Perdido 03

Perdido 03
Showing posts with label time for jail. Show all posts
Showing posts with label time for jail. Show all posts

Saturday, December 17, 2016

UFT Would Be Foolish To Announce Endorsement Of De Blasio Right Now

James Eterno wrote back in early December that UFT President Michael Mulgrew has hinted a UFT endorsement of New York City Mayor Bill de Blasio is coming soon.

Mulgrew's reasoning?

Other unions have already announced early endorsements of de Blasio, there will be a corporate-funded general election candidate who will look to run against public education and the teachers union, and de Blasio settled all the outstanding contracts with the municipal unions that Bloomberg refused to settle in his third term.

Since that Mulgrew hint, we also learned that AFT President Randi Weingarten will hold a fundraiser for de Blasio in January:
Randi Weingarten, the president of the American Federation of Teachers, will hold a fundraiser for Mayor Bill de Blasio’s re-election campaign in January, according to a copy of the invitation obtained by POLITICO New York.

The fundraiser will be held at AFT headquarters in Washington on January 5. Guest tickets are $1,000 a head, “supporter” tickets are $2,500, and “host” tickets are $4,950.

The event will be co-hosted by the lobbyist Harold Ickes, a friend and mentor to de Blasio who has enjoyed lobbying successes under de Blasio’s tenure. Ickes’ lobbying partner, Janice Enright, will also co-host the fundraiser. John Stocks, the director of the National Education Association, the nation’s other most prominent teachers union, is on the host committee for the event.

The event comes as de Blasio begins to gather endorsements from the city’s most prominent unions — both the Uniformed Sanitationmen’s Association and the Retail, Wholesale and Department Store union have given the mayor their early endorsements. But de Blasio has not yet won the endorsement of the United Federation of Teachers, the largest and most powerful branch of the AFT, representing teachers in New York City.

Weingarten’s upcoming fundraiser could add to pressure for UFT president Michael Mulgrew to give the mayor his union’s endorsement soon.

Now those of you who are close Randi/Mulgrew watchers know there is no daylight between either, so it's doubtful that the Weingarten fundraiser is "pressure" coming from Randi onto Mulgrew to endorse de Blasio early as opposed to another part of a multi-pronged strategy to get on board the de Blasio express early and prove loyalty to the mayor (especially necessary since the UFT worked against de Blasio in the primary last time around.)

That strategy might make some sense if de Blasio was a powerful incumbent with a proven track record of helping teachers and public schools, but as James wrote in his piece on the likely UFT endorsement, the case for that is slim:

In the school system I work in, teachers and other UFT members feel almost like they are under siege on a daily basis in multiple schools. Many of us fear drive by Danielson observations by abusive administrators, being rated based on student test scores in schools where the students are not exactly well prepared, overburdened paperwork demands made by those abusive principals and their assistants, the war on seniority with (un)fair student funding which makes senior teachers a burden on school budgets and much, much more.

Our job has been turned into a nightmare in many school buildings. In spite of the working conditions deteriorating to the point where a large number of teachers cannot physically or emotionally take it much longer, our Union President's response is hinting that we want more of the same.

Add in the de Blasio contract that holds back pay to 2020 (but only if you're still in the system!) and gives yearly increase averages of just over 1% and gee, what's not to like about endorsing de Blasio early, given all that wonderful stuff?

Well, how about the news that de Blasio is the subject of two grand jury investigations and criminal charges are likely to come against some of his cronies (and perhaps even de Blasio himself)?

Two separate grand juries in Manhattan have begun hearing testimony in connection with federal and state criminal investigations into Mayor Bill de Blasio’s campaign fund-raising, according to several people with knowledge of the matters.

It was unclear whether either inquiry would result in criminal charges against the mayor, but the grand jury activity appeared to be the strongest indication since the investigations came to light in April that prosecutors may be moving closer to one or more indictments, possibly against some of Mr. de Blasio’s closest aides.

The inquiries have centered on Mr. de Blasio, a Democrat, and several of his senior aides, according to the people with knowledge of the matter, all of whom spoke on the condition of anonymity because grand jury proceedings are secret.

The state investigation has focused on whether the mayor, or those acting with him or on his behalf, violated state election law by raising hundreds of thousands of dollars through three upstate county committees and funneling it to Democratic candidates during the party’s unsuccessful 2014 bid to gain control of the State Senate.

The questions asked by state prosecutors in their grand jury presentations suggest their inquiry is in some measure centered on Emma Wolfe, Mr. de Blasio’s top political aide, Ross A. Offinger, who was then his campaign finance director, and Josh Gold, a union political operative who worked on the 2014 Senate effort, the people with knowledge of the inquiry said.

The federal investigation has examined whether Mr. de Blasio or his aides took beneficial action on behalf of donors in exchange for contributions they had made to his 2013 mayoral campaign, his political nonprofit or both in roughly a half-dozen instances, according to people with knowledge of that inquiry.

As I wrote Thursday, this leak came straight out of publicity-happy US Attorney Preet Bharara's office and Preet doesn't leak this kind of stuff without criminal charges following soon.

That's how it played out with Shelly Silver, Dean and Adam Skelos and Cuomo's cronies Joe Percoco and Alain Kaloyeros - there's no reason to think it won't play out the same way here.

With criminal charges all but certain against somebody linked to de Blasio and with the NYC media already having an adversarial relationship with the churlish de Blasio, you can bet he's going to get hammered day after day after day in the newspapers and on TV, further weakening an already weak incumbent (polls consistently show de Blasio is underwater on the "Deserves Re-Election" question.)

Now I can understand why the UFT would look to finagle an early endorsement of de Blasio despite his administration showing itself to be anti-teacher in its treatment of teachers in the evaluation process (superintendents are instructing school administrators to ratchet up "ineffective" and "developing" ratings against teachers, especially veteran teachers), the budgeting process (which rewards schools that shed veteran teachers) and contractually (back pay all the way to 2020) - that's because the UFT leadership only cares about the access de Blasio and Chancellor Farina have granted them, not how they have treated their members so badly.

But why would the UFT want to announce an endorsement of de Blasio now with Preet bearing down on him and charges coming for one or more de Blasio cronies?

That Thursday night leak to the NY Times about the state and federal grand juries looking into de Blasio didn't come out of nowhere - that's a clear indication that Preet intends some charges against someone and wants to give a heads up that they're coming.

There's no indication yet that the charges will reach de Blasio himself, but even if they don't, weakened unpopular incumbent that he is, de Blasio may not be able to withstand major figures in his political circle getting taken down on criminal charges.

I think the UFT would be smart to wait for Preet to make a move and see what the political and practical fallout is before they endorse.

But the words "smart" and "UFT leadership" do not sit well together, so they just may continue with the AFT/UFT pro-de Blasio strategy despite new information that suggests that strategy may be politically and practically short-sighted and ill-conceived.

Thursday, December 15, 2016

Looks Like Criminal Charges Are Coming For Some De Blasio Cronies

Preet Bharara leaking to the NY Times:

Two separate grand juries in Manhattan have begun hearing testimony in connection with federal and state criminal investigations into Mayor Bill de Blasio’s campaign fund-raising, according to several people with knowledge of the matters.

It was unclear whether either inquiry would result in criminal charges against the mayor, but the grand jury activity appeared to be the strongest indication since the investigations came to light in April that prosecutors may be moving closer to one or more indictments, possibly against some of Mr. de Blasio’s closest aides.

The inquiries have centered on Mr. de Blasio, a Democrat, and several of his senior aides, according to the people with knowledge of the matter, all of whom spoke on the condition of anonymity because grand jury proceedings are secret.

The state investigation has focused on whether the mayor, or those acting with him or on his behalf, violated state election law by raising hundreds of thousands of dollars through three upstate county committees and funneling it to Democratic candidates during the party’s unsuccessful 2014 bid to gain control of the State Senate.

