Sources tell us that in 2004 at least two big names in the plaintiffs industry paid well known ex-pols to lobby indicted former Illinois governor, Rod Blagojevich, for business. On February 14, 2004, the New York Times reported that disgraced former New Jersey Senator Bob Torricelli made a $10,000 campaign contribution to soon to be disgraced former Illinois Governor, Rod Blagojevich. Two years later, the Chicago Sun Times revealed that Torricelli happened to be a paid consultant at that time for Barrack, Rodos & Bacine, a Philadelphia-based plaintiffs’ firm who was working hard to lobby the former Governor’s office in order to be retained by the Illinois Teachers Retirement System.
Stuart Levine, a former trustee of the ITRS who would later plead guilty on “pay-to-play” related charges, was illegally financing fund-raising trips for Blogojevich. According to the Sun Times, in “October 2003 and December 2003, Levine paid for flights aboard private planes to get Blagojevich and supporters to the East Coast, state records show. Once there, Blagojevich met lawyers, investment bankers and media executives, many of whom wrote checks to his campaign fund.” Those lawyers conspicuously included Mr. Barrack and, of course, Mel Weiss.
We have learned that on February 20, 2004, Levine himself held a meeting in Illinois with representatives from six of the big plaintiffs firms regarding an RFP which had been disseminated by the ITRS. According to a well-placed source, it appears that Mr. Torricelli himself was present at that meeting on behalf of Barrack, Rodos & Bacine.
One of the other six firms at the meeting apparently was Bernstein, Litowitz, Berger and Grossman. Although we haven’t yet been able to confirm who represented Bernstein Litowitz at the conference, we have learned that former New York Comptroller and gubernatorial candidate, Carl McCall (apparently a close friend of Levine) was on the firm’s payroll and actually lobbied Levine on behalf of the firm for ITRS business.
If anyone has additional relevant information about this or a related subject, email your anonymous tip to securitiesclassactionreport@gmail.com.
Filed under: Law & Politics, Bernstein, institutional investors, Milberg, pay-to-play, pension funds, PSLRA, securities
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