WaPo: The rest of this McAuliffe story is still pretty bad, you know

posted at 2:01 pm on October 10, 2013 by Ed Morrissey

True, but good luck getting most people to realize it after the epic faceplant from the Associated Press last night. Had the AP stuck to the real story, we would have been discussing how Terry McAuliffe invested money in a scheme to bilk the terminally ill out of their money, and then recruited its mastermind as a political contributor.

The Washington Post, to its credit, isn’t letting go  It’s headline reads, “McAuliffe among investors in Rhode Island insurance scam that preyed on dying people,” which isn’t exactly the kind of headline one needs less than four weeks out from an election:

Virginia gubernatorial candidate Terry McAuliffe was one of dozens of investors with a Rhode Island estate planner charged with defrauding insurers by using the stolen identities of terminally ill people, according to court documents filed Wednesday by federal prosecutors in Providence. …

Federal court documents do not accuse McAuliffe of wrongdoing, and it wasn’t clear whether he had made money or lost money on the investments. His campaign spokesman said McAuliffe was a “passive investor” who was deceived like many others. Spokesman Josh Schwerin also said that the campaign and McAuliffe donated sums to the American Cancer Society totaling $74,000 — approximately the amount McAuliffe earned as a return on the investment and received in a campaign donation from Caramadre.

“Terry was one of hundreds of passive investors several years ago and had no idea about the allegations against the defendant — who, at the time, was widely respected by business leaders and elected officials,” Schwerin said. “The allegations are horrible and he never would have invested if he knew he was being deceived.”

Caramadre and his former employee Raymour Radhakrishnan were charged in November 2011 in a 66-count indictment accusing them of wire fraud, money laundering and witness-tampering. Both men pleaded guilty last November, the FBI said in a press release.

There are a couple of problems with that explanation, one of which Virginia Republicans pointed out before the AP’s reporter overshot on a “scoop” that left egg all over the wire service’s face.  First, even though the Caramadre scam got exposed in 2011, McAuliffe didn’t bother to tell anyone about divesting his proceeds from it or donate Caramadre’s contributions to his campaign until, er, yesterday.  Coincidentally, that’s when court documents emerged listing McAuliffe as an investor — one who must have scored pretty well, considering how much divestment took place.  Caramadre’s contributions amounted to a little over $28,000 according to the Post’s report, which means the other $46,000 must have been the return on McAuliffe’s investment.

Second, what exactly is a “passive investor” on that scale? McAuliffe didn’t have his assets in a blind trust at the time, and one would imagine that McAuliffe would take some care with his own money.  If not, then how much care will McAuliffe have with everyone else’s money as governor of Virginia? As far as being “deceived like many others” (the Post’s reporting, it should be noted, and not a direct quote), the victims here were the terminally ill who had their identities stolen and who got exploited for an insurance scam.  At the very least, McAuliffe contributed to that scam through his own carelessness about his investments — which isn’t a very good example of the kind of executive judgment that most people want to see in a governor.


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Why would this affect him? He is a dem after all.

mikhail1973 on October 10, 2013 at 2:05 PM

If not, then how much care will McAuliffe have with everyone else’s money as governor of Virginia?

About as much as Obama has and we all see where that got him – re-elction.

Bitter Clinger on October 10, 2013 at 2:07 PM

WaPo comments do not disappoint.

Well I read this story and it doesn’t seem to be much of anything.

Of course WaPo could publish front page photos of Terry having relations with a goat and I’d still feel compelled to vote for him because…well…get a load of that GOP candidate.

This article is utterly bizarre, even by the Post’s (and this “reporter”‘s) low, low standards.

What’s the point of this story? Apparently McAuliffe, whose occupation as a private citizen is as an investment banker, apparently invested in a company that, unbeknownst to most of the investors, engaged in criminal fraud. Did McAuliffe know anything about the fraud? Not according to investigators.

