Who Do the White Shirt Police Report to at Occupy Wall Street Protests?
Financial Giants Put New York City Cops On Their Payroll
by PAM MARTENS
Videos are springing up 
across the internet showing uniformed members of the New York Police 
Department in white shirts (as opposed to the typical NYPD blue 
uniforms) pepper spraying and brutalizing peaceful, nonthreatening 
protestors attempting to take part in the Occupy Wall Street marches.  
Corporate media are reporting that these white shirts are police 
supervisors as opposed to rank and file.  Recently discovered documents 
suggest something else may be at work.
If you’re a Wall Street behemoth, there are endless 
opportunities to privatize profits and socialize losses beyond 
collecting trillions of dollars in bailouts from taxpayers.  One of the 
ingenious methods that has remained below the public’s radar was started by the 
Rudy Giuliani administration in New York City in 1998.  It’s 
called the Paid Detail Unit and it allows the New York Stock Exchange 
and Wall Street corporations, including those repeatedly charged with 
crimes, to order up a flank of New York’s finest with the ease of 
dialing the deli for a pastrami on rye.
The corporations pay an average of $37 an hour (no 
medical, no pension benefit, no overtime pay) for a member of the NYPD, 
with gun, handcuffs and the ability to arrest.  The officer is 
indemnified by the taxpayer, not the corporation.
New York City gets a 10 percent administrative fee on top of the $37 per hour 
paid to the police.  The City’s 2011 budget 
called for $1,184,000 in Paid Detail fees, meaning private corporations 
were paying  wages of $11.8 million to police participating in the Paid 
Detail Unit.  The program has more than doubled in revenue to the city 
since 2002.
The taxpayer has paid for the training of the 
rent-a-cop, his uniform and gun, and will pick up the legal tab for 
lawsuits stemming from the police personnel following illegal 
instructions from its corporate master.  Lawsuits have already sprung up from 
the program.
When the program was first rolled out, one insightful member of the NYPD posted 
the following on a forum: “… regarding the 
officer working for, and being paid by, some of the richest people and 
organizations in the City, if not the world, enforcing the mandates of 
the private employer, and in effect, allowing the officer to become the 
Praetorian Guard of the elite of the City. And now corruption is no 
longer a problem. Who are they kidding?”
Just this year, the Department of Justice revealed 
serious problems with the Paid Detail unit of the New Orleans Police 
Department.  Now corruption probes are snowballing at NOPD, revealing 
cash payments to police in the Paid Detail and members of the department 
setting up limited liability corporations to run upwards of $250,000 in Paid 
Detail work billed to the city.
When the infamously mismanaged Wall Street firm, 
Lehman Brothers, collapsed on September 15, 2008, its bankruptcy filings in 
2009 showed it owed money to 21 members of the NYPD’s Paid Detail 
Unit.  (A phone call and email request to the NYPD for information on 
which Wall Street firms participate in the program were not responded 
to.  The police unions appear to have only scant information about the 
program.)
Other Wall Street firms that are known to have used 
the Paid Detail include Goldman Sachs, the World Financial Center 
complex which houses financial firms, and the New York Stock Exchange.
The New York Stock Exchange is the building in front 
of which the Occupy Wall Street protesters have unsuccessfully tried to 
protest, being herded behind metal barricades, clubbed with night 
sticks, kicked in the face and carted off to jail rather than permit the last 
plantation in America to be defiled with citizen chants and 
posters.  (A sample of those politically inconvenient posters and 
chants: “The corrupt are afraid of us; the honest support us; the heroic join 
us”; “Tell me what democracy looks like, this is what democracy 
looks like”; “I’ll believe a corporation is a person when Texas executes one.” 
The last sign refers to the 2010 U.S. Supreme Court decision, 
Citizens United v. Federal Election Commission, giving corporations 
First Amendment personhood, which allows them to spend unlimited amounts of 
money in elections.)
On September 8, 2004, Robert Britz, then President 
and Co-Chief Operating Officer of the New York Stock Exchange, testified as 
follows to the U.S. House Committee on Financial Services:
 “…we have implemented new hiring 
standards requiring former law enforcement or military backgrounds for 
the security staff…We have established a 24-hour NYPD Paid Detail 
monitoring the perimeter of the data centers…We have implemented traffic 
control and vehicle screening at the checkpoints. We have installed 
fixed protective planters and movable vehicle barriers.”
Military backgrounds; paid NYPD 24-7; checkpoints; 
vehicle barriers?  It might be insightful to recall that the New York 
Stock Exchange originally traded stocks with a handshake under a 
Buttonwood tree in the open air on Wall Street.
