Neoliberal York University’s new chair of the board of trustees, William R. “Chuckles” Berkley (relieving Marty “Baron von Oligarch” Lipton) profited millions off of student loans as the lead of “Board of Directors of First Marblehead Corporation, a Boston-based private student loans firm,” which was described as “deceptive” with their tactics, where the loan firm;
“was also subpoenaed in 2007 as part of Andrew Cuomo’s investigation into potential conflicts of interests between universities and lenders, as well as deceptive tactics used by lenders to trick students into borrowing private loans when cheaper options were available. Berkley was serving on the board of both NYU and First Marblehead at the time of the subpoena.”
Other greatest hits by Berkley include: Excessive lobbying in favor of specifically private student loans during the economic downturn, several lawsuits surrounding insider trading, and ignoring the “red flags that should have alerted them [First Marblehead Corporation] to the fact that the Company was over exposed to the credit crisis,” of 2008.
Excellent reporting by Ryan McNamara on a quite but important fact of NYU: NYU white washes white collar criminals passing in and out of the revolving door of governments, NGO’s, and boards of university, corporations, and think tanks on a regular basis. [See: Jack Lew]