I think the Post is just trying to drag McAuliffe’s numbers down so they can pretend that Cuccinelli has a a snowball’s chance of winning the election. It has actually been over for a month.

Yes, McAuliffe is sleazy. Yes, he is an embarrassment. Yes he is corrupt. Yes, he is the embodiment of every stereotype that tends to be made about machine pols in the northeast.

But yet, he is still a vastly superior choice to what the GOP is serving up this election cycle, which has all of the vices as well, and none of the virtues.

So, basically, McAuliffe invested with someone who turned out to be a con artist, and that’s all that we know. We don’t have a reason to suspect he knew what was going on or personally did anything wrong.

Basically, a non-story at this point.

If you hate women, Cuccinelli is your candidate.

Given the current opponent of Mr. McAuliffe, I’d take Terry McAuliffe any day. He has risen above the present office holders and can be excused for being involved in a scam of which he had not knowledge or control.

“It Burns!”

Del Dolemonte on October 10, 2013 at 2:08 PM

McAwful, a walking Death Panel.

TXUS on October 10, 2013 at 2:09 PM

This McAuliffe dude is making me feel ‘squeaky clean’!

Freddy on October 10, 2013 at 2:10 PM

Make sure this pig doesn’t rule the good state of VA.

He’ll be an arm of the Clinton machine, full of goons and thugs.

Schadenfreude on October 10, 2013 at 2:11 PM

+1 Del
Heh

cmsinaz on October 10, 2013 at 2:12 PM

“Now that’s the kind of preying we can get behind!”

/VA Dems

mankai on October 10, 2013 at 2:14 PM

Man, I hate being the conspiracy guy, but could AP have concocted this to somehow make Terry look like less of a snake?

22044 on October 10, 2013 at 2:16 PM

Democrats don’t care about the poor, or the elderly, or women.

They just want power.

If you prove you’ll lie, cheat and steal, that is a resume enhancer for Democrats because they want you to lie, cheat, and steal because they want to benefit from such actions.

GardenGnome on October 10, 2013 at 2:18 PM

“It Burns!”

Del Dolemonte on October 10, 2013 at 2:08 PM

Those exemplified there by their comments are the American typical Dem voter…beyond sad a d i incomprehensible that these scums are becoming the norm and the majority both on the electorate and the elected side…

jimver on October 10, 2013 at 2:19 PM

Del Dolemonte on October 10, 2013 at 2:08 PM

Virginia is going to cut its own throat because of some perceived hatred of women by Cuccinelli? Even if true, they’re gonna elect an economic idiot who has no idea how to run anything so they can feel good about themselves?

Leftism in a nutshell.

mankai on October 10, 2013 at 2:21 PM

I don’t care, Obama is awesome.

makattak on October 10, 2013 at 2:23 PM

Why would this affect him? He is a dem after all.

mikhail1973 on October 10, 2013 at 2:05 PM

And at this point, what difference does it make?

If you prove you’ll lie, cheat and steal, that is a resume enhancer for Democrats because they want you to lie, cheat, and steal because they want to benefit from such actions.

Not “want to” but DO benefit. Without lying, cheating and stealing where would the party be anyway. Honesty and truthfulness only works to harm them.

hawkeye54 on October 10, 2013 at 2:24 PM

beyond sad a d i incomprehensible that these scums are becoming the norm and the majority both on the electorate and the elected side…

The Left has done its due diligence in crafting a vast number of such people through decades of indoctrination propagated through education, media and entertainment.

hawkeye54 on October 10, 2013 at 2:26 PM

McAuliffe is a consummate liar. He was one of the first who could unblinkingly look a camera in the lens and tell a baldfaced lie, paving a path for the Clinton’s, Obama, and Obama’s mouthpieces Stephanie Cutter, Bill Burton, and Susan Rice.

iamsaved on October 10, 2013 at 2:27 PM

Resume enhancements.

