The news revealed a federal employee in charge of the student loan database owned 10,500 shares of Education Lending Group as of September 2003. It traded at $9.50 a share at the time giving it a value of over $100,000. The question is when did Matteo sell his shares? Did he hold them until February 2005 when ELG was acquired by CIT Group? If so, Mr. Fontana grossed $200,000 on his holdings given CIT's cash purchase price of $19.05 per ELG share.
That's a heckuva investment return for a federal bureaucrat managing a computer database. Now how did he get those shares to begin with? And did the company get preferrential access to potential customers from this arrangement?
Don't count on the Bush administration to come clean or conduct even a cursory examination into the matter. I'm still waiting on why the Bush team completely omitted the hospital with the largest number of patient deaths from its post Hurricane Katrina "Lessons Learned" report. The Carlyle Group likely is most appreciative that Frances Townsend left their newly purchased LifeCare Hospital out of her post mortem on the Bush performance. It's easier to defend their wrongful death civil suits with the feds silent on the matter...
No comments:
Post a Comment