The questions asked by state prosecutors in their grand jury presentations suggest their inquiry is in some measure centered on Emma Wolfe, Mr. de Blasio’s top political aide, Ross A. Offinger, who was then his campaign finance director, and Josh Gold, a union political operative who worked on the 2014 Senate effort, the people with knowledge of the inquiry said.

The federal investigation has examined whether Mr. de Blasio or his aides took beneficial action on behalf of donors in exchange for contributions they had made to his 2013 mayoral campaign, his political nonprofit or both in roughly a half-dozen instances, according to people with knowledge of that inquiry.

Preet doesn't leak this kind of shit without criminal charges coming soon after, so it's almost a done deal that Wolfe, Offinger, Gold or all three are going to get charged with something in the near future.

Whether de Blasio gets charged, difficult to say at this point - but one of the guy's turning state's evidence is the same guy who turned on Ed Mangano in Nassau County, so you never know.

Cuomo had a bunch of his cronies indicted but most New York City residents have no idea that happened - it didn't get much coverage in the media down here.

That's Cuomo - he leads a real charmed life.

If de Blasio's aides are charged, however, you can bet there'll be a free-for-all over it in the media and it will do real damage to de Blasio.

So far Sal Albanese has announced he's running for mayor and faux Democrat Tony Avella has set up a committee to explore a mayoral run.

I think if charges come for de Blasio's aides, we'll see more jump in the race.

The ones to watch are Scott Stringer and charter school shill Ruben Diaz Jr. - do either or both jump in if de Basio appears wounded by these grand jury investigations?

I would've had another charter school shill on the list for potential jump-in's but Congressman Hakeem Jeffries is now in a leadership position with House Democrats, so it's unlikely he jumps in.

We'll see how all this plays out, but once again, Preet's in the seat bringing more heat - and this time it's aiming at Bill de Blasio.

No matter what happens, I remain dubious about Diaz Jr. running as the clean candidate against de Blasio when he comes from a family with such a history of corruption.

But we'll see.

Friday, September 23, 2016

Andrew Cuomo Is Either Corrupt Or Incompetent


That's Assemblyman Steve McLaughlin reacting to the various criminal charges levied against nine individuals with connections to Governor Andrew Cuomo yesterday, including Cuomo's former top aide and all-around fixer, Joseph Percoco.

When you look closely at the criminal complaint unsealed yesterday, you notice that McLaughlin has an excellent point.

Percoco started soliciting bribes and favors even before his boss, Andrew, was elected governor and Cuomo himself was never far from the action, as this NY Times account makes clear:

Though rarely mentioned in the federal complaint, Mr. Cuomo hovers in the background of the narrative of his former aides’ misdeeds — and some of the more embarrassing revelations. Proximity to the governor and the executive chamber were the currency in which both Mr. Howe and Mr. Percoco traded, often by invoking Mr. Cuomo’s name or exploiting his presence.

In October 2010, for example, as Mr. Cuomo was running for governor, Peter Galbraith Kelly, Jr., chief lobbyist for a power company that was seeking state assistance for its plant in the Hudson Valley, arranged for the company to donate a private jet to fly Mr. Cuomo and his staff to campaign events, the complaint says. It was all part of Mr. Kelly’s bid to ingratiate himself with Mr. Percoco, according to the complaint, as it became increasingly apparent that Mr. Cuomo would be elected.

At various points, the complaint says, Mr. Howe and Mr. Percoco referred to generous donors and clients of Mr. Howe’s as “friends,” short for “friends of the governor” — people who, it seemed, could expect special treatment from the governor’s inner circle. In March 2015, according to the complaint, Mr. Howe and Mr. Percoco set up a meeting for Mr. Kelly with the governor’s secretary, a central figure in the executive chamber.

“As Joe told you, Braith is ‘family,’” Mr. Howe wrote to the secretary, referring to Mr. Kelly’s nickname, the complaint says.

In early 2014, Steven Aiello, president of the Syracuse-area developer COR Development Company, another “friend” and major donor to Mr. Cuomo, was scheduled to meet with Mr. Percoco at the governor’s office in Midtown Manhattan, according to the complaint. Mr. Howe emailed Mr. Percoco, employing an affectionate nickname the two men often used for each other, “Herb,” and dropping in a “Sopranos” reference to ziti as a slang for money: “Lay it on thick, govs loves you … Lay it on heAvy Herbie! Zitti herb! Zitti!!”

Thus prompted, the complaint continues, Mr. Percoco replied that he might have Mr. Cuomo drop by the meeting to say hello. Mr. Howe told investigators that Mr. Percoco did this so he could pressure Mr. Aiello later for more bribes.

The governor’s name came up again in September 2015, according to the complaint, when Mr. Aiello complained to Mr. Howe that he had not been invited to attend Mr. Cuomo’s events during a planned trip to Syracuse. After Mr. Percoco intervened, Mr. Aiello was asked to give the governor a tour of a new hotel he was building in the city.

The coziness depicted in the complaint makes it difficult for some to believe that Mr. Cuomo did not know something was amiss.

“It’s unrealistic with an adviser that was this close to the governor, that the governor doesn’t know what was going on,” said Doug Kellogg, a spokesman for Reclaim New York, a good-government group. Or, if Mr. Cuomo truly did not know, Mr. Kellogg added, “It’s a sign that he’s not minding the store.”

The line out today from Cuomo shills is that Cuomo was clean while he was betrayed by his friends, associates and donors in these matters, but he will now use these betrayals as impetus to push for a cleaner Albany.

But that line is horseshit.

Either Cuomo knew part or all of what was going on under his nose and chose to look the other way (how about those "free" private jet flights back in October 2010, Andy?) or he didn't know and was a) a terrible judge of the character of the people around him and b) incompetent in his stewardship of his administration and its signature economic initiatives (which appear to have been run more to line the pockets of his friends, associates and donors than actually provide any economic development.)

Given Cuomo's reputation as a micromanager with his fingers on everything going on around him, it's difficult to believe Cuomo didn't have some inkling of the games Percoco, Howe, Kaloyeros, et al. were playing and the money and favors that were rolling their way.

Yesterday U.S. Attorney Preet Bharara was asked if the governor was in any trouble for any of this and he replied with a statement that basically said "No - not yet, at any rate":

“What I can say at this moment is that there are no allegations of any wrongdoing or misconduct by the governor anywhere in this complaint. That’s all I’m going to say.”

That's not exactly a clean bill of health for the governor from the U.S. attorney and while multiple outlets have run stories today with the headline that Cuomo's skating on criminal charges while many around him are not, there remains the possibility that one or more of those guys arrested yesterday decides to tell tales on the governor and give a blueprint for where all the bodies are buried in the Cuomo administration.

Even if that doesn't happen, Cuomo ought to be finished politically, as it's quite clear that his "effective" and "ethical" stewardship of the state government is neither of those things.

But as is always the case with Cuomo, he's searching for ways to survive and thrive - thus an appearance in Buffalo today and the line out of his shills about how Cuomo will use these arrests as motivation to clean up state government.

He cannot be allowed to get away with that nonsense.

Andrew Cuomo was either complicit in the corruption in his administration or he was ignorant of it, in which case he is an incompetent fool.

The only way the cesspool that is Albany gets even a bit cleaner from all the corruption is when Andrew Cuomo is finally shown the door and kicked out of office and power.

Thursday, September 22, 2016

Preetmas Eve

Various outlets on the Cuomo corruption story today - first the NY Times:

Federal corruption charges were announced on Thursday against two former close aides to Gov. Andrew M. Cuomo, a senior state official and six other people, in a devastating blow to the governor’s innermost circle and a repudiation of how his prized upstate economic development programs were managed.

The charges against the former aides, Joseph Percoco and Todd R. Howe, and the state official, Alain Kaloyeros, were the culmination of a long-running federal investigation into the Cuomo administration’s attempts to lure jobs and businesses to upstate New York’s limping economy by furnishing billions of dollars in state funds to developers from Buffalo to Albany. Mr. Howe is cooperating with the investigation, according to a 79-page criminal complaint unsealed on Thursday.

