cash infusions via the Fed’s open window of lending, including lending billions to Citibank in exchange for mortgage collateral. The lead negotiator of the deal, the President of the NY Fed, Geithner, is a former employee of Kissinger Associates, a Saudi-China lobbying firm, and was appointed to the Fed by Peter Peterson of Blackstone. He also worked for Secretary Rubin at the Clinton Treasury Department. Secretary Rubin is now an executive with Citibank a major beneficiary of the bailout. Citibank has major Saudi shareholders, and as such is not an American bank, per se. Citibank has been investigated for illegal terrorist money laundering activities in the Middle East, and Geithner was an employee at Kissinger Associates when it was engaged in discussions of mergers with BCCI, which was later indicted for drug money laundering.


CHRONOLOGY


1988 Blackstone forms BlackRock as mortgage investment subsidiary. Its CEO is Peter Peterson, also CEO of the Council on Foreign Relations, for which Henry Kissinger, Brent Scowcroft, and Robert Rubin are officers.
1986 East Asian International economic specialist, Timothy Geithner joins Kissinger and Associates, a major Chinese Financial lobbying firm with strong ties to the Kingdom of Saudi Arabia. At the time both Kissinger and Brent Scowcroft are partners, as well as international economist Alan Stoga. It is not clear whether Geitner worked with Stoga at this time, but his expertise in China would be welcome in its China Joint Venture.


1986-1989 Kissinger Associates, Stoga and consultant ambassador Sergio Correa discuss a merger between BCCI and Kissinger Associates. Correa acts as a front man for BCCI in acquisition explorations as a paid retained consultant to both BCCI, and separately to Kissinger Associates. toga arranges contacts between BCCI Saudi linked executives Gaith Pharaon and Abol Helmy. It is not known whether Geithner worked on these transactions.

c. 1989 BCCI is indicted and Kissinger Associates ends discussions.


Geithner leaves Kissinger Associates and begins work as a civil servant in the Treasury Department. He is confirmed as Asst. Sec. for International Affairs in Treasury working for Secretary Rubin of the Clinton Administration.[Senior executive at Goldman Sachs and later Citibank a Saudi controlled foreign bank]. Rubin also serves as an officer of the CFR managed by Peter Peterson CEO of Blackstone.
1992 BlackRock is spinoff Blackstone and becomes independent.


2001 Geithner joins International Monetary Fund IMF.


2003 Blackstone CEO Peter Peterson names Geithner as President of the New York Federal Reserve Bank. 
2007 Peterson’s Blackstone sells 3 Billion dollar stake in Blackstone to the People’s Republic of China. 
2007 Rubin ‘s Citibank receives billions in bailout loans in exchange for mortgage collateral. 
March 2008 Blackrock creates firm to buy distressed mortgage securities 
April 3, 2008 Blackstone mentioned as advisor to Bear Stearns valuation, later amended to be Blackrock, founded by Blackstone.



REFERENCES


Bernanke Defends Fed's Role in Bear Stearns Deal http://www.pbs.org/newshour/updates/business/jan-june08/fed_04-03.html
BCCI AND KISSINGER ASSOCIATES, Congressional Report, 1992, http://www.fas.org/irp/congress/1992_rpt/bcci/20kiss.htm
Blackstone? BlackRock? Whoever

http://blogs.wsj.com/economics/2008/04/03/blackstone-blackrock-whoever/?mod=WSJBlog
BlackRock set to profit from Mortgage Distress Bailout, The new company has been formed by BlackRock, Highfields, and a management team of mortgage industry led by Stanford Kurland, Private National Mortgage Acceptance Company's (PennyMac) chairman and CEO. PennyMac will raise capital from private investors, acquire loans from financial institutions seeking to reduce its mortgage exposures, and seek to create value for both borrowers and investors through distinctive loan servicing. http://www.banking-business-review.com/article_news.asp?guid=17D0DB88-3917-44F6-AFF3-1D1AECC10E77
New York Fed Names Timothy F. Geithner President