stocks on t.v. dot com. stories of cars called far apart plane of the u.s. defense secretary to british base in afghanistan after. officials confirmed reports of a. time hosting british leader david cameron in washington saying to be no change in the afghan military strategy. journalists who've resigned from al-jazeera accuse station bosses of fabricating reports on syria some of left claimed the broadcasts don't represent what's really happening. and china warning rampant economic growth must slow down and reforms are needed to avert political and financial disaster it comes while europe looks to beijing for help with this massive debts this is our

next capital account. good afternoon and welcome to capital account i'm lauren lyster here in washington d.c. these are your headlines for march thirteenth two thousand and twelve informants are running to u.s. regulators to report allegations of accounting fraud and market manipulation lured by the possibility of multimillion dollar payouts under a dodd frank program that's according to a financial times story at least we'll have to see where that all goes but we'll talk to someone who's been blowing the lid off of banking and hedge fund props and for years terry buel is here to bring us into that world firsthand and tell us about her latest story of sex and scandal that you haven't even sued over and coney two thousand and twelve after is growing viral video in history as the internet campaign about the lord's resistance army leader fronted by a handsome activist filmmaker has also drawn its fair share of criticism ok here's

jon stewart talking about the flak it's received from the mainstream media. mainly . just seems annoyed that it took this guy just people to listen to a lot of major news organizations have talked about joseph kony and talked about the right way. well for those of you would stop paying attention to the mainstream media look at what avenue journalists are turning to to circumvent it it's called crowdfunding will talk about how it's being used to possibly expose financial crime and the m.f. global plot thickens as the c m d c contributor and c.e.o. of the n.b.a.'s clearing group is sued by the commodities futures trading commission his firm accused of failing to properly segregate customer accounts from its own we'll talk about it let's get to today's capital account.

ok as wall street heads postmen intell crisis highs today was the headline let's talk about the lows because they are still with us today let's go to hedgie land first remember that nineteen ninety's movie ice storm if not watched this. very little guy in the national journal part are strictly volunteer force to keep current with their current she's on the phone and at the end as even though we run up a fish that. and while we're on the subject of so winning in new canaan connecticut let's talk to the journalist who's investigating what you could call the modern day version it involves a trader who's been busted by regulators and banned from the business in the past but that hasn't stopped him it looks like from trading or from getting in trouble

as he tries to bust his stripper assistant first stealing after she was allegedly paid to have threesomes with him and his fiance who also happens to be the sister of a convicted insider trader it's quite the plot and also we want to know does a point to any kind of bigger picture issue to her to tell us is terri buel she's the investigative journalist who is investigating all of this terry first welcome to the show and thanks for being on hi lauren it's great to be here so terry for audience first because you are an investigative reporter you've been your book has been published in publications from forbes to the atlantic to the new york post and you also have an entrepreneurial background too so for those of our viewers who don't know you just give us your real great background and how you got into this field of blowing the lid off financial corruption. sure you know i became a journalist by accident i think in two thousand and seven i was at

a trader monthly party where they promoted excess and leverage in how these millionaire traders spent it and the editor magazine approached me and said hey come write for us they used to do profiles on some of the players now that i doubt it is cheating investors or stealing from banks or trader monthly in two thousand and eight a winner of the new york post and broke open their everything that was happening in the financial crisis with bank fraud except era and from there became a financial journalist writing for most means tree publications and it's interesting because you're going about this a little bit of a different way which i want to get into later in our show but first let's talk about the story you're working on now because it literally thousands like the plot of the most salacious movie you've ever seen it has a lot of in the now is it both cases on this guy mitch gas whereas who has had a very flamboyant career on law on wall street it sounds like as well as one off of the street a flamboyant lifestyle he's had run ins with regulators since his twenty's which i

want to get into later but let's fast forward to his latest troubles in this latest saga that you're writing about your story swinging in new canaan give us a little bit of the juicy details there. sure and you know this story started out in the local papers in in fairfield county as a headline of sex and checks and when i saw that someone from new keenan was involved in turning in his assistant for allegedly stealing from him i just had a feeling that it was going to be a traitor. i took a look at the warren report i found his name it honestly took about six hours to do a check in broker check to the c f t c that says regulator and the c.c. to find out this man has a history of breaking the law and i just i just found that kind of odd and questioned his story that he was telling the local new canaan police. we also

weren't sure about this alleged say i'm actually not even sure if they're really engaged they do live together in a seven million dollar house in new canaan and i looked into you know who are these two people alleging this crime of their assistant you know and and what are they doing. so i wrote a short post it to reveal dot com didn't think it was going to get any attention and it did. seem to see contributing writer john carney picked up the story broadcasted. i don't know on the site for about five days i think we had fifty thousand viewers within the first two days reading the story and from there it snowballed yet fairly did survive and carry it it's no fault in a way that affected you or brought you in to the story we had the n.b.c. post if we didn't throw it out that you're talking about because you and the n.b.c. were sued and you were also you had an injunction in pursuit against you which ended up being dropped but it could have kept you from talking about this

