K.J.Healey said:
I'm not sure I see an improper connection after reading this. Correct me if I'm wrong but this is what I'm reading :
Her husbands firm was in a "competitive" bidding for a contract.
She DIDN'T KNOW if his firm would win, or the outcome.
She pushes legislation that gives the FDIC some money.
Regardless of the legislation, her husband's firm would still get paid if they won the contract.
Her husbands private investment firm, prior to winning the contract, invests in the company he boards.
It looks more like he was betting CBRE would win the contract than anything else. This is fair so long as he had no prior knowledge of winning the bid. If he did it's insider trading, but I don't see how he could know, as it probably wasn't decided yet.
Her giving money to that department doesn't do anything. I just don't see a connection.
I think they're trying to stretch it a bit in that they're insinuating she was "rewarding" the FDIC for taking her husbands bid. Seems doubtful. Would have made more sense for her to do it before it was decided to "buy" their vote, but I don't think a budget committee really would work that way.
A highly speculative article that doesn't really have proof, or even promise of proof of any wrongdoing.
This is the part of the story in question:
"About the same time of the contract award, Mr. Blum's private investment firm reported to the Securities and Exchange Commission that it and related affiliates had purchased more than 10 million new shares in CBRE. The shares were purchased for the going price of $3.77; CBRE's stock closed Monday at $5.14.
Spokesmen for the FDIC, Mrs. Feinstein and Mr. Blum's firm told The Times that there was no connection between the legislation and the contract signed Nov. 13, and that the couple didn't even know about CBRE's business with FDIC until after it was awarded.l
Senate ethics rules state that members must avoid conflicts of interest as well as "even the appearance of a conflict of interest." Some ethics analysts question whether Mrs. Feinstein ran afoul of the latter provision, creating the appearance that she was rewarding the agency that had just hired her husband's firm. "
Here's more
http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2009/04/21/MNTQ176KBD.DTL&type=politics
"Blum's wealth and his wife's power have attracted scrutiny many times in the past, particularly over Blum's business dealings in China and with government defense contracts, but have never resulted in evidence of wrongdoing."
This story from Monday doesn't help her
http://www.sfgate.com/cgi-bin/article.cgi?file=/chronicle/archive/2003/04/22/MN310531.DTL
"Army contract for Feinstein's husband
Blum is a director of firm that will get up to $600 million
URS Corp., a San Francisco planning and engineering firm partially owned by California Sen. Dianne Feinstein's husband, landed an Army contract Monday worth up to $600 million.
The award to help with troop mobilization, weapons systems training and anti-terrorism efforts is the latest in a string of plum defense jobs snared by URS. In February, the firm won an army engineering and logistics contract that could bring in $3.1 billion during the next eight years.
Government contracting has come under increasing scrutiny by Congress and citizen groups, with critics decrying the political connections of firms winning lucrative jobs. Richard Blum, Feinstein's husband, serves on the company's board of directors and controls about 24 percent of the firm's stock,
according to Hoover's Inc. research firm.
A Feinstein spokesman Monday declined to comment on the contract. "