dslreports logo
site
spacer

spacer
 
   
spc
story category
New FCC Boss Dumps AT&T, Verizon Stock Ahead of Appointment
To Resolve 'Possible Conflicts of Interest'
by Karl Bode 08:07AM Tuesday May 21 2013
Bloomberg reports that freshly-nominated FCC boss Tom Wheeler has dumped around $500,000 to $1 million in AT&T and Verizon stock ahead of his assignment at the FCC. The stock was dumped, according to the report, "to resolve possible conflicts of interest before taking office." Wheeler also dumped significantly smaller stock holdings in 78 other companies including Google, Apple and Comcast (the full disclosure form is here). Dumping the stock doesn't do much to quell concerns that Wheeler's thirty years of lobbying for both the wireless and cable industries will do far more to frame his in-office policies than a universe of stock holdings ever could.

view:
topics flat nest 

ITALIAN926

join:2003-08-16
kudos:2

mmm

The fact that Verizon is up over 30% since the beginning of the year mustve played a small role as well
openbox9
Premium
join:2004-01-26
Germany
kudos:2

Re: mmm

VZ is up ~19% YTD excluding dividends. It's worth more to hold VZ than sell it, so I'm sure the conflict of interest was the primary motivation to close his position.

FFH
Premium
join:2002-03-03
Tavistock NJ
kudos:5

Re: mmm

said by openbox9:

VZ is up ~19% YTD excluding dividends. It's worth more to hold VZ than sell it, so I'm sure the conflict of interest was the primary motivation to close his position.

I agree. Even when someone does the right thing, there will be those who see evil motivation in anything done by those they oppose.
--
"If you want to anger a conservative lie to him.
If you want to anger a liberal tell him the truth."

skeechan
Ai Otsukaholic
Premium
join:2012-01-26
AA169|170
kudos:2

2 recommendations

Re: mmm

The right thing to do would be to refuse the appointment based on his lobbying history.
--
Nocchi rules.
openbox9
Premium
join:2004-01-26
Germany
kudos:2

Re: mmm

Why? If he discloses everything and no longer has ties, why should he no accept the appointment? Perhaps the better question would be to ask why is he being appointed?

FFH
Premium
join:2002-03-03
Tavistock NJ
kudos:5

Re: mmm

said by openbox9:

Why? If he discloses everything and no longer has ties, why should he no accept the appointment? Perhaps the better question would be to ask why is he being appointed?

Because he gave lots of money to Obama and supported his presidential runs. The same reason every person appointed by the president.
--
"If you want to anger a conservative lie to him.
If you want to anger a liberal tell him the truth."
openbox9
Premium
join:2004-01-26
Germany
kudos:2

1 recommendation

Re: mmm

Bingo. The problems of our troubled government roll down from the top. Until accountability is restored, nothing is going to change. And that isn't going to happen anytime soon.

skeechan
Ai Otsukaholic
Premium
join:2012-01-26
AA169|170
kudos:2

Re: mmm

He can't control whether or not he was appointed by the most corrupt administration in the history of history but he can control whether or not he takes the job.
--
Nocchi rules.
openbox9
Premium
join:2004-01-26
Germany
kudos:2

Re: mmm

He's not appointed until confirmed, but I understand your point.

Anonymous_
Anonymous
Premium
join:2004-06-21
127.0.0.1
kudos:2
Reviews:
·Time Warner Cable

1 edit
said by FFH:

said by openbox9:

Why? If he discloses everything and no longer has ties, why should he no accept the appointment? Perhaps the better question would be to ask why is he being appointed?

Because he gave lots of money to Obama and supported his presidential runs. The same reason every person appointed by the president.

yes we have not had real president since the 60's.

Sure most of the newer presidents, have never read the US Constitution. If they did we would not have some phony baloney laws.

it's like clicking accept with out read it.

US used to be for the people by the people.

now in the age it's by big corp for big corp.

KrK
Heavy Artillery For The Little Guy
Premium
join:2000-01-17
Tulsa, OK
Where do you think that money came from, and why was it "given"?

The puppeteers now await their massive return for their "investment".

