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Spitzer Avoids Prosecution

Posted on Nov 7, 2008
Eliot Spitzer

Investigators believe Spitzer paid as much as $80,000 for prostitutes over a period of several years — first while he was New York’s attorney general and later as governor.

Former New York Gov. Eliot Spitzer has avoided criminal charges for his well-publicized escapades with sex workers while in office. Largely responsible for the development was a decision by federal prosecutors to investigate Spitzer on questionable financial transactions—where they found no evidence of misuse—rather than the more titillating accusation of “transporting prostitutes across state lines.”

The Business Review:

The U.S. Attorney in Manhattan won’t file criminal charges against former New York Gov. Eliot Spitzer for his involvement in a prostitution ring.

The state’s 54th chief executive resigned March 17 amid allegations that he was a client in the Emperors Club VIP. He could have been charged with the Mann Act, which prohibits transporting prostitutes across state lines, but federal prosecutors instead investigated him on questionable financial transactions.

An investigation by the FBI and the IRS’ Criminal Investigation Division determined that Spitzer made payments to bank accounts, one named QAT Consulting, that had been used to launder more than $1 million worth of criminal proceeds derived from the Emperors Club VIP’s prostitution business, according to U.S. Attorney Michael Garcia.

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By Oceana, November 26, 2008 at 10:47 pm Link to this comment

Mr. Spitzer - I look forward to the day when we can fully see what you knew and were seeking to bring to justice. We know in part, yet we were not taking these bastards on, head to head, as you were.  May we all have such courage and conviction to see with eyes wide open and act according to what is most real.

9/11 was not a surprise to some of us. When people were shocked that 9/11 occurred, I was thinking, “Why not us?  What has taken so long?”  Please consider Russia and Chile. We are facing the same fate by these same greedy ignorant bastards who have no ability to think outside of their own self-interests.

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An excellent 3 hour program with Catherine Austin Fitts is linked below.

Appearing for the first three hours, financial advisor Catherine Austin Fitts discussed the economic crisis and possible solutions. $4 trillion has been pulled out of the economy, she said, and the big mystery is where did it go? At the core, we’ve experienced a financial coup d��tat—assets have been stripped out of communities in order to make people more dependent on Washington and centralized government, she asserted. “We’re watching the control and consolidation of cash flow.” Now the Fed and Treasury are putting trillions back into the economy by printing money—that isn’t going to solve our financial problems, she commented. The current bailout of Citibank is just enough to keep it going, but there’s no assurance that’ll be enough, Fitts stated. These bailouts are like “steroids”�they’re not building real economic value. Fitts proposed a path back to economic vitality: People should put their money into local economies and avoid investing in…

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By Maani, November 26, 2008 at 10:27 am Link to this comment

Well, there may yet be an investigation into the investigation; i.e., whether this was a political hatchet job:

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By Maani, November 15, 2008 at 11:33 am Link to this comment


To apply for the bailout, go to:


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By KDelphi, November 14, 2008 at 9:04 pm Link to this comment

Maani—May be slightly worse in Blackwater…but Wall St is pretty f*cking bad!

I had a cousin who was married to a Wall St “stock trader” (and not a very good one!! LOL! My uncle finds out after he loans him 100s of 1000s of dollars!).He was an idiot! And, no morals to burden him in any way at all!!

Angelo….lol…beautiful to look at—and nothing between the ears but air!

It was rather funny about my uncle, because he was a greedy basterd himself. Its just true. He was a millionaire several times over—and kept filing bankruptcy. Come to think of it—he shouldve gone to Wall St himself@!

He left me nothing…no surprise. My dad wouldnt let us girls talk to him for years and years. He was a crook and a bigot. Talked alot of my family into bad investmnts—nobobdy bailed them out!!

BTW—where do you apply for that Bailout? I want my pension back.

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By Maani, November 14, 2008 at 7:51 pm Link to this comment


Well, we’ve established that organized crime and MCs have stricter codes of honor than banks, corporations and government.  LOL.

Given this, can we accurately state that almost EVERYONE has a stricter code of honor than banks, etc.?  LOL.


