Chief Financial Officer Alex Sink said she learned a lesson from accused Ponzi-schemer Scott Rothstein, the Broward County lawyer and political powerhouse who pleaded guilty this morning to racketeering and other offenses.

Rothstein, a major GOP contributor, and his wife held a fund-raiser for Sink’s gubernatorial campaign in August and donated $200,000 to the Florida Democratic Party before being accused of bilking his law firm’s clients and others of $1.2 billion.

At The Associated Press annual gathering of editors and reporters, Sink said the “first rule of business is to know who you’re dealing with.”

When asked if she applied the same bromide to her dealings with Rothstein, she bristled.

“Well obviously I didn’t because he is an admitted con artist,” Sink said. “Here’s a guy who conned all of Ft. Lauderdale and most of South Florida.”

She ticked off the names of other lawyers whose political stars have fallen including Bernie Madoff and banker Allen Stanford.

“I learned a lesson there,” she said of Rothstein. “Ask more questions.”

U.S. Attorney Gen. Eric Holder is speaking now to a Forum Club of the Palm Beaches lunch crowd of more than 700.

He’s detaling an Obama administration initiative against financial fraud.

Read his prepared remarks after the jump…. (more…)

Holder

Toward that end, U.S. Attorney General Eric Holder’s lunchtime speech today to the Forum Club of the Palm Beaches is expected to lay out an administration initiative to “prevent, prosecute, and punish financial fraud.”

After the massive Ponzi schemes of South Floridians Bernie Madoff and Scott Rothstein, West Palm Beach is a natural backdrop for Holder’s announcement.

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Former Miami Mayor Maurice Ferre, a Democratic candidate for U.S. Senate, said today that Gov. Charlie Crist’s call for a grand jury investigation into political corruption should be expanded to include the Republican governor, also a Senate candidate.

Ferre cited this story from BrowardBeat.com that Crist may have traded judicial appointments in Broward County in exchange for contributions from disbarred attorney Scott Rothstein to the state Republican party.

Rothstein was arrested today on federal racketeering charges.

“State campaign finance records show a troubling pattern of large contributions from Mr. Rothstein and immediate and subsequent appointments of Judges to the Fourth District Court of Appeals,” said Ferre, a former six-term mayor of Miami. “Is this pattern a coincidence? Could it indicate real corruption in the Judicial nominating process and raise legitimate questions about a possibility of Crist’s integrity and his fitness to govern?”

“Perhaps the U.S. Attorney’s investigation into corruption in South Florida should be expanded to include the Governor’s possible auctioning of judicial appointments in Broward County. We need to know what Charlie Crist knew and when he knew it,” said Ferre.

Gov. Charlie Crist suspended suspected swindler Scott Rothstein - who raised more than $700,000 for the governor’s campaigns since 2006 - from a Judicial Nominating Commission today.

Crist replaced the disgraced lawyer with Ft. Lauderdale lawyer William Berger, not to be confused with former Palm Beach Circuit judge and former Rothstein law firm partner William Berger.

The RRA Berger called Rothstein “a financial serial killer in an interview with The Palm Beach Post’s Susan Spencer Wendel earlier this month.

“He violated their trust in the most cold blooded, heartless way. He really does deserve to be shot like a rabid dog,” Berger said.

Rothstein agreed to permanently surrender his law license six days ago and will never practice law in Florida again.

Rothstein, a profligate political contributor, is accused of bilking investors and his law firm’s clients of up to $500 million through a Ponzi scheme.

Rothstein’s denoument led to the downfall of his prominent South Florida law firm, where Palm Beach County Commissioner Steve Abrams worked. Federal agents raided the firm, now in bankruptcy, earlier this month.

Attorney General Bill McCollum and Chief Financial Officer Alex Sink’s campaigns are one-upping each other with photos of the gubernatorial candidates grinning alongside accused mega-swindler Scott Rothstein.

First, Sink’s campaign released this pic of GOP McCollum and the disgraced South Florida lawyer.