Impartial, objective...... indeed. He'll be a good little toadie, I'm sure.
--
"Fascism should more properly be called corporatism because it is the merger of state and corporate power." -- Benito Mussolini

skeechan
Ai Otsukaholic
Premium
join:2012-01-26
AA169|170
kudos:2
Reviews:
·Clear Wireless
·Cox HSI
·Verizon FiOS

1 recommendation

No longer has ties? Laughable. He has a future in the industry to protect. He was hip to hip with the industry before, will be during and most assuredly will after. But that future career depends on him playing ball now.
--
Nocchi rules.
openbox9
Premium
join:2004-01-26
Germany
kudos:2

1 recommendation

Re: mmm

Ok, I don't dispute any of that. My point is that he is disclosing everything. If he's found to not be disclosing everything, he could be found in contempt and punished appropriately. He'll also be sworn into office if confirmed. If he doesn't abide by his sworn oath, he can once again be held accountable. Of course, none of this matters, because as you've suggested in our other thread, the punishments for allowing the status quo to continue are negligible. Until we actually vote for change, and not just for some slogan claiming as such, we can continue to expect more of the same.

BTW, if the president asked you who should he nominate, who would you recommend to him?

trparky
Apple... YUM
Premium,MVM
join:2000-05-24
Cleveland, OH
kudos:2

1 recommendation

Re: mmm

I'd have to say that just about anyone from the editorial staff of this web site would be a good candidate. At the risk of being called a DSLReports/BroadbandReports.com fanboy, Karl Bode would be a good choice.

We need someone who equally hates the communications companies of the US. Someone who will basically call "bullshit" on anything the big companies try to say. So far, Karl Bode seems to fit the bill.
--
Tom
Boycott AT&T uVerse! | Tom's Android Blog
openbox9
Premium
join:2004-01-26
Germany
kudos:2

1 recommendation

Re: mmm

said by trparky:

Karl Bode would be a good choice.

On what grounds? What's his experience beyond writing opeds? Credentials? Technical expertise?
said by trparky:

Someone who will basically call "bullshit" on anything the big companies try to say.

That will accomplish absolutely nothing. It'll put the FCC and telecommunications industry at odds, not much different than what our dysfunctional Congress currently enjoys. Everyone will hunker down along their political lines and we'll be at a stalemate. What we need are leaders willing to do the difficult and sometimes undesirable things and be willing to take the ramifications of doing so. We need leaders that are willing and able to compromise and get the other parties to accept compromise.

trparky
Apple... YUM
Premium,MVM
join:2000-05-24
Cleveland, OH
kudos:2

1 recommendation

Re: mmm

The problem I see is that the FCC has turned into a bunch of corporate "yes men" who cave to anything that the big companies say the FCC should do. Wouldn't having the exact opposite of a "yes man" do the job we want? Someone who slaps the companies down and reigns them in.
--
Tom
Boycott AT&T uVerse! | Tom's Android Blog

FFH
Premium
join:2002-03-03
Tavistock NJ
kudos:5

1 edit

Re: mmm

said by trparky:

The problem I see is that the FCC has turned into a bunch of corporate "yes men" who cave to anything that the big companies say the FCC should do. Wouldn't having the exact opposite of a "yes man" do the job we want? Someone who slaps the companies down and reigns them in.

That would just create gridlock with both sides spending years in court, battling over every single decision by the FCC.
--
"If you want to anger a conservative lie to him.
If you want to anger a liberal tell him the truth."

skeechan
Ai Otsukaholic
Premium
join:2012-01-26
AA169|170
kudos:2

1 recommendation

Re: mmm

Better than the wholesale surrender to telecom we have been doing the last several years...
--
Nocchi rules.
openbox9
Premium
join:2004-01-26
Germany
kudos:2
How has our Fed Government functioned over the last few years with polar opposite ideologies? We need leaders, not yes men or the exact opposite.

cb14

join:2013-02-04
Miami Beach, FL
+ 1

FFH
Premium
join:2002-03-03
Tavistock NJ
kudos:5
said by skeechan:

No longer has ties? Laughable. He has a future in the industry to protect.

Very unlikely. He is retirement age. This job was a nice plum to cap his working life and a thank you from Obama for all of Wheeler's help in 2 presidential runs.. He isn't like Genachowski, who has decades of work ahead yet.

At 67, he will be a shade older than the first and oldest FCC chairman
, Eugene Sykes, and twice the age of the youngest, E. William Henry, who was appointed by President Kennedy in 1963.
--
"If you want to anger a conservative lie to him.
If you want to anger a liberal tell him the truth."
Skippy25

join:2000-09-13
Hazelwood, MO

Re: mmm

Overpaid "consultants and lobbyist" can work well into their 80's.
sonicmerlin

join:2009-05-24
Cleveland, OH
kudos:1

2 recommendations

said by FFH:

said by skeechan:

No longer has ties? Laughable. He has a future in the industry to protect.

