Dave Lindorff: Two Brothers and Two Scandals (the Krongards)

[marmar]

Two Brothers and Two Scandals
Thu, 11/15/2007 - 17:21 — dlindorff


The State Department’s top internal investigator, Inspector General Howard Krongard, revealed in a House Oversight and Government Reform Committee hearing Tuesday, that his brother, Alvin B. Krongard, was a member of the advisory board of Blackwater, the very private mercenary company whose bloody, murderous behavior the IG office was supposed to be investigating.
Unmentioned in reports on this tainted relationship was the fact that Alvin Krongard, the former third-ranking leader of the CIA from 2001-2004, has also been the subject of some speculation regarding possible foreknowledge of the 9-11 attacks by some within the intelligence establishment.

Alvin Krongard joined the CIA in 1998, leaving a post at Bankers Trust, which, in 1997 acquired the venerable investment-banking house of Alex Brown. Prior to the acquisition, Krongard had been CEO and chairman of the board of Alex Brown. In the merged firm, he became head of private banking for Bankers Trust, where he was responsible for the bank’s relations with extremely wealthy (and extremely private) clients.

What makes this history of particular interest is that Alex Brown was the investment bank that handled most of the suspicious short-selling “puts” that were placed on the stocks of four companies—United Airlines, American Airlines, Morgan Stanley Dean Witter and Merrill Lynch—that were pummeled by the 9-11 attacks.

As has been reported in Bloomberg Financial News Service reports and in the San Francisco Chronicle, in the several days preceding September 11, 2001, unidentified investors placed an unusual number of “puts” on the stocks of the two airlines whose planes were hijacked that day, as well as on the two investment banks, one of which occupied 22 floors of one of the World Trade Center towers and the other of which owned a building directly across the street which was significantly damaged and forced to close down.

According to news reports, between Sept. 6 and Sept. 9, some 4744 put orders were placed on United Airlines, compared to just 393 calls (bets that the stock would rise). On September 10, 4516 puts were placed for American Airlines stock, vs. only 748 calls. These orders were six times the normal volume of puts and calls on the Chicago Board Options Exchange for those firms. Moreover, there were no such puts placed on any other airlines, and there was no news justifying such orders at the time. In the three days prior to 9/11, 2151 puts were placed on Morgan Stanley shares, and 12,115 puts on Merrill Lynch, companies that also were not at the time the subjects of any negative news.

The stocks of those four companies, following the attacks and the collapse of the Twin Towers, subsequently tanked, making the combined puts worth about $16 million. ......(more)

The complete piece is at: http://www.thiscantbehappening.net/?q=node/66

[malaise]

1. I'm amazed that so many DUers ignored Cookie's lies

during that Committee hearing.

Could Krongard, in his role as executive director of the CIA, have had inside information in the days ahead of the attacks, that an attack on the World Trade Center, involving the hijacking of planes operated by UAL and American Airlines, was imminent? Could he have supplied that information to clients of Bankers Trust and its subsidiary Alex Brown, so that the put investments could be made? If so, who else in the federal government knew?
----
I abhor torture but I would make an exception and waterboard some of these crooks.
Tinfoilers are definitely unto something.
K & R

[marmar]

2. "Tinfoilers are definitely unto something."

It's certainly beginning to look that way.

[KharmaTrain]

3. The Problem Of Serious Issues During The Silly Season

The Krongard testimony was outrageous. This dude outright lied and got caught...and still didn't bat an eye. I can only imagine his brother must be a real work. One of the representatives suggested that Buzzy be subpoenaed...that would prove quite interesting. The cronyism of these crooks just astound...but then this is how a kleptocracy is run.

Many here are so wrapped up in the campaign they miss a lot of what else is going on. It's a reflection of the corporate media world where the election has been the big story (cause they get ratings and can manipulate it) while these other stories require actual reporting and journalism.

[malaise]

4. I fond something really odd with MSMs preoccupation with the 2008 elections

while they pay little or no attention to the evils associated with this most corrupt of governments.
Sp.

[KharmaTrain]

5. Follow The Money

I think there were a dozen commercial breaks during last night's debate. Surely they were sold "special" and CNN got a nice shiny dime for them...then there was the "pre-game" and "post game"...also sold as special packages. The debates draw eyes and with it a money making opportunity for CNN or MSNBC or whomever. It's cheap and easy programming that can be manipulated to whatever meme or "controversy" they think will stir up the pot.

Other stories require both investment in people and time. It means shucking sound bites and theatrics for facts and information. Those latter they can't control. Those stories aren't "sexy" or make money. And in the end, it's the money that matters.

Cheers...

[marmar]

7. True....in a debate sponsored by the coal industry.

Cash-and-carry politics.

[marmar]

6. Agreed. .... I couldn't give a frog's fat ass about the election. .....

With all of the extraordinary happenings right now, the election might be completely meaningless anyway.

[donsu]

8. kick

nt