Follow the money–widespread conflicts of interest that neuter the American Free Press
This amalgamation of interests was greatly feared by America's Founding Fathers. They believed that a republic could not long survive without robust checks and balances of power. The destruction of those checks and balances appears to be upon us. Is this realization too late? We say no, where there's a will, there's a way.
(Feb. 7, 2014)—AFI investigators have proven that toxic relationships exist among the members of the Facebook Cartel. This cartel includes Facebook, their attorneys, their cronies, federal judges, court clerks, President Obama, the White House cabinet, and Wall Street.
These hidden agendas appear to be at the root of the caustic American public discourse. Things are not what they appear to be, and the Free Press is not exposing the wrongdoing. See Corruption Watch sidebar.
"Why doesn't Mainstream Media expose this lawlessness?"
People close to the investigation keep asking: “Why doesn't Mainstream Media expose this lawlessness?”
These people are dumbfounded by the sound of crickets—a silence that telegraphs the hiding of great sins.
They say, “If George Bush had done these things, we’d never hear the end of it." They wonder, "Why does Barack Obama get a pass on all manner of wrongdoing, even on matters of life and death?”
We believe we have discovered the answer. We will report it in two parts:
This article was authored primarily by an economist, educator, and Fortune 100 businessman who moonlights as a volunteer AFI investigator. This person does so out of concern for the moral decay of America’s democratic institutions that the judicial corruption in Leader v. Facebook has exposed.
Ducks do flock together—even Donald Duck (Disney) Himself
“When I see a bird that walks like a duck and swims like a duck and quacks like a duck, I call that bird a duck.”
Is it reality that the mainstream media is involved with the Facebook crowd? One needs to examine public evidence to answer this question "yes."
For the purposes of this article, the investigative team researched the three traditional major television networks: American Broadcasting Company (ABC), Columbia Broadcasting System (CBS), and the National Broadcasting Company (NBC). This incorporates the Associated Press (AP) since ABC, CBS and NBC are the AP's largest contributing members.
ABC -owned by Disney.
CBS -owned by National Amusements (Sumner Redstone).
NBC -owned by Comcast; formerly owned by General Electric.
The relationships between Facebook interests and the Mainstream Media were divided between known:
- direct involvement, and
- financial involvement.
BOARD OF DIRECTOR ROLES
The clearest involvement of Facebook with mainstream media is the role of Sheryl K Sandberg.
Ms. Sandberg runs Facebook as its Chief Operating Officer (COO). She is in the inner circle of the Facebook Cartel. There is no doubt that she is a “duck.” Her involvement with the key players dates to her graduate student days at Harvard where she was mentored by economist Dr. Lawrence ("Larry") Summers.
After Harvard she followed Summers as his World Bank research assistant. During this time the two engaged Russian oligarch in training, Yuri Milner, to assist them in pressing the disastrous voucher system for the supposed privatization of the failing Soviet economy; a system that had already failed once in the Baltics. The Summers-Sandberg-Milner triumvirate has been one of the most destructive hidden agendas in the world economy over the last twenty years, in my opnion.
Ms. Sandberg then followed Summers to various senior staff capacities at the U.S. Treasury, eventually becoming his Chief of Staff when Summers was appointed Secretary of the Treasury by President Bill Clinton.
This investigation has actually moved well beyond the seminal fact that Mr. Summers was the president of Havard when sophomore Mark Zuckerberg hacked all the student residence websites to steal the student photos for the first version of Facebook on Feb. 4, 2004. Mr. Summers brushed it off as a boyish prank. Hindsight says this was misdirection.
These Zuckerberg hard drives were "rediscovered" thanks to the efforts of Paul Ceglia's attorney, Dean Bolland, in Ceglia v. Zuckerberg. Click here for the deposition of Facebook's experts Bryan J.Rose and Michael F. McGowan.
