Democrats say the...contract constituted a conflict of interest because the governor vetoed a bill last year that would have regulated nutritional supplements manufactured by the main advertisers in the muscle magazines.
"There is no conflict of interest,"...(a) Schwarzenegger spokeswoman ...said. "Under the Political Reform Act the governor has a financial interest in American Media but does not, by virtue of his contract, have an interest in those who advertise in their magazines."
But American Media has an interest in "those who advertise in their magazines," duh! And the more ad revenues they get, the more Arnold gets, since his salary was to be a percentage of the ad revenues.
But here's the real problem--Arnold signed this deal two days before his inaguration. He's supposed to living on his governor's salary only. His signing such a deal, especially after his veto of the dietary supplement regulation law, is arrogrant at best and unethical at worst. An investigation of the matter is very much in order, and must not be dismissed as a partisan hissy fit.
On edit: Hmmm, the link has disappeared again--I wonder if Arnie's camp is complaining. Maybe not--the story is still at
ABC News.com, and here's a different one at
SF Gate, which has this juicy tidbit:
Schwarzenegger reached a memorandum of understanding with Weider Publications two days before taking the oath of office in October 2003. The contract took effect the following January and was announced publicly in March 2004. It made Schwarzenegger executive editor of Muscle & Fitness and Flex magazines and required him to write a fitness column.
:headbang:
rocknation