A letter from John Reed to Sanford Weill during the talks that created Citigroup Inc. in 1998 could have changed the course of banking history.
While on a trip to Singapore, Mr. Reed, then head of Citicorp, wrote to Mr. Weill, the boss of Travelers Group Inc., with a novel idea: After we merge the two companies, let’s quickly split them apart.
Under the plan, the combined behemoth would have been broken up along customer lines, Mr. Reed recalled last week.
One company would have housed the retail businesses: Citicorp’s consumer bank and Travelers’ brokerage and insurance units. Another would have contained the wholesale operations, combining Citicorp’s international corporate bank with Travelers’ securities unit, the old Salomon Brothers.
“I have always felt the retail side of the business would command the same kind of [valuation] multiple that you see in Coca-Cola, Colgate-Palmolive or any other good consumer company,” Mr. Reed, who left Citigroup in 2000 after clashing with Mr. Weill, told me. “But if you add a Wall Street firm, your valuation suffers.”
Mr. Weill had spent the previous decades amassing assets in a ravenous quest to become the biggest player in global finance, so his answer was predictable. “Sandy didn’t want to do it,” Mr. Reed said. (Mr. Weill declined to comment.)
And thus Citigroup was born, the joint creation of a scrappy empire-builder from Brooklyn and a highbrow banker with an international outlook united by little more than the matching, umbrellas-dotted, ties they wore on merger day.
Mr. Weill and Mr. Reed (with a little help from then-Treasury Secretary and future colleague Robert Rubin) bulldozed through the Depression-era law banning the commingling of retail and investment-banking services and spawned a breed of financial conglomerates that proved hard to manage and potentially perilous for the global economy.
This tortuous history of daring deals and share-price rises followed by abject failures, regulatory problems and government assistance, culminated in last week’s televised admission by Mr. Weill that it would be good to break up these too-big-to-fail giants.
Mr. Reed, now 73 and at the helm of MIT Corp., the governing body of the Massachusetts Institute of Technology, had his own moment of reckoning years ago.
In an interview in April 2008, just before the 10th anniversary of the merger, he told me the deal had been “a mistake” that had shortchanged investors, employees and customers.
Having seen how the financial crisis unfolded since then, he agrees with his frenemy Mr. Weill about the need for structural changes at big banks.
“I think this is an issue whose time may be coming,” he said, noting that conglomerates in other sectors are often broken up when they are deemed to have lost their usefulness.
Unlike Mr. Weill, who didn’t flesh out his thinking and has gone mum since last week’s CNBC appearance, Mr. Reed’s analysis is both detailed and clinical. He stressed that the size of a bank needn’t be, in itself a problem, but pinpointed three related problems: complexity, concentration and connectedness.
“The system is too complex and there is no benefit to the complexity, in the sense that there are no major economic advantages to being together,” he said. “I saw it with Sandy after we put the companies together. It was an amazingly complex company to run.”
In Mr. Reed’s view, the issues during the crisis were compounded by the pervasive links among the few firms that dominated the financial landscape, so that when “one piece of the domino fell, everything fell.”
He isn’t convinced by those, like J.P.Morgan Chase chief James Dimon, who have extolled the advantages of financial supermarkets for customers. With more focused banks, clients “would continue to receive service, they would just get it from a variety of different providers,” he argued.
Although he has been out of the fray for some time, Mr. Reed remains one of the most lucid minds in finance. It is hard to disagree with his logic, informed as it is by both experience and hindsight.
The question, though, is how to get there. The political calendar and landscape make it unlikely Washington will go in the direction suggested by the architects of Citigroup or toward the U.K. plans to separate the business of deposit-taking from riskier investment-banking activities.
Even if the political will existed, determining banks’ sizes by government fiat would be controversial, as Sullivan & Cromwell LLP’s Rodgin Cohen, Wall Street’s most prominent lawyer, argued this week.
That leaves the spotlight trained on one actor: banks’ investors. After suffering huge losses on their investments, shareholders should ask Mr. Reed to see that Singapore letter.
Tuesday, July 31, 2012
Monday, July 30, 2012
Pro-Assad forces reportedly kill over 220 in assault on Syrian village
More than 200 Syrians, mostly civilians, were massacred in a village in the rebellious Hama region when it was bombarded by helicopter gunships and tanks and then stormed by militiamen, opposition activists said.
If confirmed, it would be the worst single incident of violence in 16 months of conflict in which rebels are fighting to topple President Bashar Assad and diplomacy to halt the bloodshed has been stymied by jostling between world powers.
The Revolution Leadership Council of Hama said the Sunni Muslim village of Taramseh was subjected on Thursday to a barrage of heavy weapons fire before pro-government Alawite militiamen swept in and killed victims one by one.
