The Nittany Nightmare Continues: More Financial Incest At PSU- Accused Perjuror Gary Schultz Head of Nittany Insurance Pays First Victim Payout AND His Lawyers

State College,  PA & Burlington, VT-  In the latest example of financial incest involving PSU, The Second Mile, and a bevy of double-dipping board members and executives, we arrive at the first discovery between an accused suspect in the case and his principal interest in an insurance company that recently paid out a settlement to an alleged victim of Jerry Sandusky.  As the filing has likely been sealed as a condition of it’s settlement, it is unknown if Schultz or anyone else within PSU in addition to Sandusky was named in the civil action.

Gary C. Schultz, interim Sr. VP for Finance and Business returned  following  previous retirement from PSU this past July.

 

His return to the PSU payroll  around the time that a grand jury was meeting about his possible complicity, FOLLOWING his own alleged perjurious testimony begs the question-As Schultz knew he was under investigation as well as Sandusky and Curley-

Did Schultz come out of retirement in anticipation of  incurring significant legal fees he did not want coming out of his own pocket?

-Record Scratch-

You read that correctly.

Mr. Schultz, who along with Tim Curley were bound over for trial at their preliminary hearing on perjury charges and a misdemeanor failure to report summons last month,  is being provided legal representation costs through Nittany Insurance Company, where he is a paid Director.  According to Acting President Erickson,  it will also be used to cover any civil settlements and judgements in the Sandusky debacle et al.

This would seem to be in violation of the Vermont Captive Insurance Regulations Section 12, or conflict of interest.

In a letter sent to Penn State Interim President Rodney Erickson,  Senator Michael Stack (D) Philadelphia,  expressed his concern that taxpayers and donors should not be footing the bill for the Universities necessary legal representation for the various civil and criminal issues  and potential settlements.

In a response to Senator Stack,  President Erickson assured him that such costs would be accommodated by it’s liability insurance.  Nittany Insurance Company  is listed as the professional liability insurance company of record on the PSU site as well as the provider for PSU students in programs including the Hershey Medical Center.

President Erickson did not reference Mr. Schultz’s directorship position within Nittany Insurance Company although www.blinkoncrime.com was able to confirm with the Vermont Secretary of State that as of this afternoon, there are no pending changes to its registration.

Gary Schultz’s co-director at Nittany Insurance Company, is Allan Anderson,  Former VP and Chief Executive Officer for Hershey Medical Center.

While the captive insurance firm is self-administered, as Director,  Schultz would be in a position to review,  award, accept, negotiate or reject settlements within the framework of their contract with PSU and appropriate regulatory requirements.   Captive insurance companies are often developed as part of a risk mitigation strategy and as an entree to the reinsurance market for payouts exceeding a fixed amount.  Registered in Vermont, Nittany Insurance Company was formed in 1993.

It would seem a good starting point for questions on the regulatory  and compliance matter might be how the bid is/was awarded for initial self-administered liability coverage directed by a potential party and what the premiums, which are deductible to PSU,  were and  are?

What adjustments to same have been made in relation to the known incidents and corresponding dates alleged against Sandusky, Curley and Schultz?

What else is Nittany Insurance funding it may have had ample heads up about?

Does Schultz have a poster of Ken Lay in the top of his humidor?  Bernie Madoff?

 

 

 

www.blinkoncrime.com poster erose contributed to the research of this article.

 

 

 

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1,929 Comments

  1. beejay says:

    erose and Blink: TY for doing the book report. I have to go to a local bookstore before Sat for other books. If they have it there, I’ll do some skimming instore.

    I’m waiting for two other things: (1)the other pedophiles involved, if only on the end of a remotely located computer; (2)the full story of corruption within law enforcement, the courts, and politicians as it might relate to Sandusky and/or any other predators.

    Should I just hold my breath or what?!

  2. erose says:

    Now this is what I’m talking about.
    ——————————————————————
    This spring, with 12 fellow students, Bodenschatz conceived Voices for Victims, a project that allows supporters to send messages of thanks and comfort to Sandusky’s alleged victims. The letters will be delivered directly to the individuals through their lawyers to maintain anonymity.

    http://pennstatermag.com/2012/04/19/remembering-the-heart-of-the-scandal/

  3. erose says:

    @Rose
    Here is a (basement) story of a missing child, presumed since 1979 from NYC. Wonder why this case resurfaced now?

    http://usnews.msnbc.msn.com/_news/2012/04/19/11286057-fbi-nypd-resume-search-for-etan-patz-who-went-missing-in-1979?lite

  4. erose says:

    Was Ramos in TSM? Just a thought.

    snip>

    Probe resumes in 1979 disappearance of NYC’s Etan Patz

    Ramos is scheduled to be released from prison in Pennsylvania this year, when he finishes serving a 20-year-sentence for abusing an 8-year-old boy. His pending freedom is one of the factors that has given new urgency to the case after so long. He is not the carpenter whose old workspace was being searched.

    http://www.silive.com/mobile/news/

  5. Rose says:

    @erose. why now?
    because Cy Vance Jr got active in NY
    (and will move up & on politically in a few years,
    no doubt deservedly)

  6. beejay says:

    erose: nothing related to ramos comes up for me on the link as you have it. Help?

