New Jersey Pension Funds to be Examined by Feds.

Mary Williams Walsh, "New Jersey Says Its Pension Fund Is Being Examined by the S.E.C.," in The New York Times, June 1, 2007, at p. B1.
David W. Chen, "Attorney General is Called Corzine's Top Pick for Chief Judge," in The New York Times, June 1, 2007, at p. 5.
"Trenton: Republicans Demand Corzine's E-Mail," in The New York Times, June 1, 2007, at p. B4.

The Spanish word "palanca" is spelled with a "c" in Cassell's Compact Spanish Dictionary (New York: Dell, 1969), p. 159 and with a "k" by many Right-wing Cuban-Americans.

"The Securities and Exchange Commission has begun an inquiry into New Jersey's handling of its pension fund for public employees, a move that suggests federal regulators are concerned that the state did not properly disclose its contributions to the fund."

More like New Jersey's lack of contributions. Incidentally, it must be admitted that even Miami and the state of Florida look like Switzerland compared to New Jersey.

"In a statement issued yesterday, the New Jersey state treasury said it was cooperating with the S.E.C., which was also sharing information with the United States attorney's office."

I have my doubts about that "cooperation." This is what is known in New Jersey political circles as "all kinda heat coming down." The F.B.I. and I.R.S. are usually not far behind when they get a little inkling of ... "booboos" here and there.

Politicians in New Jersey have a tendency to "misplace" ten or twenty million dollars every year. The feds are somewhat sympathetic. They're understanding folks. Gentle reminders from the U.S. attorney usually result in somebody "finding" the missing money -- quickly. However, the situation now is about BILLIONS OF GUACAMOLES going on vacation in the tropics, FOR YEARS, possibly staying in the offshore accounts of Trenton's regulars. That's the kind of thing that those pesky feds tend to get miffed about.

Thank goodness the same Trenton politicians and judges responsible for the integrity of pension funds are entrusted with enforcing legal ethics rules. ("New Jersey's 'Ethical' Legal System" and "New Jersey's Office of Attorney Ethics.")

"The inquiry follows a report in The New York Times in April about accounting manouvers" -- Is that what they call it now? "Manouvers"? -- "that made it look as if New Jersey was putting more cash into the pension fund than it actually did OVER MANY YEARS. Some of the offering statements for New Jersey's bonds, for example, incorrectly described money spent on health insurance as pension contributions. The S.E.C. has the authority to make sure the state makes full and correct financial disclosures to the financial market."

An "error" was inserted in The New York Times quotation. Did you guys mean to insert an "error" in my text? I have now corrected that "error."

The failure to do so could jeopardize the integrity of the bond markets resulting in devastating harm to the economy as a whole. Securities and bonds must be preserved as a trustworthy market because "capital dislikes risk," as economists will tell us, and historians will point to the events leading up to financial crises in the past. Money leaves markets when things get shady. I wonder why New Jersey is having financial troubles? Jobs and investors are leaving the state.

As an example of what not to do, think of the Cuban Stock/Bond Market, prior to 1959 -- which certainly made some people very wealthy -- but it was not always immune from insider trading "issues." This Cuban financial market was the source of the untranslatable political connotations of the Spanish word "Palanca." (I've seen the word spelled with a "c," also with a "k." Take your pick.) The closest English equivalent is "pull," meaning influence or leverage. New Jersey politicians like the concept of "pull." The mob was prominent in fifties Cuba and seems to be doing quite well in New Jersey.

"... One possible area of inquiry is whether officials were improperly rewarded in connection with pension transactions, as may have happened in a recent pension fund scandal in San Diego. Five officials have been indicted there."

Yep, the word is "INDICTED." I have been told that several Latino lawyers in Hudson County have been disbarred. I wonder whether this could be true? We'll find out soon.

"State officials acknowledge that the pension fund has a serious deficit of BILLIONS OF DOLLARS and needs big contributions that will require cuts in other programs, higher taxes or another source."

Gee Whiz, I wonder how the Jersey Boys got into this mess? Makes you think some of those guys are not honest, huh? ... Ethics?

"... it could also affect New Jersey's credit worthiness. ..."

"Steven T. Miller, an I.R.S. commissioner, said in a speech to lawyers last month that the agency should include government pension plans in its enforcement. 'How could it not, with one in five Americans employed by governments?' he said. 'Coverage and asset protection are of vital importance here, as recent headlines indicate.' ..."

The Jersey Boys are good at protecting their assets. Right, Senator Bob?

"Gov. Jon S. Corzine plans to nominate Attorney General Stuart Rabner to be the next chief justice of the New Jersey Supreme Court, potentially leaving [Rabner's] imprint on the state's legal landscape for the next two decades, administration officials said yesterday."

"If Mr. Rabner, who turns 47 on June 30" -- he's still in his wonder years! -- "is confirmed by the Senate and serves until the mandatory retirement age of 70, he will break by six years the record for the longest tenure of a New Jersey Chief Justice."

Let us demur, for now, and hope for the best from good old Stu. Whatta-ya need to end this humiliating spectacle for New Jersey, Stuart? You can't duck this confrontation forever. Why not have one of your friends insert an "error" in one of my writings? You'll feel better. ("Stuart Rabner and Conduct Unbecoming to the Judiciary in New Jersey.")

Public officials in New Jersey are seeking Mr. Corzine's private e-mails, which are deemed discoverable in the public interest. Yet there are persons denied the truth about their own lives, including medical records of experiments performed upon them, without their valid legal consent, interrogation sessions under hypnosis and other horrors, by public officials who are, allegedly, concerned to enforce ethics rules in a state that legally guarantees open records and access to documents to all persons. Is that guarantee of accessibility a lie? Many people are forced to conclude that it is. Ethics? In New Jersey? Naaa ... Never happen.