The Santa Rampage

I don’t fully understand what "postmodern" means but a man dressed as a Santa going on a killing rampage strikes me as post-modern.

When the Cowboys against the Giants ten days ago on first and goal at the Giants one yard line, line up in shotgun formation with four wideouts, that again strikes me as postmodern.

And when Orthodox Jews know contemporary Biblical scholarship and yet affirm the traditional belief in a unitary Torah coming from God, every word of it, that too strikes me as postmodern.

Joe emails: "I’d say killing rampages on Christmas are premodern, not postmodern, it was a standard part of the holiday season to go on a little pogrom on Christmas and Easter."

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Live Torah Talk With Joey Kurtzman – Parasha Miketz

The Torah portion is Miketz.

Read Rabbi Ari Kahn’s commentary here.

From wikipedia: "Jacob saw that there was grain in Egypt, asked his sons why they sat around looking at each other, and sent them down to Egypt to buy some. (Gen. 42:1–2.)"

Luke: It’s group think. When you are closely integrated with other people, you always wonder how they will react to anything you do. I’ve lived my life as a loner. That has a lot of bad consequences but also some good ones. I don’t sit around waiting to see how others will react to things I do.

Joey: "Do you ever find that people become less explicable, more mysterious the better you get to know them?"

Luke: "Only if you fall in love with them. Otherwise you don’t really care. When you fall in love with someone, you want to possess them and understand them and be able to predict them. Because you are intensely interested, you realize you can’t fully understand what they are going to do."

Joey: "I agree with you 100%. How do you learn this s—?"

Luke: "I just know that when I get obsessed with a girl, the more obsessed, the more she spirals out of my control the more I try to control her."

Joey: "It becomes maddening."

Luke: "I start thinking, how can I ever understand her?"

Joey: "How can she do this to me?"

Luke: "It’s only because I am so smitten by her that she becomes so mysterious."

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The Difference Between Torah And Porn

When I wrote critical things about pornographers, they often as not threatened to break my legs.

When I wrote critical things about Hollywood players, they often as not threatened to sue me.

When I wrote critical things about Torah Jews, they often as not took me to dinner and found me honorable work.

I prefer writing on Torah than porn. It has a nicer effect on people.

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Joy to the World

From my live cam chat:

BernieMadoff:  Joy to the world!
BernieMadoff:  Today we mark the birth of the REAL Moshiach, the One who can and will forgive ALL my sins.
BernieMadoff:  But will the hordes of angry Jews parked out in front of my apartment on Park Avenue take the hint?  I doubt it.
BernieMadoff:  I’m thinking of doing Chinese today.  But I don’t know any Asian women.
BernieMadoff:  Today is a good day for a Jew to get things done.
BernieMadoff:  Jesus forgives my sins.  Why can’t the Jews?
YourMoralLeader:  I forgive you
YourMoralLeader:  on behalf of the Jews
BernieMadoff:  I have had guests of late.
BernieMadoff:  Elliot Spitzer stopped by to give me moral support.
BernieMadoff:  Mind you, I"ve given my fair share of money to the NAACP.
BernieMadoff:  I just wish they had entrusted their money to me
AussieBuds:  AussieBudsdownUnder
BernieMadoff:  Sounds quite, how do they put it?  gay
BernieMadoff:  Not that there is anything wrong with gay
BernieMadoff:  I saw a gay dermatologist the other day to treat my dry skin
BernieMadoff:  He was both efficient and thorough

Joe emails: I had bagels and nova at Mel Gibson’s this morning. So Mel’s opening presents – and Hutton’s bitching about the Jews ruining the weather on Christmas – only to turn to me and say: How’d you know? A first edition of Paul Johnson’s ‘A History of the Jews’! He told me he’s going to read it when he leaves to direct his next picture — Paul Theroux’s ‘Train log to Oscwiem.’

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An Interview With Professor Solomon Schimmel From Hebrew College

Listen to the interview here. Read reviews of the book "The Tenacity of Unreasonable Beliefs: Fundamentalism and the Fear of Truth" here. Read part two of this transcript here.

Here is a partial transcript (later edited) of our 100-minute long conversation.

Luke: I ask Dr. Schimmel why he wrote this book.