    “I find it interesting that there is no mention of the SECOND- first boy on the milk carton- as there were two boys shown. Etan Patz was displayed along with JOHNNY GOSCH, who was abducted in West Des Moines, IA.”

    http://davidshurter.com/?p=1127

  7. Rose says:

    http://en.m.wikipedia.org/wiki/Cyrus_Vance,_Jr.
    posted for “Manhattan DA” section.
    emphasizes cold cases & child protection
    imo headed for NY Gov or US Atty General

  8. erose says:

    Scroll down @ about 75%
    Staten Island Live

    http://www.silive.com/mobile/news/

    If that doesn’t work, let me know.

    beejay says:
    April 19, 2012 at 9:41 pm

    erose: nothing related to ramos comes up for me on the link as you have it. Help?

  9. erose says:

    Ramos would be Sandusky’s peer and though serving time in Rockview, (where Gricar had visited just prior to his disappearance) Ramos history does not seem to include a childhood in PA. therefore any connection to TSM. Sorry for the waste of time.

    http://www.trutv.com/library/crime/serial_killers/predators/etan_patz/4.html

    “I found him,” he told GraBois. “Jose Ramos is in.” It was much easier to track someone down who had a prison address.

    Between the time investigators had last come up blank on Ramos’s whereabouts and the moment in 1988 when Joe Veltre ran his rap sheet, Jose Ramos had preyed on the Rainbow Family of Living Light, and they had put him somewhere Stuart GraBois could easily get his hands on him. With one look at his rap sheet GraBois could now pinpoint Ramos’s exact whereabouts – the State Correctional Institute at Rockview, Pa.

    http://afteretan.com/ae_excerpts.html

  10. erose says:

    A Penn State assistant athletic director who briefly took over the reins of the athletic department in November has been dismissed.

    Mark Sherburne was fired Wednesday, sources said. He is no longer listed on the athletic department’s webpage.

    It wasn’t immediately clear why Sherburne was discharged from the job.

    Sherburne was acting athletic director when then-Athletic Director Tim Curley stepped down in November amid charges he lied to a grand jury investigating Jerry Sandusky.

    Sherburne resumed his role when university trustee and orthopedic surgeon Dave Joyner was appointed as acting athletic director.

    http://www.centredaily.com/2012/04/19/3168920/penn-state-assistant-athletic.html

    Sherburne works with all 29 of Penn State’s varsity teams to ensure NCAA compliance and is the administrator of Penn State’s Varsity “S” Club and Football Letterman’s Club.

    A 21-year employee of the university, Sherburne previous served as Penn State’s Assistant Athletic Director for Student-Athlete Services. He worked his way up the athletics food chain from that student-athlete perspective, working initially in academic support. Among Sherburne’s primary responsibilities had been ensuring that Penn State ran a clean program, as he monitored student eligibility and oversaw recruiting visits and student-athlete employment.

    A 1986 graduate of State High, Sherburne played on both the football and baseball teams at Penn State, and was a freshman on the 1986 national championship team. He now has the odd predicament not only of taking over an athletic department rife with strife and controversy, but of being the boss of his former coach.

    http://onwardstate.com/2011/11/07/mark-sherburne-named-interim-ad/

  11. erose says:

    Paterno finances handled as if he retired and Spainer is still on Penn State faculty.

    http://abcnews.go.com/Sports/wireStory/penn-state-pays-millions-paternos-estate-16176291

  12. erose says:

    TY. Earlier today it looked as if the Patz case was reopened about the time the GJ took off in the Sandusky case, with the Rockview-Gricar keywords, I thought it was a could be. You are right about Vance, I read a few things. I did find this link for you, though old, on some of Sandusky’s childhood peers, fwiw, in search of childhood coaches.