investigation so tell us what happened there. cher after we posted this story i got a call from mr vast close attorney mark sherman an attorney i know before i've worked with him on stories before does he have some questions about the way the language was written about mr dallas close see f.t.c. for five years we had a little nice conversation he actually begged me to take the story down i explained that's not the way journalism works just not the way i work i'm not going to do that we went back and forth for a bed i admit i said ok i'll update some of the lines in the sentences and that was it. i started digging more i started to get more tips people from you keating kept writing the you with information about mitch because clothes and his live in girlfriend. clients of his trading brace for exposure dealer started to write me about problems they had in lawsuits that bay had brought against him and i started to look at some of his financial transactions the way he moved around some of his

business is and moved money around at that point then i started to call his lawyer and say ok absent questions do you want to comment all i know is a week later i get hit with a defamation lawsuit and a temporary injunction i've never even heard of a temporary injunction before. but the point of that was he wanted to stop me from printing anything else he wanted to get his name out of the google tags in the story so it didn't come up first in a search on him or his company and that just that violates the foundation of our first amendment right the psychs saying ok you know there's no judge that said you can't say this you know no court has not allowed this we're going to stop you anyway yeah yeah so i contacted the harvard digital media law center who think goodness jumped in within twelve hours they put me on a pro bono list it did take two weeks i got a little worried i was going to have to represent myself all those willing to do that and boom i get this incredible lawyer carroll head from

a large national law firm. who represents the boston globe and they're like we're here to help you terry when mr bassett was a lawyer mark sherman found out all i know is the day of the hearing for this temporary injunction he's he's dropped it and i think he got scared they're going to continue with a defamation suit with which we obviously we deny there's anything libelous and c n b c from my understanding is going to fight this with us and i'm moving forward i'm moving forward on the next pieces of the story which i think are going to is going to blow the lid open on a sexy sig adults swingle i in you can in connecticut son did off the backs of some ways that mitch makes money in his for exposure deal or especially off of mom and pop investors in third world countries ok and tell us a little bit about those really juicy details because there's a stripper or maybe an ass or who was maybe having three thumbs with the guy and

his fiance and she's the sister of someone who is in prison for jail for insider trading so give us the juicy details. ok so mitch is mitch did hire a go friday girl a color assistant she only worked about twenty hours a week he happened to meet her a few years ago in a new york strip club. and we when she was arrested and he claims that you know he stole he gave her access to his credit cards right and this is a checking account when she was arrested she was driving a porsche boxster and i thought that was interesting that she could afford that right and she says no no no no no no i didn't steal anything i was paid to have sex with mitch does close in his live in girlfriend pamela c. and he told me to write a check for what he thought i was worth this is according to the warrant report ok so we're right there that's a he said she said it. is the sister of danielle see who is now in

jail for being involved in the inside of the largest insider trading ring we've ever seen with gailey on so i mean i thought that was interesting the whole look of the how are using they're both very pretty ladies intelligent ladies how they use their looks to get access to money and information and nothing really interesting and interesting angle of it carrie what i want to revisit obviously a very salacious story and there's just a lot of moving parts to it it said she. you know yeah but my question is you've been doing this for a really long time is this not a more representative or a more or more broadly indicative of the things that are going on in the hedge fund world and the banking world in regards to kind of what you're saying about using customer money and and using the profits that are maybe you know questionably gotten to do you know crazy things that are a little like this. well lauren let's let's look at the new york madam and maybe

being funded by someone at morgan stanley and then a list of clients coming from bankers about what's going to happen i think that sex and money and the traders who often you know that they need action they like the new thing they want the next chase i think in the mix story it could be a symptom of something we always heard about and saw in the movies frey but now we're seeing how real it is i go see it was shocking for me i've lived in new canaan for five years i had no idea there's this very active adult participatory swing life going on between couples married couples in between their thirty's and forty's mainly the husband's work on wall street that was actually something i read about thought about heard about but now i'm seeing it play out in real life it's pretty crazy i want to continue on we have to go to break for everybody when we get back i want to talk to you more about some of the pancho wrongdoing in a bigger trend there and also the way you're funding it because it's really

interesting and innovative that we will be right back with terry buell investigative journalist. and still ahead go away because march madness is here u.s. president barack obama is taking british prime minister david cameron to a game in swing state of iowa of ohio to reportedly showcase this special relationship meanwhile a doctor's office is capitalizing on the part of a different way with vasectomies madness no joke a clinic says that that to me is increased by fifty percent during this time of year we'll talk about which campaign will be more successful in capitalizing on march madness but first the closing market numbers. you know sometimes you see a story and it seems so for like you think you understand it and then

a glimpse something else and you hear or see some other part of it and realize everything you thought you knew you don't know i'm sorry welcome to the big picture . down the official ante up location enjoy a phone call touch from the only choose option. one job she likes on the go. video on demand on she's a month old comes. and omissions for you now with the palm of your. machine on the.

welcome back we're talking about scandals sex and lawsuits in the hedge fund land and also i should mention a new model for doing this kind of journalism because i guess as an investigative journalist and she is going about this latest story of hers and an alternative way as opposed to pitching it to a publication she's getting funded through crowd funding so readers are essentially investing through this web site you're looking at pirate my film which i should mention max kaiser is c.e.o. and founder of and this is the way that she is being funded to do this kind of journalism as opposed to traditional mainstream groups so let's bring terry buel investigative journalist back into talk about it and terry before i get into crowdfunding i just want to ask one more question on the subject of the financial aspects of this story you're working on because you talked a little bit about this guy bitch vast was and his past in the shady way he may be got this money that he's using to engage in this crazy lifestyle of his he was banned from the industries both by the f.c.c. and this the f.t.c.

for a few years each time for various issues that he settled over one of the things that really stuck out to me is and in those situations he never had to admit wrongdoing he didn't have to admit guilt or deny and then he's back to practicing in the in the financial industry not something that we've seen again and again and again so i'm wondering from you who has been covering this industry for years and really you know seen it all firsthand are the same practice is going on when people don't have to admit or deny guilt they just go back to business as usual i think they are fortunately you know in this situation you can just go and start another business overseas right the u.s. regulators can stop you but maybe other regulators can't so i mean i personally believe it's going to have to be the market is going to have to police itself. i don't have a lot of faith in the c.f. t. c. or the c. c. or sometimes even the deal j. right now to stop to put bankers in jail yet when they clearly committed.

criminal crimes you know when you steal from someone i think that's a crime right so i think it'll be interesting to see how the market reacts keep hiring people to not give down to business with broker dealer or anyone else like that but i think us the only way right now that we're going to stop yeah and i think it's interesting just looking back i was reading an article of yours for over a year ago where you were talking about the new york attorney general may press criminal charges against some of these banks over the fraud and i'm sure as you kind of say you were probably surprised that nobody ever really got prosecuted with criminal charges when it came to the banks or the major players in the financial crisis. like the traders of bear stearns tom or. jeff personalise or that actually is an active new york age investigation that's won the i have some good feelings about the martin act might be brought against those guys for stealing billions on their own clients say i mean the jury's still out you know

i hope they step up and do their job but i'm not counting on it ok let's switch gears to maybe something that you are counting on which is crowdfunding and it's a really interesting way that you are funding this story so i'm curious what's the advantage to you as a journalist having your story versus going to traditional route of pitching it to a publication and getting paid as a normal story would be done going that route. sure usually i investigate a story i figure out who's going to be on the record. what documents i have and what publication that would fit for i have to then go out and pitch a couple publications new york magazine forbes fortune a new york post everyone i've written for and then negotiate a price and at that point they own the story they get to change the headlight they edit out the guts of the story you name it so this time i tried something different and amazingly it's working by crowdfunding my story and printing it to rebuild dot

com. i will be the publisher you know i will be choosing the information that goes into the headline and i will be asking the reader what they want to see and how they want to see it do they want a video how much information do they want to hear this is a subject that they're interested in so i put it on pirate my film which was created by max keiser within a week we're fully funded so we've expanded some of the funding requests for a few more hundred dollars hopefully so we can even have a short documentary film go a little longer or even hire a better producer who knows so i mean this is the first time i've ever tried in a thing like this i wasn't sure how my readers would react and they're supporting it and i just think it's amazing you know i'm curious just what the difference is between what maybe the editors that you work with want and what your readers want. is always worried about getting sued. they are to get the editors worried

about words write the number of words in a print story if you put it on line you have more words things like that are you know the editors don't always know the subject yeah right. they don't understand the financial accu mon fortunately those going in there so so. i'm going to get a lead on that and go back to it you know i. think they know what the reader wants but sometimes i don't think we ask the reader what they want yeah so that's what i'm doing and i think it's going to be an amazing story yeah and i just think full to the readers who are who are participating there are people who are been long time readers who are writing me letters thanking me and supporting me and donating and there's a whole new set of readers that max kaiser and rush today is introduced me to and i look forward to informing them also well we appreciate you coming on the show to talk about it i just think it's interesting to note to our readers what you said that through crowd funding you've raised more money that you were then you originally asked for and with a defamation suit from the hedge fund guy you got

a pro bono attorney so it's kind of this david versus goliath story and you being david it looks like you're winning so thanks for coming on the show and and telling us everything you're working on now is terry buell investigative journalist. all right before we go let's wrap up with some loose change i've got to meet three and shannon to tell everybody what they think about this so tonight march marks the start of march madness with president obama taking david cameron to ohio it's the site of one of the first four games and it's not just the president who wants to catch a glimpse of basketball during march madness who is using it to achieve

a certain goal experts say the number of men they get vasectomies just by fifty percent this time of year and they're trying to cash in take a look. at least half the guys that i've got scheduled for later in the week a biologist that they are here is specifically for that reason and in fact the guy this morning said absolutely that's why i'm on the schedule for friday. yeah so some people are trying to cash in with vasectomy madness ok that was a clip from the cleveland clinic who was talking about how much the procedures go up and that was an ad that you just saw right here madness do you think it could be more successful obama and kind of his p.r. move to clemency or back to mean that i think getting men to get their surgeries and sit on the couch for america was really remarkable this is what the next step in the bread and circuses great circus is. not only because the present class now get fed bread and these kind of bloodletting ceremonies but they also get they're going to get castrated not really the end of the lot yeah. as you can see insurance

companies are also cashing in because i took a look it seems that most insurance programs do cover a section me so it's probably included in the existing benefits for these obviously a good deal for the insurance companies and the second is don't really cost that much. i wonder why we don't hear rick santorum complaining about that to me is being covered by insurance more overhead one maybe we ought to take it up with him meanwhile this is really major news pay to see if he is expanding its m.f. global inquiry and it's got what looks like its first victim popular contributor to c n b c marc fisher. i know you don't know all these alleged you know show in the studio he knows he's a legend they say you're a legend when you go in for good but i'm only fifty god like seventy when you started trying to win you were like thirteen so there it was on sam d c ok fisher's m.d.f. clearing corp has allegedly been performing the same vaporisation activity m.f.

global engaged in is being sued by the sea at t.c. and there is a saying that he didn't segregate customer money from his own accounts but apparently this just came out which had a chance to look at it but apparently he pulled money and put it into j.p. morgan during during during and after the financial crisis for about three years and he didn't take care to make sure that those accounts were segregated in other words j.p. morgan would have been able to use that money for their own positions or whatever it is so i think i think this is this is really interesting the superstar getting more of these probes and i think it also speaks to the whole thing about the mainstream media who are these people who have always contributors i don't manage someone else's money i don't pyramid and. some of the guys cash so you know big capital account does just write a note to you viewers you should be aware of when you're watching these other channels also why does the money always go back to j.p. morgan why are they always involved in any of these money trails with m.f.

global with this guy yet they're never punished gambino family they're like they're happy they're like a top family i think that they like goldman sachs is more like a special little especially operation like i am of called was like the big honcho ok so i mean them of course sorry j.p. morgan so i'm not surprised what they did with. customer accounts and customer money so ok while we're on the media some of our viewers i actually noticed and so did dimitri we noticed that they wanted to hear our opinion on the whole coney story of course the documentary that was this huge viral sensation created by the invisible children group about just a colony of uganda became viral less than two days jon stewart may have taken the words right out of our mouths when it comes to the mainstream media response. we have seen and been following for years we've been strong for years our work in central africa for years is somebody who asked president obama about this last october and there was very little interest in getting that question an answer out there for the public very little interest awareness for the public.

career that's. why don't i do is go viral the thing is about the video it does seem like there are concerns about this group and how they do use their money this implication of this issue and i tend to think that those are major concerns but you won't see the major abuse bertran there crying in beijing because just like jamie diamond they're feeling title all right so they want to have their audience share and they're upset that some guy made a documentary and the people want to watch it because it's actually interesting i don't like the crap that they sell you because they have they have there's the mainstream media they have the budgets they have the congress the cable companies and we don't and we don't want that they want to throw people at you like we have to produce so just more cartel behavior in my view cartel behavior at the same time though this isn't that one guy on me as an organization and nonprofit they have their own goals obviously on their own agenda so i mean you're not really ever escaping an agenda you just the people going about it different ways but my point

is people actually want to watch is like a mantra and that. let me use a blog c.n.n. and i said the same fox they're better they settled on the answer you spent a fraction all right we'll leave it at that that's all we have time for a separate show thanks so much for tuning in don't forget to follow me on twitter at lauren lester and give us feedback on the show at youtube dot com slash capital account and from everyone here at the show thank you so much for watching come back tomorrow have a great night.