Mainly because I bet the double dealing between SRHS insiders and its pension trust dates back all the way to its inception. Looks like Anita and the commenting community here are on the right track:
Risky business? SRHS retirement plan invested in high-risk, high-fee funds, expert says ~ Anita Lee
And I have this blurb from yesterday’s Sun Herald Op-Ed:
That would end the habit SRHS officials have of treating employees like children, telling them only what they think they should know and deciding when they should know it.
When it comes to transparency in government down here on the coast, the governments that do not treat their taxpayers like children would be the exception rather than the rule:
SUN HERALD | Editorial: Trustees of SRHS demonstrate need for transparency
Meantime last week Kingfish had the Mississippi Hospital Association’s 990 last week while Wayne Weidie opines that the SRHS Cancer of Disgrace has spread from Jackson County to Jackson and the Capitol.
How true is this article??? I just hope that the people don’t forget how the republican network has used and abused us when election time gets here. They are all so arrogant, and when I see a dark suit with red tie, I want to throw up because I automatically know that this is just another sheeple who drinks Fata$$es’ water, but his well is about to dry up. It is my opinion that I think we all can see now what he and his cronies have done to this State by plundering our coffers. SRHS, DMR, MHA and others (too many to mention) display it out in the open. Vote against any republicans that have ties to Fata$$’s administration. I don’t care if they are your cousin, brother, sister, uncle, long time friend or anything else!!! They are not ful-lfilling the duties of public servants who care about the people. They only support the Republican Fraternity that they are a part of.
Wouldn’t it be great if we could aim and hit those suits with rotten tomatoes??? I think that would be so fitting!!! That is all they are good for is target practice . Our Agency heads serve the people (or are supposed to serve the people). They are supposed to be public servants rather than Philly’s servants. What do you people have to say about that?? I want our Agency heads to dress like normal people instead of the “Blues brothers”. Suits should only be used for special meetings. A nice shirt and neat pants are fine for daily work. But, they think they look good. And since most of them are transplants from Bernie Madoff’s and Billy the Boy Hewes’ groups, that is all they know, and they need all the help that they an get to look presentable, in my opinion. They have to put forth a persona that makes them look like they know something. All they do is collect, shave, grab State and Federal monies because a hard days’ work would kill them imo.
I am hearing some rumblings from the DMR too about Bill Feidt’s little “sweetie” carrying tales on employees to the penthouse. She was just a “temp girl” I am told, and moved right on up because she keeps them informed upstairs about everything, and acts as an information pimp for them. Watch out employees! There are wolves in sheeps’ clothing that report to the HR bag (Puhla$$o’s buddy)too about the technical group on the bottom floor. There are two of these women reporting on a regular basis and keeping the creeps informed; and each of you mistakenly think they are your friends. Beware!!!! Don’t let them fool you –
Break is over – more later.
This sounds like a broken record but the voters of MS got exactly what the ordered with the cronyism that follows. And I don’t see it changing much in the future.
I continue to hear rumors regarding the behavior and leadership at the DMR. I too have also heard about the imbedded pimps along with HR going right along with it. Of course, this is all hearsay and has not been proven.
Charlene. Tell us more about this little “sweetly” that’s moved on perminant. Credentials and a physical description would help.
What credentials? She was hired as a temp in accounting at the reception desk. When all of the influx of outsiders began and the firing up in accounting began – I am told that they had to have someone who was familiar with purchase orders and she was helpful to “them”. Because as you can see with the Bernie Madoff fiasco (where Bill Feidt was part of), and the failed Fata$$ and Hewes business that Spraggins came from, you can easily see that they can’t wipe their butts with both hands In my opinion. This chick and Feidt are tight because he doesn’t know about the accounting dept of the DMR and she teaches him and covers his back. She now handles the purchase orders and has been moved into an office.
She runs back and forth from the fish section from department to department, and gathers information from each of the secretaries there. The information is funneled right through the pipeline to “them”.
The other receptionist on the fish floor funnels information to the HR bag who does just what she is told from Jackson whether it is legal or not. In my opinion, she is just a frustrated old woman looking for a life.
Coffee break is over Eye – more later.
Hi ho, hi ho – it’s to the house I go!!! Forgot to tell you eye. The initials of the two stoolies are V and D. Adios!