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By KDelphi, November 14, 2008 at 5:28 pm Link to this comment

Oceana and Maani—I used to ride with a guy in the Outlaws. (seriously!) Some of them were very rough. But, it is true—they would never have screwed another—even a rival—the way that out govt has let Wall St screw us!

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By Maani, November 14, 2008 at 3:01 pm Link to this comment


I, too, “palled around” with organized crime figures for a few years (not “professionally,” of course…LOL).  And I agree: they certainly could be “cutthroat” (even literally…), but there WAS definitely a “code of ethics” that surpasses the one we see in corporate and political America.


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By Oceana, November 13, 2008 at 8:25 pm Link to this comment


I knew a gentleman who was truly a part of the old world Italian Mafia.  I will tell you this; he and those around him had a higher moral standing than what we witness today from many within our government , corporations and Wall Street.  They are the lowest of the lowest who will sell their mothers,  grandmothers and children down the river for their own gain and self-preservation. 

A World Gone Mad.  A good movie never grows old.

Peace back to you and thank you for the memory.

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By Leisure Suit Larry, November 10, 2008 at 6:56 am Link to this comment
(Unregistered commenter)

We all know Spitzer was set up.

Here we go… yet another conspiricy theory.

Hasn’t anyone heard the story about people living in glass houses?  Was his huberous so great he thought he was above the law he applied to others?

And howabout all the “John’s” he put away? do they now get their records expunged?

Oops, sorry, that treatment is only for the wealthy and powerful

The bastard should have gone to Rikers…if only for a week. It’s good for dirty white knights to find out where their “conquests” go!

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By Maani, November 9, 2008 at 9:41 am Link to this comment


You say, “The Mafia like power…that has had a free reign for quite some time, will not go down easily.”

Quite right.  And there is a funny anecdote in this regard.

In the late 1950s, after he had long been out of power, organized crime boss Lucky Luciano was a guest of the New York Stock Exchange, and was given a tour of the floor of the exchange, and told how it worked.  His comment, now part of his legend, was:

“Wow!  What a racket!  If I had known about this, I would have stayed legit!”


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By KDelphi, November 9, 2008 at 9:07 am Link to this comment

Ocdana—I agree with all you say. But, does it have to be so “incremental” (change) that people have to die left and right? HOW long do we have to wait? WHY do we have to wait? Because we always have? Because they say we have to?

If something is right and correct—why cant we just DO IT!

Cant we just -do it- and see if it doesnt work? What we’re doing now doesnt work.

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By Oceana, November 9, 2008 at 7:14 am Link to this comment


I want to thank you for your comment and stating most clearly what kind of criminals Mr. Spitzer was seeking to hold accountable and what he woke up to.  I do not find any fault with Mr. Spitzer for remaining quiet.  It was not my intent to imply that in any form.  My heart has always gone out to him and his family.  I admire him for being spot on with this investigation.  Yes, it will be the responsibility of those who do know the truth to make their voices heard.

One assumes “we all know that he was set-up”.  The average citizen does not know.  Many seem to find it easier to judge Mr. Spitzer based on what they have heard with no regard or knowledge toward his investigation and the real criminal acts committed.  This was the source of my frustration. 

Yes, our government promises to hold them accountable.  You say we must wait until the ‘new’ administration takes over and remind them of their promise. I’m not holding my breath when I read that Mr. L. Summers is on their short list.  Unless, hopefully, this is merely a political move to place the last nail in the coffin to end any further consideration of his potential appointment.  The second name being considered is not much better – it’s more of the same.

The Mafia like power (National and International) that has had a free reign for quite some time, will not go down easily.  Will they pull back a little?  Probably, but they are not going away. Our President-Elect, we can be most certain, is increasingly becoming aware of this power.

Holding the likes of these criminals accountable does not bode well when we look back throughout history.  Real change attempted in the past has not bode well either.  The place that we find ourselves in at this moment, an opportunity for change toward the betterment of humanity, presents itself through great cost and sacrifice of many.  I hope that we do not let it slip by. The same intensity shown throughout this election needs to continue each and every day by each and every one of us.  Our citizenry tends to sit back once an election is over and waits to see what will happen.  This has proven disastrous.