Sink’s campaign staffers must have missed this photo of the Democratic favorite that McCollum’s campaign folks distributed to the press this morning.

But neither of the governor hopefuls’ photos is as chummy as this of current Gov. Charlie Crist, Rothstein and his wife Kim at their wedding last year.

Charlie Crist with Kim and Scott Rothstein at the Versace Mansion in Miami Beach in 2008. Page2Live.com

Embattled attorney Scott Rothstein gave $200,000 to the Republican Governor’s Association just days after the group’s 2008 meeting in Miami, according to a report this morning from TalkingPointsMemo.com.

Gov. Charlie Crist hosted the conference, where he was hailed as one of the party’s rising stars. In 2006, the RGA, led by then-Massachusetts Gov. Mitt Romney, donated $1 million to Crist’s gubernatorial campaign.

Gov. Charlie Crist has canceled his second fundraiser in Palm Beach County in four days due to a state emergency.

After the deadly shootings in Orlando on Friday, Crist's U.S. Senate campaign canceled a $500/head reception at the Jupiter home of Lorenza amp; Larry Parmet, the CEO and president, respectively, of Sundance Products, a recycling company that in February shutdown its three Georgia plants that employed about 330 workers. Other hosts for that reception were trial attorney Brian LaBovick and his wife, Ester; and Allbury Bros. Boats President Jeff Lichterman.

On Monday, Tropical Storm Ida forced the campaign to scratch a $4,800/person reception at the corporate offices of The Falcone Group in Boca Raton. The hosts include the co-owner of Life Insurance Concepts Inc. Ted Bernstein as well as Art Falcone and Marc Roberts, two South Florida developers who have sunk $1.2 million into the Committee on Critical Challenges.

Careful readers of Post On Politics will remember that political action committee as the one created to push a constitutional amendment allowing casinos in Miami. The petition drive stalled, but as of April the group was still paying its Fort Lauderdale-based advisers.

You might recognize that adviser: Rothstein Rosenfeldt Adler.

Fort Lauderdale attorney Scott Rothstein and Gov. Charlie Crist

State Rep. Carl Domino, R-Jupiter, doesn’t sound eager to make an issue of the $21,750 or more that GOP state Senate primary rival Rep. Ellyn Bogdanoff, R-Fort Lauderdale, has received over the years from alleged investment swindler Scott Rothstein.

“There but for the grace of God….” Domino said last week when asked about Bogdanoff’s Rothstein money and his apparently Rothstein-free portfolio.

Read about it in this week’s Politics column.

And click here to read Dara Kam’s account of the Rothstein-inspired unease in Tallahassee.

Also, esteemed business columnist Alexandra Clough pondures the allure of the Rothstein Rosenfeldt Adler law firm.

U.S. Rep. Adam Putnam, a Republican candidate for state agriculture commissioner, released a statement this morning saying he would return contributions that appear to be connected to the Rothstein Rosenfedlt Adler law firm.

What caught our attention was the campaign’s phrase “out of an abundance of caution.”

From the campaign:

Out of an abundance of caution, the Putnam campaign will return several campaign contributions which appear to be from entities connected with the law firm of Rothstein, Rosenfeldt, Adler to the receivership or to charity as is appropriate. The campaign did not receive any personal contributions from the Rothstein’s.

That’s almost the exact same phrase that Gov. Charlie Crist’s campaign used on Tuesday:

In an abundance of caution, the Charlie Crist for U.S. Senate Campaign will return contributions received from Scott and Kim Rothstein. Contributions in the amount of $9600 will be turned over to a proper entity as soon as possible.

The difference between the two Republicans is that Crist is not returning at least another $70,000 from other attorneys at Rothstein’s firm.

“Are there allegations against those other people? Not that I’m aware of,” Crist said Wednesday.

Mail is piling up at the Rothstein Rosenfeldt Adler office in Tallahassee.

