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You head is going to explode; Seems Penn State is a subsidary of the Pa Manufacturers Association

The Spin Meister

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An altered state
In the 1990's the Pennsylvania Manufacturers Association stacked the deck and took over control of the PSU BoT. By 2002, they re-wrote the bylaws ensuring their control of the school.

This article explaining how it all happened
, from 2002, was first linked by JimmyW in a prior thread but it is so shocking I thought it deserved its own thread. There is a lot of maddening stuff in it but this is a critical passage;

According to Paula Ammerman, Associate Secretary of the Board and Director of the Penn State Trustees’ office in Old Main, the university determines the qualification of each industrial society or association. Letters are sent to the acting secretary of each qualifying organization, which allows them to then nominate three delegates per county chapter. Ammerman could not provide an exact figure at the time, but estimated that the number of qualifying organizations was over 150 throughout Pennsylvania.
In instances where more than one society or association exists in a particular county, the nominated delegates from those societies must caucus and elect three delegates amongst themselves to represent their county.
Out of 150 qualifying societies and organizations, PMA Capital sends almost all of the delegates. Out of 65 delegates registered in the 1998 industrial election, 60 were registered as PMA delegates.......

.........
Horst talked with dozens of delegates at the 1996 election and discovered that every delegate he spoke with had been recruited from the streets and retirement communities of Centre County – an obvious violation of the 3-delegate-per-county allowance.
One delegate he spoke to was a resident of State College, the spouse of an elected State College official, yet she voted as a Clinton county PMA delegate.
“After the election, she asked me what the letters PMA stood for,” Horst recalled.


This is where it all started. The PMA rigged the BoT elections to get their own people in charge and now we are stuck with total corruption. The PMA represents huge manufacturers along with powerful bankers and financiers. And they all have major political influence.

Footnote; The article poorly explains the PMA. It is one of dozens of trade associations in Harrisburg that promote various industries There are such trade groups for just about everything from autos to coal miners to zoos. One of their primary functions is to monitor all proposed laws and regulations and lobby on behalf of their members. The PMA would consist of manufacturers and all related businesses like banks, financiers, suppliers, and retailers of manufactured goods like automobiles. That would include companies like US Steel, GE, Mellon Bank, Merck, and more.

The article talks alot about PMA Capital, which is the insurance division of PMA. During the '70s and '80s workmen's comp and insurance became huge issues for the businesses across Pa and the country. In response to member's needs, many of these trade associations formed for-profit subsidiaries to offer insurance to it members where members paid in annual rates and the subsidiary insured them, in affect they became self-insured. PMA Capital became very wealthy and very powerful.

Closing quote just to piss you off some more;

In the 1998 industrial trustee election, Horst discovered that a PMA insurance branch located in Blue Bell, PA served as headquarters for the “Penn State Project.” The project coordinated PMA Capital employees who were provided delegate credentials and accommodations in State College for the weekend of the election.

Besides the investigation in 1996, calls for reform have largely gone unanswered. After persistent inquiries from Robert Horst, former Chairman Junker eventually replied: “I will not respond again to further correspondence from you on this subject.”
Old Main has maintained silence on the matter as well. Officials declined an invitation to respond to Horst’s March 17th CDT editorial. Likewise, Penn State spokesman, Tyson Kendig, declined an invitation from Voices to comment on the specific allegations, but maintained that, “Penn State’s trustee election process is held up as a model for universities across the country.”
 
In the 1990's the Pennsylvania Manufacturers Association stacked the deck and took over control of the PSU BoT. By 2002, they re-wrote the bylaws ensuring their control of the school.

This article explaining how it all happened
, from 2002, was first linked by JimmyW in a prior thread but it is so shocking I thought it deserved its own thread. There is a lot of maddening stuff in it but this is a critical passage;

According to Paula Ammerman, Associate Secretary of the Board and Director of the Penn State Trustees’ office in Old Main, the university determines the qualification of each industrial society or association. Letters are sent to the acting secretary of each qualifying organization, which allows them to then nominate three delegates per county chapter. Ammerman could not provide an exact figure at the time, but estimated that the number of qualifying organizations was over 150 throughout Pennsylvania.
In instances where more than one society or association exists in a particular county, the nominated delegates from those societies must caucus and elect three delegates amongst themselves to represent their county.
Out of 150 qualifying societies and organizations, PMA Capital sends almost all of the delegates. Out of 65 delegates registered in the 1998 industrial election, 60 were registered as PMA delegates.......

