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* We talked about this a lot yesterday, but here’s the Sun-Times story, entitled “Lawsuit: 300% profit on $5M investment ‘apparently not enough for Rauner’”…
A business associate of Gov. Bruce Rauner says he met twice with the governor in 2015, including once on the back porch of the governor’s mansion, to discuss the status of a business investment that now is the subject of a legal fight between the men.
That business deal allegedly allowed Rauner to turn a $15 million profit on a $5 million investment, which “apparently is not enough for Rauner,” according to a lawsuit filed by the former associate that contends the governor is seeking more.
Harreld “Kip” Kirkpatrick III’s account of his contacts with Rauner, contained in newly unsealed court records, raised questions about the “blind trust” arrangement in which the governor says he placed his vast wealth when he took office.
Under that arrangement, Rauner has stated he no longer has personal control over his assets to avoid potential conflicts of interest.
* From the Pritzker campaign…
“Bruce Rauner is accused of using the governor’s mansion as a personal office and he is desperately dodging attempts at transparency,” said Pritzker campaign spokeswoman Jordan Abudayyeh. “This lawsuit raises more questions about the extent of Rauner’s lies and unethical behavior than it answers and it’s time this failed governor come clean.”
* DGA…
“The last thing Bruce Rauner’s failing reelection needed was another scandal,” said DGA Illinois Communications Director Sam Salustro. “Rauner’s still reeling from the fallout over 13 deaths at a state-run veterans’ home, and now he will have to address more questions about breaking the public’s trust. The fact is that back porch business deals at the Governor’s Mansion will do little to rehabilitate Rauner’s Trumpian-level approval ratings.”
* The Tribune story is entitled “Lawsuit Rauner fought to keep sealed alleges $15 million return ‘apparently is not enough’”…
Rauner spokeswoman Rachel Bold said in an email that the governor “disputes Mr. Kirkpatrick’s allegations, including Mr. Kirkpatrick’s characterizations of any conversations.”
The governor’s office did not answer directly when asked whether he or his staff had any concerns about conducting private business on state property. Rauner’s office did not provide copies of the governor’s schedule from the day of either alleged meeting.
Kind of a non-denial denial.
But the question about conducting private biz on state property is a good one.
* The Trib didn’t mention that somebody has already tried to get Rauner’s schedule for May 11, 2015, which is when Rauner allegedly met with Kirkpatrick on the mansion’s “back porch.” From September of 2015…
A central Illinois weekly newspaper is suing Gov. Bruce Rauner after the attorney general’s office said he must turn over appointment calendars showing his daily schedule.
An Illinois Times reporter submitted a May request through the Freedom of Information Act for Rauner’s daily calendar from April 1 to May 15. When the documents arrived, information was redacted.
On Tuesday, Attorney General Lisa Madigan’s office issued an 18-page opinion saying Rauner’s office violated the act and should provide the requested information.
However, Madigan’s office can’t enforce the ruling.
AG Madigan’s opinion is here.
Rauner’s office did eventually release his daily calendar. The Illinois Times posted his April calendar online, but I haven’t yet been able to find anything for May. I’ve asked the attorney general’s office and the reporter who filed the original FOIA for assistance. I’ll let you know when I know.
posted by Rich Miller
Wednesday, Jan 24, 18 @ 2:40 pm
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Somebody should be reviewing every public utterance Rauner gave about putting his business holdings in a blind trust, or checking to see how many variations of that term he used to mislead the public about whether he would still be involved in any aspect of his private business while Governor.
It’s pretty evident that signing over a power of attorney to an outside manager is far different from the impression he wanted the public to have, ie, that his assets would be placed in a blind trust that he would have no control over.
How do you say “pants on fire” in Swedish?
Comment by 47th Ward Wednesday, Jan 24, 18 @ 2:46 pm
The day after the primary these ads are going to bombard Rauner until November. That is of course if JB wins. Pay to play at the Governor’s mansion.
This negates any argument about the Blagojevich tapes in my opinion. Lieing about his grandparents his blind trust. Making millions of dollars at his taxpayer funded house. When do people realize Madigan is not the problem.
Comment by Almost the Weekend Wednesday, Jan 24, 18 @ 2:49 pm
The reason Rauner refused to give the logs was he was, possibly since “Day 1”, conducting his personal business empire, with million dollar transactions and profits on state property, like the Mansion, maybe other places, we don’t know.
