Here's one way the greed and leverage boys have tapped Uncle Sam for big profits:
Worrall was an employee at the Center for Medicare-Medicaid Services (CMS); Blaszczak, a consultant for hedge funds, was a former CMS employee. Huber and Olan were partners in a hedge fund ("Deerfield"). At various times between 2009 and 2014, Worrall gave Blaszczak nonpublic information about the timing and substance of proposed CMS rule changes that would change reimbursement rates for certain types of medical care for various health conditions. Blaszczak gave that information to Huber, Olan, or another Deerfield partner, following which Deerfield engaged in profitable short sales of shares of companies that would be negatively affected by reimbursement rate reductions when they became effective.
Note the former government employee consulting for a shadow banker (hedge funds, private equity) and the government insider (regulator, elected official). This kind of information trade is regular business in our Government Corporate Monstrosity.
The Justice Department decided the above actions were OK as "the confidential information at issue in this case does not constitute "property" or a "thing of value."
... a planned CMS regulation, even if disclosed to outsiders prematurely, remains within the exclusive control of CMS.
It kept wire fraud in play for the above actions.
That's a relief for Carlyle Group co-founder David Rubenstein and Blackstone co-founder Stephen Schwarzman. Both are policy making billionaires with inordinate influence over non-property government decisions.
It's also a relief for the many former Medicare Chiefs employed by private equity underwriters (PEU). The greed and leverage boys have made big bets on healthcare firms. It's no surprise a court and the "Just Us" department endorse unethical profits for shadow bankers employing former government officials.
Update 12-31-22: CommonDreams revealed the early roots of our Government Corporate Monstrosity.