.........
Horst talked with dozens of delegates at the 1996 election and discovered that every delegate he spoke with had been recruited from the streets and retirement communities of Centre County – an obvious violation of the 3-delegate-per-county allowance.
One delegate he spoke to was a resident of State College, the spouse of an elected State College official, yet she voted as a Clinton county PMA delegate.
“After the election, she asked me what the letters PMA stood for,” Horst recalled.


This is where it all started. The PMA rigged the BoT elections to get their own people in charge and now we are stuck with total corruption. The PMA represents huge manufacturers along with powerful bankers and financiers. And they all have major political influence.

Footnote; The article poorly explains the PMA. It is one of dozens of trade associations in Harrisburg that promote various industries There are such trade groups for just about everything from autos to coal miners to zoos. One of their primary functions is to monitor all proposed laws and regulations and lobby on behalf of their members. The PMA would consist of manufacturers and all related businesses like banks, financiers, suppliers, and retailers of manufactured goods like automobiles. That would include companies like US Steel, GE, Mellon Bank, Merck, and more.

The article talks alot about PMA Capital, which is the insurance division of PMA. During the '70s and '80s workmen's comp and insurance became huge issues for the businesses across Pa and the country. In response to member's needs, many of these trade associations formed for-profit subsidiaries to offer insurance to it members where members paid in annual rates and the subsidiary insured them, in affect they became self-insured. PMA Capital became very wealthy and very powerful.

Closing quote just to piss you off some more;

In the 1998 industrial trustee election, Horst discovered that a PMA insurance branch located in Blue Bell, PA served as headquarters for the “Penn State Project.” The project coordinated PMA Capital employees who were provided delegate credentials and accommodations in State College for the weekend of the election.

Besides the investigation in 1996, calls for reform have largely gone unanswered. After persistent inquiries from Robert Horst, former Chairman Junker eventually replied: “I will not respond again to further correspondence from you on this subject.”
Old Main has maintained silence on the matter as well. Officials declined an invitation to respond to Horst’s March 17th CDT editorial. Likewise, Penn State spokesman, Tyson Kendig, declined an invitation from Voices to comment on the specific allegations, but maintained that, “Penn State’s trustee election process is held up as a model for universities across the country.”
Is this the same Justin Leto that was a protester after JVP allowed Casey to continue playing?

https://books.google.com/books?id=x...BA#v=onepage&q=justin leto penn state&f=false
 
I don't want to do the digging around here -- but doesn't Gov. Tom Wolf own a "manufacturing" biz in PA...... thus, wouldn't he be a part of the PMA................?
 
Wait, I thought "the business world" is for fairness and honesty, at least that is the case in AMERICA :) It's all about promoting competition and quality just ask Comcast ! THEY should be running PSU, oops do they?
 
just to spice up the conversation a little....FWIW,

http://en.wikipedia.org/wiki/Fred_Anton

http://www.sec.gov/litigation/complaints/2006/comp19712.pdf


It seems our boy Anton, III is one of the most influential GOP'ers in the state.
No doubt he is. The SEC did not get him directly, but Johnson settled and agreed to disgorgement of profits from the trades. It's not that Anton didn't tip him off, but rather that he did not gain any personal benefit from doing so.

SEC Loses Insider Trading Claim: Not Material/No Personal Benefit
 
I didn't read the entire linked article (and maybe it was discussed in there)....but after the heat started to be turned up on these sham "elections" (starting back in the late 1990s) the BOT commissioned an "Ad-Hoc" committee.....chaired by none other than esteemed "Her Honor" Cynthia Baldwin. That committee recommended (and the Board adopted) provisions to eliminate even this sham "election", in favor of self-perpetuating self-appointments of the B&I scoundrels. That was in 2002. Ever since then, the "new" B&I trustees are determined by a group of 5 trustees (the majority of whom are REQUIRED to be existing B&I trustees). For instance, Broadhurst and Frazier simply plucked Dickie "Yap Dog" Dandrea and placed him on board to serve their ship of fools.

13 Years later, and the tactics have not changed. When folks start to expose your corruption, just use your majority to change the rules......basically give a big old "FU" to anyone who stands up to them.