Note: Soon after these blistering depositions, New York U.S. Attorney Preetinder "Preet" Bharara filed dubious criminal charges against Mr. Ceglia in a transparent effort to stop further leakage that could damage Facebook. Mr. Baharara is Harvard Law School contemporary of Barack Obama, and he worked formerly at Facebook's law firm, Gibson Dunn LLP. Mr. Ceglia has countersued Attorney General Eric H. Holder for breach of due process, and demanded that Mr. Bharara step down due to his evident conflict of interest. Mr. Holder responded dismissively, and Mr. Bharara has not recused himself.
No lawsuit against Facebook has been able to do an unfettered forensic examination of the Zuckerberg Harvard archives from that period. The one ConnectU expert who did study the devices, Jeff Parmet & Associates LLC, was gagged by the court. These are the same 28 Zuckerberg hard drives that Facebook told Leader Technologies were lost, when in fact they were in the possession of their attorney, Gibson Dunn LLP.
The evident facts are that the Mark Zuckerberg Boy Wonder story is science fiction. Hollywood even cooperated. It was the fabricated cover story for the theft of Leader Technologies' brilliant invention by then Harvard President. Summers, James W. Breyer, James Swartz and Ping Li at Accel Partners LLP, and the "PayPal Mafia" that included Reid Hoffman (later LinkedIn), Peter Thiel (cashed out $633 million on Day 3 of the Facebook IPO), Matt Cohler (later Instagram), Marc Andreessen, and assorted other Facebook collaborators identified in this article.
They wanted to create a combinded PayPal + Bill Gates Version 2 story. Mr. Zuckerberg was a willing pawn. The fact that he was a pathological liar was just dumb luck. Their success at deceiving the world is frightening, and hopefully a lesson in the results of moral complacency. Adolf Hitler was similarly successful at media manipulation prior to World War II.
It is well known that Dr. Summers was appointed by President Obama to be director of the National Economic Council managing the 2008 bank bailout. Many if not all of the financial institutions identified in this article were substantial beneficiaries of the bailout, most notably Goldman Sachs, Morgan Stanley, JPMorgan and State Street Corp. In his financial documents, Dr. Summers discloses many hundreds of thousands of dollars in speaking fees from these banks.
But Ms. Sandberg now also serves on the Board of Directors of Disney. In this role, she has the power to directly influence the wholly-owned major ABC media company.
Ms. Sandberg is also a major donor and fund raiser for Barack Obama. Facebook LOFO (low information voter) "likes" are credited with winning him the 2008 and 2012 elections.
Stephen Burke is the CEO of NBC Universal. But, Mr. Burke also serves as a Director on the JP Morgan Chase Board of Directors.
Mr. Burke earned his MBA from Harvard. JP Morgan Chase has been a leader in providing financial support for Facebook, as an underwriter of their Initial Public Offering (IPO), and through their current credit agreement with NBC/Comcast.
It is well known that JPMorgan Chase’s CEO Jamie Dimon, also a Harvard graduate, is on intimate terms with many primary beneficiaries of the 2008 bank bailout and energy stimulus.
Ann H. Lamont, the granddaughter-in-law of JPMorgan’s founder, Thomas W. Lamont, serves as a director of Castlight Health, and formerly Athenahealth, two big beneficiaries of the no-bid Health and Human Services contracts to build Obamacare’s HealthCare.gov web site.
Ann Lamont and her husband Edward “Ned” Lamont were substantial contributors to the 2008 and 2012 Obama election campaigns.
Mr. Burke's position of great power and influence in both banking and the media is disturbing.
John J. Brennan, the Chairman Emeritus and Senior Adviser of The Vanguard Group, Inc, is a General Electric director. General Electric owned NBC during the Leader v. Facebook case. A Boston native, Mr. Brennan holds a degree from Dartmouth in economics, and an MBA from Harvard.
Patent Office Director David J. Kappos purchased approximately $1 million of Vanguard funds within weeks of his surprise recess appointment by President Obama. Facebook then began a Patent Office attack on Leader Technologies' social networking patent in Leader v. Facebook through a little known legal maneuver called administrative "reexamination."
The reexamination procedure allows big infringers to harass inventors outside the courts with additional time and expense. The purpose of reexamination was to reduce litigation costs, but it has done the opposite in our case.