Here’s some stuff that started with some info from a buddy in Florida. It seems several of the Jackson County bunch have some things going on in Florida – it may be interesting to someone:
There are numerous corps/LLCs/registrations involving some familiar names, with different addresses, many now inactive, and some, based on the names, seeming to have some sort of healthcare connection (Several are some form of the name “Skyler,” leads back through Alabama to “Skyler Mississippi,” which leads to the same folks):
DELTA FLORIDA PROPERTIES, INC.
Principal Address
2 NORTH PALAFOX ST
PENSACOLA, FL 32502
Changed: 03/03/2004
Mailing Address
2 NORTH PALAFOX ST
PENSACOLA, FL 32502
Changed: 03/03/2004
Registered Agent Name & Address
MCCRORY, SONDRA
2 NORTH PALAFOX STREET
PENSACOLA, FL 32502
Name Changed: 07/05/2002
Address Changed: 03/03/2004
Officer/Director Detail Name & Address
TREHERN, W. EDWARD
2 NORTH PALAFOX ST
PENSACOLA, FL 32501
ST. PE, GERALD
2 NORTH PALAFOX ST
PENSACOLA, FL 32501
WILLIAMS, ROY C
2 NORTH PALAFOX ST
PENSACOLA, FL 32501
HOLLOWAY, J. L.
2 NORTH PALAFOX ST
PENSACOLA, FL 32501
BELL, SCOTT J
2 NORTH PALAFOX ST
PENSACOLA, FL 32501
TOLAN, JOHN JJR
2 NORTH PALAFOX ST
PENSACOLA, FL 32501
When traced back to Mississippi, this is among the things that pop up:
TWH Investments, LLC
Registered Agent
Name
Williams, Brett K.
711 Delmas Avenue;P.O. Box 1407
Pascagoula, MS 39568-1407
Officers & Directors
Name Title
Williams, Roy C.
711 Delmas AvenueP.O. Box 1407
Pascagoula, MS 39568-1407
Manager
Trehern, Ed
711 Delmas AvenueP.O. Box 1407
Pascagoula, MS 39568-1407
Manager
Roy C Williams
P. O. BOX 1618
PASCAGOULA, MS 39568
and:
CHATEAU MANOR, INC. (Apparently, some sort of “nursing home” or other facility)
Name
W EDWARD TREHERN
2957 MARKET ST
PASCAGOULA, MS 39567
Officers & Directors
Name Title
ROY C WILLIAMS
Director, Secretary
ROY C WILLIAMS
Director, Treasurer
JERRY ST PE’
Director
JL HOLLOWAY
Director, Vice President
W EDWARD TREHERN
2957 MARKET ST
PASCAGOULA, MS 39567
Director, President
JAMES A LOWE III
400 E CAPITOL ST, P O BOX 650
JACKSON, MS 39205
Incorporator
and:
DELTA HEALTH GROUP, INC. Legal
Business Information
Business Type: Profit Corporation
Business ID: 605617
Status: Canceled
Effective Date: 03/16/1994
State of Incorporation: DE
Principal Office Address: 2 NORTH PALAFOX STREET
PENSACOLA, FL 32502
Registered Agent
Name
W EDWARD TREHERN
2415 BEACH BLVD
PASCAGOULA, MS 39567
Officers & Directors
Name Title
DANA FOSTER
2 NORTH PALAFOX STREET
PENSACOLA, FL 32502
Director, Secretary
W EDWARD TREHERN
2 NORTH PALAFOX STREET
PENSACOLA, FL 32502
Director, Vice President
SCOTT J BELL
2 NORTH PALAFOX STREET
PENSACOLA, FL 32502
Director, President
JOHN J TOLAN JR
2 NORTH PALAFOX STREET
PENSACOLA, FL 32502
Director, Treasurer
And then, can’t these SRHS folks do a thing without getting involved with something or someone hinkey? Morris Strickland’s new home, the one in “Destiny Plantation” that got him ineligible for the board of trustees? Well, it seems the developer (and owner?) of “Destiny Plantation” is none other than Jay Odom of Destin. For those who do not know who he is, he has had his share of really stupid-ass hinkey deals, too (say, maybe he can move to Jackson County and help manage the pension):
http://www.theledger.com/article/20130209/NEWS/130209333
http://www.850businessmagazine.com/August-September-2013/Jay-Odom-Reflects-on-Life-Business-and-Politics/
http://www.tampabay.com/specials/2009/reports/ray_sansom/
and guess who applied for a job over Tampa way (Pasco County Administrator):
http://www.tampabay.com/news/localgovernment/pasco-county-administrator-job-draws-61-applicants/2115981
“Paula Stennett-Yancey, lead general counsel/FEMA applicant agent/project manager, Jackson County, Pascagoula, Miss.” Lead GC and FEMA agent, huh? Interesting. Apparently, it was just about the time she got cut from the running over there that she and her benefactors at good ol’ Dogan and Wilkinson decided she’d make a really “special” chancellor.
I’m beginning to develop a theory about what MIGHT have happened to the pension. I’ll post details soon.
After reading the various articles in the Sun Herald I have several questions. 1) Is the percentage of return per year that has been reported before or after the high fees are deducted ? Did trustee Morris Strickland actually control and dictate the risky pension investments as John McKay stated and did he receive any compensation for being the informal financial guru for the pension fund 2) Why did the SRHS Trustees or Management not provide the JCBOS any financial information since 2009 as stated in the Sun Herald and why in the hell did each county supervisor not demand the financial information or did they even have a clue that this was part of their responsibilities ? Is anybody really even considering voting for any of these knuckleheaded incumbents on the JCBOS except their immediate relatives? A sad state of affairs at the counties only hospital system because of the actions or inactions of some who only care about being re-elected.
Actually, the BOS would have received a copy of the audited financial statements of SRHS each year. In the notes the financial statement it shows that the pension plan was not funded going back to 2009. Unfortunately when you have some random elected politicians who are supposed to be the oversight of a business, you don’t necessarily get a good skill set of financial background and knowledge to understand what those financial statements are saying. I would venture to say the same goes for most of the appointed Trustees as well.
Here’s a possible theory for a lot of the SRHS pension problems. I don’t claim it as fact, but the dates and the “what is known,” combined with the various external situations, tend to fit. Remember, it’s just a theory.
Some background:
One way to “benefit” from pension management is to invest the funds in places that will make a reasonable income for the fund, but also cut the management in for a taste via “commission sharing” from brokers, investing in “sweetheart” deals with “friends” and doing so via what appears to be a legit broker/manager (see FiduciaryVest). There are even ways to pull equity market manipulations. And as long as things stay fair-to-middlin’ and nobody gets too stupid or greedy, things could rock along with no one ever being the wiser. However, if one or more of the “covering factors” go south, things can get bad in a hurry, esp. if the fund is stretched too thin on “friends helping friends” deals that depended on an up market. So, what does that have to do with SRHS?
That said, here’s a maybe:
1) In 2005, the economy is pretty good. The coming financial crisis is only apparent to serious financial watchers who aren’t wearing the rose-colored glasses/drinking the koolade most folks are wearing/drinking. Think of all the house-flipping shows, the condos built from Pensacola to Key West, etc. Lots of folks thought the party would never end.
2) Hurricane season 2005. Katrina, etc. hit during and within a couple of months, the FEMA bucks are flowing like a friggin’ open water main. The trough-scarfing types go into a feeding frenzy. Even the IRS gets into the act with the GO Zones, etc. The mass tort guys fire up the Enola Gay and the defense firms start counting the “local counsel” money. There ain’t no way in hell State Farm, N’wide, etc. are gonna let these buffoons sit first chair if it gets into a knifefight, but they’ll let them bill MS partner rates for a taste of the litigation budget, if for no other reason than to buy some “home cookin’” from the local judges.
3) In 2007, Trent Lott stomps on his privates with comments about Strom Thurmond, and then, brother-in-law Dick and nephew Zach get popped for, in part, promising Trent’s help in getting Bobby Delaughter a fed bench. Trent Lott resigns from Congress in Dec. 2007. Sure, Haley has pull, but not the type and place of Trent’s and combined with the growing FEMA hemorrhage/bitchfest over Katrina, etc. pork/waste, things aren’t quite as wild-west as they once were. A few folks even get busted (Brent Warr, in Gulfport, for example – late ‘08/early ‘09).
4) After years of good times in the overall economy, during which the pension shenanigans were covered by the growth in the economy, somebody flipped on the lights, the shit hits the fan and things aren’t nearly so wonderful anymore; foreclosures everywhere and no half-assed redneck “development deals” stand a chance of cash from any bank or legit investor. If your ass was hanging out over the line on some overstretched BS deal, it was gonna get cut off with a chainsaw. Those running the pension are in a real pinch – they can’t walk away, they can’t credit their way out, and they can’t keep feeding the deals. The Inspector General starts making noises around SRHS about Medicare/Medicaid overpayments. All in all, it is a “perfect storm.” Just a couple of years before, Bernie Ebbers (and the Enron folks) had gotten real prison time. The Scruggs players got prison time. And then, it’s January 2012 and Haley is term-limited out and no longer needs (or really cares about) any of the piss-ants down in Jackson County. And then, the Walkers and friends get caught dancing on their privates and locked up, after a string of dumbass moves by Scott and his little circle of jerks. Now, Haley, et al, are really distancing themselves from the piss-ants.
5) Those on the fringes start to get antsy, and start looking to other places for some kind of future. But for those on the inside, with Hilton Garden Inns, Florida “deals,” Alabama “deals,” big boats, big houses and what they think are big lifestyles to pay for, things aren’t so rosy, so maybe a quick and dirty secret shut-down will make the headache go away.
6) Oops for those with their snouts firmly in the pension trough.
Is anyone else confused about these comments? Is there something here I need to know? If so, could someone just say it in plain language instead of convoluted riddles that I’m not smart enough to understand. I read and re-read and don’t get it. I don’t like the gossipy stuff because it detracts from the primary issue and generally says more about the speaker than the one she’s speaking about. But if it’s related to corruption that lead to the demise of our pension plan, please spell it out for simpletons like me. If it’s credible and relevant, just say it, please. Thanks
And one more thing, now that I think about it. According to the story I’d kind of half-assed paid attention to before all of this, Roy Williams left his old firm about 2005 (Colingo Williams Heidelberg Steinberger & McElhany) because he had reached age 65 and the partnership mandated retirement. Personally, I had wondered about that (for about 10 seconds – I didn’t really care at the time), because for a small firm the partnership agreement can be changed after a 5 minute meeting (generally speaking), especially to let a supposed legit rainmaker stay on board. What small firm doesn’t at least “of counsel” a respected member regardless of the number of candles on the birthday cake (we’re not talking Skadden, Arps here)? Plus, Williams was not going to retire anyway; he was heading to Dogan and Wilkinson AND taking another named partner, McElhaney (his brother-in-law, as I recall) and his supposedly “up and coming” son, Brett, with him. So, we have two named partners out of five, a baby partner (Brett), and the rest of partnership says, “don’t let the door hit ya in the ass, boys.” That never made sense until this shit hit the fan. As far as I know, Jimmy Heidelberg and Karl Steinberger, while small-town MS lawyers, aren’t idiots and are more or less real lawyers (Joe Colingo retired and passed away) that don’t mess around with the kind of iffy stuff as do the Williams’ and the Dogan and WIlkinson crew (which already had an iffy rep). I don’t know, but it would not surprise me if they took the out when they had it and sent Roy Williams and his bunch over where they fit in. Again, just a theory based on what is known.
Nuna and friends, these are all lies. Let’s be real here and face the problem head on. We all have friends and family to take care of, and many of us will go to any length to do that. Maybe some of us were a little too generous and loose handed. In the end we will all answer to our creator, and this too shall pass.
I am concerned that it is taking so long to look at the paperwork and follow the trail at the SRHS. I hope they don’t wisk away that information like Stacey Pickering did when Judge Schloegel ordered him to deliver the boxes of information to the Sun Herald. In other words – who is guarding the hen house? Are trustworthy individuals in control of that information where it can’t disappear or be changed? That is the only way to get to the bottom of it all – review the accounting paperwork (if in fact, it is actual and not made up).
Also, I have noticed that the BOS have crawled back into their holes and are quiet as mouses. Bet they aren’t sleeping well at night.
Delay is the name of the game at this point Charlene. If the BOS does not know where things stand at this point they never will.
One possible solution is to sell the Hospitals to a private operator and hopefully gain enough money to make the pension trust whole. This would be the last thing the BOS would want to have happen because the community hospitals are a source of patronage. Patronage has trumped sound decision making in several community hospitals here in Mississippi including Hancock Medical. The financial problems across the state are well documented.
So what happens is the organizations are run into the ground and the taxpayers are stuck with the bill. It happened in Stone County about 20 years ago and that story repeats itself while the perpetrators go skipping off to the next shearing.
No reasonable buyer with a community hospital program will buy it. It’s liabilities exceed its assets by hundreds of millions. Even if they just sold the assets it is a minor fraction of the pension liability so the pensioners would get even less than they would get now (current employees laid off would get some of the current pot). And the picketers are justified to raise hell but they are raising it at the wrong place. They should be picketing the homes of the people who did this and the political leaders and lawyers who let it happen. All this picketing in front of the hospitals is scaring the hell out of the patients. The goose that is their only hope for laying cash to pay them is being killed by them on accident. I get it – Protests are warranted but if they don’t start supporting the nurses and doctors, the goose will die; bankruptcy will occur. And bankruptcy would cleanse the pension liability and they will get pennies instead of hundreds of thousands each. If bankruptcy is the desire, keep scaring patients. Don’t divide from the current employees, they are in the best position to help. Feed the goose don’t choke it.
SRHS, in its current form with its current obligations, is almost certainly a gone goose. Like you (“The Judge”) say, it is so deep in the red that no buyer would actually pay fair market value for the hospital system assets, receivables and goodwill (if there’s any left to value) AND bail out the pension on top of that. The Jackson County taxpayers can be stuck with the 5 mil property tax increase to pay the bonds, but that won’t get it all back on track. And why should the “State taxpayers” have to “refill the till” for the pension? Now, as the part about getting it from the folks who caused the mess, I think all would be absolutely on-board with that suggestion – good luck with it, but see below.
Look at the situation from an outsider’s perspective, be they a potential buyer or just watching the goings-on:
1) The same bunch of incompetents have been digging the hole by feeding from the trough for 30-plus years. The current president of the board of stupidvisors is the son of a former stupidvisor convicted of scamming the county and whose uncle was also involved in the hole-digging. And his vast experience for running a county and overseeing a hospital system in today’s health care market and environment? Working for his piddly little (defunct) family business and assistant manager of an auto parts store. His predecessor, now in Jackson, likewise had iffy dealings and nothing suggesting the acumen to honestly manage a county and oversee SRHS. Another current stupidvisor has had rumors of shenanigans follow his many years at the public trough and he, too, has absolutely nothing in his background or performance to suggest he is equipped to run a bake sale, much less a county and oversee SRHS. And few, if any, of the rest of the supervisors for the last, oh, 50 years (as far as I can remember) has anything other than winning an election to suggest they are able to run things properly.
2) A board of trustees, appointed by these ill-equipped supervisors, who themselves have absolutely no training or experience in running a hospital system, who almost certainly got appointed because of being “in” with the supervisors.
3) Another board of trustees, for the hospital pension plan, appointed by the same assistant auto parts store managers, etc., and none of whom are truly qualified to run what should be a 250-million-plus pension fund. Plus, several of them have highly questionable ties to yet more iffy deals and iffy players, some connected to the county, the hospital, etc.
4) For at least 20 years, if not 25 or more, the exact same lawyers (The Williams’ and Dogan and Wilkinson) mired in questionable deals, often with one or more of current and former members of the various boards, and with multiple legal ethics issues, including some directly related to their representation of the hospital, have “advised” these ill-equipped boards. Now, they have half their law firm working on fighting against what, if they were “clean,” they’d be fighting for, and part of the fight is because they barely failed in their attempt to stack the courts even more in their favor by getting one of their JV members elected chancellor.
5) The guy brought in by one of the iffy supervisors (to replace the iffy, conflict-ridden one who had to step down over residency issues) has ties to the mess and his main apparent claim to fame is that, before he “retired” from being a lawyer (in his 30s, after just a few years experience), he gave mind-bogglingly bad legal advice.
6) The lawyer hired to sort through it all (by hiring various “outside experts”) is not particularly suited to the task, but more importantly,
7) From any legit monetary perspective, SRHS and its pension fund are badly upside-down, with no reasonably foreseeable way out, so all the money being spent on lawyers (often the same ones who helped create the problem in first place) is just that much less for the system’s real needs. It wouldn’t surprise me to find out that when the whole thing finally shakes out, the lawyers will have gotten several percentage points of the total assets (if they only get 2 million amongst them all, that’s about 2% of the current PRESUMED assets of the pension. Given the iffy investments reported, the value may be less, even a lot less, in a liquidation).
Why would any competently-operated business want to take over SRHS for anything more than a fire sale price, or really, why would one want to get involved at all at any price, given the entire situation?
This isn’t legal advice nor a suggestion that anyone take any legal action, but if I were a retiree/employee, I might start by reading this case: Century 21 Deep South Properties, Ltd., v Corson, 612 So.2d 359 (Miss. 1992) and then Gulf Coast Research Lab. v. Amaraneni, 722 So. 2d 530 (Miss. 1998). For those with no access to court reporting services, cut and paste the whole case name into Google and you’ll find them. The gist is that under certain narrow conditions, a lawyer can be liable to third parties (not direct clients) if the third party reasonably relied upon the lawyer to not screw the pooch and the lawyer had a duty to make sure the pooch went unscrewed, but failed in that duty. Here, they not only screwed it, they ran it over, shot it and hit it in the head with an ax. Kinda-sorta like nonpracticing a third party. The Federal Court cases I’ve seen are based on 42 U.S. Code § 1983 – Civil action for deprivation of rights (Commonly referred to as a “1983 claim”):
“Every person who, under color of any statute, ordinance, regulation, custom, or usage, of any State or Territory or the District of Columbia, subjects, or causes to be subjected, any citizen of the United States or other person within the jurisdiction thereof to the deprivation of any rights, privileges, or immunities secured by the Constitution and laws, shall be liable to the party injured in an action at law, suit in equity, or other proper proceeding for redress, except that in any action brought against a judicial officer for an act or omission taken in such officer’s judicial capacity, injunctive relief shall not be granted unless a declaratory decree was violated or declaratory relief was unavailable. For the purposes of this section, any Act of Congress applicable exclusively to the District of Columbia shall be considered to be a statute of the District of Columbia. ” The Supreme Court (US) has held that the improper deprivation of “property” is a violation of a right secured by the Constitution.
Keep in mind, as far as the individuals go, there is only so much pie there to divide and once it is gone, it is gone forever.
Doug, first I think that the State of MS should refill the till for these individuals’ retirement. After all, they are ultimately responsible in the end. The entire State Taxpayers should have to pitch in (even though we didn’t cause this problem) and refill the till as soon as possible.
Second, Stacey Pickering needs to get off his ass and vigorously investigate this travesty; along with the FBI. The guilty parties should be punished as severely as possible and made to repay what they have stolen from these people. Their mansions, BMW’s, yachts, hunting camps, etc. need to be confiscated and sold and the money given back to the State coffers to offset what they have given to refill the hospital coffers.
We all must take responsibility; after all, we are the ones who elected these republican losers and stood by and trusted Fat-a$$ as he led us down the crooked and narrow road to poverty. It is really ironic that he was on the coast this week to help Philly by promoting what a “good job” they did rebuilding after Katrina. Anyone can tell you that a four year old child could have delegated monies more efficiently than those scum. Give it up Philly – imo, Billy the Boy Hewes was your downfall – along with Joey Zeigler the felon, and of course, ole Fat-a$$.
Break over – later Doug!
Charlene,
You are correct on what should happen at SRH with the guilty parties punished, repay stolen monies, and confiscate assets but so like DMR, it will not happen. After all, we are all long-time residents of the great state of Mississippi and we have to live up to our award – ‘The Most Corrupt State in the Nation.
Soweee!
Pala$$o appointed to Appropriations!
All citizens are warned to be alert and aware. Remember: never ever loiter or pass between the troughs and the hoggs! If you are needin more bidness for yo family remember to donate regularly and hire half wit son and daughters of the ruling class whenever possible. Even the littlest piglets need to feed!
Pretty Boy Palazzo appointment was on the same line as Gov Bryant appointing former Fat Boy Gov Barbour to head the Katrina Anniversary Celebration. Another of his PR failures was “Let’s go Walking” but he was so fat, the slogan was going to have to be changed to “Let’s go Waddling” so they pulled the deal. So like so many other deals of Barbour’s that have folded.
Pardon me while I puke on reading both Republican crony articles!