Very unlikely. He is retirement age. This job was a nice plum to cap his working life and a thank you from Obama for all of Wheeler's help in 2 presidential runs.. He isn't like Genachowski, who has decades of work ahead yet.

At 67, he will be a shade older than the first and oldest FCC chairman
, Eugene Sykes, and twice the age of the youngest, E. William Henry, who was appointed by President Kennedy in 1963.

This guy supported the AT&T and t-mobile merger. That's all anyone really needs to know about him.
Rekrul

join:2007-04-21
Milford, CT
said by openbox9:

Why? If he discloses everything and no longer has ties, why should he no accept the appointment?

Because even if (and that's a big if) he intends to be impartial, the years he spent lobbying for the industry has to have left an impression on him.

He worked in one particular industry for many years and now he's taking a job where his entire purpose is to basically do the opposite of what he used to do. How can there not be a conflict of interest?

DataRiker
Premium
join:2002-05-19
00000
said by skeechan:

The right thing to do would be to refuse the appointment based on his lobbying history.

Absolutely.
guppy_fish
Premium
join:2003-12-09
Lakeland, FL
kudos:2

Must have been tough

Selling at all-time high for most of the stocks, that was some sacrifice to pay
slckusr
Premium
join:2003-03-17
Greenville, SC
kudos:1
Reviews:
·Charter

Re: Must have been tough

said by guppy_fish:

Selling at all-time high for most of the stocks, that was some sacrifice to pay

Its for the greater good, after his role at the FCC is done, he will get paid some fat consulting cash.

skeechan
Ai Otsukaholic
Premium
join:2012-01-26
AA169|170
kudos:2

1 recommendation

Got to dump old conflicts of interest to build the new ones

Now AT&T and VZ will simply have to wink-wink him a post appointment job.
--
Nocchi rules.
Sammer

join:2005-12-22
Canonsburg, PA

Re: Got to dump old conflicts of interest to build the new ones

You got that right, the real conflicts of interest don't show up until the FCC Commissioners leave. The Wheeler appointment looks like regulatory capture to me but hopefully I'm wrong.
rmdir

join:2003-03-13
Chicago, IL

In that case...

Does this mean he'll return all the money he made when he whored himself as a lobbyist "to resolve possible conflicts of interest"?
openbox9
Premium
join:2004-01-26
Germany
kudos:2

Re: In that case...

No, because those business transactions are already history.
rmdir

join:2003-03-13
Chicago, IL

Re: In that case...

But the feelings of indebtedness aren't.
openbox9
Premium
join:2004-01-26
Germany
kudos:2

Re: In that case...

Conjecture

PacaW97

@qwest.net

Revolving Door

In our face is the reality of the corporate > government > corporate revolving door. I suspect we'll see much of the same from this commissioner as we have from say Micheal Powell or any other former member of government agencies. They will go in, deregulate or repeal some rules in favor of the companies or lobbies they've done business with, finish out their term, then be handily rewarded and go to work for those very companies with fat compensation for their work done.

I don't know what more I can say. I've written my members on congress on this, they haven't responded nor can I expect them to. After all I'm not directly paying for their election campaigns... and can't offer them lucrative compensation for selling out the American consumer.

What can we do that actionable, that's real, that has teeth?

KrK
Heavy Artillery For The Little Guy
Premium
join:2000-01-17
Tulsa, OK

Sold his stock? Obviously impartial.... snort

Yeah, I'm sure he's completely objective now. Wonder which one will hire him as a consultant when his revolving door tenure is up?
--
"Fascism should more properly be called corporatism because it is the merger of state and corporate power." -- Benito Mussolini

••••
old_wiz_60

join:2005-06-03
Bedford, MA
Reviews:
·Verizon FiOS

1 recommendation

Dumped his stock?

meaning..gave it to his wife? brother?...

This guy is a telco/cableco lobbyist at heart and won't give a rats tushie for the rights of consumers. It will be a huge gift to the telcos/cablecos when he takes over.

And how much money is he getting under the table or in residuals from the cable/telcos?

He's nothing but a paid lobbyist who managed to become head of the FCC via bribes and dirty tricks.