"More than 220 people fell today in Taramseh. They died from bombardment by tanks and helicopters, artillery shelling and summary executions," the regional opposition group said in a statement on Thursday evening.
Syrian state television said three security personnel had been killed in fighting in Taramseh and it accused "armed terrorist groups" of committing a massacre there.
Fadi Sameh, an opposition activist from Taramseh, said he had left the town before the reported killing spree but was in touch with residents. "It appears that Alawite militiamen from surrounding villages descended on Taramseh after its rebel defenders pulled out, and started killing the people. Whole houses have been destroyed and burned from the shelling.
"Every family in the town seems to have members killed. We have names of men, women and children from countless families," he said, adding many of the bodies were taken to a local mosque.
Ahmed, another local activist, told Reuters: "So far, we have 20 victims recorded with names and 60 bodies at a mosque. There are more bodies in the fields, bodies in the rivers and in houses ... People were trying to flee from the time the shelling started and whole families were killed trying to escape."
The reports could not be independently confirmed. Syrian authorities severely limit access for independent journalists.
Seventy-eight people were shot or stabbed dead or burned alive in the village of Mazraat al-Qubeir, a Sunni hamlet, by fighters of Assad's Alawite sect on June 6, and 108 men, women and children were massacred in the town of Houla on May 25.
Most of Assad's political and military establishment are minority Alawites, who form a branch of Shi'ite Islam. The revolt and the fighters behind it, and the street protesters who launched the revolt in March 2011, are mostly Sunni Muslims.
While the insurgents have been unable to match the Syrian army's firepower, they have established footholds in towns, cities and villages across Syria, often prompting Assad's forces to respond fiercely with helicopter gunships and artillery.
Defecting ambassador condemns Assad
Earlier on Thursday, the first ambassador to abandon Assad called on the army to "turn your guns on the criminals" of the government as troops backed by tanks swarmed into a suburb of Damascus on Thursday to flush out rebels.
Nawaf al-Fares, a Sunni Muslim who has close ties to the security services, was Syria's ambassador to its neighbour Iraq, one of its few friends in the region.
Coming just days after the desertion of Manaf Tlas, a Sunni brigadier general in the elite Republican Guard who grew up with the president, his defection gave the anti-Assad uprising one of its biggest political lifts.
But Assad's strongest strategic ally, Russia, stuck by him on Thursday with a clear warning to his Western and Arab enemies that it would not even consider calls for a tough new resolution by the U.N. Security Council in New York.
Britain circulated a draft on Wednesday, backed by the United States, France and Germany, that would make compliance with a transition plan drafted by international envoy Kofi Annan enforceable under Chapter 7 of the U.N. Charter.
This would allow the council to authorize actions ranging from diplomatic and economic sanctions to military intervention.
British U.N. Ambassador Mark Lyall Grant raised the fact that another massacre had reportedly taken place during Security Council negotiations on a resolution on Thursday.
"It goes to show that business as usual for the Security Council is not an option. The Security Council, as requested by Kofi Annan, now needs to apply joint and sustained pressure on the parties, with serious consequences for non-compliance," Lyall Grant said in a statement to Reuters.
But as council members began negotiating a resolution to renew the U.N. Syria monitoring mission, Russia's Deputy U.N. Ambassador Alexander Pankin warned it would use its veto if it had to. "We are definitely against Chapter 7," he said. "Anything can be negotiated, but we do not negotiate this, this is a red line."
Annan himself asked the 15-member council to agree on "clear consequences" if the Syrian government or opposition failed to comply with his plan, which has produced neither a ceasefire nor political dialogue since it was agreed in April.
The British draft threatens the Syrian government with sanctions unless it stops using heavy weapons and withdraws its troops from towns and cities within 10 days.
'People are terrified'
On Thursday, residents reported the first bombardment of the capital as security forces used mortars, then tanks and infantry to try to flush out rebels near Kfar Souseh, a southern suburb.
Activists said tanks had fired from the Hadi Mosque to the east and al-Mazzeh military airport immediately to the west.
"I woke up this morning and saw helicopters flying over the area. Then I started hearing the mortars. There were about six or seven of them in the past half hour," said anti-government activist Hazem al-Aqad.
"People are terrified, families are getting in their cars and rushing away as fast as they can."
The official news agency SANA said Syrian forces killed rebels shipping arms in two boats on Lake Qotaina, near Homs.
Assad's opponents say 13,000 armed and unarmed opponents of Assad, and 4,300 members of security forces loyal to Damascus, have been killed since the uprising began.
Before word of the massacre in Taramseh, the activist Syrian Observatory for Human Rights said 42 people had been killed on Thursday, 30 of them civilians.
Tlas, socialite son of a veteran former defense minister, has made no public comment since fleeing, but France said on Thursday he was in contact with Syrian rebels.