Solomon: "One reason was intellectual curiosity as to why highly educated and intelligent people affirm what to me are unreasonable beliefs. I’ve gone through the processes of defending one’s belief system from challenges to it that are described in the book… A second reason is that I thought there were certain negative consequences, both intellectual and moral, to insisting on the Torah from God at Mt. Sinai belief. I’m aware of the wonderful aspects of Orthodox Judaism, its many positive moral values, many that I strongly identify with. At the same time, there are certain negative implications that the Orthodox world has to address with intellectual integrity and honesty.

"For example, I was just looking at a statement from the Rabbinical Council of America, which is supposedly the most important organization of Modern Orthodox rabbis in America. They just put out a joint Catholic-Jewish statement on marriage…opposed to same-sex unions being classified as marriage… To make the claim that the reason we should support Proposition Eight in California, for example, because Genesis or Leviticus says something about sexuality and gender and marriage and therefore it should be true and binding for all citizens is a negative consequence of the belief in the absolute divinity of the Torah and the rabbinic interpretations of it. These kinds of beliefs generate considerable amounts of homophobia.

"If the rabbis and priests making this statement were to acknowledge what modern critical Biblical scholarship has demonstrated to a high degree of plausibility — that Genesis and the entire Pentateuch are human creations — they wouldn’t be claiming that God is opposed to gay marriage."

"Another negative consequence is the inequality between husband and wife in the laws of divorce in Jewish law. There are also certain negative attitudes to non-Jews in this traditional Jewish literature… I didn’t emphasize enough in my book the negative consequences of the fundamentalist view on people such as Meir Kahane, Yigal Amir, and Baruch Goldstein. This ultra-radical fundamentalist religious Zionist point of view that you don’t even have to follow the laws of the democratic state of Israel because you know that God gave the Torah and that every inch of land in Israel is sacred and therefore you can’t give up an inch for the sake of some peaceful settlement that might emerge in the Israel-Palestine conflict. I can understand that claim on security grounds but to make the claim on the basis that the Bible says so, when the Bible is a humanly-written book, is a negative and dangerous consequence of this kind of fundamentalism."

"There’s a negative intellectual consequence. By maintaining the traditional view that God gave the Torah at Mount Sinai, you are casting truth down to the ground. You are ignoring or distorting it. You are denying the fruits of serious scholarship with respect to not just the Torah but to the whole origins and development of Judaism."

"The third reason for writing the book is personal and cathartic. When those of us educated in yeshiva raised critical questions about these matters, we were disparaged or mocked or condemned by various teachers and rabbis. I had wonderful experiences with many rabbis, but there were many who were more negative. In a sense, the book is justifying these scholarly and logical claims to a broader audience. I would like the book to be of assistance to people trapped in a fundamentalist community or who are considering joining one. I have had many Orthodox people thank me for articulating many thoughts and feelings they’ve had over the years and for providing some psychological insight into the nature of the beliefs in the communities in which they live."

Luke: "You said that scholarship established that the Torah is a human work. How can any scholarship establish the lack of presence of the divine in the work?"

Solomon: "Many people ask that question, but it needs to be turned around. With so many religions claiming that their scripture is divinely inspired and the others aren’t… You certainly can’t prove that any work is not divinely inspired. You can’t prove that Harry Potter isn’t divinely inspired. We don’t assume other books are divinely inspired. The burden of proof has to be on those who claim that the book is divinely inspired… If a belief can’t in principle be disproved, it’s not a strong argument for the belief. If it is not disconfirmable, then you can say anything you want."

Luke: "Do you believe in God?"

Solomon: "I don’t believe in any personal God. I don’t know if there was a transcendent force that created the universe. I don’t know of any compelling evidence that there is. If there is a God who doesn’t get involved with what He created, such a God does not seem relevant to how I should I lead my life."

Luke: "Do you think the notion that God has eyes is morally significant, insignificant or deleterious to the way most people lead their lives?"

Solomon: "For the most part, that kind of belief can be useful in controlling people’s tendencies to engage in anti-social behavior."

Luke: "Do you believe in right and wrong?"

Solomon: "Of course."

Luke: "Wouldn’t you agree that if we don’t have a transcendent source of morality, all we have are opinions on morality?"

Solomon: "I have to agree with that, but not all opinions are equally valid or compelling."

Luke: "I assume you believe that consensual same-sex love between adults is OK?"

Solomon: "Yeah."

Luke: "How do you come to that?"

Solomon: "Why shouldn’t it be? If two people love each other and they want to go to bed together, why should I think it is wrong?"

Luke: "Do you see the moral sum total flowing from this Orthodox belief in the divinity of the Torah as more positive than negative?"

Solomon: "Yes."

