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Secret meeting kenny arnold { May 11 2001 } >>Arnold's Secret Meeting with Kenny Boy >> >>Remember how Enron and the other corporate vultures descended on >>California during the electricity "crisis" of 2001. >> >>What California voters may no longer remember;however, is that after >>the third wave of rolling blackouts hit their state, Kenny Boy quietly >>summoned a select group to the Beverly Hills Hotel on May 11, 2001. >>And they may also have forgotten that one of the prominent >>Republicans who showed up at Lay's request was Arnold Schwarzenegger. >> >>On June 21, 2001, the Associated Press reported that "Lay met secretly >>with California Republicans at the Beverly Hills Hotel and pushed a >>plan that called for ratepayers to pay the billions in debt racked up >>by the state's public utilities. The plan contended that federal >>investigations of price gouging are hindering the situation." >>According to William Bradley, the L.A. Weekly's sharp political >>columnist who wrote about Enron for the American Prospect, the meeting >>revolved around Lay's plans to "preserve deregulation" in California. >>The L.A. Times noted that Lay was seeking the support of >>Schwarzenegger and the other GOP luminaries for even greater >>deregulation. Apparently Lay wanted help in saving a lousy system, >>squeezing the unfortunate Californians even more, and avoiding >>accountability for their plight. >> >>Only those who were present -- including then-Mayor Richard Riordan >>and convicted junk-bond fraudster Michael Milken -- know exactly what >>happened at Lay's covert conference. The meeting briefly became an >>issue early in the 2002 governor's race, after Riordan >>opportunistically attacked Davis over the governor's telephone >>contacts with Lay during the crisis. "What is Gray Davis trying to >>hide?" he demanded. But then, instead of answering pointed questions >>about the Beverly Hills meeting, Riordan quickly backed off from >>the Enron angle. >> >>So the intriguing question put by California's leading consumer >>advocates last year has yet to be fully answered: >> >>"What was the purpose and substance of the May 11, 2001, meeting with >>then-Mayor Richard Riordan, former junk-bond king Michael Milken, and >>Arnold Schwarzenegger?" To that might be added a few other pertinent >>queries, directed to the campaign of the leading recall contender: >>Why did Schwarzenegger go to a secret meeting with Ken Lay in the >>midst of the crisis? Did Schwarzenegger ever have any dealings with >>Enron? Did he hold Enron equities in his portfolio -- and if so, when >>did he sell? >> >>If and when he gets around to discussing issues, perhaps then someone >>will ask Schwarzenegger why he appointed Pete Wilson, the former >>governor who signed the misbegotten deregulation bill that caused the >>crisis, as his campaign chairman.

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