Fares by contrast immediately went public, posting a video statement on Facebook on Wednesday that repeatedly said government forces had been killing civilians.
"I declare that I have joined, from this moment, the ranks of the revolution of the Syrian people," he said. "I ask ... the members of the military to join the revolution and to defend the country and the citizens. Turn your guns on the criminals from this regime …"
"Every Syrian man has to join the revolution to remove this nightmare and this gang," he said, accusing the Assad family and its allies of corruption and "destroying society" during the 42 years it has ruled Syria with an iron hand.
The defection of Fares and Tlas hint at growing alienation among the Sunni business elite, which had been slow to embrace a revolt that began among poorer parts of the majority community.
Assad's crackdown on what began as a broad, peaceful pro-democracy movement helped turn it into an armed rebellion, but the insurgents know they must erode the loyalty and conviction of his establishment to loosen its hold on power.
Russia and China, both veto-wielding permanent members of the U.N. Security Council, have for months blocked attempts to isolate and push out Assad, endorsing his argument that he is defending Syria against armed groups bent on ousting him with the backing of the West and allied Sunni Gulf Arab monarchies.
If confirmed, it would be the worst single incident of violence in 16 months of conflict in which rebels are fighting to topple President Bashar Assad and diplomacy to halt the bloodshed has been stymied by jostling between world powers.
The Revolution Leadership Council of Hama said the Sunni Muslim village of Taramseh was subjected on Thursday to a barrage of heavy weapons fire before pro-government Alawite militiamen swept in and killed victims one by one.
"More than 220 people fell today in Taramseh. They died from bombardment by tanks and helicopters, artillery shelling and summary executions," the regional opposition group said in a statement on Thursday evening.
Syrian state television said three security personnel had been killed in fighting in Taramseh and it accused "armed terrorist groups" of committing a massacre there.
Fadi Sameh, an opposition activist from Taramseh, said he had left the town before the reported killing spree but was in touch with residents. "It appears that Alawite militiamen from surrounding villages descended on Taramseh after its rebel defenders pulled out, and started killing the people. Whole houses have been destroyed and burned from the shelling.
"Every family in the town seems to have members killed. We have names of men, women and children from countless families," he said, adding many of the bodies were taken to a local mosque.
Ahmed, another local activist, told Reuters: "So far, we have 20 victims recorded with names and 60 bodies at a mosque. There are more bodies in the fields, bodies in the rivers and in houses ... People were trying to flee from the time the shelling started and whole families were killed trying to escape."
The reports could not be independently confirmed. Syrian authorities severely limit access for independent journalists.
Seventy-eight people were shot or stabbed dead or burned alive in the village of Mazraat al-Qubeir, a Sunni hamlet, by fighters of Assad's Alawite sect on June 6, and 108 men, women and children were massacred in the town of Houla on May 25.
Most of Assad's political and military establishment are minority Alawites, who form a branch of Shi'ite Islam. The revolt and the fighters behind it, and the street protesters who launched the revolt in March 2011, are mostly Sunni Muslims.
While the insurgents have been unable to match the Syrian army's firepower, they have established footholds in towns, cities and villages across Syria, often prompting Assad's forces to respond fiercely with helicopter gunships and artillery.
Defecting ambassador condemns Assad
Earlier on Thursday, the first ambassador to abandon Assad called on the army to "turn your guns on the criminals" of the government as troops backed by tanks swarmed into a suburb of Damascus on Thursday to flush out rebels.
Nawaf al-Fares, a Sunni Muslim who has close ties to the security services, was Syria's ambassador to its neighbour Iraq, one of its few friends in the region.
Coming just days after the desertion of Manaf Tlas, a Sunni brigadier general in the elite Republican Guard who grew up with the president, his defection gave the anti-Assad uprising one of its biggest political lifts.
But Assad's strongest strategic ally, Russia, stuck by him on Thursday with a clear warning to his Western and Arab enemies that it would not even consider calls for a tough new resolution by the U.N. Security Council in New York.
Britain circulated a draft on Wednesday, backed by the United States, France and Germany, that would make compliance with a transition plan drafted by international envoy Kofi Annan enforceable under Chapter 7 of the U.N. Charter.
This would allow the council to authorize actions ranging from diplomatic and economic sanctions to military intervention.
British U.N. Ambassador Mark Lyall Grant raised the fact that another massacre had reportedly taken place during Security Council negotiations on a resolution on Thursday.
"It goes to show that business as usual for the Security Council is not an option. The Security Council, as requested by Kofi Annan, now needs to apply joint and sustained pressure on the parties, with serious consequences for non-compliance," Lyall Grant said in a statement to Reuters.
But as council members began negotiating a resolution to renew the U.N. Syria monitoring mission, Russia's Deputy U.N. Ambassador Alexander Pankin warned it would use its veto if it had to. "We are definitely against Chapter 7," he said. "Anything can be negotiated, but we do not negotiate this, this is a red line."
Annan himself asked the 15-member council to agree on "clear consequences" if the Syrian government or opposition failed to comply with his plan, which has produced neither a ceasefire nor political dialogue since it was agreed in April.
The British draft threatens the Syrian government with sanctions unless it stops using heavy weapons and withdraws its troops from towns and cities within 10 days.
'People are terrified'
On Thursday, residents reported the first bombardment of the capital as security forces used mortars, then tanks and infantry to try to flush out rebels near Kfar Souseh, a southern suburb.
Activists said tanks had fired from the Hadi Mosque to the east and al-Mazzeh military airport immediately to the west.
"I woke up this morning and saw helicopters flying over the area. Then I started hearing the mortars. There were about six or seven of them in the past half hour," said anti-government activist Hazem al-Aqad.
"People are terrified, families are getting in their cars and rushing away as fast as they can."
The official news agency SANA said Syrian forces killed rebels shipping arms in two boats on Lake Qotaina, near Homs.
Assad's opponents say 13,000 armed and unarmed opponents of Assad, and 4,300 members of security forces loyal to Damascus, have been killed since the uprising began.
Before word of the massacre in Taramseh, the activist Syrian Observatory for Human Rights said 42 people had been killed on Thursday, 30 of them civilians.
Tlas, socialite son of a veteran former defense minister, has made no public comment since fleeing, but France said on Thursday he was in contact with Syrian rebels.
Fares by contrast immediately went public, posting a video statement on Facebook on Wednesday that repeatedly said government forces had been killing civilians.
"I declare that I have joined, from this moment, the ranks of the revolution of the Syrian people," he said. "I ask ... the members of the military to join the revolution and to defend the country and the citizens. Turn your guns on the criminals from this regime …"
"Every Syrian man has to join the revolution to remove this nightmare and this gang," he said, accusing the Assad family and its allies of corruption and "destroying society" during the 42 years it has ruled Syria with an iron hand.
The defection of Fares and Tlas hint at growing alienation among the Sunni business elite, which had been slow to embrace a revolt that began among poorer parts of the majority community.
Assad's crackdown on what began as a broad, peaceful pro-democracy movement helped turn it into an armed rebellion, but the insurgents know they must erode the loyalty and conviction of his establishment to loosen its hold on power.
Russia and China, both veto-wielding permanent members of the U.N. Security Council, have for months blocked attempts to isolate and push out Assad, endorsing his argument that he is defending Syria against armed groups bent on ousting him with the backing of the West and allied Sunni Gulf Arab monarchies.
Thursday, July 12, 2012
Reggie Jackson apologizes again
NEW YORK -- Continuing his quest to make amends for comments first published more than a week ago, New York Yankees senior advisor Reggie Jackson released a statement Thursday publicly stating his contrition.
"I have been proactively reaching out to make personal apologies to those within the Hall of Fame community that I offended, and to the Yankees' organization for any disruption that I caused in the clubhouse," said Jackson, a Hall of Famer, in part of his statements. "I continue to have a strong relationship with the club, and look forward to continuing in my role with the team. As always, I remain dedicated to the great game of baseball."
A baseball official with knowledge of the team's thinking told ESPNNewYork.com that Jackson won't be with the team this upcoming homestand, but could join on the road in Oakland next Thursday.
Jackson made his comments in last week's issue of Sports Illustrated. He said there was a "cloud" over the accomplishments of Yankees third baseman Alex Rodriguez because of his admitted performance enhancing drug use.
Jackson also said he wasn't sure if some current Hall of Famers belonged in Cooperstown, including the recently deceased Gary Carter.
"In trying to convey my feelings about a few issues that I am passionate about, I made the mistake of naming some specific players," Jackson said in the statement Thursday. "This was inappropriate and unfair to those players, some of which are very close friends of mine. I think there are ways to speak from the heart without hurting people, and I'm disappointed that I didn't take greater care in expressing my views.
The Yankees asked Jackson to stay away from Fenway Park for last weekend's series so as not to cause a distraction.
Rodriguez answered questions about Jackson's comments.
"With friends like that, who needs enemies," Rodriguez said.
Last Friday, Rodriguez confirmed he spoke with Jackson after the comments, but wanted to keep what was said private. Sources told ESPNNewYork.com that Jackson had apologized to Rodriguez and other Yankee personnel.
"He is trying to rectify everything," Yankees manager Joe Girardi told ESPNNewYork.com at that time.
"I have been proactively reaching out to make personal apologies to those within the Hall of Fame community that I offended, and to the Yankees' organization for any disruption that I caused in the clubhouse," said Jackson, a Hall of Famer, in part of his statements. "I continue to have a strong relationship with the club, and look forward to continuing in my role with the team. As always, I remain dedicated to the great game of baseball."
