Friday, September 7, 2012

Bombshell: MBNA bank while Freeh was co-chair and general counsel was major corporate sponsor of Jerry Sandusky and Second Mile.




A copy of a document sent to me by a source and dated February 28,2000 ( a link is provided at the bottom)  and further corroborated by other documentation has revealed that MBNA bank (now Bank of America)  beginning in 2000 and throughout the entire tenure of Louis Freeh as the bank's vice chairman and general counsel,  was a major corporate sponsor of Jerry Sandusky and Second Mile and continued to be throughout Freeh's tenure at the bank from 2001 to 2006 when MBNA bank was bought by Bank of America for $35 billion.  Freeh at the time cashed in $20 million in stock options.

As the document shows, in April of 2000, less than two years after the 1998 Sandusky investigation, MBNA bank sponsored a testimonial dinner at Penn State to honor Jerry Sandusky. This relationship and sponsorship of Sandusky and Second Mile by MBNA bank continued while Freeh became the bank's vice chairman and general counsel.

 In addition, evidence shows that Ric Struthers, vice president  and head of the credit card division at MBNA bank and a close friend and colleague of Freeh sat on Jerry Sandusky's Second Mile board of directors at least until 2006.

 Given MBNA bank's important financial relationship to Penn State and their relationship to Jerry Sandusky and Second Mile as one of Sandusky's biggest biggest corporate sponsors and Freeh's position as vice chairman and general counsel,and given Freeh's friendship with Ric Struthers,  an MBNA vice president  who sat on Sandusky's Second Mile Board of Directors from 2000 to at least 2006,  the conflicts of interest involving Freeh,  MBNA bank, it's executives and Jerry Sandusky and Second Mile are so great, so irreconcilable, and so substantive it raises many legitimate questions on ethical grounds alone, as to why Freeh was even chosen to conduct the investigation and completely invalidates the Freeh Report as an honest, objective independent investigation, untainted by bias or self interest.

And that Freeh did not disclose this conflict of interest and ethcially disqualify himself from conducting it, further erodes Freeh's credibility, the credibility of the report, and calls into question Freeh's real  motives.It also begs the question, did the Penn State Board of Trustees know about this conflict of interest before assigning Freeh to do the investigation? If so then their motives for hiring Freeh, perhaps to insure that they are taken off the hook, must be questioned since the conflicts of interest are so great that Freeh never should have been allowed to do the investigation in the first place.
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Aside from the clear lack of ethics the conflicts of interest  indicate,and how they invalidate the Freeh Report,  they also raise other serious questions. Specifically what did Freeh and other MBNA bank executives know of the 1998 Sandusky investigation and when did they know it? Or McQueary's 2001 allegations? What did Ric Struthers know and when did he know it? And was the Freeh Report and its unsubstantiated conclusions and accusations against Joe Paterno and others actually  Freeh trying to shield MBNA bank executives,personal friends like  Ric Struthers and even himself from bad or damaging publicity and not as Freeh alleged, Joe Paterno trying to shield Penn State?

 The evidence shows that a major and mutually lucrative financial agreement had been completed between MBNA bank and Penn State, negotiated in part by MBNA bank vice president  Ric Struthers less than two years after the 1998 Sandusky investigation on possible allegations of child abuse. The agreement called for MBNA bank to pay Penn State $30 million just for its mailing list. MBNA bank used that list to solicit and  provide credit cards to Penn State students and faculty.  Ric Struthers, as already noted, sat on the Board of Directors of Jerry Sandusky's Second Mile.

With MBNA bank one of Sandusky's biggest corporate sponsors and its vice president of the credit card division sitting on Sandusky's Board, along with the conflicts of interest that make Freeh's investigation worthless,  is it possible that Struthers, Freeh, or other MBNA bank executives knew nothing of the 1998 Sandusky investigation?Is it possible that they didnt?