In his testimony, the NYSE executive Britz states 
that “we” did this or that while describing functions that clearly 
belong to the City of New York.  The New York Stock Exchange at that 
time had not yet gone public and was owned by those who had purchased 
seats on the exchange – primarily, the largest firms on Wall Street.   
Did the NYSE simply give itself police powers to barricade streets and 
set up checkpoints with rented cops?  How about clubbing protesters on 
the sidewalk?
Just six months before NYSE executive Britz’ 
testimony to a congressional committee, his organization was being sued 
in the Supreme Court of New York County for illegally taking over public 
streets with no authority to do so. This action had crippled the 
business of a parking garage, Wall Street Garage Parking Corp., the 
plaintiff in the case.  Judge Walter  Tolub said in his opinion that
“…a private entity, the New York Stock 
Exchange, has assumed responsibility for the patrol and maintenance of 
truck blockades located at seven intersections surrounding the NYSE…no 
formal authority appears to have been given to the NYSE to maintain 
these blockades and/or conduct security searches at these 
checkpoints…the closure of these intersections by the NYSE is tantamount to a 
public nuisance…The NYSE has yet to provide this court with any 
evidence of an agreement giving them the authority to maintain the 
security perimeter and/or conduct the searches that their private 
security force conducts daily.  As such, the NYSE’s actions are unlawful and 
may be enjoined as they violate plaintiff’s civil rights as a 
private citizen.”
The case was appealed, the ruling overturned, and 
sent back to the same Judge who had no choice but to dismiss the case on the 
appellate ruling that the plaintiff had suffered no greater harm 
than the community at large.  Does everyone in lower Manhattan own a 
parking garage that is losing its customer base because the roads are 
blocked to the garage?
Some believe that Wall Street is given special 
privileges and protection because New York City’s Mayor Michael 
Bloomberg owes his $18.1 billion in wealth (yes, he’s that 1 percent the 99 
percent are protesting) to Wall Street.  The Mayor was previously a 
trader for Salomon Brothers, the investment bank made famous for 
attempting to rig the U.S. Treasury market in two-year notes.
The Mayor’s business empire which bears his name, 
includes the awesome Bloomberg terminal, a computer that houses enormous 
pricing data for stocks and bonds, research, news, charting functions 
and much more.  There are currently an estimated 290,000 of these 
terminals on Wall Street trading floors around the globe, generating 
approximately $1500 in rental fees per terminal per month.  That’s a 
cool $435 million a month or $5.2 billion a year, the cash cow of the 
Bloomberg businesses.
The Bloomberg businesses are run independently from 
the Mayor but he certainly knows that his terminal is a core component 
of his wealth.  Nonetheless, the Mayor is not Wall Street’s patsy.  
Bloomberg Publishing is frequently in the forefront of exposing fraud on Wall 
Street such as the 2001 tome “The Pied Pipers of Wall Street” by 
Benjamin Mark Cole,  which exposed the practice of releasing fraudulent 
stock research to the public.  Bloomberg News was responsible for court 
action that forced the Federal Reserve to release the details of what it did 
with trillions of dollars in taxpayer bailouts to Wall Street 
firms, hedge funds and foreign banks.
Police Commissioner Ray Kelly may also have a soft 
spot for Wall Street.  He was formerly Senior Managing Director of 
Global Corporate Security at Bear, Stearns & Co. Inc., the Wall 
Street firm that collapsed into the arms of JPMorgan in March of 2008.
There has also been a bizarre revolving door between 
the Wall Street millionaires and the NYPD at times.  One of the most 
puzzling career moves was made by Stephen L. Hammerman.  He left a hefty 
compensation package as Vice Chairman of Merrill Lynch & Co. in 
2002 to work as Deputy Commissioner of Legal Matters for the NYPD from 
2002 to 2004.  That move had everyone on Wall Street scratching their 
head at the time.  Merrill collapsed into the arms of Bank of America on 
September 15, 2008, the same date that Lehman went under.
Wall Street is not the only sector renting cops in 
Manhattan.  Department stores, parks, commercial banks and landmarks 
like Rockefeller Center, Jacob Javits Center and St. Patrick’s Cathedral have 
also participated in the Paid Detail Unit, according to insiders.  But Wall 
Street is the only sector that runs a private justice system 
where its crimes are herded off to secret arbitration tribunals, has 
sucked on the public teat to the tune of trillions of dollars, escaped 
prosecution for the financial collapse, and can put an armed municipal 
force on the sidewalk to intimidate public protestors seeking a 
realignment of their democracy.
