Wall Street relishes Spitzer's fall from grace

By Jennifer Ablan - Analysis

NEW YORK (Reuters) - For years, he was the scourge of the Masters of the Universe and the Sheriff of Wall Street.

Now he's a joke.

Legions of Wall Street's bankers, traders and investors relished the dark clouds enveloping New York Gov. Eliot Spitzer, who on Monday informed his most senior administration officials that he had been tied to a prostitution ring, the New York Times reported.

"He made a lot of enemies," said Angel Mata, managing director of listed equity trading at Stifel Nicolaus Capital Markets in Baltimore.

Spitzer, with his wife by his side and facing a room packed with reporters, camera crews and aides, apologized to his family and the public for a "private matter." But he made no reference to the New York Times report.

The Times reported that Spitzer was caught on a federal wiretap arranging to meet with a $1,000-an-hour prostitute at a Washington hotel last month.

Spitzer, a Democrat, rose to political stardom while state attorney general through high-profile investigations into improper business practices by major Wall Street firms.

Though his signature issue was pursuing Wall Street's misdeeds, as attorney general Spitzer also prosecuted at least two prostitution rings when he ran the state's organized crime task force, the New York Times said.