Former S.C. Board of Economic Advisors (BEA) Chairman John Rainey – an independently-wealthy Republican known for his jihads against GOP politicians that he doesn’t like – has launched an investigation into S.C. Gov. Nikki Haley.
Specifically, Rainey is looking into Haley’s stormy tenure with the Lexington Medical Foundation – which became an issue during the 2010 gubernatorial campaign after Haley was caught flat-out lying about the circumstances surrounding her departure.
In a letter to hospital chairman Billy R. Oswald and CEO Michael J. Biediger dated February 7, Rainey is seeking a boatload of documents related to Haley – including the circumstances surrounding her controversial hiring and contentious departure.
Take a look …
(Click to enlarge)
When Haley “resigned” her position with the hospital last spring, we questioned her campaign manager (now chief of staff) Tim Pearson about the circumstances surrounding her departure. In fact, we specifically asked Pearson about rumors we were hearing to the effect that Haley had been forced out – and that ethical questions were being raised about her tenure with the hospital. Pearson assured us that the rumors were completely false, telling us that Haley choose to leave the job so that she could focus her energy on her gubernatorial campaign. He also praised Haley’s work at the foundation.
Still, we noted at the time that Haley’s excuse struck us as “a rather odd explanation considering that Haley has (already) been splitting her time … between campaigning and serving in the state legislature.”
Months later, of course, the truth came out.
According to internal hospital emails published last October by the Associated Press, Haley’s departure from this $110,000 a year job was far from amicable. In fact, the break-up was downright hostile – with Haley bringing in an attorney to negotiate a settlement after she was on the verge of being put on leave for missing work.
“Despite my constant efforts to have Nikki come in over the past three days, she has failed to come in to meet with me,” Lexington Medical’s foundation director wrote to the CEO of the hospital in March of 2010, adding that Haley knew the meeting was to be about her job performance (or lack thereof). “To me, this exemplifies that (sic) fact that a leave of absence is warranted.”
According to the foundation director, Haley failed to show up at work for two consecutive weeks – prompting his request that she be placed on annual leave.
Haley wasn’t hearing it.
“I do not choose to take annual leave, nor do I consent to ‘being placed on annual leave,’” Haley fired back at the hospital in an email.
Eventually, Haley referred the matter to an attorney and ended up with a $35,000 severance package and an agreement from the hospital not to do or say anything to embarrass her.
When Haley was hired, both she and the hospital claimed that she competed “fair and square” for the position. That also turned out to be false.
As The (Columbia, S.C.) State newspaper reported last September, Lexington Medical created the $110,000 a year job for Haley at the direct request of the hospital’s CEO. In fact, Haley’s hiring wasn’t even approved by its board of directors. Also, prior to accepting the job Haley had helped the hospital win legislative approval for a new heart center, prompting many to view the job offer as political payback.
As controversial as Haley’s hiring and “firing” may have been, sources tell FITS that the real scandal involving her tenure with Lexington Medical Center could be the work that she did for the hospital.
As we noted in a story published last October, sources tell FITS that the U.S. Justice Department is looking into “multiple donations” solicited by Haley during her tenure as the foundation’s fundraiser. In fact, we’re told that these donations – including those solicited from companies with business before legislative committees on which Haley served – are the real focus of Rainey’s probe.
Sources close to Haley have previously dismissed these rumors as figments of Rainey’s imagination.
“The only investigation (U.S. Attorney Bill) Nettles will ever launch against Nikki Haley exists in the warped mind of (John) Rainey,” a pro-Haley source told us last October.
Maybe so … but we’ve spoken with at least two people who claim that they were contacted by federal authorities regarding donations that Haley solicited for the foundation. We also spoke with an FBI source last fall who told us not to rule out the possibility of an investigation.
It’s clear at this point that Haley lied about the circumstances that led to her receiving this job. It’s also clear that Haley lied about why she was let go. Who knows what else she’s lying about?
Obviously this web site has no love for Rainey. He’s a fiscal liberal who did an awful job as BEA Chairman and we were glad to see him replaced earlier this year. We’re also very familiar with his habit of launching thinly-justified personal vendettas against politicians who have found disfavor in his eyes.