Rauner’s personal lack of ethics begins and ends with transparency, or lack thereof.
And here I thought he was just the worst Republican governor in America.
My bad.
Comment by Oswego Willy Wednesday, Jan 24, 18 @ 2:52 pm
At least the underlying business deal wasn’t a bust out, so there’s that on the positive side.
And no snark - good to see that Kip Kirkpatrick is making good use of the education he got playing hoops at Northwestern. Probably making more money than the guys he played against who went pro.
Comment by The Way I See It Wednesday, Jan 24, 18 @ 2:54 pm
=Rauner has stated he no longer has personal control over his assets to avoid potential conflicts of interest.=
How can there be a conflict of interest when he’s “not in charge of anything”?
The Raunerites can claim 2 negatives make a positive here…
Comment by Likely Blocked This Time Wednesday, Jan 24, 18 @ 2:56 pm
FOIA law should be changed so that after an AG ruling the AG should go to court to enforce the ruling or at the very least attorney fees and court costs should be paid by the government agent that ignores the A G ruling
Comment by DuPage Saint Wednesday, Jan 24, 18 @ 3:03 pm
From surfing the google last night, it’s clear that back in 2015 Rauner tried to pull a fast one, claiming that he established a “blind trust,” while he knowingly did nothing of the sort.
Reading the stories from back then, most of the media dutifully reported the false claim without question, and, since then, Rauner and the Superstars/BTIA(TM) have encouraged that fiction until it blew up in their faces yesterday.
To his great credit, back in the day, Bob Secter of the Trib actually did the heavy lift of journalism: he questioned the claim, turned on the reading lamp, combed through the documents, and reported the actual truth.
What a concept, going beyond the self-serving press release. Here’s his story, from 1/22/15.
http://www.chicagotribune.com/ct-bruce-rauner-finances-met-0122-20150122-story.html
Comment by wordslinger Wednesday, Jan 24, 18 @ 3:07 pm
I can’t say that I’m surprised by any of this. Rauner’s interest in the job was solely to further his own business interests and those of his close friends. Do any of us really think that he’s taken a break from Rauner Co. the last few years? The only reason that Rauner took the gig was that he saw opportunities and possibilities.
Comment by Pundent Wednesday, Jan 24, 18 @ 3:17 pm
==while he knowingly did nothing of the sort==
And indeed, as Secter reported, he basically couldn’t under IL law. But, of course, there’s a lot of room between “can’t set up a blind trust” and “so let’s take shady meetings about my investments on the back porch”.
Comment by Arsenal Wednesday, Jan 24, 18 @ 3:23 pm
Does the OEIG have authority to investigate the Governor. My understanding (which may be wrong) is that they do not initiate an investigation unless someone files a complaint. I’d be happy to do so but only if the OEIG has the authority to act on it.
Wonder if the departure of staff over the summer was related to this in any way also.
Comment by Anonymous Wednesday, Jan 24, 18 @ 3:25 pm
Meanwhile, we all anxiously await the inevitable “because Madigan”-Blago tapes-property tax strawman response that the Luckybot 6000 will surely compute for us.
Comment by Lester Holt’s Mustache Wednesday, Jan 24, 18 @ 3:29 pm
@47th
byxor i brand (pants on fire in Swedish, thanks Google translator)
It really does look like this governor is about to Blago all over himself, reelected or not.
Comment by Ducky LaMoore Wednesday, Jan 24, 18 @ 3:30 pm
==But, of course, there’s a lot of room between “can’t set up a blind trust” and “so let’s take shady meetings about my investments on the back porch”.==
And, y’know, for that matter, he needn’t have lied about it. But here we are.
Comment by Arsenal Wednesday, Jan 24, 18 @ 3:32 pm
Darn that Mike Madigan and the back porches he controls.
Comment by Quizzical Wednesday, Jan 24, 18 @ 3:32 pm
What is the BTIA doing these days? They knew last week this was going to be released and they did nothing to preempt it, and seem to have been caught flat footed in responding to it.
Maybe the debate over Sharknado took up too much time?
Comment by Henry Francis Wednesday, Jan 24, 18 @ 3:36 pm
It’s almost always the cover up that brings them down. Timberrrrr.