It is believed that they did know and  protecting that information along with Freeh not wanting to lose a $6 million pay day were the motives behind Freeh not recusing himself from doing the investigation and his motives behind his unsubstantiated conclusions and manipulation and mischaracterization of evidence to pin the blame and focus attention on Paterno and others.

That MBNA bank executives, including Freeh, knew about the 1998 investigation of Sanduskyis re-enforced by their professional relationship with and unqiue position of Gary Schultz.

Schultz was head of Penn State police services, and as the emails in the Freeh Report show, was privy to all the details concerning the 1998 investigation of Sandusky. Thomas Harmon, Captain of Penn State police kept Schultz, as his superior, informed of the progress of the investigation, details and it's outcome. It was Schultz who Curley turned to for updates concerning the progress of the investigation.

 But Gary Schultz  was also Vice President of Business and Finance at Penn State and as such most certainly was directly involved in the financial negotiations between Penn State, Ric Struthers, and MBNA bank. And  as VP of Business and Finance  it was Schultz who most certainly had to approve the deal negotiated with Struthers and MBNA bank..

 Is it possible that with knowledge of the 1998 Sandusky investigation as head of Penn State police services,  and his position as Vice President of Business and Finance and after negotiating a large and financial deal with MBNA bank and Ric Struthers, (who also happened to be a former Penn State grad,  class of '77) that Schultz would not mention to Struthers, even in a general off the record way anything about the 1998 investigation of Sandusky or that there even was an investigation? Is it possible Schultz would allow MBNA bank with whom he had negotiated a large financial deal beneficial to Penn State,  to become a major corporate sponsor of Jerry Sandusky and Second Mile and allow Struthers to sit on Sandusky's Board of Directors without a word to anyone there about the 1998 Sandusky investigation?

It is believed that is not possible. It is highly unlikely Schultz would have kept that information from Struthers, especially since the investigation ended with no charges against Sandusky. And given the possible exposure for both Struthers and MBNA bank  and the possibility for embarrassing or damaging publicity,  they would have certainly held Schultz accountable had they not been informed and then later learned of Schultz' knowledge of the 1998 Sandusky investigation for child abuse if things went bad with Sandusky as they eventually did.

 Would Schultz have put such a lucrative business arrangement for Penn State at risk , would he have jeopardized it and allowed the exposure of MBNA bank as a major corporate sponsor of Sandusky and Second Mile and for Struthers to sit on Sandusky's board without saying a word? It is believed not. The evidence points to the fact that they knew.

 Consequently,  given the relationship between Struthers and Louis Freeh it is unlikely Struthers would not have passed on whatever information he had from Schultz about the 1998 investigation to Freeh.,in his position as vice chairman and general counsel of MBNA and as a former FBI director.And a personal friend as well as colleauge of Struthers.

 Freeh's relationship with Struthers was first reported, in March of 2012, when Jim DiStefano, a reporter for the Philadelphia Inquirer who was aware of Freeh's position at MBNA bank and their financial connection to Penn State called Penn State and asked about the apparent conflict of interest. DiStefano was suspicious because the bio of Freeh that was released when it had been announced that he would do the investigation touted other aspects of Freeh's resume but didnt mention the relationship between MBNA bank where Freeh was vice chairman and Penn State.

 A Penn State spokeswoman referred DiStifano to the board's special committee for the investigation. They in turn referred DiStefano to Kekst & Co, the PR agency the board had hired. DiStefano reported that Jeremy Fielding of Kekst & Co. told him in 2012 " Judge Freeh has had no previous personal connection to Penn State university".

That, as it turns out was not true. In 2005 Penn State honored MBNA bank vice president  Ric Struthers, with a testimonial dinner at Penn State. The featured guest speaker at that Penn State dinner for Struthers was Louis Freeh.