At the end of the day, though, whatever we think of Rainey (or his motivations for investigating Haley) the proof will be in the pudding … i.e. the documents that he is seeking.
Haley’s office did not respond to our request seeking comment for this story. Biediger was not immediately available for comment.
***
By That Boz Guy @ The Beach February 17, 2011 at 9:46 am
/// Former S.C. Board of Economic Advisors (BEA) Chairman John Rainey – an independently-wealthy Republican ///
/// Obviously this web site has no love for Rainey. He’s a fiscal liberal who did an awful job as BEA Chairman and we were glad to see him replaced earlier this year. ///
Of course, its obvious why you did not label him a “RINO” in the opening sentence. That would have pre-disposed many readers to look askance on his investigative efforts, and you didn’t want them to even consider any askance-looking at all until the slight caveat at the end, after a sufficient case had been made that the investigation is worthwhile.
I agree that it is worthwhile myself. If she’s lied to us about that stuff, to me it’s more important that the whole issue of whether or not she lied about gettin’ some strange in the form of Sic.
Looks like the FBI is mighty busy in SC right now. Not only is Brant Branham, Lt. Governor Ken Ard’s Chief of Staff, at the center of their ongoing probe (with the IRS) into The Coastal Kickback, but it seems that there may be some “pay-to-play” action in our new Gov’s fairly recent past as well that is worth of their attention.
Oh what a tangled web they weave, when We The People they deceive.
By David Farrow February 17, 2011 at 9:49 am
Will, give it a rest pal. You are acting like a spurned lover… Oh wait, you are…
By Bradley February 17, 2011 at 9:56 am
AMEN! I am so glad that I DID NOT vote for her. She has the same arrogance as King Obama, thinking they can do whatever they want and the hell with everyone else! I think now that more and more facts are coming to light concerning the Queen of South Carolina, people are going to start standing up and demanding answers and actions to be taken. She claims to be for transparency, yet her actions, especially recently with the state treasury office, clearly show that transparency was another one of her lies She cuts off funding to many needed programs around the state, then gives her own staff pay raises and justifies it by saying it was worked into her budget. Yeah at the expense of everyone and everything else! The Queen needs to be DETHRONED! Keep up the great work of bringing all of this to light Will. God Bless you for what you are doing!
By Jamison February 17, 2011 at 9:57 am
Good work Will. Keep doing your job.
By Martin February 17, 2011 at 10:04 am
Talk about sour grapes. Hey John, your guy lost – time to move on. Please exit stage left.
But a former assistant U.S. attorney with more than a decade of experience said he thinks the questions Rainey raise lack merit..
“With all due respect to Mr. Rainey,” said John M. Barton, who reviewed a copy of the letter at The State’s request, “absolutely nothing in his letter even remotely supports a violation of the Hobbs Act or any other law I am aware of.”
Barton worked as a prosecutor during Operation Lost Trust and the Santee Cooper case, and said a Hobbs Act prosecution requires a payment in exchange for an official act – such as a bribe to introduce legislation or vote for a member of a board or commission. Barton – who said he has never met Haley nor donated to her campaigns – said Rainey’s letter contained no such allegation.
“In short, there’s not even any smoke here, much less fire,” he said. “I feel confident (S.C. U.S. Attorney) Bill Nettles will see this letter for what it is – a last-minute transparent attempt to politically damage a candidate…by desperately trying to start a federal investigation of her.”
Tim Pearson, Haley’s campaign manager, said the State Ethics Commission has determined Haley’s Wilbur Smith and Lexington Medical Center Foundation employment are legal. Haley did not identify any state work for Wilbur Smith, Pearson said, only private and municipal jobs throughout the state.
By The Invisible Man February 17, 2011 at 10:32 am
She joins Silvio Berlusconi (hiring child prostitutes) to Hosni Mubarak ($80 billion in Swiss bank accounts) in attempting to evade public scrutiny.
It will not work.
Do it.
By Richard B. Starkey February 17, 2011 at 10:39 am
To: All SC Politicians
From: The voters
Subject: Lying and Backdoor Politics
Lies are a part of Politics, but I think politicians should only be able to lie some of the time. This lying about everything when you are confronted gets old, and hard to follow.
http://catchpost.com/
By fitsnews February 17, 2011 at 10:39 am
Give it a rest?
We’re simply reporting on these documents.
Also, we praised Haley earlier this week for standing her ground on legislative transparency – and we made it clear in this story that we are no fans of Rainey.
Still he has requested relevant information – and the fact remains that Haley lied about how she got this job and lied about the fact that she was forced out of it.
-FITS
By Nikki's my bitch February 17, 2011 at 10:46 am
I’m all for digging into Nikki, but is LMC covered by FOIA?
Diving into Nikki sounds fun, too.
By cash February 17, 2011 at 10:48 am
Pathological lying is considered a mental illness. There is therapy to help those affected with the disorder.
By SubZeroIQA February 17, 2011 at 11:32 am
The biggest lie is that there is “therapy” or “help” for everything. In fact, most of what is called “mental counselling” or whatever has never proved effective is scientifically-rigorous controlled studies.
But a serious behavioral problem is lack of goal; and most serious is wanton destructiveness.
The lady just got elected and sworn. She has a tough job to do.
What do Rainey and Fits hope to accomplish by this?
Do they want her recalled and impeached so Ard becomes governor?
If that’s not the gaol, the goal should be to give her ideas on better governance, not to look into the past.
I already admire Governor Nimarata Kaur for being a person of few words and for not letting herself be distracted.
Look forward, not backward.
By Louis D. Brandeis February 17, 2011 at 11:52 am
“Sunlight is said to be the best disinfectant.”
- Louis D. Brandeis, Other People’s Money, 1913
http://www.law.louisville.edu/library/collections/brandeis/node/191
By NoName February 17, 2011 at 2:09 pm
Well it is certainly big boy time now……the TIPsters got burned a bit rushing her….but when the Tolstoy excerpts went out and nothing happened….no lawyers from father in law ……bitchy little snipe about Fox….beyond lame in all aspects….well the blood is in the water now .
It does not matter whether he has something on her….the point is to get in line and make sure you are in place to piss in her face when she implodes.
The TIPsters have to prove the critical point that they were… and are ….willing to destroy GOP candidates when they do not measure up…..that is crucial to establishing the absolute trust they want to build into the temple walls they wish to build.
It is a noble and compelling strategy….but it will surely scare the shit out of everyone in politics, military and government today.
Time to draw the TIPsters out and ask them if they are in bed in any way with Kingfish….they are not allowed to lie…no lying to the Lord in this group….that is another cult…..got to do this before April 1st release of the book.
By That Boz Guy @ The Beach February 17, 2011 at 4:29 pm
Investigate ‘em all! FOIA the living hell out of ‘em!
- Boz
Just another Watchdog on the Beach
________________________________
Under-the-sig Blurb of the day: I’m very pleased to announce that my photo comes up in 15th place today in a Google Image Search for “Brant Branham” — http://preview.tinyurl.com/branhamimagesearch How’d that happen? lol
Memo to Lt. Gov. Ken Ard and the unwisely-chosen Chief of Staff Branham, currently at the center of a joint FBI & IRS *RICO* probe over the Coastal Kickback scam: This ain’t about me, y’all, it’s just an icon of an important fact: WATCHDOGS ON THE BEACH will not go away and we will not give up seeking to bring you both down. Have a nice day.
By Blackman February 17, 2011 at 4:34 pm
By Bradley February 17, 2011 at 9:56 am
AMEN! I am so glad that I DID NOT vote for her. She has the same arrogance as King Obama, thinking they can do whatever they want and the hell with everyone else!
So, Bradley; are you saying that Obama is a Tea Party member? Who knew? Why don’t you just keep Obama out of this one and let’s focus on Haley? There will be other legitimate reasons to bash the POTUS. This is not one of them.
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By Huhhh??? February 17, 2011 at 5:56 pm
Martin, the same month (09-10) that Barton was running his mouth, the current US Attorney in Maryland indicted a state senator for running a consulting business. He said that politicians need to understand there is no difference in getting a cash bribe in an envelope and a check for consulting services.
Barton must be one of those former Lost Trust US Attorneys mentioned on another thread about letting some of those guys get off.
By raggedspec@aol.com February 17, 2011 at 8:03 pm
What kind of handle is raggedspec… and why is he still using AOL?
How in the world would FOIA laws apply here? She worked for the foundation, not the actual hospital… the foundation is a private.entity.
By voodoo dr February 17, 2011 at 11:37 pm
john barton,ha he is a crook himself. A guy I know was having trouble with a federal prosecutor here in sc so he hired barton to help him. the first thing barton asked was “would you like to buy a little justice” eventually the guy made a ten thousand donation to the prosecutor’s favorite cause and everthing was ok.
By Wilber Force February 18, 2011 at 1:12 am
Haley not only has No Foundation-she did Not Work for the Foundation.
She was not Board approved by,hired by,or paid by the Foundation.
She worked for the public entity Lexington Medical Center!
So FOIA away. It could soon be a “Rainey” Day for Haley!
By cash February 18, 2011 at 11:34 am
Will, what would happen if English, Sanford, or Haley lied under oath? What would be the penalty for perjury?
By That Boz Guy @ The Beach February 18, 2011 at 2:35 pm
SubZeroIQA,
You should back away from that pipe and not take another hit o’ that crack rock. First of all, I agree that having Ard as Governor would be far worse than having Haley. But that is no reason not to investigate a sitting Governor if she has been shown to have misrepresented the facts in such important matters. And you should know that there is no provision for recall and/or impeachment in SC at this time, and that legislation to provide for recall did not even make it to the floor last legislative session.
Besides that, dammit, the attitude that what happened in Haley’s past should not be investigated now because the Governor has important work to do it total bullshit.
That is precisely the kind of thinking that has enabled some the most horrible abuses of the public trust from our elected officials in SC since … well forever.
- Boz Martin
Just another WATCHDOG ON THE BEACH http://www.facebook.com/pages/Watchdogs-On-The-Beach-MBHorry-corruption/183765134993890?sk=wall
__________________________
Thursday’s Below-the-Sigline Message:
Keywords = Ken Ard, Brant Branham, RINOs, peas-in-a-pod, joined-at-the-hip, cronies, corruption, cover-up, Chambergate, Coastal Kickback, David Brittian, David Chapman, Shep Guyton, Brad Dean, Mark Kelly, Woody Crosby, Gresham Barrett, J. Warren Tompkins, Katon Dawson, John Rhodes, Wayne Gray, Allan Clemmons, Franz Mustert, Bernie Maddof, JK, inter-locking local and STATE-WIDE PACs, Coastal Uncorked, Heidi Vukav, porkfest, 3rd of a million bucks, giant, sucking, sound, back-door pay-to-play, WORD.
By Gary February 18, 2011 at 11:25 pm
Much ado about nothing!!
CEO of Lexington Medical center HIMSELF created the job- Haley did not force him. She did more than half a million dollars fund raising for the hospital which is non profit hospital. So how does getting a heart center approved for a non profit center which serves the community some kind of a favor?? Only in the warped and biased and jealous minds of Sick Willie and Rainey. Regarding differences at the time of leaving how was Haley lying?? When you make an agreement with your employer or employee and leave amicably and have a legal binding agreement to portray it as amicable, where is the point of even discussing it. And who the hell is Fits or Rainey to be questioning any one?? Get a life and devote your time to your wife.
By Huhhh??? February 19, 2011 at 12:46 pm
I believe that if Nikki Haley banged a gorilla from Riverbanks Zoo in the middle of Malfunction Junction, Gary would find a good excuse for it.
By Greg Walton February 19, 2011 at 11:51 pm
He has the money to do it, but what a waste!
Some people spend their money on wortwhile projects,
some use it to settle scores and harass other people.
By Will February 20, 2011 at 11:50 am
Doubt it. It’s obvious that there are so many different things going on in and surrounding this event, with so many self-seeking personalities that I’m sure it is easy to spin this story in a hundred different ways. The truth always comes out on its own. If you try to force it, lies are always presented as the truth (e.g., Sanford’s sexual proclivities vs. the All-American family man).
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