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Madoff & Rubashkin: Where’s The Fairness?


The following article is from The Des Moines Register:

In early December 2008, Bernie Madoff was arrested by federal agents for allegedly masterminding a $65 billion, decades-long Ponzi scheme. Yet, within days of his arrest, the government agreed to allow the accused swindler to remain free on bail. Granted, the bail conditions under which Madoff was forced to live were onerous, and included surrendering his and his wife’s passports, 24-7 monitoring of his penthouse apartment, and severe restrictions on his movements outside the walls of his home.

The Madoff case illustrates that even for one of the most infamous white-collar criminals in modern times, there was a way to both satisfy the government’s interest to ensure that a defendant shows up for court proceedings and at the same time provide an opportunity for a defendant to maintain some semblance of a family, professional and religious life while his or her case proceeds through the justice system.

Surprisingly, however, in another case – this one still unfolding – the Department of Justice is being overly parsimonious in refusing to allow bail for a defendant charged with white-collar crimes far less serious than those to which the disgraced Madoff pleaded last year.

The case now pending in federal court presents a host of interesting issues; not the least of which is the fact that it revolves around an orthodox Jewish businessman recently convicted of bank fraud involving loans to a kosher meat plant (now bankrupt) in a small town in northeast Iowa that was the target of a massive immigration raid in May 2008. Undeniably, being convicted on 86 counts of financial fraud in November 2009 is serious. However, as with many federal criminal cases, the number of counts with which a person is charged, or on which they are convicted, fails to convey a true or full picture of either the government’s or the defendant’s behavior.

Thus it is with Sholom Rubashkin and the company he used to manage, Agriprocessors. Until the criminal charges were levied against Rubashkin, Agriprocessors was by far the largest employer in Postville, but also the largest kosher slaughterhouse in the entire country.

What makes the Rubashkin story even more intriguing is that the initial case against Agriprocessors – stemming from the much-publicized immigration raid – was later abandoned by the government, which opted to go after him for “paper crimes” involving bank forms and statements, and not immigration violations. Also interesting was the manner in which the government raid was carried out. While a kosher meatpacking plant in Iowa is hardly the venue from which one might expect organized armed resistance, the raid on Agriprocessors was carried out with massive military force, including some 600 agents in heavy riot gear and Blackhawk helicopters circling overhead.

The government’s show of force and its grant-no-quarter approach has never let up. Now, nearly two years later, the government is refusing to agree to allow the orthodox Jewish ex-CEO to remain out of jail on bail while he awaits sentencing and prepares his appeal. Federal law does permit a federal judge to detain someone after they have been convicted but before sentencing and prior to an appeals court ultimately deciding their case, if there is evidence of a risk of flight or violence. Absent such evidence, such defendants frequently are permitted to remain with family, reflecting both humanitarian concerns as well as economic considerations.

However, in this case, the feds thus far have been unyielding in their opposition to bail. Rubashkin’s lawyers have taken extraordinary steps to convince the court their client will remain accessible and show up for court. Rubashkin already has surrendered his passport, and he has proposed the most strenuous restrictions on his movements (including a 24/7 security detail and home confinement) if allowed bail pending appeal. Yet, what was good enough to convince the government that the notorious Mr. Madoff would not flee apparently is insufficient for Mr. Rubashkin. Indeed, the degree of overkill employed by the government against Rubashkin raises troubling questions.

(LINK to article)



17 Responses

  1. This case is pure and simple anti semitism. No – Im not one to label anything that goes against a jew as antisemitism, but they would never ever ever do this against any regular American goy, and certainly not a someone who is black or Hispanic. They are not looking at the fact that he was an extremely productive member of society.

    He employed 1000’s of people and 10’s of businesses. All they are doing is focusing like a laser on these “routine” crimes (Im not condoning signing false forms). He should get 90 days and some fines vezehu.

    Had KSM (mastermind of 9/11) been treated this way, they would’ve called a special UN session and obama would be investigating the issue

  2. The article is very clear and concise especially the last sentence. However one salient fact has been omitted: the minute Madoff was convicted he was behind bars.

  3. It does suggest bias (but don’t blame this on Obama, the case was started by Bush with a Jewish Attorney-General in charge of the Federal justice department).

  4. A Medrash quoted by Rashi on the incident of the Meraglim in Parshas Shelach states on the pasuk ויבכו העם בלילה ההוא that it was the night of Tisha B’av and Hashem said that you cried for no reason, I will give you a reason to cry in the future.

    A short time before Tisha B’Av, 5768 a rabbi acting on behalf of Young Israel came crying to to silence publicizing the aveiros of Young Israel of Las Vegas. He claimed that he was trying to keep me out of jail, that Young Israel was going to put me in jail, etc. There were two major problems with his plaint:

    1- The lawsuit filed against me by Young Israel is a civil defamation case. There was no way for NCYI to get me jailed unless they falsely accused me of a crime (as they also tried to do to the widow they charged with trespassing when she tried to daven and actually did several years earlier to another outspoken critic of YILV). This rabbi’s crying was sheker. The widow still cries real tears over what Young Israel did to her!

    2- The ones actively trying to put us in jail were and still are rabbis and lay leaders of Young Israel, Jews trying to put another Jew in jail instead of seeking truth and justice in a Halachik way. If I had truly harmed them as they claimed, then why did they never seek to bring me to Din Torah? The rabbi who cried should have been stopping them from committing more mesirah instead of trying to silence me and intimidate my parents, who incidentally were not fooled by his lament.