We may be learning a lot more in the future about the tactics Wall Street and 
the NYPD have deployed against the Occupy Wall 
Street protestors.  The highly regarded Partnership for Civil Justice 
Fund has filed a class action lawsuit over the approximately 700 arrests made 
on the Brooklyn Bridge on October 1.  The formal complaint and 
related information is  available at the organization’s web site, 
www.JusticeOnLine.org.
The organization was founded by Carl Messineo and 
Mara Verheyden-Hilliard.  The Washington Post has called them “the 
constitutional sheriffs for a new protest generation.”
The suit names Mayor Bloomberg, Police Commissioner 
Kelly, the City of New York, 30 unnamed members of the NYPD, and, 
provocatively, 10 unnamed law enforcement officers not employed by the NYPD.
The lawsuit lays out  dwhat has been curtailing the constitutional rights of 
protestors for a very long time in New York City.
“As seen in the movements for social 
change in the Middle East and Europe, all movements for social justice, 
jobs, and democracy need room to breathe and grow and it is imperative 
that there be a halt to law enforcement actions used to shut down mass 
assembly and free expression of the people seeking to redress 
grievances…
>“After escorting and leading a group of demonstrators and others well out onto 
>the Brooklyn Bridge roadway, the NYPD suddenly and without warning curtailed 
>further forward movement, blocked the 
ability of persons to leave the Bridge from the rear, and arrested 
hundreds of protestors in the absence of probable cause.  This was a 
form of entrapment, both illegal and physical.
>“That the trap and detain mass arrest was a 
command-level-driven intentional and calculated police operation is 
evidenced by the fact that the law enforcement officials who led the 
demonstration across the bridge were command officials, known as ‘white 
shirts.’ ”
In April 2001, I was arrested and incarcerated by the NYPD while peacefully 
handing out flyers on a public sidewalk outside 
of the Citigroup shareholders meeting – flyers that warned of growing 
corruption inside the company. (The unlawful merger of Travelers Group 
and Citibank created Citigroup and resulted in the repeal of the 
Glass-Steagall Act, the depression era investor protection legislation 
that barred depositor banks from merging with high-risk Wall Street 
firms.  Many of us from social justice groups in New York City had 
protested against the repeal but were out maneuvered by Wall Street’s 
political pawns in Washington.)
Out of a group of about two dozen protestors from the National Organization for 
Women in New York City, Rain Forest Action 
Network, and Inner City Press, I was the only person arrested.  There 
was no civil disobedience occurring.  Rain Forest Action Network was 
handing out fortune cookies with prescient warnings about Citigroup and 
urging pedestrians to cut up their Citibank credit cards.  The rest of 
us were peacefully handing out flyers.
Chained to a metal bar inside the police precinct, I 
was grilled on any crimes I might know about.  I responded that the only crimes 
I knew about were listed on the flyer and apparently, in New 
York City, one gets arrested for disclosing crimes by Wall Street firms.
A mysterious, mature, white shirted inspector who 
ordered my arrest on the sidewalk, and refused to give his first name, 
disappeared from the police report when it was filed, blaming the arrest 
instead on a young police officer.  Citigroup is only alive today 
because the Federal government inserted a feeding tube into Citigroup 
and infused over $2 trillion in loans, direct investment and guarantees 
as the company veered toward collapse.
The NYPD at the time of my arrest was run by Bernard 
Kerik – the man President George W. Bush later sent to Iraq to be the 
interim Interior Minister and train Iraqi police.  The President 
subsequently nominated Kerik to head the Department of Homeland Security for 
the entire nation.  The nation was spared of that eventuality only 
because of an illegal nanny popping up.  Today, Kerik is serving a four 
year sentence in Federal prison for a variety of criminal acts.
The New York Civil Liberties Union filed a Federal 
lawsuit on my behalf  (Martens v. Giuliani) and we learned that the NYPD had 
arbitrarily established a policy to arrest and hold for 72 hours 
any person protesting in a group of 20 or more.   The case was settled 
for a modest monetary award and the repeal by the NYPD of this 
unconstitutional and despicable practice.
Pam Martens worked on Wall 
Street for 21 years. She spent the last decade of her career advocating 
against Wall Street’s private justice system, which keeps its crimes 
shielded from public courtrooms.  She has been writing on public 
interest issues for CounterPunch since retiring in 2006.   She has no 
security position, long or short, in any company mentioned in this 
article.  She can be reached at [email protected]
http://www.counterpunch.org/2011/10/10/financial-giants-put-new-york-city-cops-on-their-payroll/

[Non-text portions of this message have been removed]



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