    Childhood friends wonder if they really knew Jerry Sandusky
    http://www.webcitation.org/63OwuvnCr

    Rose says:
    April 19, 2012 at 9:40 pm

    @erose. why now?
    because Cy Vance Jr got active in NY
    (and will move up & on politically in a few years,
    no doubt deservedly)

  13. erose says:

    For all of their claims of transparency, they have already removed his bio from the GoPSU Sports site. Hard to think this does not have something to do with what he did or did not know, or, did or did not do, in regards to Sandusky.
    http://onwardstate.com/2011/11/07/mark-sherburne-named-interim-ad/

  14. erose says:

    Steve Sloane

    snip>

    I mention this because we both share writing as a passion and I am getting ready to self publish my first Novel, but also because I too was in a serious car accident and almost died. I broke my Back, Neck and fractured my Vertebrae and had to undergo a spinal reconstructive surgery with implanted titanium screws, plates and caeges and was on didability for 2 years before returning to my Job.

    I was the Assistant District Attorney here in Centre County for the Commonwealth of Pennsylvania for 20 years. I now am a Civil Arbitration Judge and a Penn State Law Professor and on my own time, I am working on my first book. You will love it as it is not like any legal thriller out there. Working Title, “His Father’s Son”

    http://www.pandora.com/#!/profile/spsloane1

  15. erose says:

    I am posting due to the couselor status of the perp.

    snip>
    The above charges are the result of a long term investigation that uncovered evidence that REDDING downloaded numerous images of child pornography disseminated images and stored these images on numerous electronic devices. Additionally evidence was located that REDDING secretly filmed a person over 18 years of age in a state of undress without that person’s knowledge. Redding a former Supports Coordinator with Lancaster County MH/MR worked with families who had children with disabilities.

    http://www.whptv.com/news/local/story/Lancaster-police-make-child-porn-arrest/_HPGPrBu2EmgNMZdKA56Jg.cspx

  16. erose says:

    When I read that “district officials refuse to say when” I get more worked up every time. Keefer and staff must have said to the Skyline parents that this was an isolated incident, and KH praised the school, and that convinced the parents to keep their kids there and not take them out immediately, and now no Kyron and no arrest for TH, so we have come full circle.

    The parents of Skyline need to demand of the district and the sheriff to go back on the record. Are you 100% sure this an isolated incident? And if yes, what is your definition of an isolated incident? (@Rose, please add to your list if you ever find someone to send it to.)

    From thatkewlgirl
    http://www.oregonlive.com/portland/index.ssf/2012/04/kaine_horman_will_staff_kyron/4053/comments-2.html

    At some point that day, Kyron’s teacher had marked the boy absent — district officials refuse to say when — but that didn’t prompt a call home because Skyline School lacked an automatic notification policy. That has since changed. The moment an adult took note that Kyron wasn’t at school Friday, an effort to find him should have been set in motion, Van Zandt said.

    http://www.oregonlive.com/portland/index.ssf/2010/06/kyron_horman_search_may_have_s.html#comments

  17. erose says:

    Sorry, all worked up over Kyron.

  18. erose says:

    AP sources: PSU official firing connected to probe

    By GENARO C. ARMAS

    STATE COLLEGE, Pa. — Two persons familiar with the situation say the firing of a Penn State athletics official was connected to the investigation into the child sexual abuse case at the university.

    The people spoke to The Associated Press on condition of anonymity about Mark Sherburne’s firing this week because no one was authorized to speak publicly about the matter.

    One person said Sherburne was dismissed for failing to produce in a timely fashion documents under subpoena by the state Attorney General’s office related to its investigation into Sherburne’s boss, Athletic Director Tim Curley. Curley is on administrative leave after being charged with lying to a grand jury and failing to report an abuse allegation against retired assistant coach Jerry Sandusky.

    Read more here: http://www.tri-cityherald.com/2012/04/20/1910843/penn-state-assistant-ad-sherburne.html#storylink=cpy

  19. Rose says:

    http://www.chicagotribune.com/sports/sns-rt-us-crime-sandusky-paternobre83j1k6-20120420,0,6751287.story
    2 inferences:
    –Paterno had very hot shot & hard nosed attorneys drafting his contracts over time to have these benefits encoded, therefore he was not a simple homespun man unable to consult his law firm when McQueary come to hom about something more momentous.
    –at $900,000 radio & TV revenue to Paterno yearly from the team program, and perhaps more before economy fell & in more winning times, he stood a lot to lose if the program was tarnished by reports on Sandusky. He had financial incentive to keep Sandusky activity as rumored or reported quiet, as well as to approve Sandusky’s retirement perks so he didn’t mouth off that Penn State had treated him poorly.