There is now more credible questions raised about whether MBNA bank executives, Ric Struthers and possibly Freeh himself knew about the 1998 Sandusky investigation than there is that Joe Paterno knew. And even if Paterno did know ( for which there is  still not a single shred of actual proof) what Paterno would have  known would have been no different from anything Ric Struthers,other MBNA bank executives or even Freeh himself would have known . Yet Freeh  used that same knowledge as "evidence"  that Paterno was involved in a cover up to shield Penn State from bad publicity. But there is now more credible evidence that suggests it was Louis Freeh who used  unsubstantiated conclusions, fabrications and manipulated evidence and intimidated witnessess, who was the one trying to shield MBNA bank executives from bad publicity, not Joe Paterno, 

This became especially important since MBNA bank had been bought by Bank of America in 2006 and still employs many of MBNA bank's executives including Struthers. Any connection to Sandusky or Second Mile or evidence that their executives knew of the investigation in 1998 would have damaging consequences.
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Even the most ardent of Freeh's supporters (assuming there still are any) could not argue that the conflict of interest between Freeh, his position at MBNA bank as vice chairman and general counsel  the bank's major sponsorship of Sandusky and Second Mile and  Freeh's relationship with Ric Struthers who sat on Sandusky's Board of Directors, would not, if ethics prevailed,  have disqualified Freeh from conducting the investigation. And no one can argue that this conflict of interest, aside from the questions it raises about Freeh's own knowledge and that of other MBNA bank executives,doesn't invalidate the Freeh Report as an honest, objective, independent investigation.

 Based on these conflicts of interest and the substantial questions they raise and in the interests of fairness and justice the NCAA should  immediately suspend its sanctions against Penn State which are based entirely on the Freeh Report, at the very least  pending their own investigation as one of Freeh's investigators already suggested, and any and all actions taken based on the  Freeh Report should be put on hold until a true investigation can take place. Or it is concluded that one isnt neccessary and simply let the justice system given the upcoming trials of Curley and Schultz, run their course before any other action is taken.

The revelation of these conflicts of interest also once again proves the ineptitude, incompetence, journalistic dishonesty, and the injustice caused by the mainstream news media,  as well as simply flat out stupidity from journalists at Time Magazine, CNN, ESPN,  the Philadelphia Daily News,  and countless radio talk show hosts and others who were only too glad to jump on their self-serving bandwagon , accept the Freeh Report at face value, and in so doing made a mockery of justice and what journalism is supposed to be.

Until we get some answers from Tim Curley and Gary Schultz there are other questions still to be answered. This time of Louis Freeh. But if his history of allegations of unethical conduct is any indication, don't expect to get any answers. At least not from him. But in the meantime, there is only one action to be taken based on the Freeh Report and based  on the irreconcillable conflicts of interest that exists. Discard it. And reverse every action taken upon which it was based, until something more honest, objective, untainted and reliable can take it's place.



27 comments:

JohnP said...

Additional connection between Struthers and Freeh. I don't have the link but Google it and u will find it. There was a helicopter crash in NYC, mbna executives were in a helicopter that ended up in the river. All survived. Struthers was in the chopper and Freeh was mbna legal councle that handled the incident. It's clear they knew each other very well.

FrankO said...

I'll do the Google'ing for you: http://www.nytimes.com/2005/07/01/business/01dealmakers.html?_r=1

MarcusAurelius said...

This is probably a quantum leap but,wasn't this all occuring when the ex PPD officer alledges the Phila. pedophile ring was operating. Hence, maybe the named individuals in the article were partaking and this is their coverup? Hide in plain sight and pile it on revered figure like JVP.

JohnP said...

Names of this in the chopper.
http://www.usatoday.com/news/nation/2005-06-17-copter-nyc_x.htm

Bud_Dwyers_Brain said...

OH NO!! The black helicopters are circling (and, apparently crashing w/ MBNA execs on-board)!! It's sad seeing you people turn into rabid, wild-eyed conspiracy theorists. The university should just sell PSU/JoePa/409 tin foil hats in the bookstore. Sure to make a killing!

Lemme guess, 9/11 was an inside job and there were 2 more shooters on the grassy knoll?!?

LOLOLOL!!

