The Radio Equalizer: Brian Maloney

20 September 2005

Former Clinton Official Grilled On Air America Case

With Goodfriends Like These

Deposition: Air America Execs Long Knew Of Gloria Wise $$$

David Lombino's much-anticipated New York Sun piece on former Air America Exec/Clinton Administration official David Goodfriend has now been published, with interesting insights.

Continuing a pattern where current and former network officials look to protect their interests against potential criminal and civil liabilities, it's the ultimate in corporate CYA.

When it comes to fallout over the apparent transfer of $875,000 in taxpayer funds from an inner-city community center to the liberal radio network, nobody seems to want to take responsibility. Goodfriend here is quick to pin the blame on everyone around him, particularly former college friend Evan Montvel-Cohen.

Though Lombino's report doesn't name the leaked deposition's source, connected to Multicultural Broadcasting's lawsuit against Air America parent company Piquant LLC, the Radio Equalizer independently understands it could be Goodfriend himself.

From today's story:

Mr. Goodfriend said in the deposition that when investors found out about the money from the Boys & Girls Club, "They hear this and hear about other liabilities and conclude, I think we better just form a new company clean of any old liabilities."

The New York SunMr. Goodfriend, now a Washington based lawyer, said in the sworn deposition that he refused to sign an agreement that transferred ownership and assets of Air America to a new company, Piquant LLC, from Progress Media because he believed it constituted a "fraudulent conveyance."

A spokeswoman for Piquant has denied that the transfer of ownership was fraudulent. Mr. Goodfriend, now 37, had met the founder of Air America, Evan Montvel Cohen, when they both attended Beloit College in Wisconsin.

Mr. Goodfriend said in the deposition that he thought Mr. Cohen borrowed the Gloria Wise funds and disguised them as his own personal investment in the radio network.

"The notion that money left the Gloria Wise Boys & Girls Club so that Evan could pretend that he was investing in Air America sickened me to my core," Mr. Goodfriend said in the deposition.

Mr. Goodfriend said he was introduced to the Gloria Wise Boys & Girls Club by Mr. Cohen, who simultaneously served as chairman of Air America and development director for the Bronx nonprofit. According to the deposition, Mr. Cohen had persuaded Mr. Goodfriend to join a Gloria Wise Boys & Girls Club advisory board and visit the facility in Coop City.

Mr. Goodfriend testified that after he left the radio network he spoke several times to Charles Rosen, who served as executive director of the club, and that Mr. Rosen had approved the transfers of $875,000.

Mr. Rosen did not return repeated phone messages left by the Sun at his home. According to the deposition, sometime after Mr. Goodfriend left Air America in May 2004, he received a phone call from Charles Rosen's brother, Jacob, who said Mr. Cohen had offered to "invest" in his company.

"They had some small telecommunications startup that he wrote checks on the [Progress Media] account that were bounced for insufficient funds that led to the bankruptcy of their company. And they asked me for help to try to have some recourse," Mr. Goodfriend said in the deposition.

Mr. Goodfriend said he had been unaware that Progress Media was a vehicle for investment in ventures other than Air America. He said he learned of the transfers from the Boys & Girls Club in early May 2004 from Air America's vice president of finance, Sinohe Terrero, a former employee of the club who recently resigned from Air America.

The information about the Gloria Wise debt was passed on to Air America's investors in early May 2004, according to Mr. Goodfriend.

Most significant may be that last sentence, where Goodfriend says everyone was in the loop on the Gloria Wise loans clear back to May 2004. That flies in the face of Al Franken's assertion it took recent "forensic accounting" to discover what happened.

Michelle Malkin and I will have our own updates coming as well, stay tuned.

AAR Scandal logo by Darleen Click.

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  • Het Liberal, maybe Brian soon as any of that has to do with radio! Funny, why is journalism "real" to some only when it's investigating conservatives?

    By Blogger RedCard, at 20 September, 2005 10:26  

  • Redcard,
    Didn't you know? No liberals can be investigated until every last conservative has been fully audited and inspected.
    And that this is a blog devoted to radio issues and happenings... well, it should only cover Limbaugh's oxycot issues, and report speculation that Medved is a self-hating joooo.

    By Blogger SCSIwuzzy, at 20 September, 2005 11:08  

  • In my business we run into these "But YOUR mama" attempts to change the subject tactics all the time.

    Well,you can make accusations about others, but that won't make the Air America story any less true.

    Hey - Here's an idea liberals - you can start your own blog to cover those stories you're interested in. It's free; you won't need any funding to do that. If it's successful, you could expand into a radio network.

    By Blogger Lokki, at 20 September, 2005 11:25  

  • "Paging Mr. Tuck...Mr. Dick Tuck? Reality refuting defense of Air Idiot requested in aisle one."

    By Blogger TC, at 20 September, 2005 11:55  

  • So Lib Outlaw,
    Is Franken a Liar?
    Does it matter to you?
    Did AAR defraud a Charity?
    Defraud me and you from Tax Payer Funds?
    Try to hide it all?

    This seems to be a pretty big scandal. You can pretend it is not happening and leave, or read about it here. No one forces you to be here, and if the truth bothers you, go to the Lib sites and blast Conservatives. We will debate issues and facts. All you have to do is bring them, ON TOPIC, and we will discuss. If not, open your eyes and see the fraud going on at AAR. Try and tell us why the NY Media will not report on Fraud in their backyard when they were one of the biggest cheerleaders for AAR.
    Please, if you want to discuss, bring facts to the table. If not, you just cheapen yourself and the debate.

    By Blogger BurbankErnie, at 20 September, 2005 15:10  

  • did you not read what i said, burnankernie? i said that the Air America thing was a moral issue. did you miss that part? but it doesn't matter. i'm done trying to educate you people. you make up your own facts with no CREDIBLE source to cite. its a joke. i won't post anything else on here because its pointless. i'm willing to bet every penny i have that none of you have a college degree. i have a masters in political science from the university of florida, before you ask, and i'm currently going back to get my doctorate. so here is my last advice to you idiots - go get a quality education, don't reproduce, drive way too fast and don't wear your seatbelts, and stop trying to create a story where a story doesn't exist. that's all. goodbye.

    By Blogger liberal outlaw, at 20 September, 2005 15:29  

  • This is an interesting development, Brian. Thanks for keeping up with this story. A lot of people seem to want to keep the lid on it.

    By Blogger Buffy, at 20 September, 2005 16:53  

  • Please Liberal Outlaw, please go back to the People's Republic of Gainesville, and please don't let the door hit you on the butt on the way out.

    By Blogger Purple Raider, at 20 September, 2005 18:42  

  • The Liberal Outlaw is a classic example of why liberals/leftists are so reviled.

    He assumes that he is so much smarter than everyone else, that we can't even comprehend the advanced thoughts that he expresses. God forbid you have a different opinion from his, and you must be stupid and uneducated.

    In reality, he's just a jackass. Go to any Air America blog, especially, Majority Report radio. You'll find a dozen Liberal Outlaws. One a bigger loser than the next.

    I remember reading a post on a right-wing blog in which a blogger stated that 99.9% of moonbats are all talk.

    I've seen nothing to prove that theory false.

    Then again, it's a great day. Air America's ratings tanked once again. Yee Ha.

    By Blogger LibsRlosers, at 20 September, 2005 20:25  

  • Another blogpost which goes nowhere. Do you dinks believe that the Baltimore Sun logo makes the non story more interesting?

    By Blogger Dick Tuck, at 20 September, 2005 20:35  

  • Hey, Dick, Look at this:

    Minneapolis, KTNF - Spring 1.0, Summer .9

    I now can officially tell you that you know absolutely NOTHING about Minnesota Radio, and you know NOTHING about Minnesotan people.

    Now go home with Dick Tucked between your legs.

    By Blogger Sailor Republica, at 20 September, 2005 20:37  

  • Dick Tuck was bragging about how well AAR did in Long Island in the last book.

    You won't hear that same bragging about this book, as AAR dropped from an already bad 1.3 to a ghastly .9.

    Ha Ha Ha.

    Just to throw a little salt in the wound. WABC, the Limbaugh station, went from a 3.8 to a 3.9.

    Na Na Na Na, Na Na Na Na. Hey Hey Hey Good bye.


    By Blogger LibsRlosers, at 20 September, 2005 21:37  

  • Hiya, Dicky, my boy!

    Still see you're having that "reading comprehension" problem we discussed last time our paths crossed.

    It's the "New York" Sun, putz, qouting from a sworn deposition; as opposed to Air Idiot's litany of excuses, it wasn't just pulled out of thin air (or any other where, if you get my drift (nudge nudge, wink wink!).

    How's them there AAR Portland numbers hopping, skippy?

    By Blogger TC, at 20 September, 2005 21:43  

  • Well excuse the friggin heck out of me, TC, if I messed up with a newspaper that no one reads.

    By Blogger Dick Tuck, at 21 September, 2005 04:56  

  • I think the Liberal Outlaw is so insulated from reality that he is pretty much like the "talking heads" we all see every day on TV. He probably has never seen a real chicken, lamb, cow, pig, or had to do anything other than go the the grocery store to buy all those things he thinks fall from the sky without having to grow them and kill them to feed his dumb ass.

    He needs to shovel a little pig shit to survive before he opens his stupid mouth.

    By Blogger NtvAmrcn, at 21 September, 2005 08:22  

  • Sorry, Dick. I guess that cognitive dissonance between what you see and what you think you see is a touchy subject. We'll speak no more of

    By Blogger TC, at 21 September, 2005 10:03  

  • Mr. Goodfriend said in the deposition that he thought Mr. Cohen borrowed the Gloria Wise funds and disguised them as his own personal investment in the radio network.

    "The notion that money left the Gloria Wise Boys & Girls Club so that Evan could pretend that he was investing in Air America sickened me to my core," Mr. Goodfriend said in the deposition.

    Yet another example of the culture of criminal corruption of the GOP: Bob Taft's conviction in the Ohio "Coingate" scandal..., Tom Delay and the TRMPAC indictments..., and Evan Cohen, a Republican with a shady history from Guam, borrowing money from Gloria Wise and "disguising" it as his own "personal investment". I agree - it's sickening.

    By Blogger HeadHunter, at 21 September, 2005 12:29  

  • This comment has been removed by a blog administrator.

    By Blogger goots, at 21 September, 2005 14:06  

  • Yet another example of the culture of criminal corruption of the GOP

    Note the attempt to change the subject.
    Or are you implying that "the GOP" works at a failing liberal radio station?

    I also love this:
    you make up your own facts with no CREDIBLE source to cite

    -Um, are you saying the source in the article is lying?
    What is your point exactly?

    Oh, you don't have one, nevermind...

    By Blogger Ace, at 22 September, 2005 10:21  

  • Keep up Ass!

    Time moves on - not long now before Rove and Libby are frog-marched from the WH.

    By Blogger HeadHunter, at 27 September, 2005 12:57  

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