  20. erose says:

    Found the old 2008 article. This guy was involved in the risk management, and judicials affairs of the athletic program.

    snips>

    As Penn State’s Associate Athletic Director for Administration, Sherburne will continue to oversee student-athlete services and will become the primary administrative contact for the Morgan Academic Support Center for Student-Athletes (MASCSA), Sports Medicine, Student Affairs, the Office of Judicial Affairs, Risk Management, Sports Camps, PSUAC, and the Bryce Jordan Center. In addition, he will remain connected with the Athletics Council for Diversity and Inclusion (ACDI).

    Sherburne started his professional career in the Morgan Academic Support Center for Student-Athletes in May 1991.

    In June 2000, Sherburne assumed the role of Assistant Athletic Director for Student-Athlete Services. For eight years, Sherburne supervised and managed the daily operations of the Student-Athlete Services Office (SASO) and was the primary ICA liaison with the Morgan Academic Support Center for Student-Athletes, Financial Aid, Undergraduate Admissions, Registrar, Bursar, Housing and Food Services, Risk Management, Sports Medicine, Judicial Affairs and the NCAA Initial Eligibility Clearinghouse.

    http://www.gopsusports.com/genrel/070808aaa.html

  21. erose says:

    How convenient. I thought there was a new policy on transparency. I guess it only applies when it does not conflict with the many other policies that can be used to hide behind. I realize they are in a tough spot, but they put themselves here, and if they expect anyone to consider themselves sincere, they have got to do better than this. I guess they are afraid of a lawsuit. Don’t they realize they are already being sued? Those documents must have been pretty incriminating for Curely, IMO.

    Sherburne was in risk management involved in many complex legalities of the athletic department from what I have gleaned from his job description. I am sick and tired of these guys that are superior one day and rubes the next. If I have this all straight, the president, the vp for finance, the athletic director, the head coach, and now some staff member all ran a mega-monstrosity university and sports conglomerate, but now they don’t know how to tie their shoe laces now.

    snips>
    “It’s an HR issue, and our policies are we don’t discuss HR issues,” Joyner said.

    Openness doesn’t mean you can violate your confidentiality policies, and it’s well-accepted that HR policies are confidential,” he said. “It’s not just about being open. It’s just

    Well it is an HR issue for now, and a Grand Jury issue for later, so wth?

    Totally agree on the valley of the giants until we get close and realize they can all fit in a mousehole; morally speaking of course.

    B
    http://pennstate.scout.com/2/1179248.html

  22. erose says:

    Peetz said, as she has previously, that Penn State must wait until the Freeh report, more formally known as the findings of the trustees’ special investigations task force, before moving forward on plans to honor Paterno. She called the upcoming report “the ultimate in transparency.”

    The task force does not have subpoena power. But Peetz said she spoke with Freeh’s investigators for three hours, that more than 200 people have been interviewed, and that Freeh is working with the state attorney general. “These people are not kidding around,” she said. “This is the FBI incarnate, and I don’t think anyone’s lying, I’ll tell you that.”

    http://pennstatermag.com/2012/04/20/peetz-erickson-answer-questions-from-alumni-council/

    The grand jury that continues to investigate has subpoenaed Erickson.

    “I intend to respond completely and truthfully to all the questions that I’m asked,” he said last week.

    At the same time, the internal investigation by former FBI director Louis Freeh on behalf of the board of trustees continues. Erickson said he is not receiving updates from Freeh

    Read more here: http://www.centredaily.com/2012/04/21/3170344/thrust-into-spotlight.html#storylink=cpy

  23. erose says:

    Go figure. Planning to plead the 5th at Sandusky’s trial. Hiding dcouments. Nothing to see here, move along. Somebody please take the shovels away from these people.

    snip>

    Penn State assistant athletic director Mark Sherburne was fired for keeping documents having to do with with former university Athletic Director Tim Curley, according to published reports.

    http://www.pennlive.com/midstate/index.ssf/2012/04/penn_state_assistant_athletic_2.html

    If there was no “intent” to concel them, why was he fired?

    snips>

    It’s not known specifically what the documents included, but they have since been turned over to the Attorney General’s Office, the source said.

    It is not clear why Sherburne had the Curley documents. But the source said there was no indication he had “intent” to conceal them. If he had, it could have resulted in an obstruction-of-justice charge.

    Sherburne had been warned previously for trying to get rid of documents that he thought did not pertain to the case, the source said.

    It is a human resource issue- entirely different than a criminal matter – how many more times do we think we will hear that over the next months?
    B

    http://articles.philly.com/2012-04-20/news/31374398_1_campus-shower-perjury-grand-jury-charges

  24. beejay says:

    MASCSA is all in the family. His wife, Sue Sherburne is in a major role there now. One of the Second Mile events is listed at the link:

    http://www.mascsa.psu.edu/nagle.html

    Mark was an academic counselor for the PSU football team in the late 1990s. There was a linkage to TSM then, with football players often given “punishment” in the form of assigned service work at TSM. As well as just invited to volunteer as mentors with TSM.

    Looks like the Sherburne family could know a lot about PSU-TSM linkages through several job-related

    connections.

    It continues to incense me that TSM could have been an extraordinary resource for children that really need it. Imo, they fall under a position of public trust as it relates to involvement with any criminal matter and should be dealt with accordingly as an example to other organizations who might think it ok to use grants and public donations to further personal wealth, pretending to abide by the rules.

    It is such a damn shame that it erodes an already “broken” system where their ARE parents who are suitable foster options or quality adults willing to volunteer in support roles.

    B

  25. beejay says:

    Curious minds want to know. Someone had previously warned MS not to destroy any documents. And this week he was “found in possession of…”. Uh, exactly how was he found to possess those? Did someone ransack his office? Was he discussing said documents with someone? Was someone suspicious and called in a security detail to confront him and demand him to produce docs??? It’s a vital detail that pertains to the question of obstruction of justice. Oh, and, uh, did the AG get ALL the pertinent documents? Just asking.

    “A senior athletics department official at Pennsylvania State University was fired this week after he was found in possession of documents pertaining to former athletic director Tim Curley….”

    http://articles.philly.com/2012-04-20/news/31374398_1_campus-shower-perjury-grand-jury-charges

    I am with you and erose on this one. “In possession of” is strong language.

    B

  26. beejay says:

    Here’s the time period in which MS served as academic counselor to the football team:

    “Sherburne was an academic counselor with the Penn State football team from 1995-99. Sandusky also left the Nittany Lion football program in 1999. Sherburne was then promoted to associated athletic director, a position in which he reported to Curley.”

    http://pennstate.scout.com/2/1179248.html

  27. beejay says:

    Snipped from Curley’s announcement at the time of Sandusky’s retirement:

    “”I’m pleased that following the conclusion of his coaching career, Jerry has agreed to continue a close relationship with the athletic department by volunteeering his leadership skills to assist the continuing development of our current Nagle Champs Lifeskills and Continuing Outreach programs.”"

    http://www.gopsusports.com/sports/m-footbl/spec-rel/070199aab.html

    So, both husband and wife Sherburne have been somewhat close to TSM’s activities.

    It’s hard to know what people will do under pressure. For myself, assuming I was totally innocent of anything–including a coverup–there is NO WAY I would dally around when asked to produce documents, thereby risking obstruction of justice charges. But, then, we don’t know what all is involved.

    I’ve always advised couples to not work for the same employer. It puts them in a bad position, with all paychecks coming from one place. And I’ve known employers who took advantage of that when push came to shove. IDK what’s going on here, of course. Many possibilities.

  28. Rose says:

    He began his career in 1991 in Atudrnt Athlete academic Support Center.
    That means he was a tutor to failing athletes.
    It doesn’t signify ability or education in finance, management, running an Admin Office or business.
    I fault those who promoted him up over his head with too many responsibilities.
    Probably he was a pleasant yes man
    Let’s hope the worm turns.

  29. Rose says:

    You know, responding to a doc subpoena failure seems to me a Judge Cynthia issue (sorry, cant remember full name).
    Seems to me the Univ paralegals & attorneys should have gone over every file in every office relative to the subpoena & if they lacked manpower hired outside counsel for same. Not up to dept employees to take on that responsibility. So who fires the Univ Counsel?

  30. beejay says:

    Well, Sherburne got some credentials; rose, you can see what these degrees actually mean as prep for an admin role:

    BS & MEd, Business Logistics, Counselor Education

    1986 – 1993

    http://www.linkedin.com/pub/mark-sherburne/a/10/b30

  31. erose says:

    I’m with ya Beejay, and have to ask what was in those documents! 1998 investigation, 2002 investigation, more allegations, documentation of “trips” and “camps” that have not been previously disclosed. I think somebody, McQ (for example), might have said “this exists, I know it’s there.”

    beejay says:
    April 21, 2012 at 8:57 am

    snip>
    It’s a vital detail that pertains to the question of obstruction of justice. Oh, and, uh, did the AG get ALL the pertinent documents? Just asking.