Luke: "So you want to take away a belief does more good than harm, a belief that you admit in your book that once you lost the belief, you sacrificed a considerable amount of joy…"

Solomon: "I like the way you did that. My belief was taken away from me. I was exposed as a teenager to Biblical scholarship so things I was being taught did not make much sense… I was taught to think and that Orthodoxy was compatible with secular studies. What could I do? I studied Hume and evolution and the conflicts generated by ny studies led to my giving up my Orthodox beliefs. I wasn’t looking to give up my faith… There were certain positives to losing Orthodox faith and belief. I gained greater intellectual freedom. I exposed myself to all sorts of literatures that from an Orthodox point of view were heretical. I had greater freedom to engage in study. I was disillusioned by many aspects of the faith in which I was raised, which was painful, but it was also a tremendous relief and a freeing experience, opening up vistas of study which gave me a greater appreciation for Judaism and the Bible."

Luke: "Do you doubt your skepticism?"

Solomon: "Do I doubt my skepticism with respect to the specific issues addressed in the book? Not really… I don’t have any cognitive reasons to doubt my skepticism with regard to Torah min Sinai."

Luke: What have been the social consequences to you in the Orthodox community for your heretical beliefs?

Solomon: "I’ve been living in the same community (Newton, Massachusetts) since 1972. I belong to a liberal Modern Orthodox synagogue, Shaarei Tefilla. I publicized the book on the shul listserv. Several people bought the book and are discussing the book. We just had a shul-sponsored education event where authors from the shul spoke about their books to members of the congregation. I didn’t speak but my books were on display there. My book on its jacket cover says I gave up my Orthodox beliefs years ago. Yet a couple of weeks ago, I got an aliyah.

"This shul is very open and liberal in that way. The rabbi is a very open-minded, tolerant, highly-educated thoughtful fellow. He’s studying for a doctorate at Boston University in Religion and Science. Many of my friends in the shul believe as I do. I have been studying Talmud for the past 28 years with a Shabbat afternoon study group. Many of the members of that group are on the same wavelength. I haven’t felt much flack or ostracism from my shul community.

"I don’t feel comfortable going back to many of the rosh yeshivos of the yeshivas I studied at and sticking the book in their face. That would be very hurtful to them."

Luke: "Where does your book break new ground?"

Solomon: "The main contribution of my book is where I explain the reasons why, the defense strategies, that people use to defend themselves against evidence and reason that challenges their belief system."

Read part two of this transcript here.

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I Interview Solomon Schimmel About His New Book,

Listen to the whole thing here.

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Inside Steven Spielberg’s Wunderkinder Foundation

Here are the 2007 990 IRS filing and the 2006 filing.

The amount of trading with the Wunderkinder’s money is unbelievable. It’s as though someone was day-trading with the Foundation’s nestegg. Wunderkinder’s operators were, at best, asleep at the wheel.

The trades go off like clockwork on certain days, like a Swiss watch.

They are engaged in puts and calls, the option strategy that Bernard Madoff was famous for.

The IRS code says charities can not do puts and calls. It’s one of the verboten classes of securities.

You are dealing with the smartest money in town — Breslauer, Rutman and Anderson — the gold standard for money management for the Hollywood set.

This charity was buying options and losing money on options, which is strictly forbidden for a charity.

The manager of the foundation is liable for penalties.

The rules come from section 4944 of the IRS code: "No category of investments shall be treated as a per se violation of section 4944. However, the following are examples of types or methods of investment which will be closely scrutinized to determine whether the foundation managers have met the requisite standard of care and prudence: Trading in securities on margin, trading in commodity futures, investments in working interests in oil and gas wells, the purchase of “puts,” “calls,” and “straddles,” the purchase of warrants, and selling short."

This mismanagement by the Wunderkinder Foundation makes Elie Wiesel’s Foundation’s mismanagement look like child’s play.

I guess they could argue they bought and sold options as part of a hedging strategy.

Joe says:

"puts and calls" aren’t an "option strategy". They are simply two types of options. There are options strategies, and they use calls and puts, simply because those are the building blocks.

And, options aren’t securities. They are meant, as their name suggests, to give people the option to buy or sell securities (at a certain price by a certain time).  The problem is, that options expire (and most expire worthless), so you can lose everything you put in if things go against you.

It’d be interesting to know if charities can use options at all, e.g. buying puts to hedge against a potential stock loss or whether they are restricted only from things that are really risky, like selling naked calls.

