Spitzer’s Drama
This article is from the archive of The New York Sun before the launch of its new website in 2022. The Sun has neither altered nor updated such articles but will seek to correct any errors, mis-categorizations or other problems introduced during transfer.
After a mayoral race in which drama was sorely lacking, political observers are counting on next year’s statewide races to restore intrigue and excitement to New York politics. The election cycle is off to a good start in that regard, although in unanticipated ways.
Conventional wisdom pointed to a heated battle for Senate, with Jeanine Pirro poised to do battle against Senator Clinton. Some battle that was. Ms. Pirro imploded and is now running for attorney general, a race already guaranteed to produce news with Andrew Cuomo and Mark Green desperate for comebacks. The race for governor, especially among Democrats, looked like a bore-in-the-making, with Eliot Spitzer positioning himself as the inevitable nominee. Mr. Spitzer remains the frontrunner, but he might not have such an easy year after all.
Mr. Spitzer’s path looked clear just a few months ago, after Senator Schumer ruled out running for governor (this year at least) and committed to spearheading Democrats’ national efforts at winning seats in the Senate. But just because Mr. Schumer isn’t running for governor doesn’t mean he’s rushing to crown Mr. Spitzer. Both Democrats were elected statewide in the same 1998 election and they’ve been weary of each other ever since.
The subtle rift between the two future superstars began to boil at a Manhattan dinner party in 1999. As Mr. Spitzer delineated his first term plans, Senator Schumer apparently interrupted to take ownership of the various topics under discussion. That’s when Mr. Spitzer found out Senator Schumer had issues with him.
The rest of us found out five years later when they battled for attention during the Democratic National Convention. Mr. Spitzer actually confronted the senator in a hallway of Boston’s Fleet Center. Publicly, Spitzer simply said, “Anybody’s who’s got into a dog fight with me knows that I bite as hard as anybody else.”
Their egos avoided an electoral collision when Senator Schumer took a pass on running for governor. But even as the Democratic establishment lines up behind Mr. Spitzer, Mr. Schumer won’t commit. Officially, Mr. Schumer says he doesn’t endorse in primaries even though he did pick sides during the 2002 Democratic primary. And Mr. Schumer’s staff denies persistent reports that he’s encouraging Nassau County Executive Thomas Suozzi to challenge Mr. Spitzer in the Democratic primary.
If Mr. Suozzi does join the race, he’ll have Mr. Spitzer to thank for helping him raise campaign cash. Mr. Spitzer earned a national reputation battling investment banks, mutual funds, insurance brokers and now the record industry. Prosecutions produce enemies and Mr. Spitzer’s enemies are eager to line up behind anyone, Democrat or Republican, who seems the least bit poised to block the attorney general’s political ascent.
Mr. Suozzi’s chief financial backer is, predictably, Mr. Spitzer’s noisiest nemesis Kenneth Langone, a former director of the New York Stock Exchange. Mr. Spitzer is suing Mr. Langone and former exchange CEO Richard Grasso over Mr. Grasso’s $180 million payout. Mr. Langone sums up Mr. Spitzer as “raw ambition for pure political gain.” Mr. Spitzer promotes his tenaciousness as an asset, while his adversaries paint him as angry and out-of-control.
Enter John Whitehead, a former chairman of Goldman Sachs and the current chairman of the Lower Manhattan Development Corporation, which oversees rebuilding the World Trade Center site. Mr. Whitehead complained back in the spring that Mr. Spitzer was improperly publicizing an investigation of Maurice Greenberg and Mr. Greenberg’s phenomenally successful insurance company, AIG. In a nutshell, Mr. Whitehead went to the press to complain about Mr. Spitzer going to the press.
According to Mr. Whitehead’s account in the Wall Street Journal, that earned the following rebuke during a telephone call with Mr. Spitzer: “Mr. Whitehead, it’s now a war between us and you’ve fired the first shot. I will be coming after you. You will pay the price. This is only the beginning and you will pay dearly for what you have done.”
Mr. Spitzer’s office admits the call but denies the threat. The state Republican Party smells blood and is demanding a criminal investigation into Mr. Spitzer’s alleged coercion. An investigation is unlikely, but would be interesting because Mr. Whitehead has supposedly borrowed a trick from Hollywood talent agencies by having an aide listen to his calls. This much is clear: Mr. Whitehead can count on losing his post as head of the LMDC if Mr. Spitzer wins.
At this point, Mr. Whitehead’s job is in peril because not only is Mr. Spitzer the Democratic frontrunner, he is the favorite to win the election with an enviable combination of cash, clout and accomplishments. But Mr. Spitzer also has a temper and his adversaries are determined to tease out any inner anger that might turn off voters. The strategy right now is simply to provoke him. Mr. Whitehead surely did.
The race for governor is taking on unanticipated energy, national Republicans will surely try interrupting Senator Clinton’s walk in the park, and the crowded race for attorney general is already making headlines. Add it up, and New Yorkers seem destined for plenty of political intrigue between now and November.
Mr. Goldin is a host of NY1’s “Road to City Hall,” which airs weeknights at 7 and 10:30 p.m.