Former Citigroup analyst Jack Grubman
says Wall Street hasn't changed how it works in more than 10 years.
, Weill's star telecommunications analyst, became the poster child for promotional investment advice, earning up to $20 million a year.
In particular, his evil "twin," Jack Grubman
of Smith Barney, is one of the major villains of the piece.
The flaws in the investment process are highlighted by the tales of Henry Blodget of Merrill Lynch, Jack Grubman
of Salomon Smith Barney, and Frank Quattrone of Credit Suisse First Boston.
, at Salomon Smith Barney and, after the merger, Citigroup, was known as the "King of Telecom" for his relentless promotion of WorldCom, Global Crossing, and Qwest over traditional telecommunication companies.
Companies are rethinking their definitions of proper conduct, said Weill, who faced controversies over his bank's involvement with Enron as well as the actions of analyst Jack Grubman
Malik relata tambien las peripecias de Bernie Ebbers, de WorldCom; Phil Anschutz, de Qwest; Jim Crowe, de Level 3 Communications; Alex Mandl, de Teligent; John Doerr, de Excite@Home; Jack Grubman
, de Salomon Smith Barney; John Roth, de Nortel, y otros.
Did you know Jack Grubman
is still being paid $200,000 a year by Solomon Smith Barney?
People such as Henry Blodget, Mary Meeker, and Jack Grubman
were the darlings of Wall Street.
Others, like Salomon Smith Barney (now part of Citigroup) analyst Jack Grubman
, who abetted the US telecom boom and bust in underhanded ways, have been forced to pay millions in civil penalties.
A good case study in this regard is the coverage of a stock analyst with the Dickensian name of Jack Grubman
The most egregious example of the incestuous analyst's back-scratching game was former Citigroup (Salomon Smith Barney) analyst Jack Grubman
, who allegedly changed his rating on AT&T stock at the behest of his boss, Sandy Weill (who was seeking to persuade AT&T's CEO, a Citigroup board member, to support Weill in an internal company fight).