Option strategies are discussed in the first and second articles and the third one discusses the risky tactic of selling naked calls:
http://en.wikipedia.org/wiki/Stock_option
http://en.wikipedia.org/wiki/Options_strategies
http://en.wikipedia.org/wiki/Naked_call

Reading further, it looks like buying options is disallowed for charities (though not selling options?).

Tom Tugend reported for the Jewish Journal Dec. 15:

Steven Spielberg suffered some losses in the Bernard Madoff fraud scandal, though apparently nowhere near a rumored $300 million.

However, the famed filmmaker’s private Wunderkinder Foundation had some investments with Madoff, though Spielberg spokesman Marvin Levy said he was unable to detail the assets or losses of the foundation.

The Wunderkinder Foundation (translated as child prodigies) is a relative modest one compared to Spielberg’s much better-known Shoah Foundation and Righteous Persons Foundation.

According to the latest available public filing with the IRS, the Wunderkinder Foundation’s 2006 statement, covering the previous tax year, showed assets of $12,573,018 and grant distributions of $5,215,016. Spielberg gave $2 million to the foundation and is listed as the only donor.

According to press reports, Madoff managed 70 percent of the foundation’s dividend and interest income in 2006.

The lion’s share of the foundation’s grants, according to the IRS filing, went to the Cedars-Sinai Medical Center, which received $3,338,000 for medical research.

The Ross School in New York City received $500,000 and the local Vista Del Mar Child and Family Services got $100,000.

Rabbi Gil Student writes:

The NY Times has an article today about how Yeshiva University is trying to learn lessons from the Madoff Scandal (link). At the risk of pointing out the obvious, let me say what lesson should NOT be learned from this crime: That Yeshiva University graduates and/or Modern Orthodox Jews give priority to money over true religiosity.

That may or may not be true, but it is certainly not a lesson from this alleged crime. The reason is that the alleged perpetrator, Bernard Madoff, was neither a YU graduate nor a Modern Orthodox Jew. He was not religiously observant.

Click here to read moreWhile it is always important to try to learn lessons from anyone and anything, our mussar attempts should not be mistaken as confessions.

The direct lessons from this episode are regarding investment guidelines and due diligence. Everyone should be paying close attention to that.

All other lessons are indirect and are not specific to YU or the Modern Orthodox community. Did misplaced values hit close to home? Yes, because Madoff was on the board of YU. But he was never a role model of proper values to begin with so it is difficult to see how the revelations of his alleged crimes can change that.

Nevertheless, I applaud YU’s attempt to learn lessons from this because, as above, we should try to learn from everything. Items in the news, especially when they hit close to home, are excellent teaching materials. And when our study of ethics is reported in the news, that’s a Kiddush Hashem. So kudos to YU for finding a positive side to this unfortunate episode.

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Real Estate Developer Brian Dror Files For Bankruptcy On One Of His Entities

I first reported in April that Dror was in financial difficulty.

He filed for personal bankruptcy many years ago.

A lot of people around town have invested in Dror’s development companies.

He filed for bankruptcy on one of his companies yesterday (SNH).

On one of his entities, he was in business with Zvi Fleishman. They are both Hancock Park Orthodox Jews.

From the Los Angeles Daily News, May 27, 2007:

On paper, the condo conversion craze has cooled dramatically since sales of homes and condos started to relax last year. In 2003, there were five sales of apartment buildings earmarked for condo conversions in Los Angeles, Orange, Riverside and San Bernardino counties, according to Real Capital Analytics, which tracks real estate investment. The following year, the number jumped to 19, and then peaked at 50 in 2005. Last year, condo conversions fell to 24, and this year there has only been one sale to date, Real Capital Analytics reports.

But investors buying rent-controlled buildings in Los Angeles say there is still money to be made buying older apartment buildings and transforming them into condominiums.

"It’s not as attractive as it was a year ago, but if you buy right and do the work properly, it’s still profitable," said Brian Dror, a certified public accountant and managing member of a corporation that bought the 104-unit Grand Villas Apartments in Sherman Oaks last year.

"If I can sell for $400,000 (a unit), I capture 22 years of rent in one sales transaction," he said.

"Because the property is (under rent control), you can’t make money on it. It doesn’t make sense to stay in the rental business. (Apartment) owners have been looking for an exit strategy for a long time, and this has given them that," Dror said.

