Lehman's Gift To Jeb Bush For Funneling Pension Money: A $1.3 Million Consulting "Job"

Tyler Durden's picture

Submitted by Mike Krieger via Liberty Blitzkrieg blog,

At this point, it almost feels like kicking someone while he’s down. Jeb Bush can’t even stand up to Donald Trump, let alone his own growing series of scandals.

In the latest revelation from David Sirota and team at International Business Daily, we learn that:

For Florida taxpayers, the move by the administration of then-Gov. Jeb Bush to forge a relationship with Lehman Brothers would ultimately prove disastrous. Transactions in 2005 and 2006 put the Wall Street investment bank in charge of some $250 million worth of pension funds for Florida cops, teachers and firefighters. Lehman would capture more than $5 million in fees on these deals, while gaining additional contracts to manage another $1.2 billion of Florida’s money. Then, in the fall of 2008, Lehman collapsed into bankruptcy, leaving Florida facing up to $1 billion in losses.

 

But for Jeb Bush personally, his enduring relationship with Lehman would prove lucrative. In 2007, just as he left office, Bush secured a job as a Lehman consultant for $1.3 million a year, Bloomberg reported.

 

Next time, please just ride off into the sunset and paint landscapes with your brother.

Weeks after Bush took the Lehman job, the Florida State Board of Administration (SBA) — a three-member body that makes investment decisions about state pension funds and whose ranks had recently included one Jeb Bush — gave Lehman additional business: SBA purchased $842 million worth of separate investments in Lehman’s mortgage-backed securities. Over the course of one year from June 2007 to June 2008, the SBA would shift an additional $420 million of pension money into the same fund in which the state had begun investing under Bush.

 

In short, during Bush’s first year working for Lehman, his former colleagues in Tallahassee, the state capital, moved vast sums of Florida pension money into the doomed Wall Street investment bank, even as warnings about its financial troubles began to emerge.

 

“This is a breathtaking conflict of interest going on here,” said Craig Holman, governmental ethics lobbyist with Public Citizen, a good-government group. “This cost Florida very dearly, and it enriched Jeb Bush.”

 

Jeff Connaughton, author of the book “The Payoff: Why Wall Street Always Wins,” said the transactions illustrate a larger culture that dominates the politics of finance.

 

Florida originally began investing money in Lehman in 2005, while Bush was the highest profile member of the SBA, which oversees the $150 billion pension fund. The Bush-led SBA that year committed $176 million to Lehman; in 2006, as Florida moved another $87 million into the Lehman investment, the firm hired Jeb Bush’s cousin, George Herbert Walker, to run the firm’s investment management division.

 

The next year, Lehman offered the outgoing Florida governor the consulting job. Bush had worked briefly at a Texas-based bank after college, but he lacked significant Wall Street experience.

Fortunately for Jeb, being a crony doesn’t take any real skill.

Most of the investment losses that hit Florida starting in July 2007 were tied to the Lehman mortgage-backed securities bought the year Bush began his employment at the firm.

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For related articles, see:

Jeb Bush Calls Iraq War a “Good Deal,” Expresses Support for Torture and NSA Spying While Campaigning in Iowa

How Jeb Bush’s Recent Speech Bashing Lobbyists Was Organized by Lobbyists

Election 2016 Data Released – Jeb Bush Receives 3% of Funds from Small Donors vs. Bernie Sanders at 81%

A Message to the Peasants – Jeb Bush Says Americans Need to Work Longer Hours

Jeb Bush’s Deep Love Affair with Lobbyists and Cronyism While Governor of Florida Exposed

Poor Jeb Bush – Poll Numbers Plunge in Home State of Florida and Remain Dismal in Ohio and Pennsylvania

Jeb Bush Doubles Down on His Love Affair with the NSA in Recent Interview

An Oligarch Dilemma – Recent Poll Shows 42% of Republican Primary Voters Couldn’t Support Jeb Bush

Jeb Bush Exposed Part 1 – His Top Advisors Will Be the Architects of His Brother’s Iraq War

Jeb Bush Exposed Part 2 – He Thinks Unconstitutional NSA Spying is “Hugely Important”

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Ignorance is bliss.'s picture

For a family of Epsilon SM they seem to do OK?

falconflight's picture

Capitalism is "free enterprise."  There is none in the Banana Republic, none.  Krony Das Kapital is more apt.

Memedada's picture

What do you think ’Das Kapital’ is about? Communism/socialism? Wrong.

It’s an analysis of the history of capitalism, the creation of surplus value, historical materialism and the capitalist mode of production.

One of the main thesis’ is that capitalism will creates it’s own demise – very much in the fashion we see today.

What most people fail to understand is that Marx was a huge supporter of capitalism. He knew it was a major progress from feudal societies mode of production. He was, however, not as blind as followers of capitalism today. He knew – from extensive studies of history – that nothing last forever. Therefore he tried to imagine what would/could (and in his more political works should) come next.

 

junction's picture

Many of the 9/11 hijackers roamed free as birds in South Florida while Jeb Bush was governor.  Had someone else been Florida governor in 2001, maybe the FDLE [Florida Department of Law Enforcement] would have investigated the murder of Gus Boulis, who had been ripped off to the tune of $68 million by Jack Abramoff, George Bush's major fundraiser.  When Boulis signaled his plans to file criminal charges against Abramoff, Abramoff made two payments totaling $250,000 to a Mafia capo for non-existent catering services.  Boulis was gunned down in his car as he left an evening business meeting at his Ft. Lauderdale office.  The police had video of the killers eating hamburgers at a nearby Wendy's before the drive-by shooting but nothing was done by Jeb Bush's FDLE, George Bush's FBI or the South Florida newspapers for over three years, until the Washington Post and Bill Moyers' NOW had stories on Abramoff's crooked activities.  By then, Boulis's family had published the name of the mob capo who organized the murder in an online gambling magazine in October 2001.  The MadCow website also had a story on how Florida police had stopped the killers several times as they were casing Boulis's office, but every time, the cops were told to let the guys go.  

Note: Maybe, one of these days, the facts will come out as well on the Michael Hastings' murder. 

Dame Ednas Possum's picture

GW, Cheney, Rumsfeld, Wolfowitz, U.S. Military top brass and various Mossad agents roamed free in Florida?

Socratic Dog's picture

That's what he's saying.  Also various Israeli prime ministers and presidents.

nmewn's picture

Wut, the jetliners were not holograms? ;-)

Wile-E-Coyote's picture

The three amigo's come to town, they are known as Dementia, Forest and Clueless.

sgorem's picture

imho THIS LITTLE DITTY needs to be emailed to Mr. Trump for the next up and coming televised debacle, debate..............and as always, FUCK YOU NSA!

JRobby's picture

Really backed the wrong horse there. Should have gone with Goldman. But I guess they did not need to offer $1.3 mil at that time where Leahman was already hiding impending failure.

IridiumRebel's picture

Please throat punch anyone who considers voting for him.

epicurious's picture

Iridium...... it's called a rabbit punch

JBilyj's picture

America should drag his whole family out, try them for treason and hangem from the white house lawn..

falconflight's picture

Hell, make it an extended family affair, and give the Bushes company; Papa Doc Barack, the Clintons, shiiiit, the entire Legislative and Judiciary, and every political appointee in the Executive Branch.  A mere 3,000 rendered would be akin to the Second Coming for the Republic.

OldPhart's picture

Don't forget anyone named Kennedy.  If your going to take the hireling's of the oligarch out, you're going to have to do it by family names.  Then take out the oligarch's in a similar approach.

JRobby's picture

A mass hanging. Nice impact.

Hang the oligarchs first so the "career politicians" can watch their masters go first. Give them time to think about their crimes.

atomicwasted's picture

We don't need to hang them.  We can put them in orange jumpsuits in our version of Spandau Prison for the rest of their lives, like those Nazis after WWII.

 

Frankly I always liked L. Neil Smith's idea of renovating Alcatraz for just that purpose.

OldPhart's picture

Ok, fine.  But I don't volunteer to feed them, provide medical care, or any other service.

They'll have a tough month and I really couldn't give a shit.

Hangings too good for them, we need something more creative.

And FBI, fuck you.

Winston Churchill's picture

Vlad the Impaler had some insights.

Clashfan's picture

Um you mean like those Nazis we put in NASA? Or the ones we put in the CIA? Or the ones we helped hide out in Venezuela?

Or you mean like Mengele?  http://www.theforbiddenknowledge.com/hardtruth/cisco_wheeler_interview.h...

 

Usurious's picture
Usurious (not verified) Aug 19, 2015 11:23 PM

bleach bitchez..............

'There is nothing on this earth sexier, believe me, gentlemen, than a ROTHSCHILD/TRIBE BANKER you have to salute in the morning. Promote 'em all, I say, 'cause this is true: if you haven't gotten a blowjob from a WALL STREET BANKER, well, you're just letting the best in life pass you by. '

Wannabe_Oracle's picture

"But you have to ask me nicely Danny"!!

Louie the Dog's picture

As a Floridian I'm always willing to prop up the pensions of my county's $85,000 a year,  two day work week firefighters. Fuck.

froze25's picture

Hey they "work" 48 hours in those two days. 

JRobby's picture

Check the number of northeast police and fire "retirees" that come down and take the same jobs they had up north.

i_call_you_my_base's picture

Jeb is just waiting it out. He's the CIA/NSA/MIC candidate and he has more money than Hillary. Don't be surprised if he wins.

Dame Ednas Possum's picture

Yep...probably with plenty of votes from flag waving Floridians simply because Jeb was 'their' governor and completely ignorant that he groomed them to be anally raped and they are now footing the bill.