My view has always been that change for the betterment of humanity and society will take generations for it to unfold. We have taken many steps back these last 8 years.  Hopefully, it will propel us forward to not only recover the ground we lost but to move one step up and beyond.  If this occurs we will have accomplished much within the next 4 years. 

Peter Dale Scott, Drugs, Oil and War.

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By Louise, November 8, 2008 at 9:51 pm Link to this comment


“I hope that Mr. Spitzer, will tell the truth regarding what he knows. $700 Billion and more – they deserve to be called out and held accountable.  The truth is necessary to help turn this around. He would have been a hero then for such a courageous act in spite of the immediate cost.  He would still be a hero by reflecting a courageous spirit, regardless of the cost.  Our country and our world cannot turn toward a greater good until the truth is spoken.  People need to know and only those who have the information can speak it to the world at large.”


Putting ourselves in Spitzers shoes ... who among us would jump to the forefront if we woke to find “The Horses head” in our bed? Fitzer will keep quiet for the sake of his loved ones and their safety. 

But at least he has the satisfaction of knowing, those who pay attention know the truth. And THEY hopefully wont keep completely silent.

We all know Spitzer was set up, and we all knew, in the end there would be no charges.

This might be a good time to remind ourselves to remind [again] our congressional leaders they “promised” accountability. That should begin in earnest the day after Obama is sworn into office.

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By pablabon, November 8, 2008 at 12:30 pm Link to this comment
(Unregistered commenter)

Of course they couldn’t go ahead with the case, it would have exposed their own politicization.  This was a political hit job, not a normal fed case.  Going to court would have highlighted that.  It also would have exposed the FBI’s peeping tom/blackmailer type tactics (I wonder how much their surveillance team had under surveillance).

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By Maani, November 7, 2008 at 8:27 pm Link to this comment


Thanks for your kind words.  As a NYC resident, and a “politically connected” person (i.e., I have friends in high places…LOL), I and many other politically savvy people I know saw this for what it was ab ovo: a “political hatchet job.”

As an aside, they also tried to do this (in a dofferent way, and on a different level) just recently to Charlie Rangel, in order to try to force him from his chairmanship of the House Ways and Means Committee (the single most powerful position on any House committee).  They took a few truly insignificant lapses of judgment and tried to make them into a (literal) “federal case” for censure and removal.  Thankfully, he didn’t take the bait, and his supporters in the House and Senate didn’t either.

Again, I’m not saying there weren’t lapses in judgment; there were.  But they were not nearly significant enough to warrant the kind of witch hunt that the G.O.P. was attempting to create.


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By Oceana, November 7, 2008 at 8:23 pm Link to this comment

I did not know whether to laugh or cry as I read this article. 

Mr. Spitzer was in D.C. to file indictments against the Bush Administration and Wall Street.  There was a Bush family member directly involved in Lehman Brothers who was a senior member of this firm.  Mr. Spitzer was spot on to this immediate crisis and was ready to make the right people accountable for it at the beginning of its unraveling, which means he was on this from an earlier time. 

It was suggested to this Bush family member at Lehman’s that they forgo their bonuses in order to apply that money toward saving the company.  This Bush family member rejected the suggestion with contempt.

Spitzer was taken down.  It was obvious to anyone who was the least informed and the investigations that followed clearly revealed it.  They were digging until they found something; it was not by accident or coincidence.  They found something in the nick of time to save themselves. 

I hope that Mr. Spitzer, will tell the truth regarding what he knows. $700 Billion and more – they deserve to be called out and held accountable.  The truth is necessary to help turn this around. He would have been a hero then for such a courageous act in spite of the immediate cost.  He would still be a hero by reflecting a courageous spirit, regardless of the cost.  Our country and our world cannot turn toward a greater good until the truth is spoken.  People need to know and only those who have the information can speak it to the world at large. 

Mr. Spitzer knows in detail what we intuit and know in part; but until the truth is revealed, bit by bit, no matter how hard it is to hear, it must be heard to regain trust and regenerate a broken system for the greater good.  Otherwise, we continue to be but slaves and chattel for the few, as the masses are manipulated through deceit – no matter how eloquently the words may be spoken.