Chuck said...

this is old news.
http://abcnews.go.com/US/penn-state-hires-fbi-director-louis-freeh-investigate/story?id=14999351#.UEoubrIiatk

Anonymous said...

The article misstates some factual evidence, so how are we to believe it in its entirety? For instance Struthers is not employed by Bank of America. He left Bank of America in early 2010.

I'm not sure how Freeh speaking at an event honoring Struthers proves a coverup?

There are many former PSU students, faculty, administrators that donated to Second Mile

Nick and Mariko said...

Bud Dwyers Brain,

OH NO!!! I find you again. Answer for me why you think it is so funny that Pennsylvania's state treasurer shot himself on TV. Let me guess, your other call names are "Lee Harvey Oswald's Magic Bullet" and "Fukushima Forever".

Your comments will lack merit because you have no class as a human being. I knew Bud Dwyer personally and was devastated when he killed himself. Thank you for reminding me.

Grow up or shut up. LOLOLOL!!

Anonymous said...

rAnonymous@2:13 "There are many former PSU students, faculty, administrators that donated to second Mile"...yes, but how many of them were paid 6.5 million to write a hit piece on everything Paterno and PSU, without facts? You obviously missed the entire point of Marc's article.

Bud_Dwyers_Brain said...

Nick and Mariko,

If you knew Bud personally, I impressed you know how to use a computer. I take it they teach life-skills at your blue-hair, retirement community....LOL.

Dude was a crook, and a very selfish one at that. Instead of accepting his punishment like a man, he selfishly decided to inflict irreparable harm upon his family, friends and a stunned public viewing on television.

His co-defendent served a grand total of one year in prison, while Budd left behind a lifetime of smoldering anguish for those left behind. I regret if you fall into those categories....

Nick and Mariko said...

Bud Dwyers Brain,

I can understand why you wouldn't respect Bud Dwyer. I can't understand why you would use his name for your call tag.

I met the man when I was a child. My father was good friends with him. I found out he killed himself when the mother of a school friend of mine rushed downstairs in hysterics after the live conference. I wish he had not killed himself and shown some more courage in facing the charges. I also think that you have some serious credibility issues (not to mention personality issues) when you choose to mock his suicide every time you post a comment.

I know "flame" when I see it. I just hope the other posting commenters, whatever their opinions of the Sandusky scandal, can see you for the callous cynic that you are and measure your comments accordingly.

As I said before, grow up or shut up. I remember kids making jokes about Bud Dwyer when I was in school. They, at least, had the decency to say "sorry" when they found out I knew him.

Anonymous said...

Joe DiStefano at philly.com laid all this out in articles on November 21 and 22, 2011. America yawned.

How about coming up with a "bombshell" that didn't already "explode" TEN months ago?

Anonymous said...

Wow, how original! ... you got the ol' grassy knoll reference in there! Good for you...
You do realize that there may never in this modern era have been a case where so many reputations have been ruined, men condemned in the court of public opinion, and their families humiliated and distraught... all without real proof or any attempt at due process.
This was about abuse of children, but in its aftermath, it's a black example of how we're willing to accept scant evidence to make ourselves believe we've done something about these crimes, and help us push them away.
There's a reason we say, "The truth will out..."
When the assembled truth makes no sense, there is another explanation.
Do you really believe Mike McQueary's 5 different accounts of what he 'saw'?
It's 'you people'... those who don't want to look deeper, and are willing to let someone be excoriated without proof, who are off track.

Anonymous said...

"Do you really believe Mike McQueary's 5 different accounts of what he 'saw'?"

I believe the sworn accounts that he gave the Grand Jury, the Trial Jury and the Preliminary Hearing Judge, all of which were consistent with each other and BELIEVED by the Grand Jury, Trial Jury and Preliminary Hearing Judge.

Do I believe an anonymous account which allegedly appeared in a chat room five years ago and according to some guy who knew Mike's brother was posted by Mike? Nah, I don't believe that one.