Comment by don the legend Wednesday, Jan 24, 18 @ 3:41 pm
Does security keep surveillance video outside the residence? I know politicians don’t like being recorded by audio or video but security has an obligation.
Comment by Casual observer Wednesday, Jan 24, 18 @ 3:42 pm
Where have you gone Radical Candor? This is right in your wheelhouse.
Comment by Skeptic Wednesday, Jan 24, 18 @ 3:43 pm
Since this was a “blind trust” investment committee meetin’ there is no record on the schedule. Actually the schedule never shows much. Just big blanks where ISP drives GovJunk around at 120 mph.
Isn’ April 2015 about the tme GovJunk claiming he would pay for manion rehab himself? No fundraiser schemes.
Comment by Annonin' Wednesday, Jan 24, 18 @ 3:44 pm
If only the Governor used the $15 million he made on the deal as the source of funds to do the rehab on the mansion, then he could just say it was just a fundraiser for the association and call it a day.
Comment by Juice Wednesday, Jan 24, 18 @ 3:51 pm
Could this be part of the reason Rauner fired most of his top staff? Can’t have anyone leaking that calendar.
Comment by Real Wednesday, Jan 24, 18 @ 3:54 pm
If he was doing this meeting on state time then it was a definite ethics violation. J.B. should be calling for Rauner to release his entire unredacted calendar now.
Comment by A Jack Wednesday, Jan 24, 18 @ 3:54 pm
Talking about the back porch of the governor’s mansion and business deals, are the names of the individuals who contributed to the mansion foundation public or included in an annual report?
Comment by Olivia Pope Wednesday, Jan 24, 18 @ 3:57 pm
–Where have you gone Radical Candor?–
Two obvious theories that are not exclusive of each other:
1. They have friends among those who replaced the IPI incompetents who failed so spectacularly.
2. They’ll bring the thunder of what they really know about Rauner closer to November. I’m thinking that could be really good.
Comment by wordslinger Wednesday, Jan 24, 18 @ 4:00 pm
everyone will want their picture on the porch this bicentennial celebration
Comment by Rabid Wednesday, Jan 24, 18 @ 4:12 pm
Let’s give the guy a break. When you’re only taking $1 a year in salary, you’ve got to do what you’ve got to do to make ends meet. /snark
Comment by GA Watcher Wednesday, Jan 24, 18 @ 4:12 pm
Since Rauner started a petition to release sealed tapes Jb should start a petition for Rauner to release his calendar.
Comment by Real Wednesday, Jan 24, 18 @ 4:15 pm
@DuPage Saint -
AG’s opinion on FOIA matter can be binding, forcing the losing side to go to court if it does not like the opinion. However, in my experience, they rarely issue binding opinionson FOIA. Not sure why.
Comment by Government Lawyer Wednesday, Jan 24, 18 @ 4:16 pm
What’s amazing here is that there’s no pushback. Not from BTIA, not from the usual suspects on here, nothing. I think I get it- when you’re explaining, you’re losing, so just hope last night’s debate sucks up all the oxygen. But it really just lets the accusations run wild.
Comment by Arsenal Wednesday, Jan 24, 18 @ 4:17 pm
The hypocrisy and silence regarding the Back Porch Meetin’ and his continued JB “tapes” diatribe is just absolutely delicious. This will haunt him for the rest of the campaign.
The guy was elected and talked ‘tranparency’ all the live long day. But when questioned, not so much in the way of transparency. When you don’t think you work for the people you don’t think you owe them anything.
Also note, none of the regular Rauner apologists have made a single comment. That’s fun.
Comment by JS Mill Wednesday, Jan 24, 18 @ 4:26 pm
–Since Rauner started a petition to release sealed tapes Jb should start a petition for Rauner to release his calendar.–
Rauner doesn’t need a court order to release his calendar. He can order it, right now.
I’m sure the reporters at the Trib are all for that.
From the edit board meeting today, I’m sure the tronclodytes are concerned that Kwami might offend Trump.
Comment by wordslinger Wednesday, Jan 24, 18 @ 5:23 pm
@Government Lawyer. This appears to be a binding opinion yet governor does not realese or realese in timely manner. So what is remedy? Should be some sort of sanctions
Comment by DuPage Saint Wednesday, Jan 24, 18 @ 5:24 pm