Myron Falwell on October 10, 2013 at 2:28 PM

BTW, Cuccinelli doesn’t hate women. That’s another Alinski style lie that is at the top of the Left’s talking points for this campaign.

iamsaved on October 10, 2013 at 2:32 PM

So, according to the Left, making money off the terminally ill is OK, but making money off of investing in other companies (like Romney did) is not. Got it. Of course, Romney is the one who made the terminally ill, so I guess that’s how they square the circle. Or something.

Been thinking of buying a property in VA, but am really hesitant knowing this douche is probably going to win. Ugh.

changer1701 on October 10, 2013 at 2:32 PM

B-, bu-, but, Mitt Romney was responsible for the death of a woman suffering from cancer even though he had left Bain years earlier or something.

Resist We Much on October 10, 2013 at 2:33 PM

What’s the point of this story? Apparently McAuliffe, whose occupation as a private citizen is as an investment banker, apparently invested in a company that, unbeknownst to most of the investors, engaged in criminal fraud. Did McAuliffe know anything about the fraud? Not according to investigators.

But Romney was personally responsible for some woman dying from cancer or something.

mankai on October 10, 2013 at 2:34 PM

But is he responsible for some guy’s Wife dying of CANCER?

ToddPA on October 10, 2013 at 2:35 PM

In libtard world

Making money off dying companies by turning them around = evil, horrible, etc..

Making money off dying people = meh, sounds like governor material.

HumpBot Salvation on October 10, 2013 at 2:37 PM

That’s The Dread Pirate Terry McAuliffe… gotta keep those titles straight.

ajacksonian on October 10, 2013 at 2:41 PM

True, but good luck getting most people to realize it after the epic faceplant from the Associated Press last night

Pardon me for being a tinfoil hatter, but I wondered last night if this might turn out to be the case? What better way to deflate a scandal hitting your preferred candidate than to put out something that’s far worse than the truth, and then retract it?

Chris of Rights on October 10, 2013 at 2:44 PM

What’s sad is that, because the “war on women” charge has been successfully applied to Cuccinelli, he’s going to lose. So Terry McAuliffe, a guy that very few Virginians like, will end up being our governor.

The Roanoke Times tweeted a recent poll result saying “Unpopular McAuliffe leads even less popular Cuccinelli”.

The only real hope for conservatives is that turnout will be super low, so maybe a lot of reluctant Dems stay home.

hawksruleva on October 10, 2013 at 2:45 PM

B-, bu-, but, Mitt Romney was responsible for the death of a woman suffering from cancer even though he had left Bain years earlier or something.

Resist We Much on October 10, 2013 at 2:33 PM

That plus the unforgettable moment in the campaign when whatever ‘anonymous source’ (read govt entity) leaked to the Dem campaign info about his blind trusts investments and Swiss bank account…the Dems became apoplectic in a matter of seconds and their outrageous outrage, complete with foam at the mouth was promptly made public via the always obliging LSM…

jimver on October 10, 2013 at 2:45 PM

Hopefully there’s a base that’s not getting covered that will turn out large to vote for Ken Cuccinelli.

22044 on October 10, 2013 at 2:49 PM

a small piece of me wants him to win, just like DiBlasio running for NYC mayor (who will likely win), lets get the demise over with already. let the leftist fools finish wrecking everything…all the sooner it can be rebuilt.

NY Conservative on October 10, 2013 at 2:50 PM

Hopefully there’s a base that’s not getting covered that will turn out large to vote for Ken Cuccinelli.

22044 on October 10, 2013 at 2:49 PM

I hope that too.

jimver on October 10, 2013 at 2:51 PM

The same people saying that ‘Hey, a Clintonian Corruptocrat’ might be bad, but that other dude wants to put women back in chains!’ or something are the same people that are behind Janet Yellin’s nomination.