Do I believe the account testified to by Dr Dranov at Jerry's trial and rejected by the jury in favor of Mike's account? Nah, I don't believe that one either.

Does that make five? I guess it does. Wait a minute. I believe the folks at framingpaterno.com just came up with another imaginary conversation that "must" have happened. I'll get back to you on that one.

Anonymous said...

One question, why do you care what others post on a blog if you disagree with it so much? You take the time to write this stuff for what purpose other to incite hatred? Why even take the time to read it?

Anonymous said...

"One question, why do you care what others post on a blog if you disagree with it so much? You take the time to write this stuff for what purpose other to incite hatred? Why even take the time to read it?"

What does participating in a free-wheeling exchange of views on a matter of public interest have to do with inciting hatred?

Grow up. "Adults" debate. They employ sarcasm, parody, irony, wit. They parry and thrust rhetorically. If you construe every attempt to challenge the strength of your opinions as an act of hatred, you have no business on the internet.

Anonymous said...

I do believe you just covered the definition of "trolling". Someone posts a question and 30 minutes later you counter. Seems as though you don't have a life.

Anonymous said...

"I do believe you just covered the definition of "trolling". Someone posts a question and 30 minutes later you counter. Seems as though you don't have a life."

Believing that anyone who disagrees with you is motivated by malice is childish. This is particularly so when the person with whom you disagree is arguing on behalf of the victims. I shouldn't be surprised. After all, anyone who resents Mike for putting Jerry away is bound to resent anyone who defends him.

Anonymous said...

"Schultz was head of Penn State police services"

Nope. We have already proven this to be a lie.

From the grand jury report (Q is the lawyer and A is Schultz):

"Q Sir, it might surprise you to know that the '98 investigation was handled by your police department and there's a --
A In its entirety?
Q There's a 95-page police report on that incident.
A In its entirety?
Q Correct.
A Wow. I thought that it was turned over
to the child protection agency for investigation."

Schultz describing his duties:
"I really run the operations of the university, the physical plant, all the facilities and services of those facilities, all the housing and food services; if you have ever been on Penn State campus, the Nittany Lion Inn, the airport, all kinds of printing and fleet, human resources, university police, and all the finance elements of the university which would include the controller, the budget office and the investment office."

And something to go directly against you saying Curley went directly to Schultz, who was receiving updates from Harmon:
"A I probably would have been able to, but it was my practice that I didn't ask the police for police reports."

-MC

Marc Rubin said...

"Nope. We have already proven this to be a lie."

I wont call you a liar just incredibly dumb, stupid and with a reading comprehension that wouldnt make 8th grade.

what part of "university police" didnt you understand in Schultz job description. Also who do you think Thomas Harmon captain of the Penn State police was reporting details to in a child abuse investigation in 1998 that unauthorized people are forbbiden by law to have? Schultz as head of Business and Finance? Any evidence that Harmon was fired and prosecuted for giving Schultz information about the 1998 Sandusky investigation Schultz wasnt authorized to have? Want to put on your thinking cap and try and figure out why Curley asking SCHULTZ for updates on the investigation? Think he was talking about a bank loan? I know if you ask someone to explain it all to you someone will do it and then convince you not to make an ass of yourself next time you try and call something a lie because you have reading comprehension issues.

Anonymous said...

Marc,

Thanks for your always well thought out and respectful comments. You continue to prove again and again why this blog is as big a fraud as you say Louis Freeh is.

You ask what part of "university police" I don't understand in Schultz's job description... But where is that, exactly? He lists physical plant, facilities, services, housing, food, an Inn, an airport, printing, fleet and HR ahead of university police. Nowhere does it say "Head of Penn State Police Services" in his job description.

You also ask "who do you think Thomas Harmon captain of the Penn State police was reporting details to in a child abuse investigation in 1998 that unauthorized people are forbbiden by law to have?"...

