Judge Convicted of Sexually Assaulting Autistic Man (MORE, CLICK HERE)

Judge Convicted of Sexually Assaulting Autistic Man
New York Lawyer - February 22, 2008

MENOMONIE, Wis. (AP) -- A former municipal judge has been found guilty of sexually assaulting an autistic man. According to a criminal complaint, Eugene E. Dunagan fondled the man and performed a sex act at his home in 2005. Dunagan, 71, who denied the charge, was convicted of second-degree sexual assault of a mentally deficient person. Circuit Judge Bill Stewart passed judgment Thursday after a one-and-a-half-day bench trial. He ordered a pre-sentence investigation. Sentencing was scheduled April 22.

After the verdict, Dunagan's bond was revoked and he was taken into custody. "I think justice was done," said Andrew Maki, assistant district attorney. Defense lawyer Phil Steans of Menomonie said he hadn't spoken with Dunagan about an appeal.

"Any time allegations such as these are made, it's a very difficult thing for a defendant just because of the nature of the allegations," Steans said. The victim was a now 24-year-old Colfax man who has high-functioning autism. Dunagan was elected Colfax municipal judge in 1984 and served for about 20 years. He also is a former Colfax teacher.

Federal Court Hearing Reveals Another Judge Bribed (MORE, CLICK HERE)

Judge denies motion to dismiss charges
The Oxford Eagle by Alyssa Schnugg, Staff Writer - February 21, 2008

A federal judge denied a motion Wednesday to dismiss the charges against three local attorneys charged with attempting to bribe a circuit court judge for a favorable ruling in a civil lawsuit.

U.S. District Judge Neal Biggers Jr. denied the motion filed by attorneys representing Richard “Dickie” Scruggs, his son, Zach, and attorney Sydney Backstrom. It claimed the indictments should be dismissed because the government acted outrageously in its attempt to “create the crime” the three men were charged with in November by leaving out exculpatory evidence from wire tap affidavits and pursuing the defendants “aggressively.”

Scruggs, his son and Backstrom are all charged with trying to bribe Circuit Court Judge Henry Lackey in an attempt to influence the outcome of a civil lawsuit filed against Scruggs last year.

Two other men, Timothy Balducci and his associate Steve Patterson, were also charged but have since pleaded guilty and are working with the government in its case against the other three.

Defense attorneys filed several motions last week, including the motion to dismiss. Hearings on those motions continued today at the Federal Courthouse in Oxford.

In denying the motion, Biggers said, according to state law, to have a motion dismissed on the grounds of government misconduct, it must be shown that the defendants only played a passive role in the alleged crime and that they wouldn’t have committed the crime if the government hadn’t acted.

Biggers said that even though the government played an active role, it does not “wipe out that there was an active participation in this crime” by the defendants.

Attorney John Keker, representing the elder Scruggs, spoke for all three defendants during the all-day hearing Wednesday. Keker asked Biggers to allow testimony from Balducci, Lackey and FBI agent William Delaney to prove the crime “was instigated through the government.”

Balducci takes stand

Biggers allowed Balducci to take the stand, and he was questioned by Keker and Assistant U.S. Attorney Robert Norman for more than an hour.

While on the stand, Balducci described Lackey as a long-time friend and mentor.

“He was someone I really looked up to,” Balducci told the court.

Balducci testified that during a meeting in March between all five men, talk of corruptly influencing the judge was first mentioned by Zach Scruggs, who asked Balducci to use his personal relationship with the judge to try to influence him for a favorable ruling in the lawsuit, Jones vs. Scruggs. The lawsuit was filed as part of a dispute over $26 million in legal fees from a settlement of Hurricane Katrina insurance lawsuits.

At the time, Balducci said, while the comments may have been “unethical,” he didn’t consider what he was going to do “illegal” at the time.

“I knew I risking my law degree,” he said.

Balducci said no discussion of money was made at that meeting.

Balducci contacted Lackey and asked to meet with him. After exchanging pleasantries, Balducci told Lackey that he would consider it a personal favor if Lackey would side with Scruggs and send the case to arbitration. At the end of the conversation, Balducci said he told Lackey he would consider it an honor if Lackey would join his new law firm in an “of counsel” position after he retired.

“I did not intend that as a bribe,” Balducci said. “In retrospect, I can see how he may have interpreted it that way.”

Lackey contacted the government about two weeks after the meeting, apparently unsure of Balducci’s intention but suspicious enough to alert authorities. Lackey withheld ruling on the arbitration motion for almost six months. In September, during another conversation with Balducci, Lackey said he was having financial problems and wanted $40,000 for his ruling for arbitration. Balducci told Lackey he was sure that could be arranged.

Another judge bribed?

Norman asked Balducci if there was something that led him to believe he would be able to secure the $40,000 from Scruggs.

Balducci: “I was privy to conversations on another matter when Scruggs bribed another judge to solve another matter.”

In cross examination by Keker, Balducci testified that Scruggs had tried to use former Sen. Trent Lott to influence rulings made by Hinds County Circuit Judge Bobby DeLaughter in another dispute involving legal fees. DeLaughter has denied any wrongdoing and has not been charged.

Keker: “Who was the judge?”

Balducci: “Judge DeLaughter”

Keker: “Who was he bribed by?”

Balducci: “Dickie Scruggs”

Keker: “How was he bribed?”

Balducci: “Scruggs offered the influence of his brother-in-law (Trent) Lott to put him on the list for consideration for a federal appointment.”

Keker accused the government of “hounding” Balducci throughout the summer, even after months went by with no “offers” made by Balducci.

Later in the day, Delaney took the stand during a hearing to suppress the evidence gathered from wiretaps and affidavits. Keker questioned why he left certain comments from the conversations — that Keker claims is exculpatory for his client — out of his affidavits for the wire taps. Delaney answered most of the questions by saying he simply felt the information wasn’t relative or that other information used in the affidavits was more pertinent to the case.

Biggers reserved ruling on the motion to suppress the evidence and asked each side to submit a list of the omitted and false statements so that he could see that if they were included in the affidavits originally. He asked both sides to prepare case law and arguments and submit them by Monday as well.

More Selective Action by The Commission on Judicial Conduct (MORE, CLICK HERE)

Commission says Jung violated litigants' rights
The Daily Gazette By Jim McGuire - February 20, 2008
Panel orders judge's removal

Judge David Jung

JOHNSTOWN — The state Commission on Judicial Conduct on Tuesday ordered the removal of the Fulton County judge for violating the rights of five people he sent to jail in 2005, labeling his actions as "serious misconduct."

The commission's ruling was sharply critical of Judge David F. Jung's decisions to send people to jail for contempt when they were not present, or not represented by an attorney, or both. "In considering the appropriate sanction," the commission decision said, "we note that as a consequence of [Jung's] disregard of fundamental rights, five litigants were sentenced to significant terms of incarceration, and the record indicates that at least three of those litigants served several months in jail on the unlawful sentence he imposed."

The panel said Jung's "continued insistence that his actions were consistent with law and his insensitivity to the overriding importance of protecting the rights of litigants    as shown by his record, strongly suggest that if he is allowed to continue on the bench we may expect more of the same." To leave Jung in office, the decision said, "would continue to place the rights of litigants in serious jeopardy." A staff member in Jung's office referred a reporter to Jung's attorney, Vincent Capasso Jr. of Schenectady. Capasso was unavailable for comment Tuesday, a receptionist in his office said.

Commission Administrator Robert Tembeckjian said Jung will have 30 days in which to file a notice of appeal in the case. If he takes that option, Tembeckjian said, the state Court of Appeals would allow a month for each side to file briefs. With oral arguments to follow, a final decision could be delayed until June. While Jung could remain on the bench during that time period, Tembeckjian said, the commission uses its option in some cases to suspend a judge pending the appeal.

Jung's troubles began in 2005 when lawyers representing four of the people sent to jail filed appeals in state Supreme Court. Judge Richard T. Aulisi released the first two people after finding that Jung's actions violated their constitutional rights. Soon after, Judge Joseph M. Sise released two other people on the same grounds. Jung appealed Aulisi's decisions to the Appellate Division of state Supreme Court and lost. The Court of Appeals refused to hear his case.

Meanwhile, at least two lawyers involved in those cases filed complaints with the commission. Amsterdam lawyer Elmer Robert Keach III, who represented two of the people, declined comment Tuesday. James T. Murphy of Legal Services of Central New York, the lawyer who filed the first two petitions, was unavailable Tuesday for comment. While the four appeals were publicized, the commission's decision reveals there was a fifth case involving Jung in which a woman was refused an attorney and then sentenced to 90 days in jail for failing to pay child support.

"In five cases," the commission said, "[Jung] deprived litigants in Family Court proceedings of fundamental constitutional and statutory rights, including significantly, the right to be heard and the right to be represented by counsel, while depriving them of liberty and, in three cases, their parental rights. [Jung's] handling of these matters was patently lacking in fundamental fairness and showed a profound disregard for the rule of law and for the basic rights of the individuals before him. Such a systematic disregard of basic legal requirements constitutes serious misconduct," the decision said. The commission was also critical that in three cases Jung conducted hearings for litigants who were absent because they were in custody or jail and the court issued no orders to have them produced.

