Friday, September 30, 2005

Frist Follow-Up

The MSM and our dear N&O, always happy to jump on the bandwagon to smear any available Republican, has apparently not found the time to find, or the space to print, Bill Frist's explanation for his HCA stock sales:

When deciding how to handle my family’s personal investments, I always sought expert advice and Senate Ethics Committee review and approval. Despite not being required to do so, I sought and obtained two Ethics Committee opinions acknowledging that my ownership of HCA stock complied with Senate rules and did not present a conflict of interest with my Senate duties. Despite not being required to do so, I later chose to place many of my investments in blind trusts, including my HCA stock. With these efforts, I have sought to guarantee that no conflict of interest existed. Review after review has found nothing wrong. Nevertheless, the complaints and questions have persisted.

Because of these continuing questions, and looking ahead at my final years in the Senate and what might come next, I have for some time wanted to eliminate even the possibility of an appearance of a conflict by totally divesting of any HCA stock in my family’s trusts.
In April, I asked my staff to determine if Senate rules and relevant laws would allow me to direct the trustees to sell any remaining HCA stock. After my staff reviewed relevant statutes and Senate rules and consulted with outside counsel and Senate Ethics Committee staff, I learned that the rules allowed me to direct the trustees to sell any remaining HCA stock in my blind trusts.

In May, my staff worked with outside counsel and the Senate Ethics Committee staff to draft a written communication to the trustees. After obtaining pre-approval by mid-June from the Senate Ethics Committee, I issued a letter directing my trustees to sell any remaining HCA stock in my family’s trusts.

Now I am being asked to explain this decision. I understand that. And I welcome it.
An examination of the facts will demonstrate that I acted properly. I will cooperate with the Securities and Exchange Commission (SEC) and the U.S. Attorney for the Southern District of New York to provide the information they need as quickly as possible. My only objective in selling the stock was to eliminate the appearance of a conflict of interest. I had no information about HCA or its performance that was not publicly available when I directed the trustees to sell the stock.