By Michael C. Bender and Dara Kam
Palm Beach Post Capital Bureau

Embattled Fort Lauderdale attorney Scott Rothstein opened up a Tallahassee office shortly after Republican Charlie Crist won the governor’s office. But there’s no one at the office these days and it appears there hasn’t been for a while — a FedEx note from Sept. 29 is hanging on the door knob.

Meanwhile, the firm’s Capital City operation provides another link between Crist and Rothstein, and could further call into question Crist’s claim that the two had little relationship beyond Rothstein’s support of Crist’s campaigns.

The Tallahassee office was run by Grant Smith, son of former U.S. Rep. Larry Smith, D-Hollywood, and Cheryl Seinfeld.

Seinfeld was the Republican Party of Florida’s finance director from October 2006 to July 2008, when she was terminated after the office was restructured, a party spokeswoman said. Party records show Seinfeld worked there as early as September 2005.

She was hired by Rothstein Rosenfeldt Adler within days of leaving the state party, according to her profile on LinkedIn.com.

Seinfeld, meanwhile, also worked on Crist’s 2006 gubernatorial campaign and “Yes on 1 - Save Our Homes NOW,” Crist’s 2008 campaign for a property tax constitutional amendment, according to campaign finance records.

Prior to her work with the state party, she worked for former U.S. Rep. Mark Foley, R-Fort Pierce, and former U.S. Sen. Norm Coleman, R-Minn.

And just in case you were wondering, here’s a list of clients the Rothstein firm was lobbying Crist and/or state lawmakers during the past two years:

Committee on Critical Challenges, Inc. of Miami; Community Capital Management, Inc. of Weston; Dan Marino Foundation, Inc. of Weston; Edify, LLC of Fort Lauderdale; Littlefield Corp. of Austin, Texas; Morse Automotive Group of Fort Lauderdale; South Central Florida Express, Inc. of Clewiston; South Florida Regional Transportation Authority of Pompano Beach; Southern Gardens Citrus Holding Corp. of Clewiston; U.S. Sugar Corp. of Clewiston.

Here’s a quick thumbnail on the companies that aren’t so obvious:

The Committee on Critical Challenges bankrolled a petition drive to allow for Las Vegas-style casinos in Miami. One of men leading that petition drive — Boca Raton businessman Art Falcone — hosted a fundraiser in Aspen, Colorado this summer for Crist’s U.S. Senate campaign.

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From right to left: Crist, Rothstein, Wayne Huizenga at the 2008 Governor's Bowl with Charlie Crist at Dolphin Stadium. (blacktie-southflorida.com)

Interview with Gov. Crist about Scott Rothstein. Note: Audio was edited to remove unrelated questions and some confusion during an elevator malfunction.

Graphic: Tainted Crist donors, fundraisers

Graphic: Rothstein: A lavish life in the fast lane

TALLAHASSEE — Republican Gov. Charlie Crist attempted Wednesday to distance himself from a Fort Lauderdale attorney accused of raiding and swindling his way to what could be a $500 million payday.

Crist also denied any problems for his U.S. Senate campaign after Scott Rothstein became his third major political fundraiser entangled in scandal in the past year.

“I don’t think it will affect it at all,” Crist said. “Because I’ve done nothing wrong.”

But three fund-raisers involved in corruption allegations will give Crist’s political opponents an easy target, said Lynn University political science professor Robert Watson.

“If it was a coincidence before, it looks like a pattern now,” said Watson, a Democratic U.S. House candidate in 2005.

Rest of the story here.

Background: Why we care about Scott Rothstein

Haynie concedes Abrams has an “impressive resume,” but suggests he had an edge because of his connection to disgraced Fort Lauderdale attorney Scott Rothstein.

Rothstein, a friend and major money-raiser for Gov. Charlie Crist, was Abrams’ employer and was listed by Abrams as a reference on his application for the appointment.

