Gov. Cuomo and Public Pensions Published: June 9, 2011

NY TIMES - Editorial
Gov. Cuomo and Public Pensions Published: June 9, 2011

RESPONSE FROM ARTHUR CHELIOTES

The inconsistency between the editorial supporting the governor’s new pension proposal makes readers wonder if the editorial board has read The NY Times Business Section Investigative reporters who have done wonderful work exposing the massive fraud committed against pension funds including the state and city pension funds. If they had, they would know that the reason for the increase costs was due in large part to the 2008 crash. They would also know that the state and local budget crisis was due revenue reductions not increased expenses out of pace with inflation.

Yet there is no editorial support for proposed changes in the law known as the Martin Act that is being blocked by Wall Street interests at the state legislature that would allow billions of dollars in losses to state and city pension funds due to fraud to recover taxpayer and employee contributions. The state comptroller and attorney general support the change in the Martin Act but the governor’s silence is deafening. The city comptroller supports this fiscally sound change in the law. The mayor does not, he would rather city workers and taxpayers pay for the pension fund losses due to fraud not his Wall Street clients who defrauded the funds.


READ ALL HERE