A baseball official with knowledge of the team's thinking told ESPNNewYork.com that Jackson won't be with the team this upcoming homestand, but could join on the road in Oakland next Thursday.
Jackson made his comments in last week's issue of Sports Illustrated. He said there was a "cloud" over the accomplishments of Yankees third baseman Alex Rodriguez because of his admitted performance enhancing drug use.
Jackson also said he wasn't sure if some current Hall of Famers belonged in Cooperstown, including the recently deceased Gary Carter.
"In trying to convey my feelings about a few issues that I am passionate about, I made the mistake of naming some specific players," Jackson said in the statement Thursday. "This was inappropriate and unfair to those players, some of which are very close friends of mine. I think there are ways to speak from the heart without hurting people, and I'm disappointed that I didn't take greater care in expressing my views.
The Yankees asked Jackson to stay away from Fenway Park for last weekend's series so as not to cause a distraction.
Rodriguez answered questions about Jackson's comments.
"With friends like that, who needs enemies," Rodriguez said.
Last Friday, Rodriguez confirmed he spoke with Jackson after the comments, but wanted to keep what was said private. Sources told ESPNNewYork.com that Jackson had apologized to Rodriguez and other Yankee personnel.
"He is trying to rectify everything," Yankees manager Joe Girardi told ESPNNewYork.com at that time.
Paterno defended football, Penn State in letter before his death
(CNN) -- Former Penn State football coach Joe Paterno wrote a letter before his death saying the sex abuse scandal involving his assistant coach was "not a football scandal."
His family authenticated the letter, written late last year, after it emerged Wednesday.
"This is not a football scandal and should not be treated as one," wrote Paterno, who died in January. "It is not an academic scandal and does not in any way tarnish the hard-earned and well-deserved academic reputation of Penn State."
Family spokeswoman Mara Vandlik said the letter was intended to be published as a guest editorial, but that never happened, and it was probably released by one of the former players who had received a copy.
Former assistant football coach Jerry Sandusky was convicted last month for sexually abusing young boys over a 15-year period.
Paterno and former Penn State President Graham Spanier were fired after the Sandusky scandal broke in November.
The findings of an internal review into the sex scandal are scheduled to be released Thursday. The lengthy report is expected to focus on school officials, what they knew about Sandusky's behavior and whether they tried to cover it
His family authenticated the letter, written late last year, after it emerged Wednesday.
"This is not a football scandal and should not be treated as one," wrote Paterno, who died in January. "It is not an academic scandal and does not in any way tarnish the hard-earned and well-deserved academic reputation of Penn State."
Family spokeswoman Mara Vandlik said the letter was intended to be published as a guest editorial, but that never happened, and it was probably released by one of the former players who had received a copy.
Former assistant football coach Jerry Sandusky was convicted last month for sexually abusing young boys over a 15-year period.
Paterno and former Penn State President Graham Spanier were fired after the Sandusky scandal broke in November.
The findings of an internal review into the sex scandal are scheduled to be released Thursday. The lengthy report is expected to focus on school officials, what they knew about Sandusky's behavior and whether they tried to cover it
Tuesday, July 10, 2012
Nexus devices get Android 4.1 Jelly Bean update
After releasing the OS source code yesterday, Google announced that those who have Galaxy Nexus HSPA+ devices will be able to update their handsets to Android 4.1 Jelly Bean starting today.
Users will be prompted with an alert about the update over the next few days.
New Android 4.1 features include a faster user experience, improved Voice Search, and more expansive notifications.
Other products that have a Jelly Bean update in their midst include: the Galaxy Nexus, the Nexus S, the Motorola Xoom, and the Nexus 7 tablet, which will ship natively with Android 4.1 later this month.
Users will be prompted with an alert about the update over the next few days.
New Android 4.1 features include a faster user experience, improved Voice Search, and more expansive notifications.
Other products that have a Jelly Bean update in their midst include: the Galaxy Nexus, the Nexus S, the Motorola Xoom, and the Nexus 7 tablet, which will ship natively with Android 4.1 later this month.
Doctors booted from Medicaid for massive oxy doses in Florida Palm Beach Post Staff Writer
The state’s most prolific prescriber of Medicaid-financed oxycodone to the poor in 2010
and 2011 has been barred from participating in the taxpayer supported health care program,
one of 76 such high-volume prescribers identified in a Palm Beach Post investigation.
Four others, including West Palm physician Dr. John Christensen, are either under
regulatory scrutiny or have been disciplined for their prescribing patterns.
