Today New York attorney general Andrew Cuomo reached a settlement with the Carlyle Group, the private-equity firm that paid Hank Morris, a onetime aide to comptroller Alan Hevesi, millions of dollars in fees to leverage his connections and secure $730 million in investment commitments from the New York State Common Retirement Fund. In exchange for avoiding criminal prosecution, the Carlyle Group will pay $20 million and adopt a new code of conduct, one that includes barring them from using so-called "placement agents" to provide introductions to officials at public pension funds and implements other transparency measures. The settlement is something that could have an effect on regulations implemented at a national level, and it is a formidable accomplishment for Cuomo.
No. That's not quite the right word.
"This is a revolutionary agreement," Mr. Cuomo said during a teleconference Thursday. "I believe it totally changes the way people operate, it ends pay to play, it bans the selling of access, it puts the political power brokers out of business."
Emphasis ours. Bombast? All the AG's.