Did you not the quote directly related to the '98 investigation I just posted? You go after my reading comprehension skills but try to spin this as though Schultz was some sort of information guru. The guy said, under oath, that he had no idea the PSU police department handled the '98 investigation. The other quote says he didn't ask police for police reports.

Sounds like a regular law enforcer to me.

Keep it up,
-MC

Marc Rubin said...

"You go after my reading comprehension skills but try to spin this as though Schultz was some sort of information guru. The guy said, under oath, that he had no idea the PSU police department handled the '98 investigation. "

Of all the people commenting here you are clearly the most ignorant uninformed and yes, ypour reading comprehension, ability to think and process information Im afraid to say is a joke. Whatever you have invested in NEEDING to believe the nonsense in the Freeh Report and from a man with a history of lying,perjuring himself and smearing people is your business. But you are way way over your head in even trying to comment on the facts of the case and what you believe is so, in terms of what anyone has said or any of the evidence doesnt rise to the level of believing in Tinker Bell.

Marc Rubin said...

You ask what part of "university police" I don't understand in Schultz's job description... But where is that, exactly? He lists physical plant, facilities, services, housing, food, an Inn, an airport, printing, fleet and HR ahead of university police. Nowhere does it say "Head of Penn State Police Services" in his job description."

As a public service so you dont continue to make yourself look silly here are some quotes so you'll understand why you seem to be the only one on the planet who doesnt know Schultz was head of Penn State police service:

From CNN: Prosecutors say Gary Schultz, a former Penn State vice president who oversaw campus police...

From NPR: As vp of business and finance which gives him oversight of Penn State police, Schultz, 62 was charged with...

From the American Family Association web site: .) Will the school continue paying the legal fees for Curley and Gary Schultz, whose job description included oversight of the campus police?

From ESPN: "The document states that Schultz, who also oversaw the school's police force,.."

Im sure you can find a lot more but this is all I have the time for.

Anonymous said...

Marc Rubin said...
"Whatever you have invested in NEEDING to believe the nonsense in the Freeh Report and from a man with a history of lying,perjuring himself and smearing people is your business."

Where did I reference that nonsense? I posted direct quotes from the mouth of the man you are claiming was some police lord that knew everything about these investigations. THE MAN DID NOT KNOW "HIS" POLICE DEPARTMENT INVESTIGATED SANDUSKY!

"But you are way way over your head in even trying to comment on the facts of the case and what you believe is so, in terms of what anyone has said or any of the evidence doesnt rise to the level of believing in Tinker Bell."

Your entire post is based on a hypothetical scenario. I posted words from the mouths of those involved contradicting your points. Let's let Tinker Bell determine which holds more weight.

-MC

Anonymous said...

Marc Rubin said...
"As a public service so you dont continue to make yourself look silly here are some quotes so you'll understand why you seem to be the only one on the planet who doesnt know Schultz was head of Penn State police service:"

I still didn't see "Head of Penn State Police Services" anywhere in your post from four sites. Schultz also oversaw the medical facilities. Does that make him a doctor? How about a landscaper? He oversaw that department as well.

Once more, from the source:

Schultz: "I really run the operations of the university, the physical plant, all the facilities and services of those facilities, all the housing and food services; if you have ever been on Penn State campus, the Nittany Lion Inn, the airport, all kinds of printing and fleet, human resources, university police, and all the finance elements of the university which would include the controller, the budget office and the investment office."

And another for good measure:

Schultz: "it was my practice that I didn't ask the police for police reports."

Maybe he is just talking in the third person like, "Gary don't ask Gary for Gary reports."

-MC

Anonymous said...

2 questions that should answer things:

1) Was Gary Schultz the "Head of Penn State Police Services" or "Vice President of Business and Finance"?

2) Does Schultz sound like a guy who was kept in the loop on police matters?

-MC

Bill Levinson PSU B.S. '78 said...

https://web.archive.org/web/20111110223737/http://www.thesecondmile.org/pdf/AnnualReport2006.pdf for the Second Mile annual report, which is no longer available on the original site.