"[Jung] took no action to determine whether the parties had voluntarily waived their right to be present and to be heard when their parental rights were being litigated," the commission found. In several instances, those sentenced by Jung spent months in jail. The possible removal of Jung would create a vacancy to be filled by gubernatorial appointment. Gov. Eliot Spitzer is a Democrat and almost all the lawyers in Fulton County are Republicans.

Those interested would have to apply to Spitzer. To keep the job, the appointee would then have to run in the next election. Fulton County Republican Chairman Dexter Risedorph said a possible succession has not yet been discussed. Political observers in the county have mentioned the names of Edward Skoda and Arthur C. Spring — both of whom lost a close three-way race for county court judge in 2001. Judge Polly A. Hoye won the Republican primary in that race by fewer than 50 votes.

When Jung ran for his last term, he defeated Russell P. Martin in the party primary. Current District Attorney Louise K. Sira has also been mentioned as a possible candidate.

Federal Judge Keeps Judicial Bribery Case Alive (MORE, CLICK HERE)

Judge declines to dismiss indictment of high-profile Miss. attorney in judicial bribery case
The Associated Press - Wednesday, February 20, 2008
OXFORD, Miss.: A federal judge on Wednesday declined to dismiss an indictment in a judicial bribery case against powerful attorney Richard "Dickie" Scruggs and two others.

Scruggs, his son Zach and law partner Sidney Backstrom are accused of trying to bribe a judge to get a favorable ruling in a dispute over $26.5 million in legal fees from a mass settlement of Hurricane Katrina insurance lawsuits. U.S. District Judge Neal Biggers Jr. ruled that there is enough evidence against the three for the case to go to trial. They have pleaded not guilty to counts including wire fraud and defrauding the federal government. A trial is set to begin March 31.

Richard Scruggs, who made hundreds of millions of dollars from taking on tobacco, asbestos and insurance companies, could get 75 years in prison if convicted. Three other defendants have pleaded guilty in the case: attorney Timothy Balducci; Richard Scruggs' former defense attorney Joey Langston; and former state Auditor Steve Paterson, a former business partner of Balducci's.

Biggers heard testimony from Balducci, who prosecutors say was the one who approached Circuit Judge Henry Lackey with a "bribe overture" last year. The judge reported the attempt and worked undercover for the FBI. Balducci allegedly delivered $40,000 to the judge in three installments between September and November. Richard Scruggs, Zach Scruggs and Backstrom say Balducci acted alone.

On the stand Wednesday, Balducci said Zach Scruggs suggested that Balducci have an off-the-record conversation with Lackey and persuade him to rule in their favor. After that discussion, Balducci said he met with Lackey on March 28. On Tuesday, federal prosecutors filed with the court transcripts from some wiretaps to support their case.

The transcripts appear to contain conversations secretly recorded by Balducci in which Richard Scruggs and others discuss the wording they want in Lackey's order in the fee dispute case. Balducci said it wasn't until September — after Lackey contacted the U.S. attorney's office in Mississippi and began taping conversations for the FBI — that Lackey brought up the idea of a payoff.

"We talked about the case," Balducci said. "We talked about the fact that he said he was in a position he had gotten himself into. He'd created a hump that he needed to get over and gotten himself into a fix that he needed $40,000 to get out of. I told him I thought Mr. Scruggs would give him the $40,000 to rule in his favor."

He said Scruggs later agreed to the bribe and guaranteed he would reimburse Balducci. Balducci also testified that Scruggs had tried to use former Sen. Trent Lott — Scruggs' brother-in-law — to influence rulings in another dispute involving legal fees. Hinds County Circuit Judge Bobby DeLaughter "was offered the influence of Mr. Scruggs' brother-in-law, who was Sen. Trent Lott, to put him on a list to be considered" for a federal vacancy, Balducci testified.

Lott's former chief of staff, Brett Boyles, has said Lott called the judge about a vacancy in the federal court system, but that it was among many courtesy calls he made and that he recommended someone else for the job. Boyles, contacted again after Balducci's testimony, said Lott "stands by the earlier statements."

Lott, who resigned from the Senate in December, has not been accused of any wrongdoing. DeLaughter has denied any wrongdoing and has not been charged.

CLICK HERE TO SEE RELATED STORY, "Bribing Judges a National Problem"

Federal Judge in Drag Quits after DUI (MORE, CLICK HERE)

Judge quits after DUI bust - Fed jurist reportedly in drag when stopped
The Boston Herald By O’Ryan Johnson - February 16, 2008

A 63-year-old Massachusetts federal bankruptcy judge has resigned a week after he was arrested for driving under the influence in New Hampshire while reportedly wearing a woman’s dress, heels and stockings, and carrying a purse.

Judge Robert Somma, a Newbury resident, pleaded no contest to the drunken driving charge in New Hampshire and agreed to have his license suspended for 12 months, the Manchester Union Leader reported. “He decided with the media coverage the way it had been, it was best to put this behind him,” Gary Wenta, circuit executive for Boston’s First Federal Circuit, told the Herald.

Wenta said Somma worked in private practice for years in Boston before he was appointed to the bench by President Bush in December 2004. He will remain on leave until he resigns on April 1, after roughly three years on the job. “He’s a highly respected member of the bar and remains so,” Wenta said. “He was serving a 14-year appointment. This will leave him without a pension.”

The Union Leader reported yesteday that Somma crashed his Mercedes into the rear of a car stopped on Elm Street after leaving a bar in the city last week. When cops arrived, the paper reported, Somma was wearing a cocktail dress, fishnet stockings, women’s heels and fumbled through a purse for his driver’s license.

Somma had a hard time keeping his balance, smelled of alcohol and slurred his speech, the paper reported, citing the Manchester police report. He failed a field sobriety test and took a breath test at the station that registered a blood-alcohol level of .12.

He told police he drank two gin and tonics at a Manchester bar. He said he came to New Hampshire because his wife was out of town and nobody knew him in the city, the paper reported.

A phone call placed to Somma’s home was not immediately returned yesterday. The Manchester Police Department also did not return a call for comment. During his career, Somma has hosted numerous legal talks at the Boston Bar Association. He was called on frequently for legal workshops when bankruptcy laws recently changed to help lawyers maneuver through new regulations.

ECC says, "Hey Ed, Are You Looking for Us?"

MEMO - TO: Mr. Edward Fagan - FROM: Expose Corrupt Courts
We have been advised that you are serving legal papers on various people and, further, looking to serve the half dozen of us ECC founding members. If this is true, and once you stop your latest attack on holocaust survivor Gizella Weisshaus, email whatever papers you have to us at corruptcourts@gmail.com - We'll then have our attorneys review your documents, and we'll then advise you if we'll accept service.

Eliot's Chance to Save Himself and NY: Appoint Court Ethics Special Prosecutor (MORE, CLICK HERE)

80% SAY SPITZ IS THE PITS
The New York Post By FREDRIC U. DICKER State Editor

February 21, 2008 -- ALBANY - Eighty percent of New York voters say Gov. Spitzer has done nothing to improve the state or has made it worse since promising that "on Day 1, everything changes," a devastating new poll showed yesterday.
The Siena College survey found a mere 15 percent of voters believe that Spitzer has made New York a better place to live since taking office on Jan. 1, 2007, after a historic landslide election victory, while 22 percent said things have gotten worse. Fifty-eight percent said Spitzer had made no difference at all.

Even heavily Democratic New York City voters were negative about Spitzer's accomplishments, with 21 percent saying he had made things worse and just 18 percent saying he had made them better. "For New Yorkers, the slogan, 'Everything changes on Day 1' is a long-forgotten memory," said Siena spokesman Steven Greenberg.

The poll contained other bad news for Spitzer, who has been battered in recent months by the Dirty Tricks Scandal and related ethical questions; the fallout from his plan to give driver's licenses to illegal aliens; and repeated reports of an abusive "steamroller" style.

Sixty-five percent of voters - including 59 percent of city voters - rated Spitzer's overall job performance negatively, compared with just 33 percent who gave him a positive rating. Forty-six percent of all voters had an unfavorable personal view of Spitzer, while 41 percent of voters viewed him favorably. In the city, those numbers were 42 percent and 43 percent, respectively.

In a finding that has already stirred speculation that Spitzer could face a primary challenge, just 25 percent of all voters - and only 23 percent of city voters - backed the governor for re-election in 2010, compared with 50 percent of all voters and 51 percent of city voters who said they wanted someone else.

david.seifman@nypost.com

More on Judge John L. Phillips (MORE, CLICK HERE)

John L. Phillips Jr., 83, Civil Court Judge Is Dead
The New York Times By TRYMAINE LEE - February 19, 2008

John L. Phillips Jr., a retired Civil Court judge who owned theaters in Brooklyn that were a prominent platform for black activists in the 1980s, died on Saturday in Brooklyn. He was 83.

Clarence Hardy, a friend, said Mr. Phillips collapsed in an elevator at the Castle Senior Living Facility at Prospect Park in Brooklyn, where Mr. Phillips lived. He was pronounced dead at New York Methodist Hospital. The cause was not immediately known.

On the Civil Court bench in Brooklyn, Judge Phillips became known as the kung fu judge, because he earned the rank of 10th-degree black belt in kung fu.

He amassed a fortune of about $10 million by buying property in the Bedford-Stuyvesant section of Brooklyn, where he lived most of his adult life. His holdings included several apartment buildings and two movie theaters, both purchased in the early 1980s. He renamed one, the century-old Regent, the Slave Theater, “so that no one would ever forget our struggles,” he said in an interview last year. He called the other the Black Lady Theater.

When racially charged killings in the 1980s frayed race relations in the city, the theaters — primarily the Slave — became stages for rallies and press conferences by a new crop of black activists, including the Rev. Al Sharpton.

Judge Phillips drew the ire of many black politicians in 1989 when he backed Rudolph W. Giuliani in the mayoral race against David N. Dinkins, the Democratic candidate who went on to become the city’s first black mayor. Judge Phillips told The New York Times that black voters should support Mr. Giuliani because of his crime-fighting experience.

“I’m 6 feet 1,” Judge Phillips said then. “I can kill you with my hands faster than you can believe, and I carry a gun. But I’m scared to walk the streets at night. How do you think black women feel?”

In 2001, Mr. Phillips, at 77, announced he would challenge the incumbent, Charles J. Hynes, in the race for district attorney in Brooklyn. But he was declared mentally incompetent after an investigation by Mr. Hynes that some said was politically motivated. Mr. Hynes said the action was undertaken for Mr. Phillips’s own good.

A series of court-appointed guardians took over Mr. Phillips’s affairs, but a court case ensued involving allegations that the guardians had mismanaged his person and finances.

Mr. Phillips never married but for many years had a companion, Elizabeth Pickett, who died earlier. He had no children.

In the early 1980s, Mr. Phillips wrote, produced and directed a film, “Hands Across Two Continents,” a tale of taboo interracial love set in 1970s Brooklyn. After failing to get a major studio to back the project, he made the film himself and showed it in his theaters.

In recent years, much of Mr. Phillips’s property was sold off by guardians. His current guardian has put the Black Lady Theater up for sale.

Mr. Phillips, a World War II veteran, was born on a farm in Kansas and graduated from Wilberforce University, where he obtained a law degree. He was first elected to the bench in 1977 without the support of Brooklyn’s political machine. He retired in 1994.

More News On Fagan Before His Disbarrment (MORE, CLICK HERE)

Neuborne Withdraws Request For Interest From Holocaust Survivors
THE NEW YORK SUN BY JOSEPH GOLDSTEIN - Staff Reporter of the Sun - February 19, 2008

An acrimonious and protracted dispute over legal fees that pitted a New York University law professor against a group of Holocaust survivors has ended.

Less than a month after Burt Neuborne asked for $300,000 in interest above the $3.1 million he had already received for administering a settlement between Swiss banks and Holocaust survivors, the professor decided to withdraw the request for the interest.

In a letter explaining the decision to a federal judge, Mr. Neuborne said the "petty squabbles over attorneys' fees" were diverting attention from the "profound legal and moral issues raised by the Holocaust."

Mr. Neuborne played a key role in a landmark lawsuit alleging that Swiss banks profited during the Holocaust from bank accounts belonging to victims of Adolf Hitler. In 2005, he submitted a bill for $4.1 million for his work in disbursing the $1.25 billion settlement by the banks to Holocaust survivors and heirs of victims. A group of American survivors objected to the legal bill, saying they thought Mr. Neuborne was working for free.

The dispute appeared to be settled last year when a federal judge in Brooklyn, Frederic Block, agreed that Mr. Neuborne would receive $3.1 million, an amount that was intended as a compromise. But Mr. Neuborne then drew another round of objections from survivors last month when he asked for $299,419 in interest as compensation for the two years he spent wrangling about his original bill.

"In deference to your call for 'peace in the house,'" Mr. Neuborne wrote to Judge Block, "I withdraw any request for the interest to which I believe I am legally entitled."

FBI and IRS Pounce on Attorney Reich (MORE, CLICK HERE)

FBI, IRS get Suffolk attorney Reich's records
NEWSDAY
BY ROBERT E. KESSLER - robert.kessler@newsday.com -February 20, 2008

Federal agents yesterday obtained the business records of a Suffolk County attorney who is at the center of a criminal investigation involving his employment by five Long Island school districts.

Agents of the FBI and the Criminal Investigation Division of the Internal Revenue Service took possession of the records of the attorney, Lawrence Reich, in the parking lot of the federal courthouse in Central Islip from Joseph Conway, the lawyer now representing Reich's former firm, Ingerman Smith, of Hauppauge.

The agents could be seen carting away at least five boxes of records into the courthouse, where Newsday has reported a grand jury has been impaneled to investigate whether Reich improperly got a state pension after the districts reported he was working full time for them while also a partner at Ingerman Smith.

The lids were off several of the boxes, and labels on some of the files related to Reich's dealings could be seen by a reporter. They included the Baldwin, Bellmore-Merrick High School, Copiague, East Meadow and Harborfields districts. Ingerman Smith was paid at least $2.5 million by the five districts while Reich was a partner there, even as each of the districts was reporting to the state that he was their full-time employee.

The presence of agents of the IRS criminal division suggests that the federal probe may involve possible income-tax evasion and money laundering. Newsday has previously reported that federal prosecutors and the FBI were investigating possible mail and wire fraud charges.

"We voluntarily brought the [Reich] documents over and we're cooperating with the government probe," said Conway. Conway was present as the boxes of Reich's files were turned over to the agents. Conway, a partner in the Garden City law firm of LaRusso and Conway, was formerly the head of the Long Island office of the U.S. attorney for the Eastern District. Reich could not be reached for comment. In an interview last week, he said he had done nothing wrong.

In a related development, New York State Attorney General Andrew Cuomo said in a telephone interview that his office plans to "aggressively" investigate Reich and his relationship with the school districts, both criminally and civilly. Conway, in an interview with a reporter yesterday, said that Ingerman Smith had reported Reich's relationship to the school districts to state pension authorities before the firm and Reich "parted ways" last year.

In January, Reich went to work for the Garden City law firm of Jaspan, Schlesinger and Hoffman. Newsday reported yesterday that Reich had been suspended from that law firm, which also asked for his resignation. A spokesman for the state comptroller's office, which oversees state pension plans, said last night that the office could not immediately obtain copies of any correspondence between Ingerman Smith and the state.

When asked why Ingerman Smith had not made Reich's relationship with the districts known to other officials or law firms that might want to hire him, Conway said the firm had done what it felt was best.

ROSLYN SCANDAL: ILL-GOTTEN GAINS

The following items, surrendered by former Roslyn school officials Pamela Gluckin and Debra Rigano, will be auctioned off to reimburse the district:

Men's Cartier chronograph watch with diamond bezel

14-karat white gold necklace with diamond chips

1-carat center stone diamond slide

14-karat yellow gold diamond bracelet with green stones

Guess men's watch

18-karat gold Rolex watch band

1-carat diamond earrings

1 original painting, 12 numbered prints and a dolphin sculpture from the Gallery Lassen in Maui, including: Mother's Love, Dawn of a New Era, Moonlit Serenity, Lords of the Millennium, Circle of Life, New Hope II, Moonlit Cove, Indigo Night, Lahaina Symphony, Island Romance

Attorney General Cuomo to Investigate Long Island Legal Scam (MORE, CLICK HERE)

AG Cuomo starts investigation into 5 LI districts
NEWSDAY BY ROBERT E. KESSLER - robert.kessler@newsday.com
February 19, 2008

State Attorney General Andrew Cuomo yesterday started an investigation, parallel to an ongoing federal probe, into possible financial misconduct at five Long Island school districts, issuing a subpoena for records at the Hauppauge law firm of Ingerman Smith, according to a spokesman for Cuomo and an attorney for the firm.

Lawrence Reich, a former partner at the law firm, was listed as a partner at Ingerman Smith while five school districts each reported him as a full-time employee to the state, according to a Newsday investigation. Reich has denied any wrongdoing and could not be reached yesterday.

Newsday reported Saturday that a federal grand jury in Central Islip was looking into fraud at districts linked to Reich.

Eastern District federal prosecutors and FBI agents on Friday issued subpoenas to the districts - Baldwin, Bellmore-Merrick High School, Copiague, East Meadow and Harborfields - seeking their financial records.

An attorney for Ingerman Smith, Joseph Conway, said the law firm had received the state subpoena late yesterday.

John Milgrom, a spokesman for Cuomo, said the state subpoena was issued under laws giving the attorney general the power to probe possible fraud related to state funds.

Newsday reported that Reich was able to collect a state pension of more than $61,000 a year because of his alleged full-time status with the districts.

Robert Nardoza, a spokesman for U.S. Attorney Benton Campbell, declined to comment.

Conway, now in private practice in Garden City after serving as head of the U.S. Attorney's Long Island office, said last night that he had been hired recently to represent Ingerman Smith in its dealings with investigators.

The state subpoena, issued by Cuomo's public integrity division, sought firm records on Reich and his dealings with the districts, Conway said.

He said he has been negotiating with federal prosecutors and FBI agents over the records but that under federal law Justice Department officials must approve the subpoenaing of lawyers' records, which could take several days.

Conway said the state subpoena required the firm to turn over its records by mid-March.

Judge John Phillips, Dead at 82

TRAGIC ALZHEIMER'S JUDGE DIES
By ALEX GINSBERG

February 18, 2008 -- John Phillips, the former Brooklyn Civil Court judge who was ripped off by court-appointed guardians entrusted to manage his affairs as he slipped into Alzheimer's-related dementia, has died. He was 82. Phillips, a colorful courtroom figure in Brooklyn who was nicknamed the "Kung-Fu Judge" for his martial-arts prowess, was also known for opening two theaters that were devoted to African-American empowerment.


CLICK HERE TO SEE RELATED STORY

Confessions of a New York Court Reporter, Part I (MORE, CLICK HERE)

Confessions of a New York Court Reporter, Part I
This is the first in a series of articles about court reporters and their experiences as guardians of the official transcripts of court-related proceedings.

Today’s troubling tale comes from a woman we’ll call Connie. Her accent accurately reflects where she was raised; she is a true “New Yorker.” Within the next few years, she plans to end her career as a New York State certified court reporter- a position she has held for more than fifteen years. It is a job, she says, that once made her proud.

“No more. Not for a long time, now,” she says, adding, “I’d like to cleanse my soul a bit at this point in my life.”

Re-Writing History

She doesn’t exactly remember the first time she heard that fateful phrase--words that now haunt her, “Clean up the record” - the ‘code’ that is used when judges, attorneys, fellow court workers- or anyone sufficiently connected- need to re-write history. While most people believe that “cleaning up the record” involves a court reporter’s correction of misspellings or double-checking for accuracy, Connie knows differently.

Over the last few years, according to Connie, the directive to alter official transcripts of court proceedings has become “more brazen and blunt.” About two years ago, Connie and a fellow reporter were alone finalizing transcripts in the room at the courthouse reserved for court reporters. Her always-smiling friend cheerfully answered the ringing telephone, and quickly responded to the caller, “…yes, this is she. Oh, hello Judge.” Then silence. There was no “good-bye,” just a long pause, followed by the slow sound of the receiver being placed back on its cradle.

“What was that about? Connie asked.” She was not shocked by her friend’s reply, “The judge said to ‘do something with the first 3 paragraphs of page 16.’ He said he ‘didn’t mean to say that.’” There was silence until another co-worker entered the room about an hour later.

I Am the Lord, Thy God

Connie says she is not alone, and virtually every court reporter she has ever known shares her mostly-silent sadness about the ‘darker side’ of their work to theoretically create an honest and official written record of court related proceedings. “I can honestly say that I am ashamed to have witnessed, and yes- participated, in wrongful conduct concerning official court transcripts,” she says. And after a long pause, she adds, “But you learn to justify things, I guess.”

Early on in her career, Connie was like most court employees: respectful and outright- admiring of the many men and women judges for whom she worked. One attorney, who asked that his name not be used, knows what Connie is talking about, “The judges are gods, higher than kings- they are the boss, your boss. You do what they say- period, end of story. If you want to survive, and keep your job, you do what the boss- or those acting on his or her behalf- says.”

Blind Administrative Oversight

Connie tells the story of a court reporter that once complained to the Administrative Judge that she was getting pressured to improperly alter transcripts. The woman told Connie that the Administrative Judge, and who is supposed to oversee the operations of the courthouse, advised her that, “You know, everyone makes mistakes. Maybe you made mistakes- you’re human. Maybe you should just do what you are told to do.” That reporter was transferred to another courthouse a few weeks later.

Only on rare occasions did Connie ever openly voice her discomfort with what she describes as “the widespread practice of altering court transcripts.” She once vented to the family friend who had been instrumental in securing Connie’s first job at a “good” courthouse. Since childhood, Connie had always referred to this woman as her “aunt” - a “proper women” who actively mingled with lawyers and judges in “equestrian and politically connected circles.”

Upon hearing Connie’s dismay over what she believed to be no real regard for the integrity of official court transcripts, her aunt paused briefly and said, “Play the game, my dear. The ‘whips’ of New York’s judiciary are always victorious.”

Connie, a bit stunned, got the message and had understood the “whips” reference. In equestrian parlance, ”Whips” are staff members who assist the huntsman and who make sure the hounds “do right.” “I then realized that I was merely a well-paid, court reporting ‘hound’ under the direction of the court-administrative huntsmen to ‘do right’ for the judges and their connected friends.”

“Officers” of the Court

“Before fully getting the message, an attorney usually only has to hear one time that transcripts are ‘missing’ or that there were ‘technical difficulties,’” says Connie, adding, “Someone will quickly explain official court transcript reality to this naive counselor.” Connie says that any lawyer who makes a big fuss about transcripts is quickly labeled a troublemaker, and that they will soon learn how severe the consequences can be. Connie says, “Most people don’t realize that being an ‘officer of the court’ means ‘unquestioned obedience’- or else. ”

“A courthouse ‘cold shoulder’ can have serious consequences,” says the attorney. “Word travels pretty quickly in the halls of justice which can, not coincidentally, result in a string of ‘bad’ rulings that can literally ruin your legal practice. And if you don’t get that message you will quickly become a ‘target’ of the entire court system.” He explains that to mean that one’s legal career just may soon come to an end.

If It Pleases The Court

Well, it better. For Connie, the turning point came- from the once “dark inside court secret” to the current brazen manipulation of official transcripts- while she was assigned to a judge known to have “liquid lunches.” At the conclusion of the morning court session, and while still on the record and in open court, the judge told Connie to, “Be ready, you’ll have a lot of cleaning up to do this afternoon after lunch.” While the court officer, court clerk and law secretary enjoyed a hearty laugh, Connie got the message that the court transcript- true or false- should only portray the judge in a “good light.” The lawyer says that it’s common knowledge that court transcripts are routinely altered. “And we’re not just talking about adjusting ‘ums’ and ‘ahs,’” he says.

“That’s what it’s about now. Don’t’ make the judge look bad- ever- and make whatever other changes to the transcript that you are told to make- without comment, “ says Connie. Last month, Connie entered a judge’s elevator where a judge, another reporter and two “favored courthouse attorneys” were finishing a spirited conversation. The court reporter turned from one of the lawyers and addressed the judge, “Do you want me to change it?”

Connie is “very mindful,” as she describes it, of New York court reporter Maurice Schwartzberg’s questioning by the Commission on Judicial Conduct about 2 years ago when he was forced to admit that he had been directed to change official court transcripts. “One of these days, they’re going to make an example out of someone. And I don’t want that person to be me.”

Coming soon in Confessions of a Court Reporter: Connie’s suggestions and solutions; Connie’s fight over the word “not” and more stories from other court reporters……

CLICK HERE TO SEE A RELATED STORY

Editor’s Note: The actual identity of the Court Reporter referenced in this story as “Connie” is not known to this forum or any official forum contributors, administrators, writers, researchers, etc. However, sufficient indirect confirmation of the information presented and the employment status has been obtained.

www.JudicialReports.com: The Color of Judge Money (MORE, CLICK HERE)

The Color of Judge Money
By Jason Boog - jasonboog@judicialstudies.com - Posted 02-13-08

Now that the U.S. Supreme Court has sent New York Supreme Court incumbents and aspirants back to our local carnival of judicial selection, the time has come to start following the money again. And there's a lot of following to do.

In the wake of the U.S. Supreme Court’s unanimous rejection of the challenge to New York’s system for selecting judges, judicial candidates are poised to hop back on the fundraising merry-go-round.

But different jurisdictions offer different rides, at different speeds.

Last year Supreme Court candidates in the five boroughs collectively raised nearly $144,000. Yet their counterparts in the major suburban districts stockpiled almost $754,000.

These fundraising numbers might give the mistaken impression that more judges are running in the suburban races. In reality, during the 2007 election season, 12 Supreme Court spots were open in the five boroughs, while only six seats were available in the suburban districts.

Despite having double the amount of available seats, most judicial candidates in New York City barely worry about fundraising. Conversely, the suburban contests are driven by an often manic pursuit of dollars.

DEMOGRAPHY IS DESTINY

The wildly disparate sums reveal a pronounced demographic shift affecting some judicial campaigns.

Last year’s biggest judicial fundraiser in the greater metropolitan region was not found in Manhattan or Brooklyn. The top money magnet was Justice Francis A. Nicolai, a former Westchester County Court Judge who is now Administrative Judge for the Ninth District.

Nicolai raised a whopping $161,000 for a seemingly doomed candidacy. During the course of his tumultuous campaign, the judge ran with only the Democratic endorsement — unsuccessfully taking his fight for minor party endorsements to court. Click here for the Judicial Reports coverage.

Historically, candidates have depended on small party endorsements to bring crucial extra votes in close races.

And unlike many jurisdictions dominated by one of the major parties, greater competition in both the Ninth and Tenth Judicial Districts means that every last vote counts.

In the Ninth, candidates seek votes across a vast swath that includes Dutchess, Orange, Putnam, Rockland, and Westchester Counties. Judges in the Tenth must cover both Suffolk and Nassau counties.

While the Democratic Party has maintained a powerful hold over New York City, suburban voter registrations have begun tilting more Democratic in recent years.

In the Ninth, the Democrats went from some 445,000 registered voters in 2002 to more than 490,000 in 2007, while the Republicans went from slightly under 366,000 to slightly more than 367,000. The Independence Party gained 12,900 voters in that same period.

The Tenth shifted more dramatically since 2002. The Democratic Party went from just over 559,000 voters to just over 600,000 voters in 2007, and the Republicans lost roughly 31,000 voters from its total of approximately 705,000. The Independence Party gained 16,000 voters.

Click here to see a LexMetrics analysis of the shift.

Nicolai’s massive fundraising effort paid off in the Ninth. In the general election, he and two other Democrats beat the nearest Republican-endorsed contender, County Court Judge and Acting Supreme Court Justice Rory J. Bellantoni, by more than 5,000 votes. (In the contest, eight candidates vied for three seats.)

Bellantoni’s fundraising efforts weren’t quite as successful — he raised about $51,000 for his losing bid, ranking him seventh in the 2007 top fundraiser list. Justice Bellantoni has continued serving as an acting justice, and his County Court seat expires in 2013.

DEMOGRAPHICS IS ECONOMICS

Arnold Linhardt, a consultant from White Plains-based Strategic Services, has helped a few Democratic judges in recent years. He said that demographic shifts have changed the fundraising numbers.

“Has it got more expensive? I would say yes, at least on the Democratic side,” said Linhardt. “It was needed to get the message out, let people know who these candidates are. . . . On the flip side, I think Republicans are finding it harder to raise money.”

The consultant attributed the shift to a flight to the suburbs by New York City Democrats escaping high rents.

He also speculated that the shift signals the waning influence of the smaller parties. “Based on Frank Nicolai’s win, you might see candidates saying, ‘I don’t want to be held up by minor parties’, ” he concluded.

If so, it was an unintended consequence. Nicolai fought hard to overturn the small party endorsement processes after he failed to gain their support, but his ultimate victory might indicate that he needn’t have bothered.

The Board of Elections general election figures didn't illustrate that conclusion just yet.

In 2003 (a comparable ‘off-year’ without major Presidential or Legislative races to bring voters to the polls), the Independence Party delivered more than 11,000 votes countywide to cross-endorsed candidates who won the judicial race. In the 2007 race, by contrast, that party delivered 13,000 votes to Judge Bellantoni — their cross-endorsed candidate.

Frank MacKay, the national chairman of the Independence Party of America, strongly disagreed that the minor party vote was fading. “[The 2007 election] was the exception, not the rule by any means,” he explained in an interview, drawing on his previous experience as chairman of the Suffolk County Independence Party.

“Certainly in every close race in Suffolk and Nassau a so-called minor party can claim the margin of victory,” he added. “There’s nothing minor about the effect they have on judicial elections. For the most part, no one is winning these elections without the help from the Independence, Conservative, or Working Family Parties.”

TOUGH TIMES IN THE TENTH

The second biggest fundraiser of the year came from the Tenth, but his efforts didn’t pay the same dividend as Judge Nicolai’s.

Robert W. Schmidt, a Republican Associate Justice in the Appellate Division, Second Department, raised more than $110,000 for his hotly contested Supreme Court race. But he ended up losing in a Democratic sweep — with his closest opponent beating him by more than 26,000 votes.

Anthony Manetta has been a political consultant in Suffolk and Nassau Counties since 2001. He founded Roosevelt Strategy group, and has worked on a number of judicial races on Long Island.

He said candidates face an entirely new financial reality.

“If you’re going to run for Supreme Court countywide [in the Tenth], you need to come in with at the minimum $75,000,” he said. “I would recommend $125,000. The price tag has evolved. Over time things get more expensive — the costs of television ads have increased dramatically.”

He also noted that judges like Schmidt might have to dip into their own pockets next time.

“More and more what you’re seeing, especially with judicial candidates, is that many have to turn to investing in their own campaigns. You didn’t used to see that at all,” he concluded.

NEW YORK CITY IS DIFFERENT

Eight of the top 10 fundraisers of 2007 came from the Ninth and Tenth, a dynamic that has been reflected since the State Board of Elections began archiving campaign finance reports in 1999. Democratic Party dominance typically makes such dollar-dialing unnecessary in the five boroughs, and the U.S. Supreme Court’s rejection of electoral reformers’ case in Lopez Torres vs. NYS Board of Elections means that won’t change anytime soon.

The top fundraiser from the five boroughs was Robert J. Miller. The judge raised $35,000 in his bid to secure the Democratic nomination and general election for Supreme Court.

Miller secured the coveted Democratic nomination, and a cross-endorsement from the Republican and Conservative Parties. This made him the only candidate cross-endorsed by all three parties in that race where five candidates vied for three spots.

Along with the two other candidates with the Democratic endorsement, Miller’s win was virtually assured. He beat his nearest Conservative Party opponent (who lacked the Democratic and Republican endorsements) by more than 60,000 votes.

Most dramatically, only nine Supreme Court candidates from New York City even made the list of the state’s top fundraisers. The remaining spots were all secured by suburban judges forced to raise bigger pots for their elections.

Indeed, the first candidate from the five boroughs to crack the post-1999 list comes in at number 35 — Acting Supreme Court Justice Judith Gische, who raised $70,000 in multiple bids for the Supreme Court. (Most recently, she lost a judicial convention bid in 2007.)

HIGHEST JUDICIAL FUNDRAISER EVER

The prize of biggest judicial candidate fundraiser since 1999 goes to Republican Janet DiFiore, who raised more than $300,000 for her 2002 Supreme Court bid in the Ninth. She came in first place out of four winners in that race with a cross-endorsement from the Independence and Conservative Parties.

That 2002 election victory was the pinnacle of Republican power in the Ninth. Among all five counties, she collected 216,600 Republican votes that year. In contrast, no Republican won last year in that same district.

DiFiore resigned her judicial post in 2005, choosing to run for Westchester District Attorney on the Republican ticket. She narrowly won that race against the Democratic candidate, earning a nail-biting 51 percent of the vote.

Perhaps in a nod to the tectonic shift of voter demographics, DiFiore announced last year that she was changing parties to become a Democrat.

Consultant Linhardt thought that these fundraising aftershocks would lessen in a few years, particularly in the wake of Lopez Torres.

“If the U.S. Supreme Court had upheld the lower court, then you would have seen a spike in expenditures,” he said. “Since the system remains the way it is, I think we will see a leveling out in two or three years.”

The second-highest fundraiser was not so lucky. Justice Thomas A. Adams, an incumbent Associate Justice of the Appellate Division, Second Department, raised more than $278,600 for his 2006 reelection bid.

The Republican judge had received coveted cross-endorsements from the Independence and Conservative Parties, but he still lost the four-way race — losing to his closest Democratic opponent by more than 20,000 votes.

As a consultant, Manetta is frank with his clients about this hostile environment for incumbents. “The universe is so large, it’s a very expensive campaign to run. They are more competitive than ever before,” he said. “Ten years ago, all a candidate needed was the Republican line. Now the Democratic line is very competitive.”

BE SURE TO CHECK OUT www.JudicialReports.com

OBAMA GOT ROBBED OF NY VOTES; Election 'Fixers' Nervous (MORE, CLICK HERE)

OBAMA GOT ROBBED OF NY VOTES
The New York Post By GINGER ADAMS OTIS

February 17, 2008 -- Barack Obama's primary-night results were strikingly underrecorded in several districts around the city - in some cases leaving him with zero votes when, in fact, he had pulled in hundreds, the Board of Elections said yesterday.
Unofficial primary results gave Obama no votes in nearly 80 districts, including Harlem's 94th and other historically black areas - but many of those initial tallies proved to be wildly off the mark, the board said.

In some districts getting a recount, the senator from Illinois is even closer to defeating Hillary Clinton.

Initial results in the 94th, for example, showed a 141-0 sweep for Hillary Clinton, but the recount changed the tally to 261-136.

As yet, none of the results have been certified, but a ballot-by-ballot canvassing of all voting machines has begun, a board spokesperson said.

Brooklyn City Councilman Charles Barron called the understated figures "outrageous."

"I think this is an all-out effort to stop a campaign that is about to make history and render America's first black president," he said. "We need some kind of independent or federal agency to investigate this."

CLICK HERE TO SEE RELATED STORY

What did law firm know about pay arrangement? (MORE, CLICK HERE)

What did law firm know about pay arrangement?

NEWSDAY BY EDEN LAIKIN AND SANDRA PEDDIE - February 17, 2008

A small-town law firm founded in 1937, Ingerman Smith grew into a legal powerhouse, representing more than one-third of all the school districts on Long Island and racking up millions of dollars in fees.

"It's a seller's market for good legal services," said former Brentwood superintendent Mike Cohen, who used the firm extensively. "They gave great advice, but the meter was always running."  Cohen said that for a district like Brentwood, "going through the bill every month was a major task.  "On any given day, something happened where you had to talk to the attorneys and they billed for every phone call," he said.

The law firm was thrust into the spotlight last week after Newsday reported that attorney Lawrence Reich was allowed to earn a $61,459 New York State pension and state health benefits after five school districts reported him as a full-time employee, even though he worked part time for the districts and was a partner at the firm. At the same time, the districts paid the law firm $2.5 million in fees, according to records.

Records show that Ingerman Smith was aware of the arrangement. On Aug. 29, 1995, firm partner Daniel Greenberg wrote a letter to Harborfields thanking the district for accommodating the arrangement.  Calls to the law firm for comment were not returned.

Former New York State Sen. Bernard Smith founded the firm with attorney Percy Ingerman. Starting out in Northport, it expanded to Westchester and Rockland counties in 1997; the firm moved to Hauppauge in 2005.

Today, there are 24 attorneys with the firm, according to its Web site. Its roster includes former prosecutors and village and town officials. One attorney, Peter Johnson, is also deputy Smithtown assessor, earning $89,120 a year there, records show.

Like many Long Island law firms, Ingerman Smith has contributed to political campaigns. State records show it has contributed $7,975 to local and state politicians since 1999.

The firm specializes in educational law and has enjoyed long relationships with school districts. Since 1999, 40 school districts have paid the firm nearly $14 million, according to district records.  And one former superintendent, Baldwin's Kathy Weiss, went to work for the firm as an independent investigator, Cohen said.

Baldwin was one of the five school districts that reported Reich as a full-time employee. It also provided him with health benefits. The other districts were Bellmore-Merrick High School, Copiague, East Meadow and Harborfields.

eden.laikin@newsday.com
sandra.peddie@newsday.com


AND A RELATED STORY ALSO FROM FEBRUARY 17, 2008 NEWSDAY:

Henican: Lawyer Larry looks like he's living large
by Ellis Henican - February 17, 2008


Some guys just look guilty. They can't help it.  You saw that front-page photo of Larry Reich in Newsday? Then you know what I'm talking about.

The rolls of neck fat bulging above the straining collar. The deep-set, bloodshot eyes. The tilted half-smile that almost seemed to sneer: "Only a sucker would try to live on a single paycheck!"

Obviously, this is not a man who's missed too many meals.  Appearances can be harsh that way.

Through no fault of his own, Well-Fed Lawyer Larry is perfectly typecast as someone who might collect five full-time salaries from five local school districts, sucking up a quintuple state pension and lavish health benefits for life. Oh yeah, and for dessert? How 'bout another $2.5 million in fees for his law firm?

Now, none of this is the kind of evidence that would ever be allowed in court. In fact, he hasn't even been charged with anything. Wide-rides are no more greedy than skinny guys. There's no known correlation between moral laxity and collar size.

But ask yourself: If you had to stand one day in front of a jury of your peers, how'd you like to resemble the very crime you were accused of? These connections may be subliminal. But that doesn't mean they aren't powerful.......TO SEE THE FULL STORY GO TO www.NEWSDAY.COM

Please, Governor, Say It Ain't So (MORE, CLICK HERE)

SPITZER IS UP TO OLD PATAKI TRICKS
THE NEW YORK POST
By FREDRIC U. DICKER, State Editor

February 16, 2008 -- ALBANY - Gov. Spitzer, who vowed to change Albany's pay-to-play culture "on Day 1," is allowing a top lobbyist - and employer of controversial former Spitzer aide Darren Dopp - to sponsor a $1,000-a-person fund-raising event on March 7, it was learned yesterday.

Powerhouse lobbyist Patricia Lynch, who represents dozens of clients attempting to influence Spitzer, solicited contributions from her long client list - as well as a list of other potential clients - for the event. The fund-raiser, to benefit the governor's re-election committee, will be held at the St. Regis Hotel on Fifth Avenue.

"Patricia Lynch cordially invites you to a breakfast reception in support of New York State Governor Eliot Spitzer," reads the invitation, written in a stylized calligraphic script. One recipient of the invitation told The Post, "When you look at the invitation, it makes it look like Spitzer works for Pat."

Dopp, suspended as Spitzer's $175,000-a-year communications director in late July in the wake of Attorney General Andrew Cuomo's report on the Dirty Tricks Scandal, was hired at even higher pay by Lynch in October in a move that raised eyebrows throughout state government.

Dopp, who remains under investigation by Albany District Attorney David Soares and the state Public Integrity Commission, has told associates that he believes some of the governor's top aides are seeking to make him the fall guy in the scandal, which involved the use of the State Police in an unsuccessful effort to damage Senate Majority Leader Joseph Bruno (R-Rensselaer.)

Christine Anderson, who succeeded Dopp as Spitzer's chief spokesperson, refused to explain how the governor's pledge of reform fits with his willingness to allow Lynch to sponsor the event.

Spitzer, a Democrat, pledged to end the special influence that lobbyists had in state government when he ran for election in 2006. But since then he's been widely criticized as a hypocrite for continuing many of the practices he targeted.

Last spring, The Post disclosed that Spitzer, who claimed he was voluntarily limiting contributions to his re-election campaign to $10,000, was encouraging potential supporters to "bundle" up to $1 million in exchange for special access to him.

The Post also disclosed that his wife, Silda, was sponsoring a ritzy Democratic Party fund-raiser on Central Park South with individuals - as well as controversial limited-liability corporations - solicited for up to $94,200 each.

Spitzer has also repeatedly violated pledges of government openness and "transparency," refusing to publicly answer detailed questions about the Dirty Tricks Scandal and negotiating in secret the just-approved extension of the New York Racing Association franchise.

He then rammed it through the Legislature with a special "message of necessity," the use of which he had previously criticized.

"This is just the kind of thing Pataki always did," a recipient of the Lynch invitation told The Post, adding, "We all thought Spitzer was committed to changing the way things work around here."

League of Women Voters spokeswoman Barbara Bartoletti said: "It does not appear that when it comes to campaign-finance reform, we got from the governor what we thought would happen on Day 1."

fredric.dicker@nypost.com

FBI Subpoenas Records on Lawyer's 1,200 Days Pay in 1 year (MORE, CLICK HERE)

FBI subpoenas 5 school district for data on lawyer
NEWSDAY BY ROBERT E. KESSLER AND SANDRA PEDDIE - February 16, 2008

A federal grand jury in Central Islip has opened an investigation into possible fraudulent financial double-dipping at five Long Island school districts, according to several sources. Agents with the Federal Bureau of Investigation served subpoenas for the financial records of the districts late Friday, according to the sources.

The subpoenas were served a day after Newsday reported that an attorney for the five districts, Lawrence W. Reich, received a public pension of $61,000 a year and health benefits for life after the districts reported to New York State that he was a full-time employee of each district.

Newsday reported that Reich, who said he had done nothing wrong, worked for the districts only part time, while also working for a law firm that was also billing the districts.

The subpoenas, from the office of the United States Attorney for the Eastern District, ordered the school districts -- Baldwin, Bellmore-Merrick High School, Copiague, East Meadow and Harborfields -- to provide all their records involving financial dealings with Reich, and his former law firm, Ingerman Smith Llp. The sources said attorneys at the firm were also part of the focus of the probe.

Ingerman Smith, formerly of Northport, but now located in Hauppauge, has represented nearly 50 Long Island school districts and currently represents approximately 40.

Robert Nardoza, a spokesman for Benton Campbell, the U.S. Attorney for the Eastern District, declined to comment. Michael Conte, a spokesman for Harborfields, confirmed late Friday that his district had received a subpoena. Officials for Baldwin, Bellmore-Merrick High School, Copiague and East Meadow did not immediately return phone calls. Reich and a spokesperson for Ingerman Smith also could not immediately be reached.

John Milgrom, a spokesman for New York Attorney General Andrew Cuomo, said Friday his office was reviewing the matter. "While we've reached no conclusions, we take seriously and will fully investigate any claim involving a breach of the public trust or misuse of public funds," Milgrom said.

A Newsday review of records showed that Reich submitted no time sheets, never worked full time and that school officials knew he was working only part time. He was able to obtain state-funded family health coverage through the Baldwin school district and received pension credits from all five districts. Reich retired from the districts with an annual pension of $61,459 in September 2006. But he continued working for some of the districts, according to letters he sent asking them to pay him a retainer, rather than a salary.

After Newsday inquired about Reich's arrangement on Thursday, the New York State comptroller sent letters to four of the five districts notifying them that they would be audited to determine whether they were properly classifying people who provide professional services as employees or contractors. "We want to make sure that only individuals who are entitled to receive a state pension get a state pension," said Emily DeSantis, a spokeswoman for the comptroller.

In July 2007, state auditors uncovered the problem in an audit of the Harborfields school district, but apparently took no action. Although the final audit did not mention the issue, Reich notified the districts in October 2007 that he would no longer work for them. In December, Ingerman Smith wrote a letter to one of the districts saying the Reich had left the law firm.

robert.kessler@newsday.com
sandra.peddie@newsday.com

One of NY's Best Lawyers to Get 3-9 years in Prison (MORE, CLICK HERE)

BIG HOUSE FOR REALTY BIG CROOK
The New York Post By LAURA ITALIANO

February 15, 2008 -- A real-estate attorney named "one of the best in New York" by New York magazine a decade ago will serve at least three years in prison for ripping off his law firm's escrow account. A handcuffed Ira Berman admitted in Manhattan Supreme Court yesterday that he stole $2.1 million in down payments.

At least eight people have filed complaints with the DA's Office against the Mount Kisco resident, who formerly taught real-estate investment at the New School and ethics at NYU. "I want to sincerely apologize," Berman told the court. "I've been an attorney for 40 years, and I've brought disgrace to myself and my family."

His office at 60 E. 42 St. handled multimillion-dollar commercial properties, but the state Judicial Department's Disciplinary Committee, alerted to the thefts, suspended his license six months before last week's arrest.

He is expected to be sentenced on Feb. 28 to three to nine years in prison and ordered to repay the $2.1 million.

Change is Good; Judge Pfau Continues Clean-Up (MORE, CLICK HERE)

2 Recent NYS Office of Court Administration Press Releases of note:

Click Here To See More About Chief Administrative Judge Ann Pfau

Press Release
Communications Office: David Bookstaver, Director

Kali Holloway, Deputy Director
Date: February 13, 2008
Hon. Ann Pfau, Chief Administrative Judge

New Administrative Judge of Brooklyn Supreme Court, Criminal Term, Appointed

NEW YORK – Chief Administrative Judge Ann Pfau today announced the designation of Hon. L. Priscilla Hall as Administrative Judge of the State Supreme Court, Criminal Term, Kings County. The appointment was made with the approval of Chief Judge Judith S. Kaye and after consultation with Presiding Justice A. Gail Prudenti of the Appellate Division, Second Department. Judge Hall will replace Hon. Neil Firetog, who has announced he has stepped down as Administrative Judge to return to the Supreme Court trial bench.

"Judge Hall is a highly skilled jurist who has served on the bench for more than two decades. She possesses extensive experience and expertise in a number of trial courts – including Criminal Court, Court of Claims and, currently, State Supreme Court – and is superbly qualified to take on the responsibilities of her new role. I look forward to working with Judge Hall and welcome the boundless knowledge of the law and steadfast devotion to justice she brings to Kings County's courts," said Judge Pfau. "I also want to thank Judge Firetog for his contributions to the court over the last four years. He leaves behind a tradition of efficiency, hard work and innovation. I am grateful that he will continue to serve the court system and the public from the Kings County Supreme Court trial bench."

Hon. L. Priscilla Hall was appointed to the bench in 1986 as a New York City Criminal Court judge. She was designated an Acting State Supreme Court Justice and Court of Claims judge four years later, and was elected to the State Supreme Court in 1994. A graduate of Columbia University School of Law, Judge Hall began her legal career as an attorney for General Electric and later served as an Assistant District Attorney in the New York County District Attorney's Office; Assistant Attorney General at the New York State Department of Law; and Inspector General of the New York City Human Resources Administration. From 2001 to 2004, she also was an adjunct professor at Fordham University School of Law. In addition to the courts of New York, Judge Hall is admitted to practice before the United States District Court of the Eastern and Southern Districts of New York and the United States Supreme Court. She is a member of the Capital Cases Judicial Resource Committee, The New York State Judicial Institute on Professionalism in the Law and the Oversight Committee for Criminal Defense Organizations for the Appellate Division, Second Department. Judge Hall earned her undergraduate degree at Howard University.

The appointment is effective immediately.




Press Release
Communications Office: David Bookstaver, Director

Kali Holloway, Deputy Director
Date: February 14, 2008
Hon. Ann Pfau, Chief Administrative Judge

New Supervising Judges for New York City Family Court Named

NEW YORK – Chief Administrative Judge Ann Pfau today announced the appointment of three new Supervising Judges for New York City Family Court: Hon. Jane Pearl as Supervising Judge of New York County Family Court, Hon. Paula Hepner as Supervising Judge of Kings County Family Court and Hon. Edwina Richardson-Mendelson as Supervising Judge of Queens County Family Court. The appointments were made in consultation with the Deputy Chief Administrative Judge for New York City Courts, Joan B. Carey, and the Administrative Judge of New York City Family Court, Joseph M. Lauria. The appointments are effective immediately.

Hon. Jane Pearl began her tenure as a jurist in 2000, when she was appointed to the bench in Bronx County Family Court. After earning her law degree at Benjamin Cardozo School of Law, Judge Pearl served as a court attorney to New York City Family Court judge Sheldon Rand and later as a Family Court Hearing Examiner. Judge Pearl has served as Family Court Supervising Judge for Kings and Richmond Counties since 2003.

Judge Paula Hepner earned her Juris Doctorate degree from Hofstra University School of Law. After graduation, she entered private practice and also served as a staff attorney at the New York Protection and Advocacy System for Developmental Disabilities. Judge Hepner was supervising attorney at the New York City Human Resources Administration until 1990, when she was appointed to the bench in New York City Family Court. She has been a Kings County Family Court judge for nearly two decades.

Hon. Edwina Richardson-Mendelson was appointed to the bench in 2003 as a New York City Family Court judge. Prior to her ascension, Judge Richardson-Mendelson was a court attorney-referee for the New York State Unified Court System. Judge Richardson-Mendelson earned her master's degree and Ph.D. at City University of New York Graduate Center.

Who is Judge Pfau? CLICK HERE TO SEE

Attorney Works Over 1,200 days in One Year (MORE, CLICK HERE)

Five districts falsely reported lawyer's job status
Newsday EXCLUSIVE
BY SANDRA PEDDIE - sandra.peddie@newsday.com - February 15, 2008

Five Long Island school districts falsely reported to the state that a part-time private attorney was a full-time employee in each district, enabling him to earn a public pension of nearly $62,000 and health benefits for life.

At the same time, the districts paid his law firm more than $2.5 million in fees, records show.

The attorney, Lawrence W. Reich, was listed as full time by five different school districts at once - Baldwin, Copiague, East Meadow, Bellmore-Merrick High School and Harborfields, according to records supplied by the New York State comptroller's office. In 2000, for example, he was credited with working 1,271 days in one year. The year before, he was credited with working 1,286 days.

State auditors uncovered the problem seven months ago in Harborfields, but took no action. Yesterday, the state comptroller sent letters to four of the five districts - Baldwin, Copiague, Bellmore-Merrick and Harborfields - notifying them that they would be audited to determine whether they were properly classifying people who provide professional services as employees or contractors.

In a statement, Comptroller Thomas DiNapoli said, "We have decided to take a closer look at this issue to make sure that only those individuals who are entitled to receive a state pension get a state pension."

Reich defended his arrangement with the districts as "common practice" among attorneys on Long Island.

A Newsday review of records shows that Reich submitted no time sheets, never worked full time for any of the districts and that school officials knew he was only working part time. They allowed him to collect public benefits worth tens of thousands of dollars. His law firm, Ingerman Smith of Northport, knew of the arrangement, as well, the records show. And an official at one district even made light of the situation in a letter warning Reich that there might be a problem with his status and asking him how to "correct the record" of his "employment."

Records show that Reich drafted contracts setting the compensation for superintendents and other top administrators. School officials told Newsday it wasn't a conflict of interest for him to do that while he was working as the school attorney because he reported to the boards of education, not the superintendents.

Under Internal Revenue Service rules, a person cannot be paid both as an independent contractor and employee for the same job.

"Clearly, it's an attempt to manipulate the system so that a person can receive Cadillac fringe benefits that a person in the private sector would otherwise not be entitled to," said Paul Sabatino, a municipal lawyer who is also former Suffolk chief deputy county executive.

"To me, that has the appearance of impropriety, and I wouldn't do it," said William Bernstein, co-chairman of Suffolk Bar Association's taxation committee. "It's obvious to me why he wanted to be an employee."

In an interview, Reich insisted he had done nothing wrong. "I don't file these papers," he said. "I don't have the faintest idea what they're filing for me."

He said that he did propose that the districts pay him a salary, while also paying a retainer to his firm, in which he was a partner. "I followed essentially a practice that was very common among my colleagues in the industry," he said.

Former State Comptroller Alan Hevesi harshly criticized a similar arrangement in February 2005, when his office discovered that a small state authority for horse breeding had given Rocky Point attorney Steven Losquadro full-time benefits, even though he worked part time. Hevesi called the arrangement "unacceptable and highly inappropriate," and Losquadro agreed to stop receiving health benefits.

That audit, reported in Newsday, caught the attention of Joseph Dragone, Harborfields' then-assistant superintendent for business. On March 3, 2005, he wrote Reich, asking him how to "correct the record of your 'employment' by the school district."

He added, "Although you are obviously better looking than Steven Losquadro, I would still not like to see your picture in Newsday, nor am I interested, quite frankly, in my own fifteen minutes of fame."

A copy of the letter was sent to then-Harborfields Superintendent Raymond McCloat, since retired and now working in Freeport schools. In an interview, McCloat said Reich's arrangement was "never questioned" while he was at Harborfields.

Harborfields officials refused to release Dragone's letter and other correspondence requested under the Freedom of Information Law, but Newsday obtained them elsewhere.

Dragone declined to be interviewed, but said in an e-mail: "Sorry, but other than the fact that Larry was a professional colleague in three districts in which I worked and good friend for more than 30 years, I would have no desire to comment to the news media about my relationship with him."

Reich began his career in the state Education Department Office of Counsel in 1967, according to his resume. He left in 1978 to work for the law firm. That same year, he started working for the Baldwin school district, which provided him with family health coverage.

Over the following years, Bellmore-Merrick High School, East Meadow, Copiague and Harborfields all listed Reich as an employee. In 2000, all five listed him as full time at the same time.

Records also show he was paid part time. In 2002, for example, Baldwin paid him $14,999.92, East Meadow $14,000, Bellmore-Merrick High School $23,911.63, Copiague $26,363.65 and Harborfields $16,713.03. East Meadow school district records show that Reich left that district's payroll on Nov. 30, 2001.

Superintendents in Baldwin and Bellmore-Merrick, who were not at the districts when Reich was hired, declined to say whether they thought Reich's arrangement was appropriate.

But Copiague Superintendent William Bolton, who was not at the district when Reich started there in 1988, defended it as common practice. He also suggested that any questions about Reich's arrangement were making a mountain out of a molehill. "It seems rather small," he said.

James Brennan, Harborfields board president, said board members were assured by Reich and his law firm that his arrangement was appropriate. "We were always told that it was legitimate," he said.

Under state pension rules, a public employee can earn only one year's credit in a calendar year, regardless of the number of days credited, said Emily DeSantis, spokeswoman for the state comptroller.

However, because Reich was treated as an employee, he was allowed to accrue 41.82 years in the state pension system, according to records, even though he was in private practice most of that time. In addition, because Baldwin began listing him as a full-time employee in 1978, Reich was able to retain health benefits.

Ingerman Smith was aware of the arrangement. On Aug. 29, 1995, firm partner Daniel Greenberg wrote a letter to the Harborfields school district, saying, "We appreciate the board's willingness to accommodate this method of continuing its relationship with the firm."

Greenberg did not return a call for comment.

The firm is one of the larger educational law firms on Long Island, representing nearly 50 districts, according to its Web site. Campaign records show the firm has contributed generously to various state and local politicians.

In 2005, Janet Wilson arrived as superintendent in Harborfields. In August, she questioned Reich's arrangement, according to records.

In a letter she later wrote to the state retirement system, Wilson said the district asked Reich to either document his time or change the arrangement. "Despite several reminders to Mr. Reich, the arrangement remained unchanged." Then in September 2006, Reich retired from the districts with an annual pension of $61,459. But in letters, he made it clear that he planned to continue working for the districts.

"Although I intend to retire into the New York State Employees Retirement System, I have no intention to retire in the customary sense of the word. I will remain active as member of the law firm, and I will continue to serve the district as previously," he wrote.

He asked that the districts "reconfigure" his payment and pay him a traditional retainer, rather than a salary. That was in addition to the retainer being paid to the firm.

Then in July 2007, state auditors reviewing the books of the Harborfields school district questioned his pension eligibility, he said in the interview.

Upon the advice of auditors, Wilson wrote the state retirement system, making it clear the district had no records showing that Reich ever worked full time.

Reich said he also contacted the state, but was assured that his arrangement was common practice and that "I shouldn't be unduly concerned," Reich said.

In October 2007 - shortly before the Harborfields audit was released, Reich notified the districts that he was retiring for good. In December, the state comptroller's office released the Harborfields audit. Although it criticized excessive retirement payouts to several former administrators, it made no mention of Reich.

NEWSDAY'S FINDINGS

CLASSIFICATION. Five school districts falsely reported a private, part-time attorney as a full-time employee.

BENEFITS. Because he was on the district payrolls, the attorney, Lawrence Reich, of Northport, received health benefits and earned a yearly New York State pension of $61,459, even though he was a partner in a private law firm.

EXTRAS. His law firm, Ingerman, Smith of Northport, was paid more than $2.5 million from the school districts.

INACTION. State auditors uncovered the problem seven months ago, but have taken no action to date.

AUDITING. After Newsday asked the State Comptroller's office yesterday for comment, the office informed four of the five districts they would be audited.

EARLY WARNING SIGNS

In 2005, after State Comptroller Alan Hevesi harshly chastised a Rocky Point attorney for claiming full-time benefits from the state, one school official reached out to Reich in a letter, left, in hopes of avoiding an embarrassing Newsday story like one from Feb. 2005.

WHAT THEY PAID HIM (2006 figures)

Baldwin: $15,576.84

Bellmore-Merrick H.S.: $23,538.46

Copiague: $28,038.46

Harborfields: $30,124.66

Total: $97,278.42*

$61,459

Reich's annual state pension

1,065 Number of days Reich was reported working

0 Time sheets filed by Reich

* NOTE: In 2006, Reich worked for four school districts; he no longer worked for East Meadow

NY: Whitewash and Coverup Captial

Inspector: Gov. Spitzer pick for state's utility watchdog needed leash
The New York Daily News
BY JOE MAHONEY - DAILY NEWS ALBANY BUREAU CHIEF - Friday, February 15th 2008

ALBANY - Gov. Spitzer's initial pick to run the state's utility watchdog meddled in the agency while still a lobbyist for an energy firm - even offering plum jobs to friendly regulators, the state inspector general found Thursday.

The lobbyist, Angela Sparks Beddoe, also threatened the jobs of Public Service Commission staffers who took regulatory actions she disagreed with and offered raises to other officials who fed her information about PSC business, Inspector General Kristine Hamann said.

Beddoe withdrew her candidacy to be Spitzer's PSC chairwoman after a whistleblower reported the questionable meetings she held with PSC staffers while she was working for Energy East, a firm with numerous matters before the agency, Hamann said in a 130-page report.

The inspector general, however, was unable to substantiate PSC Commissioner Cheryl Buley's claims that since-departed Spitzer energy adviser Steven Mitnick threatened her job and tried to influence her vote in a probe of the 2006 Con Ed blackout in Queens. Hamann did say Mitnick "mismanaged" his attempts to get Buley to quit.

Republicans said the IG's report did not go far enough. Senate GOP Leader Joe Bruno's spokesman, John McArdle, dismissed it as "a whitewash and a coverup for intimidation."

Spitzer spokesman Errol Cockfield said the administration was "pleased" the Mitnick controversy was "resolved." He had no comment on the PSC staffers who had contact with Beddoe, which faces further scrutiny by ethics watchdogs. Because Beddoe was never a state employee, the inspector general said she did not violate the Public Officers Law.

But Eleanor Stein, a PSC in-house judge who met with Beddoe about a possible promotion while she was handling matters important to Energy East, could face ethics charges, officials said.

jmahoney@nydailynews.com

Westchester Attorney Accused of Stealing Client's 226K (MORE, CLICK HERE)

NY Lawyer Accused of Stealing $266,000 From Client
New York Lawyer - February 14, 2008
By Daniel Wise - New York Law Journal

A Westchester attorney was arraigned yesterday on a charge he stole nearly $266,000 from a client to cover personal debts and funds owed to others.

The lawyer, Roger Cohen, 69, pleaded not guilty to one count of third-degree grand larceny and was released on $250,000 bail, according to the Westchester County District Attorney's Office.

Mr. Cohen was accused of taking more than $294,000 from the proceeds of a real estate sale for his client, who owned a real estate investment company. The proceeds were supposed to have been placed in an Internal Revenue Services account to be established for the client, whose name was not released.

When the client demanded the money's return, Mr. Cohen refunded only $28,671, according to prosecutors.

Judge In Ethics Trouble Over Hispanic Slur (MORE, CLICK HERE)

Local Judge Lands in Ethics Trouble Over Alleged Slur on Hispanic Lawyers
New York Lawyer - February 14, 2008
By Charles Toutant - New Jersey Law Journal

NEWARK -- An Essex County family court judge is facing an ethics inquiry - and perhaps a chewing out by the chief justice - for asking a Hispanic lawyer in open court, "When did you become an illegal alien?"

The lawyer is Ivette Ramos Alvarez, immediate past president of the Hispanic Bar Association of New Jersey, who has filed a complaint against Superior Court Judge James Convery with the Advisory Committee on Judicial Conduct.

On top of that, the Hispanic Bar is protesting the judge's remark to Chief Justice Stuart Rabner, asking him to "undertake immediate and aggressive action to insure that comments by members of the judiciary, either on the record or off the record, . . . never again fall outside the boundaries of common sense and propriety."

Rabner has agreed to meet with the bar group, says its current president, Milagros Camacho of Camacho, Gardner & Associates in West Orange.

Covery's Jan. 4 remark, captured on video camera, came during questioning of Alvarez on her client's failure to produce his annual Social Security Administration account statement, which the client claimed he hadn't received.

According to Camacho, who said she has seen a DVD recording of the hearing, Convery asked others in the courtroom if they had received their Social Security statements, and they said yes. When Alvarez said she had not received her own Social Security statement for three or four years, Convery asked her, "When did you become an illegal alien?"

Alvarez responded that the question was inappropriate and then left the courtroom. Her complaint to the ACJC followed, and the family court case was assigned to another judge.

Convery could not be reached for comment on Tuesday, a court holiday.

Alvarez, of Einhorn, Harris, Ascher, Barbarito, Frost & Ironson in Denville, declined comment through an assistant.

Camacho called the judge's remark "disturbing, saying that the term "illegal alien," though not discriminatory per se, perpetuates stereotypes when used arbitrarily against Latinos, regardless of citizenship status.

She added, "As an association, we are bound to represent all Hispanic attorneys and we found this statement to be offensive and disturbing. We believe no insult is too small to respond to because small insults become large insults and eventually they become avalanches."

Camacho said that solos and small-firm lawyer might be less inclined to stand up to such remarks than Alvarez, a well-established attorney at a good-sized firm.

Convery, appointed to the bench in 1993 and tenured in 2000, is one of the least popular judges in his vicinage, according to the Law Journal's 2005 Superior Court Judicial Survey. Lawyers ranked him 43rd out of 48 in freedom from racial and ethnic bias, and dead last in courtesy to lawyers and litigants.