BizJournals Portfolio

Spitzer Foes

Mar 10 2008
Weill
Blodget
Grasso
Langone
Greenberg
1 of 12
Dethroning Citi
Sandy Weill, former C.E.O. of Citigroup, accused Spitzer of "new McCarthyism" after the attorney general accused him of overseeing a bank rife with conflicts of interest. Weill eventually stepped down after accusations that he improperly influenced the research opinions of Citigroup's telecommunications analyst, Jack Grubman.
Unraveling Wall Street Research
As research analyst for Merrill Lynch, Henry Blodget became the poster child for the dotcom research debacle uncovered by Eliot Spitzer after the tech bubble burst. Blodget eventually settled civil charges with the S.E.C. and agreed to stay out of the securities business. Today, he runs the Silicon Alley Insider media site, where the top story earlier was the Spitzer scandal. Byline? Henry Blodget.
Grasso's Payday
In 2004, Spitzer sued Richard Grasso for repayment of $140 million of deferred compensation he earned while head of the New York Stock Exchange. Grasso countersued the NYSE. In 2006, the New York Supreme Court ordered Grasso to repay a portion of the $140 million, which Grasso appealed. He won a victory when an appeals court later tossed four of the six claims Spitzer brought against him.
Dueling Democrats
After stepping down as head of the compensation committee for the New York Stock Exchange in 2003, Kenneth Langone became Spitzer's chief target for blame in the paycheck fiasco of NYSE chief Richard Grasso. Spitzer called Langone "unsavory" and "deceptive," prompting Langone to respond with a Wall Street Journal editorial demanding an apology from the attorney general.
Fallen Insurance Giant
Maurice (Hank) Greenberg was C.E.O. of the insurance giant American International Group when Spitzer set his sights on fraud in that industry in 2005. Greenberg stepped down, and Spitzer subsequently sued him for fraud. All criminal charges were eventually dropped after an investigation failed to turn up evidence of Greenberg's wrongdoing.

Related Content

Eliot Spitzer's Problem—and Ours

Eliot Spitzer's Problem—and Ours

While we all guffaw or are saddened by the spectacle of Spitzer, today might be a good time for a little introspection as well ... Read more
The Economics of High-Priced Prostitutes

The Economics of High-Priced Prostitutes

According to the complaint filed against the prostitution ring which serviced Eliot Spitzer, the owners of the Emperors Club brought in at least $1 million in revenue over roughly a 3-year period. The cost of each tryst was based on a diamond-rating system assigned to each woman: And here is the distribution of diamonds among 79 call girls identified on emperorsclubvip.com: ... Read more