The people of this country continue to believe in a myth.  They allow themselves to be manipulated because the process to awake and acknowledge the truth causes too much distress; and then they are faced with the burden how to resolve what we now know is false and what is reality and determine within ourselves what we each are required to do.

Sadly, I can only imagine what these people have done to keep Mr. Spitzer and his family quiet, thus far.  These people are cruel and inhumane on multiple levels and what they once sought to hide they now do openly with little ramifications.

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By KDelphi, November 7, 2008 at 4:05 pm Link to this comment

I agree that this was trumped up. I am not saying that he is “innocent”—but Dems seem to love to “eat their own” when it comes to sex scandals.

Larry Craig , Bob Ney, etc. all did worse things (at least Spitzer wasnt caught in a public bathroom!), but, the Dems will keep rehashing it, while the GOP seem to be able to let incursions die.

Except fotthe Money (after we just gave $1 trillion to the stock mket”??), frankly, I just dont give a damn.

Lets get the trillion for the war back from Bush.

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By driving bear, November 7, 2008 at 1:24 pm Link to this comment

to Gilgamesh,

when this story broke I heard that the state of NY might file charges ( illegal use of public funds type )because of the fact that Spitzer
used state money to pay for the hotel room he and the girl used. Is NY state going to charge him with that?

I agree he suffered enough, just make him reimburse the state for the hotel bill and close the case

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By Maani, November 7, 2008 at 1:03 pm Link to this comment


Don’t get me wrong.  I am not suggesting that by “not keeping it in his pants” Spitzer didn’t give them rope to hang him.  But keep in mind that they KNEW - from the very beginning - that no public money was being used, since ALL of the money transfers were being made from personal accounts, not public ones.  (Also keep in mind that Spitzer is not the only politician - state or federal - who uses “escort services.”  Yet in most cases there is a mutual “understanding” that it is not brought up.)

Nevertheless, they created a phony investigation in order to “take him down.”


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By Mark, November 7, 2008 at 12:52 pm Link to this comment
(Unregistered commenter)

Kudos to Maani.

The Spitzer “scandal” was always a political hatchet job. Starting with the fact that the story broke in the media because of an “anonymous source” in the U.S. Attorney’s office in Manhattan! Spitzer was no friend to Wall Street or the Bush Administration. They found dirt on the guy and used it to silence him and destroy his political career.

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By Gilgamesh, November 7, 2008 at 12:42 pm Link to this comment
(Unregistered commenter)

Most of the time, charges arent brought up against anyone for prostitution.

Garcia said there was no need to file charges because Spitzer used personal money to pay for the trysts. The Justice Department usually doesn’t prosecute johns.

Manhattan District Attorney Robert Morgenthau also said he would not prosecute Spitzer.

“The guy lost his job, apologized and was publicly embarrassed. I don’t believe in kicking someone when they’re down,” he said, noting, “It would only be a misdemeanor anyway.”

Spitzer was silenced because he wanted to take on bankers. If the bastard could have kept it in his pants, we might not be in so deep right now.

Greg Palast got it right -

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By Maani, November 7, 2008 at 12:29 pm Link to this comment

Of course, this is no surprise, since the legal angle was never the point anyway.  The point was to make Spitzer no longer viable in politics so that he could not become, say, U.S. Attorney General (or perhaps even President), where he really could have gone after the economic “bad guys.”  In this, they were successful.

Do you really think it was coincidence that Spitzer was removed as an economic watchdog less than one month after he testified to Congress regarding…a pending economic crisis?  He saw what was about to occur.  Yet he was not only ignored, he was marginalized.  And less than six months later, lo and behold we were in the middle of a huge economic crisis.

Had Spitzer not been “taken down,” the economic crisis may still have occurred: one man, no matter how vocal and active, cannot stop what he himself referred to in his Congressional testimony as “a tsunami.”  But he would have given warnings.  And it is even possible that he might have been named U.S. Attorney General in the Obama administration.

Sadly, we will never know.


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