Stroock Special Bulletin
"Governor Cuomo Announces Permanent Ban on Placement Agents and Certain Pay-to-Play Practices"
On April 26, 2011, New York State Governor Andrew M. Cuomo announced that he was directing the state's Insurance Department to issue regulations permanently proscribing certain pay-to-play practices, including an outright ban on the use of third party placement agents, limitations on political contributions to the Comptroller, certain lobbying activity, and prohibitions on gifts, gratuities and entertainment to pension officials and certain "revolving-door" employment. (See http://www.governor.ny.gov/press/042611insurancedepartment.)
This Stroock Special Bulletin discusses the proposal, which is the latest in a wave of federal, state and municipal developments involving pay-to-play, placement agents and lobbying as it pertains to governmental retirement plans.