FWIW - The Agricultural "Elections" have the same sham processes as the old B&I process
 
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The fact that some of you would be surprised by this is amazing. Where have you been? The PMA is about as dirty as it gets. And, then to imply the Governor is tied to it, oh brother.
 
just to spice up the conversation a little....FWIW,
http://en.wikipedia.org/wiki/Fred_Anton
http://www.sec.gov/litigation/complaints/2006/comp19712.pdf

It seems our boy Anton, III is one of the most influential GOP'ers in the state.


Pennsylvania Manufacturers Association leader has plenty of clout with GOP hierarchy
http://www.post-gazette.com/news/po...clout-with-GOP-hierarchy/stories/201202260465

Seems like if Tommy had a little grudge match he needed to resolve, he could call in lots of favors with his puppets on the BoT.
(Having trouble with my links on this browser.)

"He also has influence over who gets a seat on the 32-member Penn State University board of trustees, and sometimes is called "the 33rd trustee."
He generally works behind the scenes, on the phone or in personal meetings with legislators rather than calling news conferences, so that few outside corporate circles and Republican political ranks have heard of him."
 
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The holding pattern surrounding Kathleen Kane
http://triblive.com/opinion/bradbumsted/8185571-74/kane-grand-jury#axzz3YFhft4Ee

Wolf, also a Democrat, said the “process should play out.” But was Wolf leaving himself room to eventually broker her ouster? It makes sense to David Taylor, executive director of the Pennsylvania Manufacturers' Association and an outspoken advocate of government reform. By not coming down too harshly now, Wolf could serve as an “honest broker” when the soup thickens as most expect, said Taylor, a Republican.


Why are they asking the PMA for comments about Kane???




 
Oh. Holy Hell. The Plot Thickens...just think about how this article and the original article link together in some unholy conspiracy.

Penn State sues Pennsylvania Manufacturers’ Association Insurance Co. over coverage denial
http://pennrecord.com/news/9318-pen...association-insurance-co-over-coverage-denial


Pennsylvania State University has filed a breach of contract suit against its longtime insurer over allegations that Pennsylvania Manufacturers’ Association Insurance Co. refused to cover the school with respect to litigation arising out of the Jerry Sandusky child sex-abuse scandal.

The complaint accuses PMA of failing and refusing to honor obligations owed to Penn State under comprehensive and commercial general liability insurance policies with respect to the tort action filed against the school in the wake of the child molestation scandal involving Sandusky, the former defensive coordinator for the Nittany Lions football team.

“Despite the substantial insurance premiums that Penn State paid PMA over the course of those years, when various individual claimants began to raise claims and file lawsuits against Penn State concerning the alleged sexual misconduct of Sandusky, PMA failed to provide the coverage for which Penn State had bargained and paid,” the lawsuit reads.
The university has been paying general liability policies to PMA for consecutive 12-month periods for more than 50 years, the suit states.
Instead of indemnifying Penn State in the civil cases initiated against Sandusky and his former employer, the complaint asserts, PMA denied coverage or reserved its rights in response to certain suits and has failed to issue any coverage determination in response to others.
 
I don't want to do the digging around here -- but doesn't Gov. Tom Wolf own a "manufacturing" biz in PA...... thus, wouldn't he be a part of the PMA

The PMA is an industry trade association that you have to pay to become a member of. BTW, Coach Franklin just spoke about leadership at a PMA event in York PA this week.
 
The PMA is an industry trade association that you have to pay to become a member of. BTW, Coach Franklin just spoke about leadership at a PMA event in York PA this week.
Yes....the "trade association" is the lobbying division of PMA. But, PMA is first and foremost and insurance company.
 
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I believe that PMA Insurance Co. was formed directly after the PA Workmen's Compensation Act of 1915 was enacted.
It was not PMA. It was what was then called State Workman's Insurance Company. Formed with the Act in 1915, and still in existence as the State Workers' Insurance Company (SWIF.)

From @ 1912 thru @ 1921, all states were enacting WC laws. This was in response to the industrial revolution, and the new kinds of work injuries that resulted from that.

In 1915, the PA legislature had the foresight to imagine that a law which required all employers to have WC insurance would also need to provide a solution for those employers unable to purchase coverage from the private market.....high risk type situations. So, they created a state-owned insurance company.

SWIF is currently part of the Department of Labor and Industry of the Commonwealth of Pennsylvania, with a large market share of the state.
 
It was not PMA. It was what was then called State Workman's Insurance Company. Formed with the Act in 1915, and still in existence as the State Workers' Insurance Company (SWIF.)

From @ 1912 thru @ 1921, all states were enacting WC laws. This was in response to the industrial revolution, and the new kinds of work injuries that resulted from that.

