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Star Lobbyist Closes Shop; Bank Walkaways Leave Trail of Headaches; Blame, Acclaim for KB Exec

POSTED: 09:15 AM ET, 03/30/2009 by Amanda Zamora

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Star Lobbyist Closes Shop Amid Probe » As Paul Magliocchetti prepares to shut down PMA Group, many on Capitol Hill are wondering who else will be ensnared in the investigation as prosecutors pore over the financial records and computer files of one of K Street's most influential lobbyists. And though House Speaker Nancy Pelosi remains opposed to an ethics investigation on the Hill, other Democrats worry that momentum for a congressional probe will grow. — New York Times, Politico

Bank Walkaways Leave Trail of Headaches » City officials and housing advocates across the country say they are seeing an unsettling development: Banks are quietly declining to take possession of properties at the end of the foreclosure process, most often because the cost of the ordeal exceeds the diminishing value of the real estate. The so-called bank walkaways catch property owners by surprise and often mean additional financial burdens and bureaucratic headaches. — New York Times

Blame, Acclaim for KB Exec » Bruce Karatz, 63, is set to be arraigned today on charges that he committed fraud in manipulating stock options in a case that one FBI agent says illustrates "avarice and dishonesty at its core."But friends an associates, including former L.A. Mayor Richard Riordan and billionaire philanthropist Eli Broad, paint an entirely different picture. — L.A. Times

Obama Ousts GM Chief » The White House's insistence that G. Richard Wagoner step down is an extraordinary intervention of the federal government into the management of a private company. A senior administration official said Wagoner's resignation was required because the company needs a "clean sheet." — Washington Post

After the jump...

BEST OF THE REST
» K Street Bustles as Clients Push Stimulus Agendas (WaPo)
» AIG Crisis Could Be Tip of Insurance Iceberg (LAT)
» Insurers shun those taking certain meds (Miami Herald)
» FBI Opens Inquiry Into New Orleans Death (ProPublica)
» FBI inquiry involves Missouri lawmakers (Kansas City Star)
» In Drug War, Mexico Fights Cartel and Itself (NYT)
» Long-delayed Khmer Rouge genocide trial opens (AP)

By Amanda Zamora |  March 30, 2009; 9:15 AM ET The Daily Read
Previous: Lawyer: Stanford Is No Madoff | Next: Blago Campaign 'Hit List' Targeted Burris, Other Senate Candidates

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