2) Eliot Spitzer did violate federal laws requiring reportign of bank transactions of $10,000 or more by trying to break up his payments for prostitution into three separate payments. His bank followed the law and reported suspicious behavior.

You may know more than me, but I think it works a little different than this. Under Anti-Money Laundering (AML) legislation, banks are required to report transactions over $10,000. They are also required to report 'suspicious' transactions (a SAR), which basically means any activity deemed by the bank to be out of the ordinary, such as a one-time loan to a friend, or transfering money to the wrong account. There are numerous horror stories about frozen accounts due to AML regs. Failure to file a SAR can result in big penalties to the financial institution. Literally millions of these SARS are being generated by banks; they would rather be safe than sorry. It's now big biz to sell software to support AML activities.

If you are a privacy advocate you might be a little concerned that detailed financial information was being shared to the government without your consent and knowledge, and with a very low threshold of probable cause. Yes, they found Spitzer, but how many other private citizen's finances were reviewed to get to him?

Here's an non-definitive Wikipedia article excerpt:

Financial institutions face penalties for failing to properly file CTR (Cash Transaction Report) and SAR (Suspicious Activity Report) reports, including heavy fines and regulatory restrictions, even to the point of charter revocation. [...] Software applications effectively monitor bank customer transactions on a daily basis and, using customer historical information and account profile, provide a whole picture to the bank management. Transaction monitoring can include cash deposits and withdrawals, wire transfers, credit card activity, cheques (checks), share (securities) dealing and ACH activity.

Other Links

www.bankersonline.com/security/sar/saramlcompl.html

www.bai.org/pdf/6193_AML.pdf

en.wikipedia.org/wiki/Anti_Money_Laundering

Spitzer should not have appeared with his wife by his side to apologize or resign. The purpose of that was to frame politically damaging and potentially criminal activities as if they were personal, family matters. Spitzer would not have shown the targets of his own prosecutions the consideration he seems to expect if they had appeared in public to apologize with their silent, suffering spouses.

Instead, Spitzer should have waltzed to his press conference arm-in-arm with one of his favorite prostitutes and announce something like this: "Today, I have had a change of heart. I propose to legalize prostitution north of Albany. That will help close the state budget shortfall of $2.2 billion dollars, and it will bring prosperity to economically depressed regions in our state. Thank you."

In a flash while communicating with Ralph the great porcelain god it occurred to me that there is now a new word that could be added to the American language and that is "SPITZER" an extremely expensive sex toy. At the economy level there is "HO" a dollar store toy, then comes the "PROSTITUTE" a toy that a Wall martt type store would sell. Higher up is the "CALL GIRL" a Seers product. Finally at the very top something that is available only on Rodeo Drive or the equivalent or by appointment and with pre-approval, there is the "SPITZER" as yet undefined as to pertinent characteristics.

I wonder what makes a "SPITZER" so much more expensive than a "HO"?

Swallow Don't Spitzer

Lady Justice? used to love her undercover

wish he would have claimed her, now he's missed her

Snatched credibility so fast, the Governor caught a fever blister

Bankers got each other's backs

Wall St. breathes a sigh of relief

they're no longer under attack

http://online.wsj.com/article/SB120519411945525721.html?mod=hpp_us_whats_news

Sex sells everything so why is it illegal to sell the act?

hypocritical as the history on most web browsers show

golden shower hoes, bending over touching their toes

Gentlemen's clubs overflow as women remove their clothes

while the holy cry "my, my, my. $5000, why?"

I ask the same question;

what does $5000 do that a $25 crack ho can't get down to?

uplift the struggling street walker to a living wage

legalize bedroom gymnastics add testing for STDs

give adults a choice to buy drinks and dinners, trips over seas or negotiate for some hours, a night, sex for a fee

I thought this was the land of the free?

why is this story more important than High Crimes and War Crimes?

the fishy sheets cover our eyes, the lofty pundits beat us into a daze

We've been fooled again by media madness on the front page

as bush and congress sign our civil rights away