The charges stemmed from “two overlapping criminal schemes involving bribery, corruption and fraud in the award of hundreds of millions of dollars in state contracts and other official state benefits,” federal prosecutors said in the complaint.

Politico NY:

ALBANY— Alain Kaloyeros, the now former CEO of SUNY Polytechnic Institute, has been charged with three felony counts in connection to an alleged bid-rigging scheme, Attorney General Eric Schneiderman announced Thursday.

The complaint against Kaloyeros, 60, alleges he steered, or agreed to steer, the awarding of contracts to favorable companies, including Columbia Development, a real estate firm with extensive ties to the Capital Region.
The complaint alleges Kaloyeros improperly used the Request for Proposal process to direct contracts to certain firms for the construction of facilities for SUNY Poly. 
“A year-long investigation by my office found that Alain Kaloyeros allegedly used his perch atop SUNY Polytechnic [and] engaged in brazen bid-rigging, using taxpayer dollars and abusing his power to enrich himself and his cronies,” Schneiderman said at a press conference in Manhattan. “According to our criminal complaint, Kaloyeros gave insider information to friends and fixed the bidding process to ensure his cronies lucrative contracts, funded in part by the state of New York.
Kaloyeros, who is expected to be arraigned in Albany City Court on Friday, has been charged with three felony counts of Combination in Restraint of Trade and Competition. Joseph Nicolla, the head of Columbia Development, has been charged with one felony count of of Combination in Restraint of Trade and Competition and is expected to be arraigned on Monday.


Bharara was asked if Cuomo himself has any involvement in the case by a reporter who noted that he had once issued a statement absolving the governor of wrongdoing in connection with the early demise of the corruption-busting Moreland Commission. His reply:
“What I can say at this moment is that there are no allegations of any wrongdoing or misconduct by the governor anywhere in this complaint. That’s all I’m going to say.”
When pressed on whether it’s “realistic” to believe that the governor, who has a reputation of being something of a micromanager, did not know what his top aide was up to, Bharara said simply: “It’s not my job to comment on what is realistic or unrealistic.”

Bharara also said that this investigation, “as a general matter,” remains open.

Politically there's going to be some serious fallout for Cuomo and he's never going to want Sandra Lee to make "ziti" every again, but he appears to be skating on criminal charges, at least for now.

Whether that changes as a result of any of the fellows charged today dishing dirt on him, we'll just have to wait and see.

In any case Happy Preetmas Eve everybody.

Next up in the NY Corruption Season - Bill de Blasio and those donors.

Former Cuomo Aide Joe Percoco, Others To Face Corruption Charges Related To Andrew Cuomo's Economic Development Projects

Finally:

Federal authorities plan to unseal charges against a former top aide to New York Gov. Andrew Cuomo as early as Thursday in connection with an alleged bribery and kickback scheme involving the governor’s signature economic-development program, according to people familiar with the matter.
In addition to the former aide, Joseph Percoco, the U.S. attorney’s office in Manhattan intends to bring public-corruption charges against a number of other individuals in connection with the wide-ranging investigation, these people said.

The precise nature of the charges against Mr. Percoco, who for decades was one of Mr. Cuomo’s most senior aides and closest friends, wasn’t immediately clear.

For months, Mr. Percoco has been at the center of a probe by U.S. Attorney Preet Bharara’s office concerning allegations of bribery and kickbacks in connection with an economic-development program known as the Buffalo Billion, which Mr. Cuomo has lauded as having revived the sleepy upstate economy.

Since the investigation became public in April, Mr. Cuomo, a Democrat, has distanced himself from Mr. Percoco and ordered an internal review of the Buffalo Billion program. A spokesman for Mr. Cuomo didn’t respond to a request for comment Wednesday evening.

And the fallout for Cuomo:

The probe and expected charges represent the most significant political crisis Mr. Cuomo has faced since he took office in 2011, in part because they are linked to some of his signature programs and major donors, but also because of the alleged involvement of Mr. Percoco in particular.

For years, Mr. Percoco has been one of the governor’s most trusted allies, an individual so tight with the Cuomo family that the governor once described him as “my father’s third son, who sometimes I think he loved the most.”

If anybody knows where some of the Andrew Cuomo administration bodies are buried, it would be Joe Percoco, Mario's "third son."

Some reaction:


Who else will be indicted?

Perhaps Percoco's wife, who also was being investigated for funky payments from one of the companies involved.

SUNY Poly's Alain Kaloyeros was getting looked at as well as part of the investigation, but whether he's part of today's show is uncertain.

I suspect if Kaloyeros were going to go down today, he'd have been part of the leak.

Definitely Todd Howe, who has been cooperating with the feds in the matter, to be charged - the NY Times reports half a dozen people are going to be charged today in all.

As for Andrew Cuomo, the damage to his administration will be big, though probably not fatal.

This is Cuomo's signature economic development program that Percoco and Company were using as their personal cash box and Cuomo, Mr. Accountability himself, had no idea (or so he says) this was going on.

At the very least, the political damage is that Cuomo was not paying attention as those closest to him (Percoco and former Cuomo aide/now cooperating with the feds lobbyist Todd Howe) were engaging in bribery/kickback schemes and other shenanigans.

The NY Times described the fallout for Cuomo as

a devastating blow to the governor’s innermost circle and a repudiation of how his prized upstate economic development programs were managed, according to people with knowledge of the matter.

There remains the possibility that Percoco can be squeezed for what he knows about Cuomo and all those donors (the pattern has been: Donate to Cuomo, Get Contract/Favor in return), though I suspect if that were going to happen, there might already be indication of that in a leak.

In any case, going to be a fun day if you've been waiting for the Cuomo economic development project bribery/kickback/corruption investigation season to finally kick off.

One final point: with Bharara finally making a move on Percoco, I wouldn't be surprised if we don't get some action on one or more of the various de Blasio corruption probes in the very near future.

Wednesday, June 29, 2016

Cuomo Ally To Be Arrested For Bribery

Wheee!!!!!

A New York State Supreme Court judge pleaded guilty on Wednesday to bribery in connection with the state attorney general’s investigation into his relationship with a Buffalo-area political consultant with ties to Gov. Andrew Cuomo.

The judge, John A. Michalek, who also pleaded guilty to offering a false instrument for filing, said he would cooperate with the probe.

...

 A spokesman for the state courts system said that as part of his plea agreement, Mr. Michalek had resigned as a state Supreme Court judge.

Mr. Michalek has been under investigation for months by Attorney General Eric Schneiderman’s office in connection with his relationship with Steven Pigeon, a former Erie County Democratic chairman who has raised money and occasionally advised the governor on western New York-related matters.

According to the criminal complaint filed Wednesday, Messrs. Michalek and Pigeon had “an understanding” in which the judge “engaged in official conduct” that benefited Mr. Pigeon’s interests, which included lawsuits before the judge. Mr. Michalek received benefits from Mr. Pigeon, such as hockey tickets and assistance seeking judicial appointments for himself and jobs for his relatives.

Mr. Pigeon is set to be arrested on Thursday and indicted later that day, according to a person familiar with the matter. Mr. Pigeon’s attorney, Paul Cambria Jr., didn’t respond to a request for comment.
“Today’s proceedings expose a corrupt, multiyear scheme to use political favors to buy off a sitting state judge,” Mr. Schneiderman, a Democrat, said in a statement Wednesday.

Here are some previous Perdido Street School blog posts on Pigeon and Cuomo (here, here, here and here.)

And of course, there's the wonderful Buffalo News story in 2013 in which Pigeon brags he's Governor Cuomo's go-to guy in Buffalo:

If Gov. Andrew M. Cuomo seems obsessed with all things Buffalo in the months leading to his re-election campaign, those familiar with the governor point to his rejection by the voters of nine western counties in 2010.
Perhaps that’s why Cuomo is turning to G. Steven Pigeon, one of his oldest – and most controversial – Western New York allies, for fundraising, politics and even policy, according to several sources.
The former Erie County Democratic chairman is taking on more assignments from Cuomo and is telling political leaders here of a larger role, according to at least half a dozen highly placed sources with knowledge of the situation.

