Home / Business / Morgan Stanley knew about a supposed abuse of a star. He is still working there.

Morgan Stanley knew about a supposed abuse of a star. He is still working there.

Financial advisors like Mr. Greenberg need to publicly disclose certain information about themselves, according to rules designed to help investors find trustworthy asset managers. For example, brokers must inform the Financial Industry Regulatory Authority, known as Finra, if they file for bankruptcy or are charged with a crime or a misdemeanor related to money.

But there is just as much information that does not have to be disclosed – and that means people with a changeable history can live on in the industry.

Finra's website displays the history of each broker in a vertical timeline, with red dots marking the date of each hot spot. There are five red dots in Mr. Greenberg's timeline. They represent a cargo of 1984, which was finally released from the theft by check; a charge of criminal mischief in the first degree of 2001, also dismissed; two disputes with customers; and a regulatory punishment.

But this record does not reveal Mr. Greenberg's other allegations of law enforcement and the legal system that need not be disclosed to Finra.

In 2000, Mr. Greenberg admitted in an arbitration that he had called someone who had a lot to do with a colleague and told him inaccurately that the colleague was known for dubious business practices according to a protocol of the procedure. Mr. Greenberg was not punished for what the three-person arbitral tribunal held to libel because the statute of limitations had expired, the panel said in its ruling.


One of the letters Traci Williams, Mr. Greenberg's second ex-wife, said she received in the post.

In December 2006, Mr. Greenberg was charged with harassment and criminal mischief, court papers, and a police blotter in The Lake Oswego Review. He had injured a restraining order from his ex-girlfriend, the second woman who, according to the court records, had sought protection from him. Mr Greenberg finally pleaded not guilty of a crime for criminal transgression and agreed to restrict his movements, according to a Times-verified excuse.

And eight years later, Mr. Greenberg was charged with violating another injunction by another ex-girlfriend. The woman, Anne Cost, had received the order against Mr. Greenberg after threatening to burn her house. Now, she told the police, Mr. Greenberg threatened her again and followed her in his car.

"You could have put a pizza box between your rear bumper and Mr. Greenberg's front bumper, he was so close to her." A police officer from Lake Oswego, John J. Brent, wrote in his report on the incident, which was reviewed by the Times. Ms. Cost declined to comment.

Following this arrest in September 2014, Mr. Greenberg's camera appeared online in a report of the arrest. Morgan Stanley employees in Seattle and Portland shared it by text message and e-mail, according to seven former Morgan Stanley employees, most of whom said they did not want to be identified because they feared retaliation from either Mr. Greenberg or the bank.

"Everyone knew it," said Jani Beatty, a former vice president at Morgan Stanley's private bank. She added, "I regarded him as my friend until I understood the full extent of his actions against his partners."

When Paul Amsbury, a branch manager of Morgan Stanley and the head of Greenberg, heard of the arrest, they provided information about it, including the mug shot, to Curtis Peterson, San Francisco's regional co-ordinator of the Pacific Coast, according to Ms. Beatty and two other former bank employees. Mr. Amsbury's message: Mr. Greenberg was not fit to represent Morgan Stanley and should be dismissed.

Mr. Amsbury declined to comment. Mr. Peterson did not respond to requests for comment.

After Mr. Amsbury marked the arrest, a high-level compliance officer from Morgan Stanley's New York office flew to Portland to meet with Mr. Greenberg and Mr. Amsbury, the former clerk. (Mrs. Beatty, who worked in a separate office in Mr. Greenberg's office, said she did not remember the visit.)

Morgan Stanley officials soon faced further problems involving Mr. Greenberg.

In June 2015, his second ex-wife Traci Williams wrote a series of Facebook posts describing her ex-husband's alleged physical and verbal abuse. The posts did not name Mr. Greenberg, but there was little doubt who she was referring to. Her friends commented on the posts and criticized Mr. Greenberg by name. And a lawyer for Mr. Greenberg complained about the posts at Ms. Williams' lawyer.

Among the commentators was Alex Burlingame, a manager of Morgan Stanley in Seattle, who had worked with Mr. Greenberg for years. He "liked" the post and added a personal message: "Stay tuned, Traci, I'm so sorry to see you behave that way, Nancy and I are thinking of you!"

Mr. Burlingame did not respond to requests for comment.

This summer, Ms. Williams said she began receiving threatening letters in the mail. "I CAN SEE YOU," read a message consisting of letters cut out of magazines. She reported to Portland police who had opened an investigation. Their prime suspect was Mr. Greenberg, according to emails between Mrs. Williams, her lawyer, and a Portland police officer who were checked by The Times.

The police eventually handed the case over to federal prosecutors, an e-mail from July 2015 told Ms. Williams of the Portland Police Officer. The US Postal Control Service was also part of the investigation.

One day in the spring of 2016, federal authorities appeared at Mr. Greenberg's office in Morgan Stanley to deliver a subpoena for the investigation, according to Eddie Rogoway, Ms. Williams' lawyer. On March 1, Greg Nyhus, an American prosecutor, e-mailed Ms. Rogoway, who was checked by the Times for his office to review documents from several subpoenas.

A spokesman for Mr. Nyhus's office refused Comment

Meanwhile, Williams asked her lawyer to complain to Morgan Stanley that Mr. Greenberg made it difficult for her to gain access to Morgan Stanley's wealth management accounts for her children ,

Rogoway said she had talked to a lawyer from Morgan Stanley, Bernard Kornmehl, about the accounts. Mr. Kornmehl declined to comment.

She said she told him that Mr. Greenberg abused women.

Later that day, Ms. Rogoway wrote an email to Ms. Williams about the conversation. She said that Mr. Kornmehl had said that "many pages" had known Mr. Greenberg's alleged story.

Correction: March 28, 2018

An earlier version of this article was mistaken, who issued a $ 32 million scheme in conjunction with Fox's first paid news anchor Bill O'Reilly. It was Mr. O Reilly, not the network.

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