  32. erose says:

    You bet he was liaison to finance (Shultz) and legal (now Balwin and the risk manager that planned the insurance strategy for this fiasco). He wasn’t “the brains” but he was definitely “in the loop” which is obvious now. IMO.

    beejay says:
    April 21, 2012 at 3:41 pm

  33. Rose says:

    @beejay. Credentials tell me he should have continued tutoring in athlete student support, but onlyif he got some Orton Gillingham type reading instruction training and could teach software tools such as Kurzweill. But maybe his BA actually fit him to supervise the Center. I don’t think MEd Counseling says much for academic support, sorry.

    my son was at a Catholic HS which then had one of the country’s leading girl basketball teams, maybe boys too.
    The team Asst coach & supv of athletic academic support was a ninny, as were other team associates, who truly could not be trusted for a day as a sub teacher. when the HS fell apart, the asst coach was recruited at college level in Fla as asst trainor or water carrier type. Some of these AD Assts, not necessarily Shelburne, , are guys who get recruited to the AD program to play an academic support role, or an asst trainor, because they bring one or two important players with them, to hold their hand, then they dig into the bureaucracy.

  34. Rose says:

    personally to me the firing issue is judge cynthia’s not his, unless he took docs home or secreted them

  35. Rose says:

    While she is stepping down & vetting successor, who’s managing subpoenas?
    http://www.pennlive.com/midstate/index.ssf/2012/01/penn_states_first_in-house_cou.html?mobRedir=false

  36. erose says:

    Erikson and Baldwin have worked together before.

    Board of Trustees appoints three to Medical Center board
    Friday, May 16, 2008

    University Park, Pa. — Penn State’s Board of Trustees announced today (May 16) the appointment of Cynthia Baldwin and Edward R. Hintz Jr. and the re-appointment of Rodney A. Erickson to the Board of Directors of Penn State Milton S. Hershey Medical Center. Each appointee will serve a three-year term through June 30, 2011.

    Baldwin and Hintz will fill seats vacated by Marian U. Barash Coppersmith and Donald M. Cook Jr., whose terms expire this year.

    In May 2000, the Board of Trustees approved the establishment of the corporation “The Milton S. Hershey Medical Center,” a nonprofit organization charged with employing personnel, owning equipment and holding the hospital and other licenses necessary to provide health-care services.

    http://live.psu.edu/story/30901

  37. erose says:

    I don’t get it, if it was an innocent mistake, why did he get fired? And if it wasn’t an innocent mistake, why is he not charged with obstruction? The situation and outcome seem at odds.

    snip>
    A senior athletics department official at Pennsylvania State University was fired this week after he was found in possession of documents pertaining to former athletic director Tim Curley, who is charged with perjury in the child sex-abuse scandal that has engulfed the school, a knowledgeable source said Friday.

    It is not clear why Sherburne had the documents. But the source said there was no indication he had the intent to conceal them. If he had, it could have resulted in an obstruction-of-justice charge.

    http://articles.philly.com/2012-04-21/news/31379226_1_campus-shower-perjury-grand-jury-charges

  38. erose says:

    Looks like they are going after accountability in Philly.

    snips>
    And, he adds, the trial could have a worldwide ripple effect on the entire Catholic Church, which has been rocked to its core by widespread allegations of sex abuse by priests.

    On March 26, jurors first began hearing graphic testimony from former Catholic schoolchildren, parishioners and police detectives alleging the lurid lifestyles of predator priests.

    Lynn, 61, who served as the secretary for clergy under former Philadelphia Archbishop Cardinal Anthony Bevilacqua, is charged with child endangerment for his role in handling abuse complaints, including allegations against his co-defendant, Brennan, 48, who is charged with attempting to rape a 14-year-old boy in 1996.

    “When you see handwritten memos from very smart, high-level church officials, this unambiguous deception and selfishness really cuts through denial.”

    http://religion.blogs.cnn.com/2012/04/21/philadelphia-priest-abuse-trial-a-test-case-for-catholic-church/

  39. erose says:

    Same link: Great quote.

    The trial is expected to wrap up in June, just as the trial of Penn State’s former assistant football coach Jerry Sandusky gets started. That trial is scheduled to start on June 5.

    Both scandals represent a larger issue, according to Marci Hamilton, an attorney who has represented victims in clergy sex abuse cases – including recent suits against the Philadelphia archdiocese – as well as suits against Penn State in wake of the university’s sex abuse scandal.

    “I think we now know for certain that private institutions cannot be trusted to protect children on their own,” Hamilton said. “I don’t think it’s any surprise the church was the first focus; it’s the biggest institution. But they’re just a cornerstone of the larger problem.”

    http://religion.blogs.cnn.com/2012/04/21/philadelphia-priest-abuse-trial-a-test-case-for-catholic-church/

  40. beejay says:

    One possibility is that Sherburne wasn’t trusted to be a “company man” and was fired because of that. With, of course, the reason given being that he failed to comply timely with the internal PSU memo requiring employees to produce docs for the investigation (failure to comply with that memo could be the official grounds for firing).