And while Cuomo spokesman Richard Azzopardi would not discuss Pigeon specifically when questioned by The Buffalo News, he did not deny the suggestion that Pigeon plays a role for the governor.
“The governor has many friends in Buffalo, from the mayor to the county executive to Sam Hoyt to Steve Pigeon,” Azzoparadi said.
Pigeon’s larger profile may also stem from other roles such as major campaign donor and the $50,000 check he presented to Cuomo’s birthday fundraiser at Manhattan’s Waldorf-Astoria Hotel last December.
Other Democrats say a senior official for the governor has told members of the Cuomo administration, including Hoyt, to have regular contact with Pigeon. They say that Pigeon has joined conference calls and meetings and that his involvement transcends politics to include economic-development matters.
One major Democrat said local officials “employed by the State of New York” are aware of Pigeon’s enhanced position for the governor.
“He’s going to be his top political person,” the Democrat said of Pigeon’s role for the governor in Western New York. “Steve is telling people that."

Now that Pigeon, the governor's top political person in Buffalo, is set to be arrested on bribery charges tomorrow, the governor may be wondering just what that top operative has to trade with the authorities for a lighter sentence.

Pigeon was in on Cuomo's economic development matters in Buffalo?

Gee, there might be something there, especially since those matters are already under investigation by US Attorney Preet Bharara.

This Pigeon arrest is just one strand of the investigations into the governor's world that Cuomo's got to worry about.

There are also the various strands in the Buffalo Billion and state contract mess, with offshoots to former aides Todd Howe and Joe Percoco and Cuomo's man at SUNY Poly, Alain Kaloyeros.

Bharara has warned that he's scrutinizing malfeasance in executive branches around New York.

Going to be an interesting, interesting summer.

Tuesday, June 21, 2016

Closing In On De Blasio

From the NY Times:

Three New York Police Department commanders were arrested on Monday, along with a Brooklyn businessman, on federal corruption charges linked to one of several continuing investigations into Mayor Bill de Blasio’s campaign fund-raising.

The arrests were one of the most significant roundups of police supervisors in the recent history of the department — a deputy chief and a deputy inspector accused of accepting expensive gifts from two politically connected businessmen who prosecutors say were seeking illicit favors from the police.

In court papers unsealed on Monday, federal agents describe how the two men, who are at the center of one of the City Hall fund-raising inquiries, showered gifts on senior police officials: jewelry for the police inspector’s wife; a video game system for the chief’s children; tickets to Brooklyn Nets games; hotel rooms in Rome and Chicago; even a private-jet flight to Las Vegas, with a prostitute on board.

The police officers arrested on Monday were Deputy Chief Michael J. Harrington, 50; Deputy Inspector James M. Grant, 43; and Sgt. David Villanueva, 42, who was charged in a separate but related scheme involving gun licenses. The businessman arrested was Jeremiah Reichberg, 42, of Borough Park, Brooklyn.

The other businessman, Jona S. Rechnitz, 33, has pleaded guilty and has provided information in the police case and in at least one of the fund-raising investigations focused on Mr. de Blasio, a Democrat, and his inner circle, according to several people familiar with the case.

Let's repeat that last part:

The other businessman, Jona S. Rechnitz, 33, has pleaded guilty and has provided information in the police case and in at least one of the fund-raising investigations focused on Mr. de Blasio, a Democrat, and his inner circle, according to several people familiar with the case.

Bharara said yesterday “there is no allegation that has anything to do with the mayor anywhere” in the court documents.

But the news that Rechnitz is providing information in the case against the cops and at least one of the cases focused on de Blasio suggests it is only a matter of time before some of the people around de Blasio - and perhaps de Blasio himself - have their own day in court.

Friday, June 17, 2016

Stringer Readies Primary Challenge Against De Blasio

Ross Barkan in New York Magazine:

With next year’s election looming on the horizon, the progressive mayor is becoming vulnerable to a primary challenge.

While a few prominent local politicians are toying with the idea, it’s City Comptroller Scott Stringer who seems to be getting the most serious about taking on de Blasio. He held a fundraiser on Tuesday night and is quietly assembling a campaign team. Elected to his citywide post in 2013, Stringer has talked up the possibility of challenging de Blasio to several Democrats over the last two months, and his chief of staff has approached at least one veteran Democratic operative about signing on to a potential bid next year.

“Stringer sees that de Blasio is weaker and more vulnerable than ever before because of the multiple scandals facing City Hall,” said a party insider familiar with Stringer’s thinking. “That’s why it’s no surprise Stringer’s political team is reaching out to consultants and operatives to gauge their interest about a 2017 mayoral bid.”

If you're looking to make book on Stringer's chances compared to other New York pols rumored to be considering challenges:

A range of Democratic sources who are aware of Stringer’s plans say he is the most hungry among a group of potential challengers that also includes Bronx borough president Rubén Díaz and Rep. Hakeem Jeffries. Stringer has more than $1 million in his campaign account, according to the latest filings. De Blasio has about $890,000 in his 2017 account, and may not be able raise cash as readily as a typical incumbent, given his investigatory woes.

Stringer's plan is to run against de Blasio as a liberal who can get things done - only without the corruption.

We learned recently that Eva Moskowitz is pushing Ruben Diaz Jr. to run against de Blasio.

Given past corruption involving the Diaz family - including Ruben Diaz Jr. himself - I have a difficult time seeing Diaz Jr. take out de Blasio based on a "He's Corrupt!" campaign message.

But Stringer on the other hand...well, that's certainly conceivable.

In any case, I'm beginning to think de Blasio himself is going to be indicted on corruption charges.

The leaks we're getting on the mayor's scandals are beginning to hint at just that - take last night's leak for instance.

That's the way Preet works - ready the public for high profile arrests with leaks.

He did this with Shelly Silver, he did this with Dean Skelos.

We'll see how this all shakes out, but the way things look right now, at best de Blasio's in serious trouble and facing a primary challenge from a well-funded, well-connected Stringer while at worst, he's going to be carted out in cuffs to join Silver and Skelos in ignominy.

As for teachers supporting Stringer as a better alternative to de Blasio, pay attention to some of Stringer's backers:

One advantage Stringer has over Díaz and Jeffries is a large orbit of loyalists in the public and private sector that has been privately compared to a “Ready for Hillary” operation. They include Audrey Gelman, his former press secretary; Micah Lasher, attorney general Eric Schneiderman’s former chief of staff and a candidate for State Senate on the Upper West Side; Amy Rutkin, Rep. Jerry Nadler’s chief of staff; and Camille Joseph, deputy comptroller for public affairs and Anthony Weiner’s former campaign manager. Any 2017 bid would also likely involve Anson Kaye, a Hillary Clinton ad-maker and top strategist on Stringer’s comptroller campaign. At the center of it all, there's Sascha Owen, Stringer's current chief of staff and former campaign manager.

Micah Lasher is a former StudentsFirstNY guy and Bloomberg aide.

I've been off the de Blasio bandwagon for a while now but I wouldn't be all that thrilled to back a mayoral candidate whose large orbit of loyalists includes Micah Lasher.

Barkan writes that it's not a done deal that Stringer runs, he wants to see how the investigations proceed and if de Blasio's poll numbers continue to fall.

But given the news de Blasio's facing these days, with his chief fundraiser the focus of a federal investigation and stories about de Blasio's afternoon's at Bar Toto making fundraising calls with said chief fundraiser, I can't imagine things are going to get better for him any time soon.

Thursday, June 16, 2016

Investigators Focus On De Blasio's Chief Fundraiser

Enjoy that one year mayoral control extension, Bill - you're probably not going to make it to renewal time:

Federal and state investigators have received thousands of documents related to New York City Mayor Bill de Blasio’s fundraising activities and have begun interviewing some of his donors, people familiar with the matter said.

Investigators have focused on specific donors to Mr. de Blasio as they examine whether the mayor and his allies traded favorable government action for contributions to his various political efforts, including Mr. de Blasio’s 2014 campaign to bring the state Senate under Democratic control, people familiar with the matter said.

