BREAKING: Hawley Brutally Confronts Granholm About 'Institutionalized Corruption' Leading To Clash

Forbes Breaking News

16 Apr 202406:04

Summary

TLDRIn a tense exchange, a senator confronts the Secretary of Energy about alleged institutional corruption within the department. The Secretary is accused of misleading the committee by initially denying ownership of individual stocks, which she later admitted to owning and selling, including one in Ford that her husband had owned. The senator also questions the Secretary's involvement with Proera, a company where she sat on the board and made millions, and her promotion of its stock and products. The dialogue further implicates the Secretary for attending conferences funded by foreign billionaires, potentially influencing American politics through dark money. The Secretary defends the department's ethics office and its oversight of stock trades but the senator remains critical of her actions and the department's integrity.

Takeaways

📉 The Energy Department has been accused of institutionalized corruption with over 130 officials involved in 2,700 trades related to their work.
🤔 The Secretary of Energy was questioned about owning individual stocks, which she initially denied, but later admitted to owning and failing to report them.
🕰️ There was a delay in reporting the stock holdings and sales, raising concerns about transparency and honesty.
🚫 The Secretary was criticized for misleading the committee and hiding information regarding her stock holdings.
🏦 It was suggested that the Secretary's actions may have been influenced by her financial interests, particularly in Proera, where she had been a board member.
💼 The Secretary claimed that she was unaware of some of her stock holdings, including a Ford stock owned by her husband.
📈 The Secretary sold six stocks, one of which was a conflict of interest, but could not specify the other five.
🧐 The Secretary's knowledge of foreign billionaires funding conferences she attends was questioned, with concerns about potential conflicts of interest.
💰 The involvement of foreign money, through entities like the Burger Action Fund, in funding conferences the Secretary attended was highlighted.
🚫 The Secretary denied any wrongdoing and stated that the Department of Energy has a strong ethics office that prevents stock trading in areas of oversight.
❗ The situation was described as deplorable and outrageous, with a call for change and accountability in the Energy Department.

Q & A

What was the main issue raised by the senator regarding the energy department officials?
-The senator raised concerns about over 130 officials in the energy department who reported more than 2,700 trades of shares, bonds, and options in companies related to the agency's work, which the senator described as institutionalized corruption.
What was the secretary's initial response when asked if she owned any individual stocks?
-The secretary initially stated that she did not own any individual stocks, responding with 'no' three times when directly asked by the senator.
Why did the senator accuse the secretary of misleading the committee?
-The senator accused the secretary of misleading the committee because it was later discovered that she did own multiple individual stocks, which she had failed to report for several months.
What was the secretary's explanation for the delay in reporting her stock holdings?
-The secretary claimed that she was not aware that she still owned individual stocks and that she had believed they had been sold. She said she reported the situation to the committee as soon as she realized the mistake.
What specific stock was mentioned that the secretary was aware of owning?
-The secretary mentioned that she was aware of owning Ford stock, which her husband had owned since he was very young.
How did the senator characterize the secretary's actions regarding her stock holdings and involvement with Proera?
-The senator accused the secretary of presiding over institutionalized corruption, suggesting that she had a conflict of interest by owning stock and promoting Proera, where she had previously sat on the board of directors.
What was the senator's concern about the secretary attending conferences funded by foreign billionaires?
-The senator expressed concern that attending conferences funded by foreign billionaires, potentially using dark money, could be an attempt to influence American politics.
What was the secretary's defense regarding the trading of stocks by energy department executives?
-The secretary stated that no one in the Department of Energy, including herself, trades stocks in areas they have oversight over, and that the department has a strong ethics office that consults with employees about their stock holdings.
What report did the Wall Street Journal publish that was referenced during the discussion?
-The Wall Street Journal published a report that detailed how energy department officials were trading stocks in companies they had direct oversight over, which was a point of contention in the discussion.
What was the senator's final conclusion about the situation in the energy department?
-The senator concluded that the record was deplorable, despicable, and outrageous, citing the trading of shares by department officials, the secretary's misleading testimony, and her attendance at conferences funded by foreign billionaires.
What was the senator's recommendation for the secretary at the end of the discussion?
-The senator suggested that the secretary should consider it a time to change the current practices and thanked the chairman, implying that the secretary should take responsibility for the situation.

Outlines

00:00

😡 Misleading Testimony on Stock Ownership

In this heated exchange, a senator confronts the Secretary of Energy for providing false testimony regarding her ownership of individual stocks. The senator accuses the Secretary of misleading the committee and hiding information about her stock holdings, which were related to companies the department oversees. The Secretary claims she was unaware of the stocks and reported them as soon as she discovered the mistake. The senator also questions the Secretary's involvement with Proera, a company she sat on the board of and promoted as Secretary, and whether it was one of the stocks she sold.

05:02

😠 Outrage Over Institutionalized Corruption

The senator continues to express outrage over what he sees as institutionalized corruption in the Department of Energy under the Secretary's leadership. He criticizes the Secretary for misleading the committee, attending conferences funded by foreign billionaires using dark money, and allowing department executives to trade stocks in companies they have direct oversight over. The senator calls the Secretary's actions deplorable, despicable, and outrageous, and demands change. The Secretary defends the department's strong ethics office and policies against trading stocks in areas of oversight.

Mindmap

Keywords

💡Institutionalized Corruption

Institutionalized corruption refers to a situation where corrupt practices become embedded within an organization's policies and procedures, making them a regular part of the organization's functioning. In the script, it is suggested that the Energy Department has become a site of such corruption, with officials trading shares in companies related to the department's work, which is seen as a serious ethical breach.

💡Individual Stocks

Individual stocks are shares in a single company that an investor can buy and sell. The script highlights the importance of transparency in ownership of such stocks, especially for officials who may have conflicts of interest due to their positions. The Secretary's ownership of individual stocks and the subsequent failure to report them is a central issue in the dialogue.

💡Ethics Officers

Ethics officers are professionals responsible for ensuring that an organization's conduct adheres to ethical standards and regulations. In the context of the video, the ethics officers are said to have flagged the trading of shares as being directly related to the Energy Department's work, indicating a failure of ethical oversight.

💡Stock Act

The Stock Act is a U.S. federal law that prohibits members of Congress, employees of Congress, and other federal employees from using non-public information for trading stocks. The script implies that there have been multiple violations of this act within the Energy Department, indicating a lack of compliance with federal regulations.

💡Hatch Act

The Hatch Act is a federal law that limits certain political activities of federal employees. The script suggests that the Secretary has been referred for violations of the Hatch Act, which could involve using official authority for political purposes or engaging in political activities while on duty.

💡Foreign Billionaires

Foreign billionaires in this context refer to wealthy individuals from other countries who are alleged to be funding conferences and events that the Secretary attends. The concern is that such funding could be an attempt to influence U.S. politics through what is termed 'dark money,' which is money used in political campaigns in a way that conceals the identity of the contributor.

💡Dark Money

Dark money is funds used for political purposes that are not immediately transparent to the public. In the script, it is suggested that foreign money is being funneled into American politics through various front groups, which is a serious concern as it can undermine the integrity of political processes.

💡Energy Department

The Energy Department is a federal department within the United States government responsible for energy policy and safety. The script discusses the alleged corruption within this department, including the trading of stocks and the influence of foreign funding, which is critical to the department's reputation and function.

💡Misleading

Misleading, in this context, refers to the act of providing false or inaccurate information intentionally, which can be considered unethical or illegal, depending on the context. The Secretary is accused of misleading the committee by denying ownership of stocks and failing to disclose them in a timely manner.

💡Portfolio

A portfolio refers to a collection of financial assets, such as stocks, bonds, and other investments held by an individual or institution. The script discusses the Secretary's portfolio and the oversight of it, particularly concerning stocks that may present a conflict of interest due to their relation to the Energy Department's work.

💡Transparency

Transparency in this context means the openness and clarity with which information, particularly regarding financial holdings and potential conflicts of interest, is disclosed. The dialogue emphasizes the importance of transparency in government, especially when it involves the integrity of officials and the trust of the public.

Highlights

130+ officials in the Energy Department reported 2,700 trades of shares, bonds and options in companies related to the agency's work, which the Senator calls 'institutionalized corruption'.

The Secretary of Energy initially denied owning any individual stocks, but later admitted to owning and failing to report multiple stocks.

The Secretary claimed she thought she had sold all individual stocks, but was incorrect.

A timeline dispute arises as the Secretary sold stocks a month after testifying she didn't own any, and informed the committee a month after the sale.

The Secretary sent a letter to the committee explaining the mistake after realizing the error.

One of the stocks the Secretary owned was Ford, which her husband had owned since he was young.

The Secretary could not name the other five stocks she sold, stating they were non-conflicting.

The Senator accuses the Secretary of presiding over corruption, violating the STOCK Act, and being referred by the Inspector General for Hatch Act violations.

The Secretary's connection to Proera, where she was a board member and had stock options, is questioned as a conflict of interest.

The Senator questions if the Energy Department is influenced more by the Secretary's stock ownership or foreign funding of conferences she attends.

The Secretary denies knowing the names of foreign billionaires funding the conferences.

A Swiss billionaire named Isor Weiss is identified as using dark money to funnel foreign money into American politics, including funding a conference the Secretary attended.

The Secretary defends the Energy Department's ethics, stating no one trades stocks in areas they oversee.

The Wall Street Journal is cited for reporting on Energy Department officials trading stocks in companies they have oversight of, which the Secretary disputes.

The Senator concludes by calling the situation 'deplorable', 'despicable' and 'outrageous', demanding change and accountability.