Friday, August 24, 2012

Columbia University's Bain Capital-Sankaty Advisors Connection

As the Columbia University website notes:

“Jonathan Lavine is the Managing Partner and Chief Investment Officer of Sankaty Advisors, Bain Capital’s fixed income and credit affiliate, which he founded in 1997… Before the formation of Sankaty, Mr. Lavine worked in Bain Capital’s private equity business which he joined in 1993...Mr. Lavine is a Trustee of Columbia University and former Chair of the Columbia College Board of Visitors...Mr. Lavine also is a member of the ownership group and a Director of the Boston Celtics…He was a 2008 recipient of Columbia’s John Jay Award for distinguished professional achievement.”

  Yet an article by John Nichols, titled “Romney Still Reaps Huge Profits From Bain’s Vulture Capitalism,” that was posted on The Nation’s website on July 16, 2012 contains the following reference to the Bain Capital private equity firm that Columbia Trustee Lavine is affiliated with:
“…Romney…helped to create Bain Capital, a private equity firm that makes its money by buying functional US manufacturing and service firms and rendering them dysfunctional. Bain guts American companies, ripping out whatever parts are profitable and then tossing the workers aside.

Bain forces cuts in wages, benefits and pensions. It outsources work. And it offshores production—harming American workers and communities and undermining American industries….Romney continued to be intimately involved with Bain as the company began to focus more and more of its energies on the shuttering of US factories and the transfer of the work done in those factories to foreign countries….Through arrangements that he made, Romney remains one of the prime beneficiaries of every move that Bain makes….He remains a direct beneficiary of Bain’s buccaneer pillaging of the US economy…Romney continued to collect a share of the corporate buyout and investment profits enjoyed by partners from all Bain deals until 2009… Romney has collected profits from twenty-two Bain and Bain-related funds…. “

  Besides sitting on the board of trustees of tax-exempt Columbia University, Bain Capital/Sankaty Advisors’s Chief Investment Officer contributed $19,200 to the Democratic Congressional Campaign Committee on Mar. 9, 2011, $30,800 to the DNC Services Corporation on June 27, 2011 and $5,000 to Joe Kennedy III’s congressional campaign committee on Mar. 31, 2012, according to the Center for Responsive Politics' Open Secrets website.

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