Patricia Hurtado, Derek Chauvet, Rick discussed on Bloomberg Law

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Of good works and social consciousness fund raising weren't enough to dissuade a federal judge from ordering former TPG Capital Executive Bill McGlashen to prison for three months for paying $50,000 to fix his son's college test scores. Joining me it's Patricia Hurtado. Bloomberg Legal reporter. Pet. Tell us about Bill McGlashen. Well, he's a hotshot investor used to work. The TPG is an executive. And he co founded what is called the Rise Fund, which was like socially conscious investing in all kinds of programs do gooder program and he co founded it with just scold eBay billionaire and social activist and rock star Bono. And he was well known in the financial world as doing good for fundraising, including getting very farmers in India help and get their milk to market in a better way, or Funding a program and Zambia to deliver medicine via drone. So it's the kind of socially conscious investing that he was well known for. So now he made a plea deal with the prosecution so that he wouldn't have to go to trial. Tell us what his eldest son wrote in a letter to the judge before his father's sentencing. His son, George Michael Ashen, who was a high school senior at the time, wrote heartfelt letter to the court. Basically talking about that his father had been swept up in what he called quote unquote parental insanity, And he said that if he watched his father get more and more stressed out about college working with singer And he became compulsive and started monitoring everything he did and talking to him about going to the right college is everything in life, and George said that he was not stressed out at all, which probably made his father even more. So, which any parent of any teenager flying to college probably sympathized with. But George says that this was totally unwarranted and his father just basically lost it, and they pressures of trying to get his eldest son into the right school. But prosecutors told the judge that McGlashen had fully embraced the fraud. And that he had led a double life. Yeah, and that was a really interesting thing because his friends all expressed shock that miss it even happened and he's been in snared and the prosecutor Justin McConnell said. You know, here he is doing work as a co founder of a social impact son who's devoting his life to addressing inequality through investments. And he quotes thought to bring a positive change by leveling the playing field. But privately, he said, when no one was looking, he did the exact opposite, using his wealth and privilege to quote slant that playing field in favor is his son. Gaming the system. What did the glass until the judge when he had a chance to address him? Was actually one of the marriage dramatic Allocution. I've heard from one of these parents, and it was interesting to hear from him because he actually adopted what the prosecutor said of his leading a dual life. He said that what he did was in terrible conflict for the way he actually lived his life. And he said, I'm ready to pay the price of going to prison and that this experience has affected him profoundly and humbled him. His heartfelt emotional contrition was really unusual for some of the parents, too. Basically saying very formulaic kind of statement. I'm sorry. This never happened. I mean, this was one of the most emotional statements I've heard from the parents. And judge the Faneuil Gordon said. You'll serve at least some time in jail to demonstrate that even the rich and famous cannot avoid the rule of law. But he also said he was dumbfounded in appalled by the parents crimes. The judge was actually pointing out. He still doesn't understand a scandal. Like what in the world that these parents thinking, he said. You're undoubtedly an intelligent, hard working businessman who devoted a significant amount of time and money and resource is to doing social good. And yet you're in front of me, and I'm gonna have to send Snoopy Issue displayed an incredible lack of integrity. The first actual trial in the college admission scandal will take place in September in Boston, where eight parents are going to go on trial. That seems like a lot of defendants, especially where their cases have to be dissimilar. In some ways. That's also been a huge bone of contention between the parents and the prosecutors because they've been doing this challenge. It's called a spoke in the hug theory. And basically what the government did here is they made a plea deal with Rick Singer, the mastermind of the case, and he gave up all the parents. The government argues that the parents are all co conspirators with each other like they're conspiring with Rick but also co conspirators of each other. Parents argue. I don't know who these other parents are. I only knew Brooke Singer. So how can I be co conspirator with someone I never met? So that's also going to be fiercely contested at the appellate level? I mean, imagine they're kind of prejudicial spill over that would be on one parent who maybe just get one phone call versus another parent that may have had more machinations, orm or alleged meetings with singer and more wiretaps. You've covered a lot of trials. I've covered a lot of trials. Have you ever seen a trial with eight defendants? I used to cover any good old days. Mafia trial. It would be like 15 defendants, but those they're really, really rare, and they are very unwieldy and under coded protocol. It kind of boggles the mind how you're going to fit eight people with their defense lawyers in a courtroom. It's gonna be a challenge. Thanks, Pet. That's Patricia Hurtado Bloomberg Legal reporter. Coming up next. Why? Derek Chauvet is facing another trial. I'm Joon Gu. Also when you're listening to.

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