'The greatest argument against democracy is a 5 minute conversation with the average voter.' Churchill.

Pure Evil's picture

Actually, Florida rapes the tourists that come down here.

In Florida there is no income tax and the state sales tax is 6%.

We do pay a bit more in gasoline tax but nothing like California.

We also have low property taxes.

The tourists are the one's primarily stuck with the bill and keep Floridians fat, dumb and happy.

Florida is no utopia, it's crime ridden, still hasn't really recovered economically from the 2008 collapse, and is the destination of a lot of 3rd world shitholes and Northeast assholes.

new game's picture

fee d to death- welcome campers, only  30/night to set up a tent on 10 x 10 peice of real estate with dogs barking and southern hospitality, ha lol...

froze25's picture

They are both cia, Clinton's and Bush's were tied at the hip during Iran Contra

Talleyrand's picture

 

So, are you saying Jeb Bush is a conniving, plundering, theiving sack-of-shit carpetbagger?

Why am I not even mildly surprised?

 

 

 

Freddie's picture

And his brother's company ran security at the World Trade Center.

hotrod's picture

Let it Go Viral.  Should make everyone sick.  Guess Jeb was making his bed before leaving office.

Freddie's picture

Will Drudge run with this?  Jeb is also closely involved with Planned Parenthood through Bloomberg.

So Jeb gets his $1 million + gig at Lehman.  Makes a few calls to Florida's main pension plan.  They buy $1.2 billion in mortgage backs (MBS) just before 2007.

Then the mortgage backs (MBS) blow up and take down Lehman with it.

The Florida pension plan has a $1 billion loss all due to Jeb's efforts?

The Clintons and Bushes are close friends and also largely CFR owned stooges of Rockefeller though Bush klan is a bit further up the Black Hand food chain.

The guy nukes the Florida pension plan for a staggering loss and he is running for President?

gregga777's picture

In a just country, Jeb Bush would be running for his life with a hanging party posse nipping at his heels.

OldPhart's picture

Why isn't it happening?

Jerry Lewis, Representative, for areas of Southern California, had an encounter with some random asshole in my area at a "townhall meeting"TM.  One guy got the microphone and asked, in 2008, "You said you had overwhelming citizen emails telling you to tell the banks to fuck off.  Yet you voted for the bailout.  Why shouldn't we hang you, right now, immediately, as a traitor to those who elected you as their representative?  People, I've got rope in my truck and there's a street light outside.  Anyone ready for this?"

No one stood up, though they all cheered.

Guess who that asshole was.

 

There's still too many asleep.  An atom bomb won't wake them up.

 

[Thing about representatives is that, eventually, everyone knows their home address.  Where their kids go to school, which spa they favor, what their office hours are when their in the district, when they normally come and go, what their likely routes are,..every representative is known intimately to the locals if they take just a moment to look it up.

And a lot of us consider losing office a non-excuse.

Fuck you FBI.

Socratic Dog's picture

Now that was fucking awesome, you old fart.  Do you reckon you'd have gone through with it if people stood up?  It's something like that America needs to wake itself up.

cheech_wizard's picture

Submited for consideration...

GRDguy's picture

Just another sociopath (Bush) who lied and stole costing innocent people their hard-earned savings.  Pilfering funds from savers is like putting a drop of poison into their coffee (or tea) every morning.  It doesn't show up right away, but the cumulative effect is that they die sooner than they would have.  THAT's why I call it lyin', stealin' and killin'.  With no conscience nor empathy, that's the true mark of a sociopath.  And that's seems to be what it takes to be a presidential candidate (of any party.)

Pure Evil's picture

Of course nobody has bothered to ask where those hundreds of millions of dollars went once they hit the Lehman office.

Obviously, like MFGlobal, those funds went into someone's pockets.

And, a measly 1.3 million for transferring over a billion to Lehman seems like pocket change.

If that's Jeb's idea of being a crony politian then he's either a stooge or not much of a greedy crook.

I have to wonder if good ole boy Jeb doesn't have an offshore account somewhere in the Caribbean with more than a few million from the deal stuffed to the rim.

Wannabe_Oracle's picture

Couldn't we just say he stinks... Seriously, would it not assist our cause to be somewhat cordial - or are y'all just really pissed off!

Colonel Klink's picture

In the fight for getting my freedoms back, there's no place for cordial.  Entire Bush family is corrupt the the core, starting with the prior Prescott Bush, through CIA daddy, curious George, and blowJeb Boosh, with the younger Prescott taking the sociopath batters box.

FUCK'EM ALL!

Clashfan's picture

Don't firget to take a quick look at least into that Walker side, the one into which Prescott married.

Colonel Klink's picture

Well aware of the Walker/Bush connection, but always good to point out the incestuous nature of scum.

Memedada's picture

Or just rest your gaze for a moment on Mr. Prescott Bush himself: https://www.youtube.com/watch?v=hTdx6vEUtIA.

It seems his plan are coming to fruition.