In 1915, the PA legislature had the foresight to imagine that a law which requred all employer to have WC insurance would also need to provide a solution for those employers unable to purchase coverage from the private market.....high risk type situations. So, they created a state-owned insurance company.

SWIF is currently part of the Department of Labor and Industry of the Commonwealth of Pennsylvania, with a large market share of the state.
TTM, you sound well-versed in this, but I did just check their site (link) and they claim:

PMA Insurance Group was founded in 1915 as Pennsylvania Manufacturers’ Association Casualty Insurance Company following the enactment of the Pennsylvania workers’ compensation law. Responding to both the business and societal needs of the day to protect workers who were injured on the job, we established ourselves as a premier provider of workers’ compensation insurance to Pennsylvania businesses.
 
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TTA, you sound well-versed in this, but I did just check their site (link) and they claim:

PMA Insurance Group was founded in 1915 as Pennsylvania Manufacturers’ Association Casualty Insurance Company following the enactment of the Pennsylvania workers’ compensation law. Responding to both the business and societal needs of the day to protect workers who were injured on the job, we established ourselves as a premier provider of workers’ compensation insurance to Pennsylvania businesses.
Well, I think that is a good point, and I misunderstood what you were trying to say. Yes, indeed, PMA and other companies were formed after the implementation of Act and begin selling the mandated coverage. In recent decades, as many as 350 insurance companies have offered the coverage in PA.

These were progressive times in our nation. WC Acts were designed to provide an exclusive remedy for work-related injuries, and that served a two-fold purpose. First, the law protected employers from lawsuits by injured workers that would put employers out of business and all their employees on the street. Second, it prevented the families of injured workers from being rendered destitute as a result of a work injury.
 
Well, I think that is a good point, and I misunderstood what you were trying to say. Yes, indeed, PMA and other companies were formed after the implementation of Act to begin selling the mandated coverage. In recent decades, as many as 350 insurance companies have offered the coverage in PA.

These were progressive times in our nation. WC Acts were designed to provide and exclusive remedy for work-related injuries, and that served a two-fold purpose. First, the law protected employers from lawsuits by injured workes that would put employer out of business and all their employees on the street. Second, it prevented the families of injured workers from being redered destitute as a result of a work injury.
The politics of the period when that Act was written are something else to study! If anyone thinks that PA is more corrupt now than it was then, they are sadly mistaken.
 
TTA, you sound well-versed in this, but I did just check their site (link) and they claim:

PMA Insurance Group was founded in 1915 as Pennsylvania Manufacturers’ Association Casualty Insurance Company following the enactment of the Pennsylvania workers’ compensation law. Responding to both the business and societal needs of the day to protect workers who were injured on the job, we established ourselves as a premier provider of workers’ compensation insurance to Pennsylvania businesses.
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PMA was founded in 1909 as a non-profit trade association. Later they formed a for-profit subsidiary for the purposes of offering WC. Seems contradictory that a non-profit can own a for-profit subsidiary but that is the law.

Fascinating that PMA was the insurer for PSU. When did they enter into that contract? Was it after PMA rigged the elections and took over the BoT?

What a corrupt cabal in charge.
 
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Seems contradictory that a non-profit can own a for-profit subsidiary but that is the law.

That in itself is not very unusual. Not-for-profit organizations often cannot rely solely on donations for revenue sufficient to cover operating and mission delivery costs. Earned income (fee for services) can be subject to UBIT tax in certain situations, and in such cases, it may be smart from a legal and tax standpoint to form a for-profit subsidiary.
 
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PMA was founded in 1909 as a non-profit trade association. Later they formed a for-profit subsidiary for the purposes of offering WC. Seems contradictory that a non-profit can own a for-profit subsidiary but that is the law.

Fascinating that PMA was the insurer for PSU. When did they enter into that contract? Was it after PMA rigged the elections and took over the BoT?

What a corrupt cabal in charge.
According to this PSU filing against PMA (link):

2. "PSU purchased CGL policies from PMA for consecutive 12-month periods beginning in the 1950s and continuing through to the present."
 
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The politics of the period when that Act was written are something else to study! If anyone thinks that PA is more corrupt now than it was then, they are sadly mistaken.

One must remember that it was an old PA politician who was responsible for the saying "An honest politician is one who stays bought".
 