...

As part of the records demand, investigators from the Manhattan district attorney’s office, the U.S. attorney’s office in Manhattan and the Federal Bureau of Investigation have received a trove of documents, including internal emails, evidence of financial transactions and correspondence between the mayor’s political operation and county political committees, people familiar with the matter said.
The documents have come from city aides, political consultants close to the mayor and a number of donors who are cooperating, people familiar with the matter said.

The authorities are looking, in particular, at any donations that appeared to coincide with favorable official action by Mr. de Blasio’s administration, these people said. One person said the authorities are examining when donors’ communications with city officials occurred in conjunction with interactions with Mr. de Blasio’s fundraising staff.

According to people familiar with the matter, one person under scrutiny is Ross Offinger, who served as a fundraiser for the mayor’s 2013 campaign and for the Campaign for One New York, a nonprofit organized by the mayor’s allies and dedicated to the mayor’s agenda. In March, the Campaign for One New York announced it would shut down its operations.

Messrs. de Blasio and Offinger worked together on fundraising, sometimes sitting together on afternoons at Bar Toto in Brooklyn making calls, according to people familiar with the matter.

So let's say the feds pick up Offinger and ask him, "What do you have to trade for a lighter sentence?"

Think he'll bring up any of those afternoons at Bar Toto making fundraising calls with de Blasio?

Oh, you bet he will.

So far in the Cuomo investigation, there's no inkling yet that the feds are closing in on Cuomo himself - just the people around him.

But in the de Blasio investigation?

They're closing in on him.

Saturday, June 11, 2016

It's Pay-To-Play All The Way With Andrew Cuomo

Jon Campbell takes an extensive look at Governor Cuomo's economic development programs and finds the following:
Two of New York’s most-powerful landlords are little-known nonprofits with deep pockets, well-connected boards of directors, ties to Rochester contractors and a growing portfolio worth billions that has attracted attention from federal prosecutors.

Meet the Fort Schuyler Management Corp. and Fuller Road Management Corp., owners of an increasing number of the facilities at the center of Gov. Andrew Cuomo’s push to revitalize upstate New York’s long-lagging economy.

The two nonprofits act as the real-estate arm of the SUNY Polytechnic Institute, the Albany- and Utica-based college whose clout has spread as Cuomo entrusted founding president Alain Kaloyeros with overseeing the Buffalo Billion development program, a $600 million photonics institute in Rochester and facilities in Greece, Canandaigua, Utica and Syracuse.

The nonprofits have awarded lucrative contracts to big-money donors to Cuomo’s political campaign, including two Rochester-based contractors. Board members at various points have seen their companies or clients receive leases and deals, a review by Gannett’s Albany Bureau shows.

For years, Fort Schuyler and Fuller Road have operated with little scrutiny — largely faceless, quasi-public organizations existing as a mechanism to comply with IRS rules when transferring billions in state funds to facilities that house private companies.

That has changed: U.S. Attorney Preet Bharara and state Attorney General Eric Schneiderman are separately investigating contracts awarded by the two entities, with Cuomo’s administration acknowledging the federal investigation is examining possible “improper bidding.”

Here's the way this worked:

Contractors submitted bids (often rigged by the state so that only one local contractor could win), then submitted contributions to Cuomo, then won the contracts - whee!!!!

How often did this happen?

A lot - take the Rochester contracts, for example:

As their portfolio grew, Fort Schuyler and Fuller Road have doled out construction contracts worth hundreds of millions of dollars in recent years. Often, those contracts went to Cuomo campaign donors, records show.

In Buffalo, Rochester, Syracuse, Albany and Plattsburgh, Fort Schuyler put out separate requests for proposals for a “qualified local developer” to develop a “strategic partnership” with.

The requests for proposals were detailed and extensive, requiring a locally based contractor with at least 15 years experience and the ability to build high-tech infrastructure such as clean rooms and smart classrooms.

Fort Schuyler’s contract in Rochester went to LeChase Construction and The Pike Co. in 2014, meeting minutes show.
...

On Sept. 24, 2014, eight days after Fort Schuyler’s board was informed of the Rochester bids, LeChase CEO Wayne LeChase contributed $25,000 to Cuomo’s re-election campaign, state records show. The same day, Pike President Rufus Judson contributed $10,000.

Five days later, Wayne LeChase contributed another $11,181.

And the Buffalo contracts:

U.S. Attorney Preet Bharara is probing the process by which three developers who are Gov. Cuomo donors came to get the bulk of a billion dollars in state contracts to develop major projects in Buffalo. Federal prosecutors have subpoenaed the State University of New York Polytechnic Institute, the president of which, Alain Kaloyeros, oversees the Buffalo Billion program. The program is supposed to generate thousands of upstate jobs through the tech, clean-energy, and pharmaceutical facilities the Cuomo cronies were tapped to build with $855 million in taxpayer money.

Pressed earlier this summer by a reporter for Buffalo's Investigative Post who was seeking details of the bidding process and faced illegal stonewalling across multiple state agencies and state-run nonprofits, Kaloyeros said, "We are not political operatives nor do we respond to perceived threats and terrorism." That "terrorism" apparently consisted of repeated phone calls, emails, and Freedom of Information Law requests.

Still, little is known about the selection process. What is clear, according to the Investigative Post, is that developer McGuire Development scored the $55 million contract to renovate skyscrapers in Buffalo to accommodate IBM, then three months later, donated $25,000 to Cuomo's campaign. The firm LP Ciminelli scored a heftier $750 million contract to build a solar-panel factory. Its president, Louis Ciminelli, is one of Cuomo's biggest donors in the region, having contributed $96,500 to the governor's two campaigns. Until competitors balked, the request for bids was written with the requirement that bidders have 50 years experience working in Buffalo, which only LP Ciminelli did. That company and Ciminelli Real Estate, run by Louis Ciminelli's brother, won the $50 million contract to build drug research space at a Buffalo medical campus. Paul Ciminelli's $10,500 to Cuomo and $5,000 to Lt. Gov. Kathy Hochul cannot have hurt.

And the Syracuse contracts:

SYRACUSE, N.Y. -- COR Development, the politically connected company developing the state's nanotechnology hub in DeWitt and Syracuse's Inner Harbor, gave Gov. Andrew Cuomo $50,000 in the past six months, making them Cuomo's top donor in Central New York.
Cuomo has $16 million in his campaign account, according to a campaign finance report he filed Friday.
Cuomo received $25,000 last week, on Jan. 12, from a COR Development subsidiary, Clay South Development Co., and four COR executives, including President Steven Aiello, Executive Vice Presidents Joe Girardi and Paul Joynt, and Julie Aiello, the wife of Executive Vice President Jeffrey Aiello.
That came on top of $25,000 that COR Route 31 Co. LLC gave to Cuomo on Aug. 24.
COR has been the governor's biggest contributor from the Syracuse region since Cuomo was elected governor in 2010, giving him more than $300,000.
The company has received contracts from the state for numerous projects under Cuomo. COR built a $15 million film hub for New York state in 2015 on land it owns in DeWitt. Cuomo announced COR would also build a $90 million facility for Soraa, an LED lighting manufacturer at the same nanotechnology hub.

And the timing of the donations?

Often coordinated:


COR Development, its subsidiaries, four partners and their wives are among the largest Cuomo donors in Central New York. They have given a combined $337,500 to Cuomo's election campaigns between October 2010 and January 2016.

Partners and family members write checks to the governor's campaign for as much as $25,000, sometimes on the same day, records show. A statewide candidate can accept up to $44,000 per individual for the four-year election cycle. An individual donor is limited to $150,000 in combined contributions to all candidates in a calendar year, according to the NYS Board of Elections.

A clear pattern - RFP's rigged so that only one or two contractors can win them, proposals submitted by the contractors, donations sent to Cuomo concurrent to the proposals, contracts doled out to the donors.

Now whether Bharara is able to tie Cuomo to this, make a criminal case out of it and take him out in handcuffs is another matter.

But the pattern throughout is quite clear - it's pay-to-play all the way with Andrew Cuomo.


Friday, June 10, 2016

Note To Preet Bharara: Discrimination And Retaliation Is The Official Policy Of The NYCDOE

From the NY Times:

The federal government accused the New York City Department of Education in a lawsuit on Thursday of engaging in a pattern and practice of discrimination against the three black teachers who worked at the Pan American International High School in Queens.

The lawsuit, filed by the office of Preet Bharara, the United States attorney for the Southern District of New York, made it clear that the government believed that the school’s principal, Minerva Zanca, had targeted the three teachers with the goal of having them removed from their jobs.

Ms. Zanca once told the school’s assistant principal, Anthony Riccardo, that one of the black teachers “looked like a gorilla in a sweater,” and that she could never have “nappy hair” like another of the teachers, the lawsuit said.

The lawsuit also claims that Ms. Zanca retaliated against Mr. Riccardo for his complaints about her treatment of the black teachers. Once, when he refused to give an unsatisfactory rating to a lesson by one of the teachers, Ms. Zanca yelled at Mr. Riccardo, accusing him of “sabotaging her plan,” and calling school security to have him removed from the building, the lawsuit says.

The Pan American school, on 94th Street in Elmhurst, says on its website that it serves “374 recently immigrated English language learners from Latin America.” The lawsuit says that during the 2012-13 school year, when it says the discrimination occurred, the school had a total of 27 teachers. Three of the teachers were black, the suit notes.

Mr. Bharara, in a statement, said, “It is nearly unthinkable that, in this day and age, one of the largest and most diverse school districts in the United States would allow racial discrimination and retaliation to flourish.”

At schools all over the city, principals and assistant principals are going into observations with pre-conceived notions of who will be given negative ratings and who will be given positive ratings.

This is the official policy of the Bill de Blasio/Carmen Farina DOE (though the discrimination detailed above took place under the Bloomberg/Walcott DOE.)

The NYCDOE is telling school administrators that there are a certain number of "ineffective" and "developing" ratings that each school must have and that it will be held against a principal if a school does not comply with that directive.

Any principal or assistant principal not on board with the increased "ineffective/developing ratings" plan is retaliated against - either by the DOE (if the person not on board with the policy is a principal) or by a higher school administrator (if the person not on board with the policy is an assistant principal but the principal at the school is on board.)

What happened at the Pan American International High School is particularly egregious because of the vile racism attached to the pre-decided negative ratings.

But the truth is, this same kind of thing is happening across the city to other teachers, based perhaps not on blatant racism, but on other criteria that have nothing to do with teaching effectiveness.

Sometimes it's based on more subtle racism, sometimes it's based on ageism, sometimes it's based on cronyism, sometimes it's based on "Well, we have to throw somebody under the bus because that's what the DOE wants - who should that be this time?"

The UFT has done nothing to protect its members against the egregious assaults being waged by the de Blasio/Farina DOE because they've been brought in by the mayor to co-manage the system.

Despite the silence of the UFT in these matters, a terrible war against teachers goes on in schools, with the Danielson drive-bys as the weapon of choice for knocking people off.

I once hoped that things would get better in NYC schools once Bloomberg was gone, tried to take Carmen Farina at her word when she said she wanted to bring joy back to school.

But quite frankly, things are worse now than under Bloomberg because the UFT leadership is completely complicit in the insanity being waged out of Tweed, turning their eyes from the increased "developing" and "ineffective" ratings and ignoring the stories from rank and file about how bad it has gotten in individual schools.

The New York City school system is rife with FEAR these days, and while the Pan American International High School case occurred during the Bloomberg Years, much the same is happening now in the de Blasio Years, perhaps not as blatantly racist, but no less as discriminatory or retaliatory.

Any system that runs with a quota for how many negative ratings must be given is discriminatory and retaliatory - and that's exactly what we have under de Blasio and Farina.

Preet Bharara should dig deeper into the way the NYCDOE operates and he'll find patterns of discrimination and retaliation throughout the school system.

Monday, June 6, 2016

Cuomo Blames Regents For Problems He Caused

Cuomo's just throwing everybody under the bus these days - this time it's the Board of Regents (following on his former aides, Percoco and Howe, and SUNY Poly head Alain Kaloyeros, all of whom are under federal investigation for corruption):

HIGHLAND - Gov. Andrew Cuomo had harsh words Monday for the Board of Regents as the state science tests wrapped up.
Many parents across the state are continuing to refuse to let their children take the Common Core-based tests.
"The problem is the state Education Department, which is the the Board of Regents," said Cuomo, who was in the mid-Hudson for an event at the Walkway Over the Hudson.
"It did a terrible job in implementing Common Core," Cuomo said. "Now, state Education Department people say, 'Well, that's you, governor, you're the state.' Actually, no. I have no role in selecting the Board of Regents," he added, noting that the Regents are elected by the state Assembly. 
... 
Cuomo said the 17-member Board of Regents must "change their perspective and their level of competence." 
"They lost the faith and trust of the parents of this state, and they're going to have to remedy that," said Cuomo. 
"It's not that the parents are irrational. The parents are rational. The system was implemented poorly and it did a lot of harm," he added.

A big part of the reason parents have lost "faith and trust" in the system is because of the education policies Cuomo has pushed - including the draconian education law that made test scores 50% of a teacher's evaluation.

Cuomo likes to make as if he has no power over education, but he's used his budgetary powers numerous times as governor to impose his own desires on the education system, whether it be tying teachers to 50% of their students' test scores or forcing New York City to pick up the tab for charter school rents.

This is just another example of Cuomo causing problems, then trying to pass the blame off elsewhere.

Are the Board of Regents to blame for some of this mess?

Absolutely - the Merryl Tisch Board of Regents certainly was to blame.

Same goes for the David Steiner and John King NYSED.

But Cuomo's got lots of blame for this mess too - and parents around this state know this.

Just witness his polling on education - it's in the toilet, along with the rest of his administration.

Preet Bharara can't cart this criminal out fast enough.

Come on, Preet - when's Preetmas?

Cuomo Administration, Reeling From Federal Probe, Touts "List Of Successes"

Ken Lovett in the Daily News:

Trying to divert attention from a federal probe into his administration, Cuomo's state agencies have been asked to put together lists of their successes that can be touted publicly, sources said.

On top of that, state Operations Director James Malatras has twice convened staff in recent weeks to urge them to keep focus on their work, the insiders said.

"He said that the best way to get out from the cloud over us is to just work hard," said one source. 
"You don't know what's going to happen here and you just can't wait. The tendency when things are going like this is to withdraw. He said you have to do the job and have to work harder now."

A Cuomo aide called it "routine" for agencies to highlight the work they've done and for the director of state operations to meet with staff.

The diversionary tactics may work with the public (as a recent Siena poll suggests), but they will not work with the feds investigating Cuomo's administration.

So, good luck with that list, Jim.

Some of the Cuomo boys can take it with them when they go to prison.

Friday, June 3, 2016

Cuomo: Ignore All The Subpoenas, I'm Not Under Investigation

Tom Precious in the Buffalo News:

Gov. Andrew M. Cuomo insisted again Thursday the federal probe of his administration is limited to just “several” individuals, though he acknowledged his information about the extent of the investigation is not based on information received from the office of U.S. Attorney Preet Bharara.
Cuomo officials have sought to portray the investigation as centered chiefly on Joseph Percoco and Todd Howe, two individuals who worked for years under Cuomo and whom he relied upon for everything from political assistance to advance work for events.

At an event Thursday morning in Springville, the governor was asked why he continues to insist that Percoco and Howe are the investigation’s subjects when prosecutors issued so many subpoenas and requests for information to various state agencies, state officials and at least a couple of dozen individuals and companies in various private sectors.

Has Bharara signaled that the investigation of the Buffalo Billion program is not a sweeping one but is looking chiefly at Percoco and Howe?

