Yowch - not looking good for Christie. From mainjustice.com:
The Securities and Exchange Commission has joined with the Manhattan District Attorney’s office to investigate possible misuse of Port Authority of New York and New Jersey funds by Gov. Chris Christie and his allies, people close to the matter said.http://www.mainjustice.com/...
Two SEC Enforcement Division lawyers in the New York regional office are examining the manner by which the Christie administration apparently steamrolled the agency’s top in-house counsel into creating a legal justification in 2011 allowing the New Jersey governor to grab $1.8 billion of Port Authority tax-exempt bonds to fix the aging Pulaski Skyway bridge and other neglected state roadways.
By re-routing the Port Authority funds to local New Jersey roadway repairs, Christie, who took office in 2010, was able to keep a campaign promise not to raise taxes. The diversion of funds allowed him to avoid raising gasoline taxes to refill the depleted coffers of the state’s transportation trust fund.
But the justification for the diversion may have constituted fraud. The SEC’s rule 10b-5, issued pursuant to the Securities Exchange Act, authorizes the agency to investigate fraud in the securities markets, including in the offering of tax-exempt bonds. Similar laws apply in New York state.
That makes it five (5!) separate investigations. Buh-bye, Guv.
The Securities and Exchange Commission's interest could be related to recent news that Christie gave $300 million of New Jersey pension fund money to the Carlyle Group:
Zentrails has a diary up about another interesting Christiegate development today: