Bruno indicted Grand jury issues 8-count indictment for mail and wire fraud
By BRENDAN J. LYONS AND JAMES M. ODATO, Staff writers Last updated: 12:44 p.m., Friday, January 23, 2009
ALBANY -- A federal grand jury today indicted former state Senate Majority Leader Joseph L. Bruno, accusing him of eight counts of public corruption.
Bruno is scheduled to appear before a federal magistrate at 1:30 p.m. today. Acting U.S. Attorney Andrew T. Baxter has scheduled a press conference for 2:30 p.m.
The 35-page indictment of Bruno was unsealed and filed in federal court sometime after noon.
Bruno, who reigned for years as one of the most powerful lawmakers in New York, is charged with using his office to deprive the public of the honest services of government.
Today's indictment marks the culmination of a three-year FBI investigation into the shadowy public and private dealings of the Brunswick Republican who rose through the ranks of state government and became one of the Capital Region's most iconic political leaders.
Bruno, 79, retired from his state Senate seat in July after 32 years in the post.
The investigation had dogged Bruno during the last two years of his political career as information surfaced publicly about the FBI's deep foray into his real-estate dealings, investments, political decisions and his ownership and breeding of thoroughbred horses. Bruno's ties to labor unions, and his secretive work as a private business consultant for an unknown number of private clients, including a Connecticut investment firm, were at the heart of the probe.
The charges expected to be detailed in the indictment are believed to be built entirely on an ''honest services'' provision of federal statutes that has been used repeatedly by federal prosecutors to take down some of the nation's most corrupt government officials and lobbyists. The broadly written law, which was inserted into federal statutes 20 years ago by Congress, prohibits public officials from using the mail or interstate communications to deprivethe public of an inherent "right to honest services."
The law has become a favored weapon of many prosecutors because it does not require a quid pro quo, which is often difficult to prove in the world of pay-to-play politics where multimillion-dollar deals and campaign fund payoffs are known to be arranged with winks and nods.
The investigation began three years ago, when FBI agents from a white-collar crime unit in Albany began examining a series of private jet flights provided to Bruno by people with whom he did business both politically and privately, a source close to the case said.
The chartered jet flights, in some cases worth thousands of dollars per hour, ferried Bruno to private vacations in South Florida, political fundraisers, government functions and at least once to Kentucky horse country.
The FBI's interest in the flights was triggered, in part, by a related inquiry by the state's now-defunct lobbying commission, according to a source familiar with........................http://timesunion.com/AspStories/story.asp?storyID=762888
They are ALL crooked Sal.....Repub or Dem. Today happens to be the day to expose a Republican. Next week it will be a Democrats turn. I'm certain the other crooked PIG named Spitzer is thrilled by this.
There's a few Democrats that should be brought up on charges for defrauding the taxpayer out of millions such as Barney Frank, Chris Dodd, and Barney Franks very close friend who runs Fannie May. You're right Rene it doesn't matter whether they're Rep or Dem it seems that as soon as they get elected the power and greed take over and the corruption starts IMHO.
First Wall Street and Bruno were laughing at Spitzer. Now Spitzer is laughing at Wall Street and Bruno! Looks like Spitzer got the last laugh!
When the INSANE are running the ASYLUM In individuals, insanity is rare; but in groups, parties, nations and epochs, it is the rule. -- Friedrich Nietzsche
“How fortunate for those in power that people never think.” Adolph Hitler
The US Attorney got an indictment, but as the old saying goes, "you can indict a ham sandwich." From what I'm reading, don't expect any convictions from this. The evidence, such that it is, is sketchy at best, and more of it is "speculative" than substantiated. Bruno will walk on this.
The US Attorney got an indictment, but as the old saying goes, "you can indict a ham sandwich." From what I'm reading, don't expect any convictions from this. The evidence, such that it is, is sketchy at best, and more of it is "speculative" than substantiated. Bruno will walk on this.
I think you may be correct!
When the INSANE are running the ASYLUM In individuals, insanity is rare; but in groups, parties, nations and epochs, it is the rule. -- Friedrich Nietzsche
“How fortunate for those in power that people never think.” Adolph Hitler
Region firms tied to Bruno Federal indictment says former state Senate majority leader disguised ownership
By LARRY RULISON, Business writer First published in print: Saturday, January 24, 2009
ALBANY — The eight-count indictment against former Senate Majority Leader Joseph L. Bruno is a story about a web of interconnected businesses, many of them in the Capital Region.
One of them is MicroKnowledge Inc., a Latham computer training and consulting firm that was founded in 1986 by Beth Coco and has changed hands several times.
MicroKnowledge is one of the companies mentioned in the indictment, and prosecutors allege that Bruno created a consulting firm, Capital Business Consultants LLC, in order to disguise an ownership interest he acquired in MicroKnowledge with White Plains businessman Leonard Fassler. Prosecutors allege that Fassler funneled more than $468,000 to Bruno through his companies between 1993 and 2004.
Coco, who is now executive vice president at MicroKnowlege, was not available for comment Friday.
The indictment alleges that Bruno and Fassler acquired their ownership interest in MicroKnowledge in March 2000.
In August 2000, a continuing education and training company called Brunswick Knowledge Inc. announced it had acquired a 90 percent stake in MicroKnowledge. State Division of Corporations records show that Brunswick Knowledge was incorporated in 2000. Its unclear if there was any connection between Brunswick Knowledge and Bruno and Fassler.
What is known is that in October 2001, Brunswick sold its interest in MicroKnowledge to Vytek Wireless Inc., a White Plains wireless systems integration company with ties to Fassler. Vytek was later acquired by an Oxnard, Calif., company called CalAmp Corp. Shares of CalAmp are publicly-traded on the Nasdaq stock market.
In October 2005, CalAmp sold MicroKnowledge to its management team. At the time, it was announced that Fassler had also acquired a minority stake through Sage Equities Inc. of White Plains. The indictment alleges that Bruno was sent a $15,000 check from Sage Equities.
Fassler also has other ties to local businesses. In 2005, his Convergence Technologies Inc. company acquired Open Systems Technologies LLC of Clifton Park, in part using $1.7 million from the New York State Common Retirement Fund. Bruno attended the announcement of the acquisition back in February 2005, along with Fassler.
Another local firm mentioned in the indictment is McGinn, Smith & Co. Inc., an Albany investment and brokerage firm.
The indictment claims that Bruno was paid $632,116 by McGinn, Smith between 1993 and 2005 for bringing trading business to the firm from union pension funds.
David Smith, managing partner of McGinn, Smith, said Friday that his firm has been cooperating with prosecutors for years on the case and was exonerated of any wrongdoing.
He said that the firm's business dealings with Bruno were "always above board" and very professional.
"They saw no improprieties," Smith said of the U.S. Attorney's Office. "We were not in any way accused of having done anything wrong."
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