None wrote more oxycodone prescriptions than Dr. Jorge Leal. The Tampa-area
anesthesiologist and pain clinic specialist prescribed over 715,000 doses of oxycodone
billed to Medicaid over two years – on average, just under 1,000 doses a day. On busy
days, Leal’s oxycodone scripts were filled by the bushel: Multiple times, more than 2,000
pills a day were filled by pharmacies and billed to Medicaid; during one 24-hour period,
that number topped 4,000 pills.
Seven people in Florida die each day from prescription drugs, a 2009 study found; oxycodone
killed the most.
Despite state law enforcement’s all-out war on oxycodone abuse, however, Medicaid paid for
more than 49 million doses of the powerful narcotic oxycodone over a two year period, The
Post found. Only 1.3 million adults are enrolled in Medicaid.
The majority of those doses were in the form of oxycodone pills not mixed with aspirin or
another drug. While effective for relieving severe pain, including pain from cancer, such
“undiluted” oxycodone is also favored by addicts.
Leal said through a lawyer that his two pain clinics were among a diminishing number still
willing to treat Medicaid patients, which may have accounted for the higher oxycodone
dosage figures. “In this area, Medicaid only has one provider in Pinellas County for pain
management, no provider is listed for Pasco County, and only two provider groups are listed
in Hillsborough County,” pointed out attorney Jon Pellett.
Asked about the decision to drop Leal from Medicaid, a spokeswoman with Florida’s Agency
for Health Care Administration said that the state could cut off a physician from the
program with 30 days notice without providing specific reasons.
In addition to Leal, another physician, Dr. Harold Laski of Jacksonville, has had his
Medicaid privileges revoked. Laski, who could not be reached for comment, wrote
prescriptions totaling 105,189 doses of oxycodone.
Among the other Florida doctors who wrote Medicaid-funded oxycodone prescriptions topping
100,000 doses in 2010 and 2011:
— Partly citing overprescribing, the state Board of Medicine last month revoked Dr. John
Christensen’s medical license. The West Palm Beach physician prescribed 148,367 doses of
oxycodone billed to Medicaid in 2010 and 2011.
— Dr. William Crumbley, who prescribed 173,699 doses of oxycodone, a figure that
translates to about 260 pills a day, rejected a settlement offer from the Board of Medicine
permanently restricting him from prescribing certain narcotics, including oxycodone, as
well as barring the Tampa-area physician from affiliating with any pain management clinic
in Florida. Crumbley was arrested late last year on charges of operating a pain clinic
without a license. He was subseqently charged with bringing drugs into jail. He has entered
a plea of not guilty.
— St. Petersburg internist Dr. Fadi Saba is being monitored by the state’s Bureau of
Medicaid Program Integrity. Saba prescribed a total 110,000 doses of oxycodone billed to
Medicaid in 2010 and 2011.
Monitoring, said an ACHA spokeswoman, “means that there is an open case on that provider
or (the state) is monitoring prescribing reports to determine if further investigation is
warranted.”
The monitoring information was included in a letter sent earlier this year by state health
officials to U.S. Sen. Charles Grassley. The Iowa Republican has asked states to identify
and give him the status of high volume prescribers of certain psychiatric medicines and
pain killers billed to Medicaid, including oxycodone.
In serious cases following monitoring, the doctor can be kicked out of the Medicaid
program.
That has not always worked out as planned. For instance, Dr. Robert Reppy of Tampa,a high-
volume prescriber, was terminated from the Medicaid program on Feb. 24, 2011.
But beginning the next day and continuing for months afterwards, the doctor’s oxycodone
prescriptions were still being filled at pharmacies, state-provided data shows. In all,
16,305 doses of oxycodone prescribed after he was ousted from Medicaid were billed to the
health care program.
“We are reviewing the prescriptions for the time period Dr. Reppy was inadvertently
allowed to prescribe to verify they were medically necessary,” confirmed another ACHA
spokeswo
and 2011 has been barred from participating in the taxpayer supported health care program,
one of 76 such high-volume prescribers identified in a Palm Beach Post investigation.
Four others, including West Palm physician Dr. John Christensen, are either under
regulatory scrutiny or have been disciplined for their prescribing patterns.
None wrote more oxycodone prescriptions than Dr. Jorge Leal. The Tampa-area
anesthesiologist and pain clinic specialist prescribed over 715,000 doses of oxycodone
billed to Medicaid over two years – on average, just under 1,000 doses a day. On busy
days, Leal’s oxycodone scripts were filled by the bushel: Multiple times, more than 2,000
pills a day were filled by pharmacies and billed to Medicaid; during one 24-hour period,
that number topped 4,000 pills.
Seven people in Florida die each day from prescription drugs, a 2009 study found; oxycodone
killed the most.
Despite state law enforcement’s all-out war on oxycodone abuse, however, Medicaid paid for
more than 49 million doses of the powerful narcotic oxycodone over a two year period, The
Post found. Only 1.3 million adults are enrolled in Medicaid.
