Newspaper logo  
 
 
  
Republican-controlled Carlyle Group

Republican-controlled Carlyle Group poses serious Ethical Questions for Bush Presidents, but Baltimore Sun ignores it

by Alice Cherbonnier

AN IMPORTANT TENET of journalism is that you should always ask, “Who benefits?”

In the case of a war, the answers to this question become of paramount importance. Suppose, for example, that profits from military contracting were to go in the pockets of a former U.S. President whose son (and a presumed future heir) is now President? Suppose further that such profits escalate in times of conflict. Wouldn’t this be of concern to the public? Wouldn’t you expect the media to be all over such an important ethical (not to mention moral, and maybe legal) angle?

Though described by the Industry Standard as “the world’s largest private equity firm,” with over $12 billion under management, chances are readers haven’t ever heard of The Carlyle Group. Isn’t that a little odd, considering it is run by a veritable who's who of former Republican political leaders. Former Defense Secretary Frank Carlucci is Carlyle’s chairman and managing director (who, by the way, was college roommate of the current Defense Secretary, Donald Rumsfeld). And that partners in this mammoth venture include former U.S. Secretary of State James A. Baker III, George Soros, Fred Malek (George H.W. Bush’s campaign manager, forced to resign when it was revealed he was Nixon’s “Jew counter”), and—presumably—George H.W. Bush?

We say “presumably” because the privately-held Carlyle doesn’t have to reveal information about its partners or investments to the SEC or to anyone else. Our former President is reported to be active in seeking investments for the Carlyle Group from the Asian market, and word is he’s paid between $80,000 to $100,000 per presentation.

All told, Carlyle has about 420 partners all over the globe, from Saudi princes to the former president of the Philippines. Its investments run heavily in the defense sector; they make money from military conflicts and weapons spending. But who in Baltimore knows about it?

A search of the Baltimore Sun’s website reveals no mentions whatsoever of The Carlyle Group, though it’s been around since 1988 and has been involved in numerous buy-outs and buy-ins, sometimes with SEC-regulated companies that have to report these things. Contrast this news blackout with the Washington Post’s 378 mentions, and the New York Times’ 332 hits. Even the Philadelphia Inquirer weighed in with 15 mentions.

Not only have some newspapers and magazines brought The Carlyle Group out of the shadows it prefers, but this enterprise has attracted the attention of The Center for Public Integrity and Judicial Watch, both of which have concerns about the ethical propriety of having high-placed former government officials—trained at taxpayer expense, too—out there reaping over 20% to 40% a year by working their connections. You have to wonder if these former public servants are just simply greedy, or if they’re telling themselves they’re true patriots by doing behind-the-scenes cloak-and-dagger stuff.

This is a big story. We were wondering if, in the wake of current events, we were the only newspaper that was asking that question, “Who benefits?” And then we found that the Wall Street Journal was asking the right questions, too, and we were vastly relieved not to be left hanging out to dry. On Sept. 27, the WSJ published a “Special Report: Aftermath of Terror” with the headline “Bin Laden Family Could Profit From a Jump In Defense Spending Due to Ties to U.S. Bank.” The “bank” is actually The Carlyle Group (and by the way, we peons can’t invest in it, and it sure isn’t taking deposits from the general public). The lead sentence reads: “If the U.S. boosts defense spending in its quest to stop Osama bin Laden’s alleged terrorist activities, there may be one unexpected beneficiary: Mr. bin Laden’s family.” And, though the WSJ curiously did not mention this, another beneficiary may be George H.W. Bush’s family.


Check for Greg Palast's article on The Carlyle Group, which is still in progress as of 10/11/01.


Copyright © 2003 The Baltimore Chronicle and The Sentinel. All rights reserved. We invite your comments, criticisms and suggestions.

Republication or redistribution of Baltimore Chronicle and Sentinel content is expressly prohibited without their prior written consent.

This story was published on October 3, 2001.
  
Local Gov’t Stories, Events

Ref. : Civic Events

Ref. : Arts & Education Events

Ref. : Public Service Notices

Books, Films, Arts & Education
Letters

Ref. : Letters to the editor

Health Care & Environment

10.19 How big pharma's money – and its politicians – feed the US opioid crisis [most governments impose price controls, but US Republicans and neoliberal Democrats are bribed to pretent that's not possible]

10.19 Self-harm among girls aged 13 to 16 rose by 68% in three years, UK study finds [drug use and crime are also caused by the same factors, but the $millionaires demand another tax cut so...]