    Getting back to Shalom Rubashkin, he was arrested and put in jail a few months after this rabbi cried when he should have instead been teaching Young Israel mussar. Lo and behold! This rabbi is there in the background when Rabbi Zwiebel went to plead for Shalom Rubashkin in Washington.

    We learn maisa avos siman labonim, the incidents of our forebears are lessons for their descendants.
    Is it possible that since Young Israel tried to put people in jail and cried false tears about it Hashem gave them what they wanted, a Jew in jail (just not the one they were trying for), and a real reason to cry?

    While Young Israel was not successful in actually putting the widow or most the others in jail, they still caused enormous harm and damage to us and many others. Perhaps if they implement the judgment specified in the seruv on the Las Vegas YI leader instead of continuing to hide it, maybe Shalom Rubashkin will benefit from Hashem’s mercy and have a true judgment?

  5. The only two criminals the writer could find to compare were the two with Jewish surnames?

    I guess in New York and Des Moines the Jews are the only ones committing crimes?

    Or, are there other people besides Bernie Madoff who maybe got bail but were less juicy to write about, since this is really can only make sense in the context of a tale of two Jews?

    Are these troubling questions?

  6. #2
    Mr Madoff pleaded guilty, so there is no appeal or other issues to work out.
    Mr Rubashkin is appealing his conviction, there is no question he should be out on bail.
    To top it all off he didn’t do a ponzi scheme or start out trying to defraud anyone even if he did lie on a bank application, or didn’t pay for cattle the same day.
    The American system is seriously misguided.

  7. Michal. Absolutely NOT Loshon Hora for several reasons, primarily that Young Israel filed the secular lawsuit (which makes it a public record) in order to conceal the Seruv from a Bet Din about the despicable actions of the leader of YILV!

    Also it is NOT Loshon Hora to tell that on February 14, 2010, this same Young Israel rabbi said on his radio program on KDWN in Las Vegas “if you want the girl of your dreams … KNOCK HER UP” because it was a very public statement broadcast for evryone, including goyim, to hear. Is this the way an Orthodox rabbi speaks on a heavily advertised radio program!?! National Council has a tape of the broadcast but has done nothing about it.

  8. What has all this got to do with Shalom Rubashkin? We know that that Hashem hears the cries of a widow. Maybe Hashem is using Rubashkin’s plight to illustrate a point. Maybe Hashem is trying to tell the rabbinic leadership in this country to deal with the justice they do have influence over and to do so in accordance with the Torah and not with sheker. Why are they so rightfully caring about Shalom Rubashkin but turning their backs on the widow Susan Shalov?

  9. Unfortunately, different courts rule differently even for the same offense. Different lawyers handle cases differently and exert different influence.

    It is not right what is happening to Rabbi Rubashkin. All we can do now is be reminded to be scrupulous in our business affairs. And, daven to Hashem for leniency.

  10. First and foremost it sounds like the cattle got paid for but not in time. The banks claim fraud. Its time a jew realizes that every action with a bank is dangerous. We should collectively unite as a group when dealing with any bank and demand first that the bank signs an agreement that since they want to make money on their clients they are relinquishing any future claims of bank fraud against the client. Who wants to borrow money from someone who can put you away for life – essentially kill you if you make one statement in your report that can be misconstrued or that the bank claims were exagerated. Even the mafia will let you alone if you finally pay the loan. Jews are subjected to hateful judges and juries. An alliance of ten thousand jewish businesses that only work with lenders that are willing to work on a businessman to businessman level instead of a life imprisonment for bank fraud is essential for continued civilized jewish industry. The entire banking industry in New York depends on Jewish business. Granted no one should make a false statement on a report. But under the threat of life imprisonment? The banks that want to do business with Jews will be happy to agree. Let the banks verify and calculate their risks just like any other businessman. A jewish owned bank would never do this to another jew. How much money does Rubashkin owe the bank?. Let’s collect it and pay and tell the bank to shut up.

    This entire episode is horrible. Because the government shut the plant unexpectedly that’s what caused a bank loan problem. But otherwise Rubashkin would have made enough money to buy the whole bank and all its officers. So who are they fooling? Tell the banks to lend jewish businesses money under a separate corporation owned by the bank but cannot charge the clients with bank fraud. Enough of this bank fraud business. The banks are the greediest people out there. They can make money without being dictators.

  11. OK, you win. You pounded into my head over and over and over what a wonderful man Rubashkin is. Now, can we please, I beg you, move on already?

  12. i posted and it was removed… censorship here?

    I must have taken a position that someone didn’t like… not nice

    if the Yiddin in my community and those who manage this site cant take it when someones asks, why are we not addressing the crimes one commits versus how the government is being unfair to us, then we become the joke.

    ok the governments are unfair to us as Yiddin, you know it and I know it, but when are we going to manage our own… when one of us commits a crime, then we have an obligation to do something… challenging those who manage the system we live in isn’t the right answer, we must manage our own communities and its members better.

    Why doesn’t one Rabbi stand up and take control of Klal Yisrael… we have two problems, one is we have no manager in the physical world and some of us have no Yiras Hashem. If we did, we would never have to talk about a Jew violating the laws of the land they live in, nor the laws Hashem set forth.

    Is the government 100% wrong in regards to Rubashkin? We all know they aren’t… does he deserve life in prison… absolutely not…

    But we must begin to manage our own before we can blame others for taking advantage of us.

    Devarim Resh Gimel instructs us to turn tzafon while on the border of the Eisav, which I take as the secular world…

    Have a greater degree of Yiras Hashem and no one will have to discuss this again.

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