Gov. Bob McDonnell's choice of Fred Malek to chair the state commission on government reform and restructuring is still drawing fire from a couple of different angles.
Today, Sen. Donald McEachin, D-Henrico, blasted McDonnell for selecting Malek because of the businessman's $100,000 in fines from the Securities and Exchange Commission. The full amount of fines was $250,000.
According to McEachin, McDonnell dismissed the regulatory fines as a fairly typical offshoot of being in business for decades.
“For Governor McDonnell to imply that this kind of behavior is acceptable and allowable, even normal, is exactly the very reason that Virginians and Americans are frustrated and fed up with government. This did not happen thirty or forty years ago, but happened in 2004, a few short years ago! To ever tolerate corruption and illegal activity is totally unacceptable. Virginians deserve better. We deserve to know that our governor will seek out the very best, most highly qualified and above ethical reproach individuals to serve in our government. This government belongs to Virginians and we need that the individuals participating in it be ethical and above board. For us to have any confidence in the workings of this commission and this administration, we need to know that the Governor will insist on the highest ethical standards and will not tolerate illegal behavior of any kind.
“For Governor McDonnell to first say he was unaware of these details, and ignorant of a six figure fine, is absolutely stunning and, frankly, beyond belief. When any Virginian applies for a job, he is expected to fill out an application that asks about past activities. Is Governor McDonnell not even asking his appointees for the same minimal information? Instead, it seems we have yet another example of insider cronyism where the governor simply appoints his highly placed friends, perhaps in exchange for future endorsements or monetary support.
“This is simply unacceptable. I would ask the governor again to replace Fred Malek. In no way, shape or form should an individual who was fined for his illegal behavior with another state's pension funds be involved, let alone in charge of, "reforming" Virginia state government. The governor needs to find someone to lead this commission who is above ethical reproach, who has not been fined by the SEC and who the governor has ensured is the best qualified person for the job.”
Meanwhile, Timothy Noah at Slate.com- has a more historical takedown of Malek because of his work for the White House of Richard M. Nixon. As a 34-year-old Malek produced a memo President Nixon identifying Jews who worked in the Bureau of Labor Statistics.
Noah is not pleased that the common wisdom in Washington is that the bygones have already been accounted for.
"Malek's defenders," explains Frederick Kunkle in the May 21 Washington Post, "have said that he long ago apologized and atoned for his role in the Nixon-led inquisition." This view is widely held within Washington. But it happens to be wrong. Malek long ago copped to writing the Jew-counting memo, but he never admitted to—indeed, he lied with theatrical indignation about—his role in punishing the offending Semites, proof of which quietly surfaced in Slate three years ago."
Noah goes on to document Malek's statements about the affair and then match them with what really happened inside the White House. For McDonnell's side of the affair, here's his answer to did he know about Malek's role counting Jews for Nixon.
"No, I didn't know. Listen, Fred Malek is a very distinguished and successful business leader in Virginia. He's been president of Northwest Airlines, Mariott Hotels, he's turned those companies around, and when I'm looking for somebody to be a leader in a government reform effort to try to make Virginia government work better, I want a successful businessperson.The second thing I would say, I did not know about this background but it was 40 years ago, he made a mistake, he's apologized and atoned for it. But here's something even more important, Mark. Is that the leading Jewish organizations and leaders in America that know him have issued statements of support. The American-Israel Friendship League has issued a statement. [Malek sits on its board.] The Anti-Defamation League has issued a statement. Democratic Sen. Dianne Feinstein, who knows him well, says that he's an honorable man that she respects and trusts. Congressman Eric Cantor issued a statement. These are leading Jewish leaders. And so, they understand that that was 40 years ago, he made a mistake, and he has since then done any number of things not only to make up for that mistake but more importantly be a really successful, productive leader in Virginia. I respect that record."
But for Noah the math doesn't quite add up (and read to the bottom of the story for a good archive of Noah tracking Malek.)
"Now Malek is reorganizing Virginia state government. I wouldn't go so far as to say that in giving Malek this job, McDonnell is coddling an anti-Semite. I believe that Malek was probably repulsed by what he ended up doing for Nixon. But he did it, and ever since Malek has lied to avoid admitting the depth of his involvement in this grotesque episode. If that's atonement, then I'm St. Francis of Assisi."
And Virginia Democrats are now using the Slate article to help with fundraising efforts, talking about the direction of the state since the "McDonnell / Cuccinelli administration" took office.
Chairman Richard Cranwellhad this to say in a email fundraising plea.
Again and again, the McDonnell/Cuccinelli administration continues to jeopardize the successes that we've built here in Virginia in order to pursue a personal, ideological agenda.
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