    That would be a good strategy if you wanted to discredit any testimony he might later give. All you have to do is find one document–and it could be innocuous.

    I thought about that possibility after reading a reader comment at the link below, snipped here (have no idea if his statement is true):

    “The Firing of Mark Sherburne is a fascinating development. Many are not aware that upon becoming the acting athletic director, he was asked to be the guy to fire Joe Paterno. He Refused!….”

    http://www.pennlive.com/midstate/index.ssf/2012/04/penn_state_assistant_athletic.html

  41. erose says:

    One source close to the situation told 6News that new information obtained could be “devastating” to the court cases of former Athletic Director Tim Curley and former Vice President of Business and Finance Gary Schultz.

    http://www.wjactv.com/news/news/recently-fired-psu-official-connected-perjury-case/nMgQg/

    Me thinks someone printed out some emails.

    What a flipping mess erose.
    B

  42. erose says:

    I’ll bet you’re right about it being emails. I had not thought of that, but it makes the most sense. It sure is a big mess, and partly because Penn State tries to keep the obvious a secret, when they have more leaks than a colander and like this article, ends up admitting to the truth AFTER the truth has been established without their help. It’s either a really bad strategy or they have no strategy and keep trying to shoot from the hip. Either way, they continue to mishandle this IMO, and it is painful to watch.
    ——————————

    Just about every high ranking official and his or her cousin declined to comment on the story—deferring to some other department —making this just another Penn State story.

    I am hearing they are handing out subpoenas these days like after dinner mints and staffers threatened with their very jobs if they speak to the press. In a way, I support that with 3 investigations going on, as long as everyone is clear big brother is there to stay, and appropriately so when reliant on state funds derived from taxpaying citizens.

    B

    http://deadspin.com/mark-sherburne/

  43. erose says:

    Penn State president hasn’t appeared before the grand jury, his attorney says

    http://www.pennlive.com/midstate/index.ssf/2012/04/penn_state_president_hasnt_app.html

    Erikson’s attorney -

    Former Assistant U.S. Attorney in the Eastern District of Pennsylvania Joins Hogan Lovells in Philadelphia

    snips>

    Gibson has received numerous awards for her work from the Department of Justice and the Attorney General, including one she will receive on 6 December for a major pharmaceutical fraud matter. Other agencies, including the President’s (and the IG’s ) Council on Integrity and Efficiency, the Health and Human Services Office of Inspector General, the FDA Office of Criminal Investigations, the Army Criminal Investigative Division, and the Defense Criminal Investigative Service, have recognized her fraud prosecutions. In addition, the Environmental Protection Agency gave her its Bronze Star.

    According to Steve Immelt and Patrick Sherrington, Co-heads of the Litigation, Arbitration and Employment practice, “We are delighted to welcome Ginny to our white collar and healthcare litigation practice. Over her years as a prosecutor, Ginny worked on a number of innovative cases covering a range of healthcare fraud issues. She has developed a well-deserved reputation as a leading authority on federal healthcare prosecutions, including the False Claims Act. Her many leadership positions at the Department of Justice speak to her skill and judgment. Ginny’s deep experience dealing with fraud issues will allow her to deliver exceptional counsel and insight to clients across the U.S. in one of the most dynamic and challenging areas of the law.”

    Gibson said, “I am very pleased to be a part of Hogan Lovells, where I can focus on the healthcare, government contracting, and financial service sectors. I look forward to developing my practice with a group of colleagues who have a wealth of experience and integrity.”

    Gibson has served as Board Member and President of the Support Center for Child Advocates. She also teaches healthcare fraud as an adjunct professor at Rutgers, Temple, and Widener Law Schools.

    She received her law degree from Boston University School of Law (cum laude), where she served on Law Review. Gibson received her bachelor’s degree from DePauw University in Indiana.

    http://www.hoganlovells.com/former-assistant-us-attorney-in-the-eastern-district-of-pennsylvania-joins-hogan-lovells-in-philadelphia-11-15-2010/

  44. erose says:

    In May 2010, Viginia Gibson was appointed Executive Assistant U S Attorney in an office she where spent 24 years of her career, and by November 2010 she took the job at the private law firm. Didn’t she like the new boss?

    http://www.justice.gov/usao/pae/News/Newsletters/newsletterSummer2010.pdf

  45. beejay says:

    Well, erose, my skepticism is just never-ending. And so, with many qualified lawyers around I always wonder why someone chooses the one they did.