The majority of those doses were in the form of oxycodone pills not mixed with aspirin or
another drug. While effective for relieving severe pain, including pain from cancer, such
“undiluted” oxycodone is also favored by addicts.
Leal said through a lawyer that his two pain clinics were among a diminishing number still
willing to treat Medicaid patients, which may have accounted for the higher oxycodone
dosage figures. “In this area, Medicaid only has one provider in Pinellas County for pain
management, no provider is listed for Pasco County, and only two provider groups are listed
in Hillsborough County,” pointed out attorney Jon Pellett.
Asked about the decision to drop Leal from Medicaid, a spokeswoman with Florida’s Agency
for Health Care Administration said that the state could cut off a physician from the
program with 30 days notice without providing specific reasons.
In addition to Leal, another physician, Dr. Harold Laski of Jacksonville, has had his
Medicaid privileges revoked. Laski, who could not be reached for comment, wrote
prescriptions totaling 105,189 doses of oxycodone.
Among the other Florida doctors who wrote Medicaid-funded oxycodone prescriptions topping
100,000 doses in 2010 and 2011:
— Partly citing overprescribing, the state Board of Medicine last month revoked Dr. John
Christensen’s medical license. The West Palm Beach physician prescribed 148,367 doses of
oxycodone billed to Medicaid in 2010 and 2011.
— Dr. William Crumbley, who prescribed 173,699 doses of oxycodone, a figure that
translates to about 260 pills a day, rejected a settlement offer from the Board of Medicine
permanently restricting him from prescribing certain narcotics, including oxycodone, as
well as barring the Tampa-area physician from affiliating with any pain management clinic
in Florida. Crumbley was arrested late last year on charges of operating a pain clinic
without a license. He was subseqently charged with bringing drugs into jail. He has entered
a plea of not guilty.
— St. Petersburg internist Dr. Fadi Saba is being monitored by the state’s Bureau of
Medicaid Program Integrity. Saba prescribed a total 110,000 doses of oxycodone billed to
Medicaid in 2010 and 2011.
Monitoring, said an ACHA spokeswoman, “means that there is an open case on that provider
or (the state) is monitoring prescribing reports to determine if further investigation is
warranted.”
The monitoring information was included in a letter sent earlier this year by state health
officials to U.S. Sen. Charles Grassley. The Iowa Republican has asked states to identify
and give him the status of high volume prescribers of certain psychiatric medicines and
pain killers billed to Medicaid, including oxycodone.
In serious cases following monitoring, the doctor can be kicked out of the Medicaid
program.
That has not always worked out as planned. For instance, Dr. Robert Reppy of Tampa,a high-
volume prescriber, was terminated from the Medicaid program on Feb. 24, 2011.
But beginning the next day and continuing for months afterwards, the doctor’s oxycodone
prescriptions were still being filled at pharmacies, state-provided data shows. In all,
16,305 doses of oxycodone prescribed after he was ousted from Medicaid were billed to the
health care program.
“We are reviewing the prescriptions for the time period Dr. Reppy was inadvertently
allowed to prescribe to verify they were medically necessary,” confirmed another ACHA
spokeswo
Tuesday, July 3, 2012
A sex worker's journey back to life at WIFW
Fashion makes a difference: The special show held late afternoon took people on an emotional tour this Autumn Winter at Wills Lifestyle Fashion Week 2012. The season had kick-started with the FDCI signing up with PETA officials in a campaign supporting minimum or no use of animal skin in fabrics and designs, an initiative well lauded by all. Continuing in the same spirit, the afternoon's special show was conceived as an endeavour toward addressing and eliminating the plague of human trafficking in the capital of the country. In a joint association with the youcanfree.us organisation (that rescues women out of prostitution and rehabilitates them) founded by Sujo John, 12 leading fashion designers of the country came together to support the cause.
Photography unearths beauty from the ashes: Travelling down the narrow lanes of the red-light area in the city of New Delhi, ace photographer Subi Samuel came close to the lives of sex-workers and prostitutes who he felt were pushed into the dungeon without any consent of theirs. For him, it became important to unearth their free spirit and happiness that till now remained buried under rigid layers of exploitation, torture and grief. A small audio-visual at the beginning of the show documented the story of one such girl, Alice (name changed) who yearned to see the light of the day but was suppressed by the ills of sex-trade that engulfed her when she was young and ignorant. This ride of emotions and sentiments shaped into a photo feature where Alice became the protagonist donning the outfits designed by the 12 fashion stalwarts and Subi translating them into speaking images. With changing photos of Alice on the screen, models sashayed down the ramp in respective creations of the participating designers.
