Eliot Spitzer won the first substantive round in the New York Attorney General’s lawsuit against former NYSE head Richard Grasso today. State Supreme Court Justice Charles Ramos ruled that Grasso must return part of $58 million in “deferred compensation” he received as part of his controversial $198 million compensation package from the then exchange.
Ramos also shot down Grasso’s claims for damages against the exchange and a defamation claim against the current NYSE chairman.
Of course, all of this is at the summary judgment stage, and open to appeal at some point. And you know Grasso’s not exactly opposed to appealing Ramos’ judgments. He’s already got three in front of the state appeals court.
(And, by the way, in New York the “State Supreme Court” is actually the lower court. It makes them lower court judges feel better if they get to call themselves Supreme.)
The opinion hasn't yet been published but we probably won't read it even when it is. Unless, you know, there are some juicy, mean or funny bits.
Grasso Must Return Part of $190 Million Pay Package, Judge Says [Bloomberg]
Posted by John Thorzeine, Oct 19, 2006 5:03PM
Smart money says it is overturned on appeal. Spitzer overplayed his hadn. The judge has to conflicts of interest and should have recused himself.