From Wells Fargo.com: "Ownership delivers long-term stability, both in terms of monthly costs but also in the address. In addition, the same low interest rates that have helped fuel the nation’s home-buying binge are also letting many small businesses buy their own space. "You may find it’s cheaper to own than it is to rent," says Brian Dror, an accountant with Barak, Richter & Dror in Los Angeles. "There are very good deals out there.""

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Yeshiva University Winter Appeal for Students

A friend says: "Is a "trajectory of exceptional growth" the Modern Orthodox term for losing $110m?"

Here’s the letter:

Dear Yeshiva University Community:

This has certainly been both an extraordinary and unusual year. In spite of the economic turmoil, our university continues on its trajectory of exceptional growth and its advancement of humanity. Yet our ability to go further along on this path, and to provide a serious and uncompromising education to all of our students, is challenged by the times. Therefore, we are asking you, along with the entire Yeshiva University community, to help our deserving students and their families benefit from the exceptional education and unique experience YU provides.

Please join me, in whatever way you can, with a gift to the Annual Fund. Your gift, large or small, matters now, perhaps more than ever before. This support enables thousands of students to depend on Yeshiva University for a Torah education and a profound experience.

To make your gift now, please visit http://www.yu.edu/onlinegiving. Of course, giving the traditional way of writing a check before December 31st – and receiving a tax deduction – will be most welcome. Remember, as President Joel continues to remind us, we are part of something special-a rare institution committed to the integrated vision of Torah U’Madda. Our students carry our history and our destiny. It is up to us to ensure that they are fully equipped to lead and succeed.

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Manhattan’s Elite – Fifth Avenue Shul Members Lose $2 Billion To Bernie Madoff

Haaretz says:

Hanukkah, which began Sunday, will not bring light and joy to the famous Modern Orthodox synagogue, situated in an upscale Manhattan neighborhood, known to many within the Jewish community as the "Fifth Avenue Synagogue."

The revelation that has dampened the joy of the holiday for the Fifth Avenue worshippers is the discovery that the Madoff scam – the $50 billion "Ponzi scheme" that may rank among the biggest fraud cases ever – cost the members of the synagogue a collective $2 billion, the New York Post reported Sunday.

The fraud has crippled the synagogue, which boasts some of New York’s elite as members.

According to the New York Post, the synagogue was a breeding ground for Madoff investors given that its president, J. Ezra Merkin, reportedly served as a powerful recruiter for the alleged scamster.

At least 10 of the Fifth Avenue Synagogue members lost millions to the scam. The report names Ira Rennert, the chairman of the synagogue board, who reportedly invested $200 million with Madoff’s company. Author and Nobel Prize Laureate Elie Wiesel was also listed as a long-time Fifth Avenue Synagogue member whose foundation lost $37 million.

Another synagogue member hurt by the scheme was investment banker Michael Jesselson, whose Orthodox Jewish school in The Bronx took a $1.3 million hit.

Gary emails: "In addition to previous disclosures of UBP and other Paris/Geneva connections, and suicide overnight, it appears anyone who was anyone in Milano and Vienna was heavily invested as well via Bank Medici, a Jewish bank based in Vienna run by the Kohn family. WSJ also reports, in separate byline, that Japanese Bank subsidiary of Ceberus is now on the line for billions as well. The Ceberus/Merkin connection remains one of two conduits (Fairfield Greenwich being the other) that account for more than half the contact losses, and nearly all of the American Jewish philanthropic losses. Investment Dealers Digest (IDD) seems to maintain the most accurate database as the story unfolds."

From the WSJ:

Vienna-based Bank Medici has emerged as one of the most exposed European banks, with roughly $2.1 billion invested with Mr. Madoff’s firm, according to people familiar with the matter. Over the past 10 days, Bank Medici Chairwoman Sonja Kohn and her husband, Erwin, have been scrambling to reassure European clients, these people said, including in Italy, where Ms. Kohn has many business relationships. Ms. Kohn, who has strong connections to the Jewish community and has long known Mr. Madoff, owns 75% of Bank Medici. Italian bank UniCredit indirectly owns 25% of Bank Medici.

In the U.S., Mr. Madoff’s earlier, smaller clients go back much further, in some cases to the early 1970s. He knew many of them personally or through loose business associations, such as accountants who did work with his firm, his family or friends. For instance, Robert Gettinger, now 82 years old, first invested with Mr. Madoff in 1973, having been introduced to him through a friend. Until two weeks ago, Mr. Gettinger says he thought his investment had grown to more than $10 million, and a trust for his sons was worth about $3 million.

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