July 28, 2005

Al Franken Is Still A Big, Fat Thief

The ever diligent Michelle Malkin follows up on Air America's response to the diversion of public funds corruption probe I flagged yesterday. Here's what AA's owners have to say:

On MAY 24, 2004 the newly formed PIQUANT LLC acquired the principal assets of AIR AMERICA RADIO from the prior ownership entities. PIQUANT has owned and operated AIR AMERICA RADIO since that time. The company that had run AIR AMERICA RADIO till then no longer had anything to do with the network.

PIQUANT had no involvement whatsoever with funds from GLORIA WISE BOYS &GIRLS CLUB. PIQUANT neither received nor expended any of the sums that are the subject of the City's investigation of the CLUB.

PIQUANT is not being investigated by the City, which is investigating a
transaction that took place before PIQUANT existed.

Michelle and others have lots of follow up questions and comments. One thing that occurs to me: you don't just buy an operation like this without doing some serious due diligence, including of contracts and agreements. If, indeed, there was some kind of quid pro quo between AA and the clubs re on-air promotion (which seemed to continue after the date of transfer), that kind of agreement would carry over with the station assets, not disappear into the night with the former owners. I bring this up simply because it appears to cut against the "Evan Cohen? Who's he?" attitude of the PIQUANT release.

Of course, I don't know. I'm just asking.

UPDATE: Kevin at Wizbang has more on the shell-game nature of the transaction.

Posted by Robert at July 28, 2005 11:52 AM | TrackBack

I thought the same thing; said so on Wizbang's thread. My guess is that Mr. Cohen washed the funds before transfering them to AA, so the books would show the debt to him (if, indeed, he allowed AA to have much of the half-mil at all). Puqiant well knows that unless their purchase contract agreement states that someone else must repay the widows and orphans, they assume all assets and liabilities.

What kind of nutjob thinks you only get the good parts of a company when you buy? And who else do they take for amateurs? Surely not the DOI.

Posted by: tee bee at July 28, 2005 02:43 PM
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