10.19 World's deepest lake crippled by putrid algae, poaching and pollution

10.19 Warning of 'ecological Armageddon' after dramatic plunge in insect numbers [Good job, Monsanto!]

10.18 'This is a really big deal': Canada natural gas emissions far worse than feared [roughly equivalent to all the cars and trucks in Canada]

10.17 Scott Pruitt, Who Loved to Sue EPA, Just Made It Harder for Green Groups to Sue EPA

10.16 The war on coal is over. Coal lost.

10.15 Rooftop Solar Provides a Record-Breaking 48% of South Australia’s Power

10.14 Geoengineering is not a quick fix for climate change, experts warn Trump

10.13 The Grain That Tastes Like Wheat, but Grows Like a Prairie Grass

10.13 Climate Change Is Making It Harder to Grow Rice [might there be a “perennial rice” with much deeper roots to survive droughts?]

10.13 'If the land isn't worked, it decays': Tunisia's battle to keep the desert at bay [beautiful business plan for LIFE]

10.13 Trump scraps Obamacare subsidies in surprise late-night announcement [videos; his Infantilism should cause his impeachment]

10.12 Oxford aims for world’s first zero emissions zone with petrol car ban

10.12 Draughty homes targeted in UK climate change masterplan

News Media Matters

10.17 Malta car bomb kills Panama Papers journalist

10.15 The Establishment Still Doesn't Recognize The Political Revolution That's Happening [the question is, CAN MAINSTREAM NEWS MEDIA – desperate for corporate advertising as revenue falls – ALLOW CHANGE TO HAPPEN?]

Daily: FAIR Blog
The Daily Howler

US Politics, Policy & 'Culture'

10.19 War veterans deploy themselves to help Puerto Rico relief [video]

10.19 Is racial bias driving Trump’s neglect of Puerto Rico? [the evidence is obvious]

10.19 An Independent Thinker’s Guide to the Tax Debate

10.19 Even After Equifax and Wells Fargo, GOP Sides With Big Financial Institutions [as do neoliberal Democrats like Hillary Clinton]

10.18 TA-NEHISI COATES UNPLUGGED [audio & transcript]

10.17 How Anti-Trump Psychiatrists Are Mobilizing Behind the Twenty-Fifth Amendment

10.17 McCain blasts 'half-baked, spurious nationalism' in emotional speech [video]

10.16 The Danger of President Pence

10.16 The Texas town where all the energy is green [Alert! Ignoring party leadership, exceptional Republicans use reason to do good!]

10.16 Nevada to Big Pharma: ‘Show Us Your Books!’

Justice Matters

10.17 Trump could remake judiciary for ‘40 years’ — with controversial picks [America will become more like Malta; facilitating corporate/mafia criminality to the maximum]

High Crimes?
Economics, Crony Capitalism

10.19 SOCIALISM, LAND AND BANKING: 2017 COMPARED TO 1917

10.17 The Decline of the Midwest's Public Universities Threatens to Wreck Its Most Vibrant Economies

10.17 Trump Revives Notorious GOP Dog Whistle in Call for 'Welfare Reform' [less money "wasted on welfare" would allow larger tax cuts for "the more deserving rich"]

10.17 For Abandoning Climate Accord, Pope Swipes Trump on World Food Day [Trump is attuned to serve billionaire friends and himself]

10.14 KOCH BROTHERS’ INTERNAL STRATEGY MEMO ON SELLING TAX CUTS: IGNORE THE DEFICIT

10.14 How to Wipe Out Puerto Rico’s Debt Without Hurting Bondholders

International & Futurism

10.18 The lie that poverty is a moral failing was buried a century ago. Now it’s back

10.18 Who Has the World's No. 1 Economy? Not the U.S.

10.18 Robots Are Coming for These Wall Street Jobs [interactive graphics]

10.18 George Soros gives $18bn to his charitable foundation

10.18 The Guardian view on murdering the messenger: a desperate situation

10.17 For Abandoning Climate Accord, Pope Swipes Trump on World Food Day [Trump is attuned to serve billionaire cronies and himself]

10.17 The Movement of #MeToo

We are a non-profit Internet-only newspaper publication founded in 1973. Your donation is essential to our survival.

You can also mail a check to:
Baltimore News Network, Inc.
P.O. Box 42581
Baltimore, MD 21284-2581
Google
This site Web

Public Service Ads: