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| New York corruption scandal revives tradition of rotten Big Apple machine | New York corruption scandal revives tradition of rotten Big Apple machine |
| (4 months later) | |
| It sounded like a script from an episode of The Wire or a gritty cop movie. Certainly the setting – a restaurant in Manhattan – was one that Hollywood would have approved. | It sounded like a script from an episode of The Wire or a gritty cop movie. Certainly the setting – a restaurant in Manhattan – was one that Hollywood would have approved. |
| But as local Republican politician Daniel Halloran, a city councilman from Queens, explained how politics really worked in New York he spoke a blunt truth: money is everything. | But as local Republican politician Daniel Halloran, a city councilman from Queens, explained how politics really worked in New York he spoke a blunt truth: money is everything. |
| "It's all about how much. Not about whether or will, it's about how much and that's our politicians in New York. They're all like that," he explained to someone he thought he was working with on an alleged bribery scam. Then Halloran added: "You can't do anything without the fucking money." | "It's all about how much. Not about whether or will, it's about how much and that's our politicians in New York. They're all like that," he explained to someone he thought he was working with on an alleged bribery scam. Then Halloran added: "You can't do anything without the fucking money." |
| Unfortunately for Halloran, the person he was talking to was not co-operating with him, but in fact working for the FBI. Halloran was actually involved in an elaborate sting that was revealed this week and exposed a thick layer of corruption lurking below the gleam and glamour of a New York that now often prides itself on being well-run. | Unfortunately for Halloran, the person he was talking to was not co-operating with him, but in fact working for the FBI. Halloran was actually involved in an elaborate sting that was revealed this week and exposed a thick layer of corruption lurking below the gleam and glamour of a New York that now often prides itself on being well-run. |
| That was an impression reinforced later in the week when Democratic Bronx assemblyman Eric Stevenson was arrested and charged with offering to take bribes in exchange for writing new laws to suit the needs of businessmen. Again, secret recordings revealed the plain truth of how rotten the Big Apple can be. "We prepare the bill … you can write down the language, basically what you want," Stevenson had told his cohorts. | That was an impression reinforced later in the week when Democratic Bronx assemblyman Eric Stevenson was arrested and charged with offering to take bribes in exchange for writing new laws to suit the needs of businessmen. Again, secret recordings revealed the plain truth of how rotten the Big Apple can be. "We prepare the bill … you can write down the language, basically what you want," Stevenson had told his cohorts. |
| Stevenson's alleged sins, though, were straightforward. The scam that Halloran is accused of hatching was far more complex, and resonant of the famous Tammany Hall machine politics that became a byword for corruption in the 19th century. It involved Democratic state senator Malcolm Smith, who wished to jump party lines and run for New York mayor as a Republican, replacing the current billionaire incumbent Mike Bloomberg. But in order to do so, Smith had to get the permission of local Republican party bosses in New York's five boroughs and – according to Halloran – that involved coughing up large amounts of cash. | Stevenson's alleged sins, though, were straightforward. The scam that Halloran is accused of hatching was far more complex, and resonant of the famous Tammany Hall machine politics that became a byword for corruption in the 19th century. It involved Democratic state senator Malcolm Smith, who wished to jump party lines and run for New York mayor as a Republican, replacing the current billionaire incumbent Mike Bloomberg. But in order to do so, Smith had to get the permission of local Republican party bosses in New York's five boroughs and – according to Halloran – that involved coughing up large amounts of cash. |
| When the FBI finally made their bust, they charged Halloran, Smith and Joseph Savino, the president of the GOP in the Bronx, and Vincent Tabone, the vice president of the GOP in Queens. The scheme had also by then metastasised into a shady land deal that also dragged in officials from the suburban town of Spring Valley too. | When the FBI finally made their bust, they charged Halloran, Smith and Joseph Savino, the president of the GOP in the Bronx, and Vincent Tabone, the vice president of the GOP in Queens. The scheme had also by then metastasised into a shady land deal that also dragged in officials from the suburban town of Spring Valley too. |
| The scandal has cast a spotlight on the little-known world of Republican borough parties. In a city as heavily Democratic as New York, their memberships are tiny, leading some experts, such as veteran New York journalist Wayne Barrett, to call them "shell parties". Yet they have a valuable thing to sell: a chance at bagging the Republican spot for the mayor's race. "It is really a joke. They basically have zero members. Yet that Republican line on the ticket matters. They have a powerful commodity to sell," Barrett said. | The scandal has cast a spotlight on the little-known world of Republican borough parties. In a city as heavily Democratic as New York, their memberships are tiny, leading some experts, such as veteran New York journalist Wayne Barrett, to call them "shell parties". Yet they have a valuable thing to sell: a chance at bagging the Republican spot for the mayor's race. "It is really a joke. They basically have zero members. Yet that Republican line on the ticket matters. They have a powerful commodity to sell," Barrett said. |
| For someone outside the GOP – such as Smith or indeed Bloomberg in 2009 – a wannabe Republican mayoral candidate has to get something known as a "Wilson-Pacula". Named after a law passed in 1947, and aimed at stopping communist-linked activists from hijacking party tickets, the measure banned jumping party lines – except in cases where top party bosses expressly allowed it. | For someone outside the GOP – such as Smith or indeed Bloomberg in 2009 – a wannabe Republican mayoral candidate has to get something known as a "Wilson-Pacula". Named after a law passed in 1947, and aimed at stopping communist-linked activists from hijacking party tickets, the measure banned jumping party lines – except in cases where top party bosses expressly allowed it. |
| Thus Bloomberg in 2009 had to get a Wilson-Pacula from Republican party officials to run on the GOP line, because he was then a registered independent. He duly did so – at the same time generously contributing to the borough GOP's party coffers. In fact, since 2009 Bloomberg has donated some $800,000 to the five GOP borough parties. Smith's mistake, it is alleged in court papers, was to swap such legal party contributions for outright bribes. | Thus Bloomberg in 2009 had to get a Wilson-Pacula from Republican party officials to run on the GOP line, because he was then a registered independent. He duly did so – at the same time generously contributing to the borough GOP's party coffers. In fact, since 2009 Bloomberg has donated some $800,000 to the five GOP borough parties. Smith's mistake, it is alleged in court papers, was to swap such legal party contributions for outright bribes. |
| But either way it has given a jolt in the arm for campaigning groups desperate to lessen the power of big money in New York city and New York state politics – whether from mega-rich businessman donators like Bloomberg or from small-time crooked politicians. Fair Elections for New York is a group pressing hard for the state to pass a comprehensive election reform bill, including public financing of elections, that will aim to dilute the impact of outside money. FENY director David Donnelly said the scandal surrounding Smith's attempt to run for mayor would help galvanise public support. "Maybe this crisis will help fuel things along," he said. "I have been in this work for 15 years and you have to be optimistic." | But either way it has given a jolt in the arm for campaigning groups desperate to lessen the power of big money in New York city and New York state politics – whether from mega-rich businessman donators like Bloomberg or from small-time crooked politicians. Fair Elections for New York is a group pressing hard for the state to pass a comprehensive election reform bill, including public financing of elections, that will aim to dilute the impact of outside money. FENY director David Donnelly said the scandal surrounding Smith's attempt to run for mayor would help galvanise public support. "Maybe this crisis will help fuel things along," he said. "I have been in this work for 15 years and you have to be optimistic." |
| But New York's litany of corruption shame is in fact a long one. Though Bloomberg – freed from the attentions of lobbyists due to his private fortune – is widely regarded as running a very clean administration, the same cannot be said for the rest of New York politics at either city or the state level. There, it seems, corruption and money is so widespread it provokes as much amazed laughter as it does shock. It is also – unlike much else in politics – proudly bipartisan. | But New York's litany of corruption shame is in fact a long one. Though Bloomberg – freed from the attentions of lobbyists due to his private fortune – is widely regarded as running a very clean administration, the same cannot be said for the rest of New York politics at either city or the state level. There, it seems, corruption and money is so widespread it provokes as much amazed laughter as it does shock. It is also – unlike much else in politics – proudly bipartisan. |
| For example, Democratic Bronx councilman Larry Seabrook last year was convicted of corruption involving some $1.5m of city funds being steered into sham non-profits or friends and relatives. But what really hit home for many New Yorkers was a $7 receipt for a bagel and a Snapple that had been doctored to claim $177 worth of reimbursement. In court, Seabrook's lawyer brazenly explained: "Bagels can be expensive." | For example, Democratic Bronx councilman Larry Seabrook last year was convicted of corruption involving some $1.5m of city funds being steered into sham non-profits or friends and relatives. But what really hit home for many New Yorkers was a $7 receipt for a bagel and a Snapple that had been doctored to claim $177 worth of reimbursement. In court, Seabrook's lawyer brazenly explained: "Bagels can be expensive." |
| Or take the case of Brooklyn assemblyman William Boyland who was declared innocent of corruption charges in 2011 only to face a second trial alleging that he used bribes to raise money for his first legal defence. Or how about Congressman Michael Grimm, a Staten Island Republican, who is currently being investigated for abuses involving campaign contributions. Or Naomi Rivera, a Bronx Democrat, who faces multiple investigations reported in the local press as using a non-profit like "a personal piggy bank". | Or take the case of Brooklyn assemblyman William Boyland who was declared innocent of corruption charges in 2011 only to face a second trial alleging that he used bribes to raise money for his first legal defence. Or how about Congressman Michael Grimm, a Staten Island Republican, who is currently being investigated for abuses involving campaign contributions. Or Naomi Rivera, a Bronx Democrat, who faces multiple investigations reported in the local press as using a non-profit like "a personal piggy bank". |
| Josh Friedman, a long-time reporter turned Columbia University professor, summed it up with a degree of understatement not common to most New Yorkers. "You see this a lot at the local level," he said. But Preet Bharara, the top prosecutor behind the latest dramatic cases, was more brutal. "Every time a politician is arrested in New York it should not feel like Groundhog Day. And yet it does," he said. | Josh Friedman, a long-time reporter turned Columbia University professor, summed it up with a degree of understatement not common to most New Yorkers. "You see this a lot at the local level," he said. But Preet Bharara, the top prosecutor behind the latest dramatic cases, was more brutal. "Every time a politician is arrested in New York it should not feel like Groundhog Day. And yet it does," he said. |
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