The White House got involved with an unprecedented third reexamination ordered by Director Kappos himself before he left his position. However, when the Patent Office was asked to disclose the details of President Obama's involvement, they refused, claiming executive communication privilege.
Mr. Brennan is in a powerful position to influence NBC's editorial policies.
Pamela Daley, a former special adviser to the chairman of General Electric, the former owner of NBC, is a board member of BlackRock. General Electric owned NBC during the Leader v. Facebook case. Ms. Daley graduated from University of Pennsylvania Law School.
Ms. Daley is also in a powerful position to user her new banking position to influence NBC policy, since NBC is the beneficiary of substantial BlackRock financings.
Facebook's largest shareholder, James W. Breyer, Managing Partner, Accel Partners, LLP, is a member of the Board of Directors of 21st Century Fox (Fox News owner). Like the Mainstream Media, with one exception, Fox programs have systematically failed to cover the Leader v. Facebook private property battle—the only patent infringement battle with Facebook to go to trial and appeal up to the Supreme Court.
Despite innumerable tips (some known personally to the author), Fox reporters have ignored the Leader v. Facebook case and the evident judicial corruption and attack on American private property by well-funded thieves.
The one exception was Fox Business' Shibani Joshi, who blind-sided Leader Technologies' CEO, Michael McKibben, in an obvious accommodation to Facebook.
On air, Ms. Joshi informed Mr. McKibben about a Federal Circuit decision that was favorable to Facebook—a decision that Leader's attorneys had not even been told about. In other words, Fox knew before one of the litigants. The stunt backfired when McKibben used it as another example of the corruption in the case.
Mr. Breyer is another Harvard graduate, along with his fellow Harvard graduates and two primary Accel Partners LLP partners, James Swartz and Ping Li. Mr. Breyer is also a trustee of Harvard itself (Harvard gives it a different title, but that's his function). He has clearly bought his way in to the Harvard nerve center. Harvard graduate John Adams, a central thinker in the drafting of the U.S. Constitution, is probably rolling in his grave that such an unscrupulous individual has been invited to oversee university policy. Who at Harvard is speaking up? Kool-Aid anyone? Dirty money spends just like any other? [Is this the kind of shameful moral heritage the university wants to leave to posterity?]
Mr. Breyer is in a powerful position to influence Fox editorial policy, and to prevent any corruption investigation of Facebook. It should be noted that Mr. Breyer was a long time Wal-Mart board member who resigned after the Wal-Mart Mexican bribery scandal broke. Apparently he needed to spend more time with his family. Is he now sharing those lessons in corruption with Fox? It appears that such conduct is second nature to Mr. Breyer and his Beijing, China-based father, John P. Breyer, IDG Capital Partners aka IDG-Accel-China?
Fox appears ready to investigate other Obama administration corruption, but will not touch the Leader v. Facebook corruption, which is suspicious.
2. FINANCIAL INVOLVEMENT
The Wall Street Facebook Cartel
Nine major financial institutions have been identified by AFI investigators as major holders of Facebook stock. We investigated their involvement with the major mainstream media organizations. There are more “ducks” here, too. The nine are:
- T. Rowe Price
- J.P. Morgan
- Morgan Stanley
- Goldman Sachs
- State Street
We investigated public records of their stock and bond holdings in ABC, CBS, and NBC. There is a lot more quacking in these flocks.
We found compelling public evidence that six of the nine financial institutions are directly involved with ownership of NBC or its parent companies’ (Comcast and formerly GE) stock and/or corporate debt.
TIAA-CREF owns 1.24 million shares of Comcast. It is their 7th largest holding valued at $64.4 million.
TIAA-CREF also holds $32M ($17M and $15M) in GE corporate bonds (GE was the owner of NBC during the Facebook period.)
Fidelity Dividend Growth Fund holds 1.7 million Comcast shares valued at $63 million (one of the top ten holdings in the fund).