“No, but I was the former AG (attorney general), I’m a former prosecutor. Just because someone is … asked questions doesn’t mean they are the subject of an investigation, right? So you talk to hundreds of people when you are looking into something because you want to find out the facts. That doesn’t mean hundreds of people are involved. As far as I know, the actions of several individuals are the basis of the inquiry.”

Here's Yancey Roy's report on just what Bharara is looking at in the federal investigation into the Cuomo administration:


ALBANY — The federal probe of New York development initiatives is broader than the Buffalo Billion projects, the highest-profile piece of Gov. Andrew M. Cuomo’s upstate economic strategy.

Investigators have subpoenaed the governor’s office for records of communications with about 20 companies, a source confirmed, that were involved in projects in Buffalo as well as in Syracuse, Albany and the Hudson Valley. They’ve sought communications from high-ranking Cuomo officials, including Bill Mulrow, the governor’s secretary and top adviser; Jim Malatras, the director of state operations; and Gil Quinones, head of the New York Power Authority, the source said.

Beyond the governor’s office, investigators have subpoenaed agencies that regulate solar power and implement solar initiatives, the State University of New York Polytechnic Institute, which has been the guiding force in a number of state-backed high-tech ventures, and Empire State Development Corp., the state’s economic-development arm.

The named companies have been engaged in ventures ranging from a major solar-panel factory in Buffalo to a film hub in Syracuse to a dormitory in Albany to a power plant in Orange County. They also touch on a proposed “inland port” and redeveloping an old NYNEX building in Syracuse and loft apartments in Albany.

The companies, according to a source and to companies that have acknowledged separate subpoenas, include: six full-service development and real estate companies, three real estate firms, three engineering/architecture firms, two manufacturers, two lobbying firms, a power-plant company, a construction firm and a cellphone tower/communications company.

And the companies:


Cuomo's current top aides, Cuomo's former top aides, Cuomo associates, Cuomo donors - all subpoenaed in this investigation.

In addition, the feds appear to be looking at the way contract proposals were getting written up so that only Cuomo donors could win them

But Cuomo says it's just limited to Percoco and Howe.

You keep telling yourself that, Governor.

Maybe you'll come to believe it.

Doubtful the feds will, however.

Thursday, June 2, 2016

Corrupt Lobbyist Was Member Of Cuomo's "Team"

That corrupt lobbyist that Andrew Cuomo claims he doesn't know much about even though he was the hand model for Mario's portrait?

Turns out he's on Andrew's "team":

In the weeks since lobbyist Todd Howe emerged as a focus of federal and state investigations into New York Gov. Andrew Cuomo's economic-development efforts, the governor has sought to distance himself from Mr. Howe and ordered the state to cut all ties with him.

Emails reviewed by The Wall Street Journal and interviews with people close to the administration indicate that, for years, Mr. Howe was in touch with Mr. Cuomo’s trusted circle, a status that gave him a central place behind the scenes with many of the people, institutions and projects that are now under scrutiny.

In an email from August illustrating how Mr. Howe held sway with the most important members in Mr. Cuomo’s orbit, Mr. Howe told one of the governor's top aides, Jim Malatras, that SUNY Polytechnic President Alain Kaloyeros “didn’t like it yesterday when I told him to get his ass over to the office and he was going to sign off on that statement you provided.”

“He’s on our team and he knows it,” Mr. Malatras replied to Mr. Howe after the two described shared frustrations with Mr. Kaloyeros. “He’s gotta…stop seeing enemies in our camp. There are none.”

More:

Emails exchanged among Mr. Howe, members of the Cuomo administration, SUNY Polytechnic officials and employees of Whiteman Osterman & Hanna, a prominent Albany law firm that represented SUNY Polytechnic, show Mr. Howe served as a vital line between the governor’s office and people involved in projects tied to SUNY.

Mr. Howe was head of the law firm’s now-closed lobbying arm and served as a consultant for SUNY Polytechnic.

In one March 2014 email exchange reviewed by the Journal, Mr. Howe appeared to joke with a Cuomo administration official about his role as a “minder” dispatched by the governor’s office to keep tabs on Mr. Kaloyeros and SUNY Polytechnic.

On SUNY Polytechnic matters, Mr. Howe also emailed and met with Andrew Kennedy, deputy director of state operations for policy, and Peter Cutler, a former spokesman for Empire State Development, the state’s economic development agency, according to emails and interviews. Mr. Cutler has said he was subpoenaed in the federal investigation. Messrs. Kennedy and Cutler didn’t respond to requests for comment.

And:
In the August email exchange about Mr. Kaloyeros, Mr. Malatras told Mr. Howe, “I don’t like the governor being disrespected.”

“Agree,” Mr. Howe wrote. “Not to reward bad behavior but you should think of something for him to do that builds him back up after this episode and boxes him in. Trust me I agree with you 100% but if this guy goes under [during] our watch we’ll get killed.”

For a guy Cuomo doesn't know much about, Howe sure was around in a lot of the office communications, wasn't he?

Howe's "office" at SUNY Polytechnic was raided by investigators last week - you can bet they're looking very closely at the connections between Howe, Alain Kaloyeros, Jim Malatras, Andrew Kennedy, Peter Cutler and the rest of Governor Andrew Cuomo's "team" too.

Friday, May 27, 2016

SUNY Office Raided, Net Closes In On Cuomo Cronies


From the NY Times:

ALBANY — Agents from the state attorney general’s office conducted a search at the State University of New York Polytechnic Institute here on Thursday, scouring an office once used by a lobbyist as part of an inquiry into possible bid rigging.

Agents arrived with search warrants and looked through an office used by Todd R. Howe, who has past ties to Gov. Andrew M. Cuomo, a Democrat. Mr. Howe had worked as the president of the lobbying arm of Whiteman Osterman & Hanna, a prominent Albany law firm which had SUNY Polytechnic as a client. Agents also served a warrant to examine communications from Alain E. Kaloyeros, the school’s president.

Mr. Howe and Mr. Kaloyeros have recently emerged as central players in a multipronged federal investigation led by the United States attorney for the Southern District of New York, Preet Bharara, surrounding the Buffalo Billion, the governor’s signature upstate economic initiative. Mr. Howe was fired from Whiteman after news of the federal investigation broke last month.

The search — conducted by several agents, who looked into electronic files and removed at least two boxes of material — focused in part on a plan to build a dormitory near the university’s sleek campus. But according to an official with knowledge of the investigation, agents were also looking into other projects connected with SUNY Polytechnic, as well as several developers who had worked with the school.

They're looking at bid-rigging - that the proposal for a dormitory project was written up in such a way that only a Cuomo donor (Columbia Development, $195,000 to Cuomo since August 2013) could win it.

This would follow what appears to be an emerging pattern of rigging proposals for Cuomo donors, as happened with LP Ciminelli in the Buffalo Billion Project or NAH for a proposed for-profit charter school that got backdated under older rules that still allowed for for-profit charters.

Investigators are also looking at the relationship between Cuomo administration officials and COR Development, which gave the governor $325,000 through various individuals and entities and received $100 million in state contracts.

Something similar is happening with Cuomo's vaunted LaGuardia Airport redo, where Cuomo donors stand to do very well in plans set forth by the Cuomo administration, though there's no indication that investigators are looking at that - yet, at any rate.

Yesterday's raid suggests former Cuomo aide/Cuomo hand model Todd Howe is done for - it's only a matter of time before he's picked up and squeezed by the feds.

And since he acted as a "de facto chief of staff" to SUNY Poly guy Alain Kaloyeros and the feds are looking at Kaloyeros too, well, you'd have to think it's only a matter of time before the highest paid state employee gets picked up too.

Cuomo threw Howe and Kaloyeros under the bus this week, along with former aide/confidante Joe Percoco, saying that the the investigation was really limited to those individuals, but with news that the investigations by the U.S. attorney and the attorney general continue to widen (see here, here and here), that appears not to be the case.

There is still no evidence that this will reach as high as Cuomo, but here's the thing that should give some hope on that.

There's one string that links all of this disparate strands together and it is this: Cuomo donors gave money to Cuomo and got state contracts, grants, subsidies and/or other help in return.