Collection and design: The collection 'From Ashes to Beauty' began on a sombre note with Lacoanet Hemant's coffee brown gown in golden work with a veil and a wreath of thorns placed on the head of the model displaying the design. Colours and patterns slowly turned joyous and hit a positive note once the show gained momentum. Ritu Beri's shimmered sharara styled in minute thread work and sparkling choli, JJ Valaya's yellow-blue sari teamed with a gold decorated jacket, Tarun Tahiliani's sequined corset and flowy skirt, Suneet Varma's fuschia pink rose-petal studded lehenga-choli and Ravi Bajaj's patch work black gown among others infused energy into the dull life of Alice. 'Ashes to Beauty' found its inspiration from Alice in Wonderland that traced her footsteps from moving away from the contours of brothels and to coming close to a path of hope and freedom.
Bollywood makes a presence: Vivek Oberoi was the Bollywood face of the evening who has many human-interest projects to his credit. He said, "My experience in Vrindavan had been life changing. I was shocked to learn the number of little girls pushed into the flesh trade. This movement is close to me and I am here to pledge my support in rehabilitating women from the cages of sex trafficking."
Leander Paes ushers Alice to the ramp: Walking down the ramp with head hanging low and shy eyes, the brave protagonist of the evening, Alice made the entire auditorium stand up in a gesture to acknowledge her courage and strong will. Accompanying her to the ramp, tennis sensation Leander Paes stood moved and touched and uttered, "I support this movement with all my heart. I think I can be a drop of water that can create a ripple to make a change." This was his plea for us to join hands to free other Alices from the clutches of sexual slavery.
The fashion designers who showcased their respective costumes were: Manish Arora, Suneet Varma, JJ Valaya, Rajesh Pratap Singh, Rohit Gandhi & Rahul Khanna, Tarun Tahiliani, Shantanu-Nikhil, Ashish Soni, Lacoanet Hemant, Ravi Bajaj, Ritu Beri and Ashima Leena.
The images and outfits were later auctioned in a fundraiser to support the efforts of the organisation.
Photography unearths beauty from the ashes: Travelling down the narrow lanes of the red-light area in the city of New Delhi, ace photographer Subi Samuel came close to the lives of sex-workers and prostitutes who he felt were pushed into the dungeon without any consent of theirs. For him, it became important to unearth their free spirit and happiness that till now remained buried under rigid layers of exploitation, torture and grief. A small audio-visual at the beginning of the show documented the story of one such girl, Alice (name changed) who yearned to see the light of the day but was suppressed by the ills of sex-trade that engulfed her when she was young and ignorant. This ride of emotions and sentiments shaped into a photo feature where Alice became the protagonist donning the outfits designed by the 12 fashion stalwarts and Subi translating them into speaking images. With changing photos of Alice on the screen, models sashayed down the ramp in respective creations of the participating designers.
Collection and design: The collection 'From Ashes to Beauty' began on a sombre note with Lacoanet Hemant's coffee brown gown in golden work with a veil and a wreath of thorns placed on the head of the model displaying the design. Colours and patterns slowly turned joyous and hit a positive note once the show gained momentum. Ritu Beri's shimmered sharara styled in minute thread work and sparkling choli, JJ Valaya's yellow-blue sari teamed with a gold decorated jacket, Tarun Tahiliani's sequined corset and flowy skirt, Suneet Varma's fuschia pink rose-petal studded lehenga-choli and Ravi Bajaj's patch work black gown among others infused energy into the dull life of Alice. 'Ashes to Beauty' found its inspiration from Alice in Wonderland that traced her footsteps from moving away from the contours of brothels and to coming close to a path of hope and freedom.
Bollywood makes a presence: Vivek Oberoi was the Bollywood face of the evening who has many human-interest projects to his credit. He said, "My experience in Vrindavan had been life changing. I was shocked to learn the number of little girls pushed into the flesh trade. This movement is close to me and I am here to pledge my support in rehabilitating women from the cages of sex trafficking."
Leander Paes ushers Alice to the ramp: Walking down the ramp with head hanging low and shy eyes, the brave protagonist of the evening, Alice made the entire auditorium stand up in a gesture to acknowledge her courage and strong will. Accompanying her to the ramp, tennis sensation Leander Paes stood moved and touched and uttered, "I support this movement with all my heart. I think I can be a drop of water that can create a ripple to make a change." This was his plea for us to join hands to free other Alices from the clutches of sexual slavery.
The fashion designers who showcased their respective costumes were: Manish Arora, Suneet Varma, JJ Valaya, Rajesh Pratap Singh, Rohit Gandhi & Rahul Khanna, Tarun Tahiliani, Shantanu-Nikhil, Ashish Soni, Lacoanet Hemant, Ravi Bajaj, Ritu Beri and Ashima Leena.
The images and outfits were later auctioned in a fundraiser to support the efforts of the organisation.
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