Read this, strip out the welfare discussion and look at the broader issues, and tell me that she doesn’t sound like some people…such as Cuccinelli:

Fed Chair Nominee, Janet Yellin: Why Kids Have Kids

Resist We Much on October 10, 2013 at 2:54 PM

What’s sad is that, because the “war on women” charge has been successfully applied to Cuccinelli, he’s going to lose. So Terry McAuliffe, a guy that very few Virginians like, will end up being our governor.

hawksruleva on October 10, 2013 at 2:45 PM

But does it have any traction, I mean is there anything remotely true about those allegations, that he ‘hates wiminz’ or whatever the story, or is just a typical page from the Dem playbook? I did ‘t follow his campaign closely, but be strikes me as guarded and sensible, and not the shooting from the hip type, and efinitely not the Akin type.

jimver on October 10, 2013 at 2:59 PM

Even on a private investment, there had to be some sort of disclosure to investors on how the money was to be made on the investment.

For TM to say “I didn’t know” is almost laugable on its face . . . he either knew, should have known, or is so incredibly stupid that he should be disqualified from making any decision involving other people’s money.

EdmundBurke247 on October 10, 2013 at 3:01 PM

Cuccinelli needs to come back with an ad about McAullife’s war on women . . . the elderly . . . children . . . blacks . . . whites . . . hispanics . . . anyone with a bank account, income, or life insurance policy.

If it’s your money, TM wants it to become his money, and he doesn’t care how he gets it!

EdmundBurke247 on October 10, 2013 at 3:05 PM

Used car salesman ALERT

Better get a carfax before voting for this guy..

;)

BigSven on October 10, 2013 at 3:20 PM

Dirty deeds done dirt cheap.

Sherman1864 on October 10, 2013 at 3:43 PM

In any sane world, McAuliffe couldn’t get elected to anything except Prom Queen at a minimum security prison.

I don’t know his level of involvement with this scam. But you must admit it is remarkable the pattern of his life: every single venture with which he becomes involved follows a similar narrative. Enter TM, customers and employees and investors are screwed, money disappers, frauds or scams or illegalities are committed, bankruptcies, layoffs, and ruin ensues, and McAuliffe walks away unscathed and richer.

If Virginia is stupid enough to elect this two-bit crook, they richly deserve every disaster which follows. Every single one.

Adjoran on October 10, 2013 at 4:02 PM

If Virginia is stupid enough to elect this two-bit crook, they richly deserve every disaster which follows. Every single one.

Adjoran on October 10, 2013 at 4:02 PM

I will note for you that many of us will be suffering along with the inveterate morons that vote him in.

Of course, since all of us in the country are already in that position nationally, I suppose it’s not going to be significantly worse here.

makattak on October 10, 2013 at 4:13 PM

Second, what exactly is a “passive investor” …?

It’s when you are not actually at the scene/hands-on. An example would be OBL was not at the scene/hands-on of 9/11, so he was a passive investor in 9/11. Another example would be Hitler was not actually at the scene/hands-on of the death camps, so he was a passive investor in the death camps.

VorDaj on October 10, 2013 at 4:18 PM

The Washington Post, to its credit, isn’t letting go

Credit for running a soft-hitting story? Their candidate was deceived. Nothing else to see here, move along now. This rag will be endorsing this crook. They get no credit from me.

ncconservative on October 10, 2013 at 4:37 PM

investor? it’s called co-conspirator

mathewsjw on October 10, 2013 at 11:23 PM

Pardon me for being a tinfoil hatter, but I wondered last night if this might turn out to be the case? What better way to deflate a scandal hitting your preferred candidate than to put out something that’s far worse than the truth, and then retract it?

Chris of Rights on October 10, 2013 at 2:44 PM

It’s too chancy, unless you have really strong control of the narrative.

The first mud flung usually sticks; many people who see the original story never see the retraction.
That’s why politicians make wild untrue statements about their opponents, and then “apologize” when they are rebutted.

AesopFan on October 11, 2013 at 1:08 AM