3. T. ROWE PRICE.
T. Rowe Price holds significant amounts of Comcast stock in multiple funds.
Vanguard Growth Index Fund Investor Shares (VIGRX) holds 10.5 million shares of Comcast valued at $545 million. It is the fund’s 6th largest holding.
6. JP MORGAN CHASE.
JP Morgan Chase has a Feb. 28, 2012 Credit Agreement with Facebook, that includes the following JPMorgan Co-Agents:
- Morgan Stanley
- Goldman Sachs
- Merrill Lynch
- Bank of America
- Deutshe Bank
- Credit Suisse
- Royal Bank of Canada
- Wells Fargo
As of Feb. 3, 2014, BlackRock owns 361M shares of General Electric which represents 3.56% of the company. As of Jan. 25, 2013, BlackRock holds $52M GE corporate bonds. On Jan. 15, 2014, BlackRock announced the appointment of former GE executive, Pamela Daley, to its board of directors.
We found compelling evidence that two of the nine financial institutions are directly involved with ownership of ABC or its parent company (Disney) and/or corporate debt.
TIAA-CREF owns two funds that invest in ABC/Disney stock:
- TIAA-CREF Equity Index Fund (TIEIX) holds shares ($48M) in Disney.
- TIAA-CREF Cap. Growth Value Index Fund (TILGX) holds shares ($16M) in Disney.
TIAA-CREF also holds $30M in Disney corporate bonds as of 1/25/13.
Vanguard owns at least one fund that invests in ABC/Disney:
- Vanguard Growth Index Fund Investor Shares (VIGRX) holds 6.6 million shares ($330M) as of Dec. 31, 2012.
Vanguard also holds $16M in Disney corporate bonds as of 1/25/13.
CBS is owned primarily by Sumner Redstone, a Harvard graduate and billionaire. He also is the primary owner of CBS’ parent company, National Amusements, Inc. (NAI).
CBS has both direct marketing and financial relationships with Facebook and the Facebook Crowd.
The publishing house, Simon & Schuster, markets and distributes its products through Facebook.
1. JP Morgan & Morgan Stanley.
According to the CBS Annual Report dated December. 31, 2012, there is a very significant financial relationship between CBS and JP Morgan and Morgan Stanley:
“Amended and Restated $2.0 Billion Credit Agreement, dated as of March 16, 2011, among CBS Corporation; CBS Operations Inc.; the Subsidiary Borrowers Parties thereto; the Lenders named therein; JPMorgan Chase Bank, N.A., as Administrative Agent; Citibank, N.A., as Syndication Agent; and Bank of America, N.A., Deutsche Bank AG New York Branch, Morgan Stanley MUFG Loan Partners, LLC, The Royal Bank of Scotland plc, and UBS Loan Finance LLC, as Co-Documentation Agents (incorporated by reference to Exhibit 10.1 to the Current Report on Form 8-K of CBS Corporation filed March 18, 2011) (File No. 001-09553)” (emphasis added).
2. Fidelity & BlackRock.
Further investigation is needed to validate two subsidiary references in the CBS Annual Report. Few details are available.
- A subsidiary of CBS Corporation is named Central Fidelity Insurance Corporation in Vermont. Company Profile for this listing is for Central Fidelity Insurance Company's Single Location in South Burlington, VT. The company primarily operates in the Direct Insurance (except Life, Health, and Medical) Carriers industry. Central Fidelity Insurance Company was founded in 2009 and is privately held. Central Fidelity Insurance Company has $160,000 in estimated annual revenue. Central Fidelity Insurance Company employs 0-10 people.
- A wholly owned subsidiary of CBS Corporation is BlackRock Insurance Co. in New York. They are governed internally by CBS employees and their sole purpose is stated as providing property and casualty and terrorism insurance to CBS. The researchers are unsure why the name “BlackRock” was used and whether or not there is a relationship with the BlackRock financial services companies.
“There is little doubt that the Facebook Cartel directly influences the mass media.”
There is little doubt that the Facebook Cartel directly influences the policies of the Mainstream Media. The influence includes the direct involvement of a Facebook senior executive (COO Sheryl K. Sandberg) serving as a member of the Board of Directors at ABC/Disney. A second senior media executive, Stephen Burke, CEO of NBC/Universal, sits on the Board of Directors at JP Morgan Chase.
The relationships are incestuous. The checks and balances of power are seriously broken. These people have betrayed the Constitution while they enjoy its privileges. Judges allowed themselves to be influenced. Mainstream journalists have failed to expose corruption. Businessmen have breached their good faith positions of trust. Bankers have lined their pockets with every manner of scheme. Investment funds have manipulated markets in self-dealing. Regulators turned blind eyes and pocketed the cash. Policy makers traded on insider tips. All of them ignored laws at their pleasure.
The Facebook Cartel financial involvement and support from Wall Street includes major stock ownership, corporate bond ownership, and even a two billion dollar level of credit (for CBS).
Very simply, there is clearly direct involvement of Facebook in the Mainstream Media.
In fact, the evidence is overwhelming….these are ducks and they do fly together. Sometimes you can’t see them. In fact, Donald Duck warned us about himself:
"I'm a camouflage painter." Donald Duck, The Vanishing Private (1942)
* * *
 Giant Ducks on Tiananmen Square, Sina Weibo―KQED caption: Tanks are replaced by giant ducks in this photoshopped version of the iconic Tiananmen Square image. It was posted on a popular Chinese microblog before being removed by censors.
 AFI. (Nov. 15, 2013). Obama's Chief tech officer Todd Y. Park mired in conflicts of interest - Park misled House Oversight Committee about his knowledge and role in HealthCare.gov. Americans For Innovation.
 Barrett, Amy. (Aug. 21, 1997). Vanguard's New Boss [John J. Brennan]: Being Famous Was Never My Agenda. Business Week. [Jun. 14, 2016: All evidence of this article has been removed from the Internet.]
 Rusli, E. (Sep. 02, 2011). Accel’s [James W.] Breyer to Join News Corp. Board, as 2 Depart. The New York Times. HTML; See also PRNewswire. (Sep. 09, 2011). CtW Investment Group Questions Independence of New News Corp Director James W. Breyer. CtW Investment Group [Press release]; 21st Century Fox. (Jun. 14, 2015). Board of Directors, including James W. Breyer.
 Source: Bloomberg Service Search Jan. 25, 2013.
 $5 billion LOC. (Feb. 28, 2002). Senior Unsecuried Revolving Credit Facility. Facebook, Inc. and JPMorgan Chase Bank, N.A., Administrative Agent for Morgan Stanley, Goldman Sachs, Merrill Lynch, Barclays, Citibank, Credit Suisse, Deutsche Bank, RBC, Wells Fargo as Co-Agents. SEC Edgar.
 Id., p. E-5.
 Central Fidelity Insurance Company. (Accessed Feb. 2, 2014). South Burlington, Vermont. Find The Company.
 Denton, Gilbert. (May 11, 2010). Report on Examination of the Blackrock Insurance Corporation as of December 31, 2010. Examiner for State of New York Superintendent of Insurance. State of New York.
 The Fourth Estate. (Accessed Feb. 02, 2014). Wikipedia ("The Fourth Estate (or fourth estate) is a societal or political force or institution whose influence is not consistently or officially recognized. 'Fourth Estate' most commonly refers to the news media; especially print journalism or 'the press'").
 Press coverage of the Facebook ''dark pools'' funds:
- Rusli, E. (Apr. 15, 2011). T. Rowe Price Discloses $190 Million Stake in Facebook. The Wall Street Journal.
- Pilon, M. (Apr. 16, 2011). T. Rowe Price Invests in Facebook. The Wall Street Journal.
- Weiss, M. (Jun. 01, 2011). Fidelity's Danoff Bets on Facebook. Bloomberg.
- Demos, T. (Aug. 24, 2012). Who Else Has A Big Bet on Facebook. The Wall Street Journal; and Lucchetti, A., Demos, T. (Aug. 24, 2012). Morgan Stanley Funds in Big Bet Facebook Bet. The Wall Street Journal.