That in itself is not very unusual. Not-for-profit organizations often cannot rely solely on donations for revenue sufficient to cover operating and mission delivery costs. Earned income (fee for services) can be subject to UBIT tax in certain situations, and in such cases, it may be smart from a legal and tax standpoint to form a for-profit subsidiary.

That's true. The advertising arm of my not-for-profit employer (sells ads in our publications) is a for profit company (I think due to the reason you noted).
 
One must remember that it was an old PA politician who was responsible for the saying "An honest politician is one who stays bought".

I'm in the middle of reading The Quiet Don. Anyone with any interest in power and corruption in PA politics ought to read it. It is a first rate piece of journalism. That being said, I'm fairly certain that every state in the Union has a venerable history of power and corruption with sordid tales told, to be told and unfolding that will be told.
 
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That's true. The advertising arm of my not-for-profit employer (sells ads in our publications) is a for profit company (I think due to the reason you noted).
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Its quite common but I think it is weird. If you are a non-profit, how can you own a for-profit? You will be making profits so you become a for-profit. I can see how a for-profit can own a non-profit but the other way seems counter intuitive.
 
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Its quite common but I think it is weird. If you are a non-profit, how can you own a for-profit? You will be making profits so you become a for-profit. I can see how a for-profit can own a non-profit but the other way seems counter intuitive.

Non-profits *can* make money. The name is a bit of a misnomer. But the money has to go to their legitimate non-profit goals and not to the "owners" or stockholders. But there are laws that govern this that make some businesses always for profit.
 


Well, if true, PMA apparently controlled not just 'a part' of the Board of Trustees but apparently 'THE' part of the BoT that are always involved in all major decisions (B&I executive/ legal committee types). THE part of the BoT that appeared to decide the course of action at times (without informing the rest of the BoT).

Now, I'd have to think some lawyers would love to get depositions from certain BoT members to put these relationships on the record, no?

It would certainly appear to open a door regarding certain members needing to be recused in PSU BOT matters regarding PMA with regard to conflict of interest???

That would then lead one to question breaches of fiduciary responsibility concerns too, right??

(EDIT- Not a lawyer but did stay at a Holiday Inn Express once. ;)).
 
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Oh gee, look what I found - hit the hotlink: Pennsylvania Society Relationships

Pennsylvania Society

Nonprofit
People related to Pennsylvania Society:
Robert B. Asher - council member
Curtis H. Barnette - council member
Nicholas DeBenedictis - council member
Andrew C. Fisher - council member
S. Dale High - council member
W. Kirk Liddell - council member
James E. Nevels - president
Sandra Schultz Newman - council member
Velma A. Redmond - council member
William W. Scranton III - council member
Andrew J. Sordoni III - council member
William H. Spence - council member
Stephen D. Steinour - council member
Leroy S. Zimmerman - council member
Frederick W. Anton III - president
Frank V. Cahouet - council member
Thomas B. Hagen - council member
Derek C. Hathaway - council member
Edward P. Junker III - council member
Gerald H. McGinley - council member
Patrick J. O'Connor - council member​
 
Yep PMA not only controlled a part of the Board of Trustees but apparently THE part of the BoT that are always involved in all major decisions (executive/ legal committee types). THE part of the BoT that appears to decide the course of action in big matters (often on their own without informing the rest of the BoT).

Yes, doing things in violation of PSU's Founding Charter - e.g., PA Law.
 
Oh gee, look what I found - hit the hotlink: Pennsylvania Society Relationships

Pennsylvania Society

Nonprofit
People related to Pennsylvania Society:
Robert B. Asher - council member
Curtis H. Barnette - council member
Nicholas DeBenedictis - council member
Andrew C. Fisher - council member
S. Dale High - council member
W. Kirk Liddell - council member
James E. Nevels - president
Sandra Schultz Newman - council member
Velma A. Redmond - council member
William W. Scranton III - council member
Andrew J. Sordoni III - council member
William H. Spence - council member
Stephen D. Steinour - council member
Leroy S. Zimmerman - council member
Frederick W. Anton III - president
Frank V. Cahouet - council member
Thomas B. Hagen - council member
Derek C. Hathaway - council member
Edward P. Junker III - council member
Gerald H. McGinley - council member
Patrick J. O'Connor - council member​

Same names swirling in the background

http://www.philly.com/philly/busine...s_Will_this_probe_be_different.html?mobi=true

We can very easily cut & paste the PSUBoT malfeasance into the Hershey Board shenanigans.

Same stink, different sewer.
 
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