Says Haynie: “Going into the interview process, I knew that Steve Abrams’ employer was a close personal friend of Gov. Crist as well as one of his major contributors. And it didn’t feel like a level playing field.”

That’s the unfortunate headline about the then high-flying Fort Lauderdale attorney in the October 2007 issue of Las Olas Lifestyle.

From the article:

Politics is another in Rothstein’s never ending streams of passions. And, he focuses much of his attention on assisting those who help children in need. Rothstein believes every child should have the opportunity to live a better quality of life, regardless of their environment and elected officials need to create this opportunity.

“Governor Charlie Crist, is the perfect example. I started supporting him when he was running for Attorney General. I studied his principles. I met with him for hours, and decided this guy is the key to true change. He won the election and truly made a difference. He called upon me again when he decided to run for Governor and I supported him with every ounce of my being. This is a person of pure unadulterated passion and integrity. His approval rating is through the roof because he does what he believes in his heart is right and doesn’t play games along party lines or with peoples lives. He is the peoples Governor, plain and simple. And, some day I am certain he will be the people’s President.”

Crist’s former chief of staff, Eric Eikenberg, said Abrams won the job on his own merit.

“I vouched for Steve Abrams from the beginning based on my long-time working relationship with him and the governor has known him for years,” said Eikenberg, who was chief of staff for former U.S. Rep. Clay Shaw when Abrams was mayor of Boca Raton. Eikenberg is now campaign manager for Crist’s U.S. Senate bid.

Rothstein, head of a Fort Lauderdale law firm and a major political money-raiser for Crist and other elected officials, was accused by his own law partners this week of orchestrating a multimillion-dollar scheme to bilk investors. Abrams quit the firm Monday.

“Did he put in a good word for me? He was my boss,” Abrams said. “If you were to ask your boss permission to seek a job, wouldn’t you put your boss down as a reference?”

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Rooney’s Democratic challenger, St. Lucie County Commissioner Chris Craft, slammed the incumbent for that.

Read Craft’s statement after the jump….

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Gov. Charlie Crist’s U.S. Senate campaign will give $9,600 it received from Fort Lauderdale attorney and accused multimillion-dollar investment scammer Scott Rothstein and his wife to charity or some other entity, Crist campaign manager Eric Eikenberg said this afternoon.

Republican U.S. Rep. Tom Rooney’s campaign will give $4,600 in Rothstein contributions to a pair of Treasure Coast charities. And the Republican Party of Florida is pledging to give about $150,000 in Rothstein-linked money to a victim-compensation fund when one is set up.

The Florida Democratic Party announced it is returning a $200,000 check from Rothstein Rosenfeldt Adler law firm to the firm in hopes it “helps the victims of any wrong doing recover what they have lost.”

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Both Atwater’s and Bogdanoff’s campaigns, however, said they haven’t figured out yet exactly where to return the money.

Democratic CFO and governor candidate Alex Sink’s campaign pledged Monday to return all Rothstein-related contributions. Sink appears to have received at least $6,500 linked to Rothstein.

Legendary Republican operative and Nixon acolyte Roger Stone, who was partners with politically connected attorney Scott Rothstein in a Fort Lauderdale-based consulting firm, says he was shocked to hear that Rothstein is accused of orchestrating a multimillion-dollar investment scheme.

Stone

Stone and Rothstein formed a consulting biz called RRA Consulting that operated out of the Rothstein Rosenfeldt Adler law offices. Though it’s still listed in state records as an active business, Stone said the partnership dissolved a few months ago. Stone, who lives in Miami, said he still rents office space from the law firm and visits about once a month.

Rothstein

So it was considered a major coup for Democratic governor hopeful Alex Sink to win Rothstein’s backing this year. Rothstein hosted an Aug. 27 fund-raiser for Sink and had the law firm write a $200,000 check to the Florida Democratic Party in September.

Said Stone: “This would have to be a considerable blow to Alex Sink and the Florida Democrats. He was a major get for the Democrats…Their trophy Republican seems to be on the lam.”