    Virginia “Ginny” Gibson, as well as qualified to represent Erickson, has been a Board member and Past President of the Support Center for Child Advocates. That org provides social services as well as legal counsel for abused children. IDK when Gibson held those positions, but here are some folks we know (with their affiliations as printed in this 2010-2011 annual report of the SCCA) that Gibson might also have known. Either thru her work there, or otherwise.

    Anywho, kudos to her for her work with SCCA. And if her work there, and any expertise acquired there were Erickson’s motivations for hiring her, then kudos, I suppose, to Erickson as well. But my dark mind always goes to “why that lawyer”? The answers being: for PR reasons (it’ll look good when her previous SCCA work is brought up). Or, did he hire her for who she knows?

    And, BTW, last I read, Gibson said RE had not appeared before the grand jury. But a time for a meeting with the AG was being discussed. So, uh, RE will meet with the AG (and Gibson, I presume) before he testifies before the GJ. I guess that’s routine for all GJ witnesses?

    I have to rein in my skepticism about Linda Kelly being Corbett’s AG-appointee and how much TC might still be influencing her and how this GJ conducts its business.

    2010-2011 SCCA annual report shows, among many others and many board members, these people we know who were members of its Leadership Council:

    Lynne Abraham (Archer & Greiner)
    Sheldon Bonovitz (Duane Morris)
    Ken Frasier (Merck)
    Ron Jaworski (ESPN)

    http://www.advokid.org/pdf/2010-11 Annual Report Online.pdf

  46. Rose says:

    you can have qualified lawyers, and then you can have seasoned litigators who’ve moved sideways from firms to Gen Counsel positions.

    Personally I’d put the good Judge & the Lobbyist firm owner to pasture if I were PS and get a seasoned litigator who’s been a GC to manage all for the Univ.
    I’m thinking of a role model example who was a Williams & Connolly litigator, then GE GC asst, then Danaher GC. This is the caliber of GC & case mgr that PS needs. Not a govt litigator/mgr/lobbyist like Freeh. Not someone with a previous Univ lustrous GC career that Baldwin is searching for it seems.

    I think the Board still has no clue what they have on their hands
    & thinks the politically connected, if they pay enough, can bail the school.

  47. Rose says:

    @erose, re Ginny & her healthcare fraud portfolio at doj, now private. some background:

    imo 24 years is unusual longevity  for a fed attorney.  she must have the heart of a civil servant.
    or a family/children in those years.

    re qui tam & fed false claims act used by private health care fraud attorneys in the 2000s:
    http://en.m.wikipedia.org/wiki/Qui_tam#section_1

    here is (an example only) a resume of an atty who did health care fraud in the DOJ for a decade until the Bush years, then moved private to use Fed False Claims Act — qui tam — to represent private plaintiffs doing same when DOJ stepped down health care fraud prosecutions:
    http://www.false-claims-act-health-care-fraud-whistleblower-attorney.com/our-lawyers/shelley-r-slade-bio.php

    so the question about Ginny  is not if she left the eastern district doj due to a new boss, but if she left because health care fraud litigation was going to be active again on the Federal level,  & she could not coast into fed retirement without working full stop as a litigator against private corps again.  And why not get private practice $.  may have even qualified for fed retirement after 20 yrs. 

  48. Rose says:

    question for corp attorneys out there.
    with the right GC, might PS as an entity have some sort of standing & causes of action against its Board or Board members for various fiduciary duty failures related to their self-interested crisis management & most notably expenditures arguably in their self interest dating to 2011?

  49. erose says:

    You’re reading my mind. I guess if you’re in the top 1% of anything, you’re going to know the other .9999%. Still…

    beejay says:
    April 25, 2012 at 11:22 am

    I guess we’re down to leaks. It just burns me that PSU is willing to make certain statements and not others. Their transparency site reads like a marketing campaign.

    I am hearing they are handing out subpoenas these days like after dinner mints and staffers threatened with their very jobs if they speak to the press. In a way, I support that with 3 investigations going on, as long as everyone is clear big brother is there to stay, and appropriately so when reliant on state funds derived from taxpaying citizens.

    B

    They are still focused on Paterno, and sadly can’t see the forest for the trees. Seems the BOT vote will come down to who is in favor of naming the field, or some other such blue and white controversy.

    Rose says:
    April 25, 2012 at 12:49 pm

    snip>
    I think the Board still has no clue what they have on their hands
    & thinks the politically connected, if they pay enough, can bail the school.

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