Well, this is ununusual. A labor union weighing in on a Republian primary. Guess AFSCME thinks Newt would be a weaker candidate than Mitt:
The ad, called “Greed,” says that “while Romney was a director at the Damon Corporation, the company was defrauding Medicare of millions,” and that “the company was fined $100 million, but Romney, himself, made a fortune.”
Some viewers could be misled by this ad. Fraud did occur while Romney was a member of the board of the Damon Corp., which pleaded guilty in 1996 to defrauding Medicare of $25 million between 1988 and 1993. But Romney was never accused of fraud personally.
Nevertheless, the company paid a then-record $119 million fine for billing the federal health insurance program for unnecessary blood tests, according to a 2002 Boston Globe report. Romney, who was on Damon’s board from 1990 to 1993, personally collected $473,000 when Bain Capital, which Romney once headed, sold the Damon Corp. to Corning Inc. in 1993.
The ad closes by morphing an image of Romney into one of Republican Florida Gov. Rick Scott, and asks: “Corporate greed. Medicare fraud. Sound familiar?” And indeed, that scenario does sound familiar.
As we previously reported, Scott’s former hospital company, Columbia/HCA, paid $1.7 billion in fines for Medicare fraud for practices that took place while he was its chief executive officer. And when Scott left the company in 1997, he received $300 million in stocks and options.