Wednesday, May 03, 2006

Why Patrick won't quit Ameriquest

In the wake of today's report that subprime lender Ameriquest is closing shop here in Massachusetts, Blue Mass Group's David Kravitz makes a strong argument for Deval Patrick's resignation from the board of ACC Capital Holdings, Ameriquest's parent company. Most compelling, to my mind, is the third point David brings up--i.e., the political liability represented by Patrick's ties to the company.

Here's my prediction: it's not going to happen. Patrick seems genuinely loyal to Ameriquest founder Roland Arnall, your new ambassador to the Netherlands, who asked Patrick to join ACC's board. (Hard to say why, if this is the way Arnall does business.) In addition, Tom Reilly would inevitably spin Patrick's resignation as proof positive that his involvement with Ameriquest was tawdry: instead of having to explain why he's on the board, Patrick would have to explain why he quit. Finally, Patrick hasn't been farsighted in his handling of this issue to date--why do we know that he makes more than $100,000 annually for serving on ACC's board, but not the actual amount?--and there's no reason to expect him to change now.

To be clear, I think David's right. I just don't think Patrick will take his advice.

5/3/2006 4:05:32 PM by Adam Reilly | Comments [1] |

Wednesday, May 03, 2006 8:38:28 PM (Eastern Standard Time, UTC-05:00)

This is pretty damning for Deval:

1) In the mid-1990's, Deval, while assistant attorney general, works out a pretty sweetheart settlement for Ameriquest.

2) Ameriquest, in August 2004, either in a total coincidence or as direct payback, put Deval on the board of directors, where he makes more than $100,000 a year for attending four or five meetings annually

3) In the same summer of 2004, the CEO of Ameriquest, Roland Arnall, bankrolls Swift Boat Veterans for Truth, one of the dirtiest, most dishonest organizations in political history, to the tune of FIVE MILLION DOLLARS. The organization spread lies about the Democratic nominee for President in 2004, our own Senator John Kerry.

4) In late 2005, Deval Patrick endorses the candidacy of Arnall for an ambassadorship, despite the guy's bankrolling the dirtiest political organization in history.

Check out:
http://www.boston.com/news/local/articles/2005/11/10/patrick_backs_ameriquest_owner_for_ambassadors_post?mode=PF

What do you think of this?

Wowza

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