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Thursday, August 18, 2016

Corruption

The King of ‘Political Intelligence’ Faces a Reckoning


David Blaszczak, here at a conference in 2015, showed a knack for predicting policy changes at Centers for Medicare and Medicaid Services.A few weeks before the government announced a funding cut for some home-health-care services in 2013, a player in Washington’s political-intelligence business tipped off a hedge-fund manager, according to public documents.
The next day, the hedge fund signed a $100,000 annual contract with the alleged tipster, health-care-policy expert David Blaszczak,according to the documents and people familiar with them. The firm, Visium Asset Management LP, doubled down on its bet that share prices of home-health-care companies would decline, the documents show.
The next month, according to the documents, the government announced the cut, driving down those stock prices and earning Visium a $285,000 profit.

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