Austin Bay Blog

IBD titles its editorial “Big Fat Yawn.” (Yup -an appropriately ironic echo of Al Franken’s book title.)

IBD’s lede:

Media: Rush Limbaugh’s prescription drug troubles were splashed all over the media. Yet a financial scandal rocking a leftist radio network rates no coverage.

The mainstream media, fixated on bringing down Karl Rove, have so far deemed apparent funding irregularities at Air America unworthy of note. But that doesn’t make them any less of story.

Here’s the gist, according to The New York Sun — which is giving the scandal the coverage it deserves — and a few others, mostly bloggers and columnists, who are providing a public service:

New York City’s Department of Investigation is looking into charges that $875,000 from a Bronx nonprofit group and an affiliate whose budgets are generously stuffed with local, state and federal grants was inappropriately used to fund Air America, the left’s counterattack on the colossal success of conservative talk radio.

The two groups — the Gloria Wise Boys & Girls Club and Pathways for Youth — said they thought they were making a loan to the network. But when Evan Montvel Cohen was working as both chairman of Air America and director of development for Gloria Wise, some red flags should have been raised.

Jeannette Graves, president of Gloria Wise’s executive committee, has said that without her authorization or knowledge, Cohen siphoned $613,000 from the organization to himself and Air America. Cohen also allegedly used money from the groups for personal medical care…

Let’s create a hypothetical: A hypothetical conservative Republican activist, who serves on the hypothetical board of a hypothetical organization called Future Airborne Rangers of America, arranges a for-real multi-hundred thousand dollar loan from the hypothetical Future Airborne Rangers of America to fund a hypothetical very-conservative tv network– and the loan arrives at a particularly critical time for the fledgling company. (Future Airborne Rangers of America receives a chunk of public funds so poor urban kids can participate in FARA’s outstanding “get in Ranger shape and stay in Ranger shape” phys-ed program.) The activist claims the loan terms are very favorable– why, we have his word. However, the network flops and produces zilch revenue, despite the best promo efforts of The Wall Street Journal and The Washington Times. What is the NY Times editorial and reportorial reaction to this hypothetical filled with hypotheticals? Commenters may answer this question– per the rules, no cursing, no name-calling.

Here’s my editorial and reportorial reaction– At the min I’d condemn the man for abusing his position of influence with a charity. I ‘d condemn the Future Airborne Rangers for allowing charitable money to be spent on an overtly-political project. I’d also launch an investigation to determine the man’s fiduciary responsibility vis a vis the charity. I’d demand that the network pay the money back immediately, with interest. Can’t pay it? Take out a commercial loan with a bank. The network has a miserable credit rating? Then what the heck was it doing getting a loan from a charity receiving tax dollars? This question would lead to a series of investigative articles examining state and federal oversight — of lack of oversight– of charities. Among questions this Pulitzer Prize-winning series would answer: Are loans like these a common practice among charities receiving public funds?