This happened not once or twice but seemingly over and over and over.

Maybe Cuomo's got a firewall between himself and the rest of his cronies pulling these shenanigans, but he'd better hope it's a very strong firewall.

Because the authorities are looking not just at some corrupt individuals in basically a good system - they're looking at some corrupt individuals operating in a just-as-corrupt system.

And no pol has taken advantage of that system more than Cuomo, who had a huge war chest for his last re-election and even now is sitting on $16 million raised from dubious sources.

Tuesday, May 24, 2016

How Many Clinton Cronies Under Investigation?

Let's see, Hillary herself is the subject of an investigation into her use of a private email account when she was secretary of state, her two New York buddies, Bill de Blasio and Andrew Cuomo, are undergoing various investigations and now this:

Washington (CNN)Virginia Democratic Gov. Terry McAuliffe is the subject of an ongoing investigation by the FBI and prosecutors from the Justice Department's public integrity unit, U.S. officials briefed on the probe say.

The investigation dates to at least last year and has focused, at least in part, on whether donations to his gubernatorial campaign violated the law, the officials said.
 
McAuliffe wasn't notified by investigators that he is a target of the probe, according to the officials. 
"The Governor will certainly cooperate with the government if he is contacted about it," said Marc Elias, attorney for McAuliffe campaign, in a statement to CNN.
 
As part of the probe, the officials said, investigators have scrutinized McAuliffe's time as a board member of the Clinton Global Initiative, a vehicle of the charitable foundation set up by former President Bill Clinton. 
 
 There's no allegation that the foundation did anything improper; the probe has focused on McAuliffe and the electoral campaign donations, the officials said.

Another day, another investigation into a Clintonista.

Saturday, May 21, 2016

Cuomo Caught In Photo With Lobbyist He Barely Knows


Governor Andrew Cuomo claims he barely knows Todd Howe, the lobbyist and former aide at the center of a federal investigation into corruption in Cuomo's economic development programs statewide.

And yet, there is Cuomo, along with lobbyist Todd Howe, back in 2012, at a function in Syracuse involving one of the companies that has been subpoenaed by the feds in the investigation, COR Development.

Also in the photo is Cuomo's former aide, Joe Percoco, also at the center of the federal investigation.

In case you're having trouble seeing, here's a close-up:



That's Howe on the right, Percoco on the left - like twin devils, exerting their corrupting influence on the good governor.

Or, more likely, the fish rots from the head and the corruption emanates from Cuomo, who surrounds himself with people who think and act like the rules don't apply to them because Cuomo himself thinks and acts like the rules doesn't apply to him.

Tim Knause of Syracuse.com found this photo and gives context for it all here:

SYRACUSE, N.Y. -- A smiling Todd Howe was photographed, standing in the background, as Gov. Andrew Cuomo enthusiastically shook hands with the president of COR Development Co. during an October 2012 visit to Syracuse.
...
The picture captures the role that Howe has apparently been playing for years in Syracuse economic development projects. Since the federal probe became publicly known, Howe's image has emerged as an affable guy to see for help in getting state funding or access to Albany power.
In the foreground of the 2012 photo, Cuomo shakes hands with Steven Aiello, president of COR, a Fayetteville company. COR is one of more than 20 companies about which Bharara has subpoenaed information from the Cuomo administration, according to reports.

...

The photograph, which comes from a public archive on Syracuse University's website, was taken Oct. 2, 2012, during the governor's tour of projects promoted by the Central New York Regional Economic Development Council. The council makes annual funding recommendations to the governor.

It's not clear why Howe was at the event. He is not among the 24 invited guests listed on the governor's official schedule.

Cuomo arrived that morning at Syracuse University in a state police helicopter, accompanied by Percoco and another aide, according to his official schedule. From there, they went to nearby Kennedy Square to begin the tour.

Cuomo stopped at the CNY Biotech Accelerator, the only new building at the former Kennedy Square public housing site. The biotech business incubator is a joint project of Upstate Medical University and SUNY College of Environmental Science and Forestry.

Neil Murphy, then president of ESF, recalls giving Cuomo a tour of the building that day. In the photo, Murphy and David Smith, then president of Upstate Medical, are looking on as Cuomo and Aiello shake hands.

Murphy said he did not yet know Howe in 2012 and does not know why he was at the event. Murphy said he first met Howe in 2014, when college officials met with COR to discuss plans for a $20 million state research facility to be built at the Syracuse Inner Harbor, where COR is the developer. Howe was a consultant to COR at that time, Murphy said.

Howe's association with COR's Inner Harbor project dates back at least to April 2012, when Howe accompanied COR to a meeting with officials of the state Thruway Authority, which then owned the harbor lands to be developed.
...

After touring the Biotech Accelerator building, Cuomo and other officials got a briefing on COR's plans to develop Kennedy Square. (Those plans have yet to be acted on.) Then they boarded a bus to tour other project sites, including St. Joseph's Hospital and the Inner Harbor.

For years, Howe was sought after by Syracuse developers and others looking for state money or access to the Cuomo administration.

Last year, Howe represented two successive developers, the Pemco Group and Carnegie Management, who were angling for a $2.5 million state grant to renovate the former Nynex Building in Syracuse. Bharara has subpoenaed Cuomo's records related to both companies, the Buffalo News reported. Company officials have not responded to requests for comment.

Howe also represented 3Gi CNYIP Inc., a company that is trying to develop a cargo transportation hub in Manlius. 3Gi was included in Bharara's subpoena to the governor's office, the Buffalo News reported. Company leader Eckhardt Beck said he was not happy with Howe's work for his company, but does not think Howe did anything improper while representing 3Gi.

The Wall Street Journal reported that Bharara is looking at whether Percoco received illegitimate outside income from companies doing business with the state, including COR. On a state disclosure form, Percoco reported between $50,000 and $75,000 in payments from COR during 2014, a year during which he left Cuomo's administration to run his re-election campaign. COR officials have repeatedly denied paying Percoco.

For more on the players in the federal investigation into Cuomo's economic development programs, contracting, donors and former aides and associates, see this handy guide at Syracuse.com.

On, and that photo of Cuomo, Percoco and Howe?

That wouldn't be the first time they were all together in recent years.

As Jimmy Vielkind reported, Howe "hosted" a fundraiser for Cuomo in December 2014 and guess who came with offerings for the Cuomo camapign?

That's right - COR Development execs:

ALBANY — While Gov. Andrew Cuomo has been downplaying his relationship with Todd Howe, a lobbyist at the center of a federal probe of his administration, records show that Howe was steering developers to contribute to the Cuomo campaign as recently as five months ago.

Howe, then a lobbyist for a subsidiary of Whiteman, Osterman & Hanna, hosted a dinner gathering with Cuomo on Dec. 14 in a small upstairs room of the Fort Orange Club, a baronial brick retreat across the street from Whiteman’s Albany offices and up the block from the state Capitol.

The governor walked in at 8:30 p.m., accompanied by two of his top aides, Bill Mulrow and Joe Percoco. He was met by Howe, who worked as his deputy chief of staff at the U.S. Department of Housing and Urban Development, executives from COR Development and Onondaga County Executive Joanie Mahoney, a key Republican ally of the administration, according to public records and four people familiar with the event.

The night’s $25,000 haul came in five checks from three COR executives, the wife of an executive and one of the company’s LLCs. They were deposited on Jan. 12. COR, a Syracuse-based firm, is building two research buildings for SUNY Polytechnic Institute at a business park the company owns in DeWitt.

While Howe’s work was only recently registered with state lobbying regulators, he was a paid adviser to both SUNY Poly and COR at the time of fundraiser. And Percoco, who has managed Cuomo’s political campaigns for more than a decade and shared an office with Howe during Cuomo's 2014 re-election effort, received at least $50,000 in consulting fees from COR that year — something Cuomo has said he did not know.

But that lobbyist under federal investigation for corruption?

Yeah, Cuomo doesn't know much about him or associate with him.