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Pedro Espada
Espada Indicted – Again
Jan 18th - 8:19 am
Former Senate Majority Leader Pedro Espada Jr. and his son, Pedro G., were indicted yet again for allegedly bilking hundreds of thousands of dollars from their healthcare network, Soundview, which received both federal and state funding.
The superseding indictment that appears below was handed down late yesterday.
It adds two counts of false statement (basically allegedly the former Bronx lawmaker lied to the federal government about profits realized by a janitorial services company he and his son had set up to contract with Soundview and his own compensation) to the litany of charges the Espadas are facing – all of which they deny.
Arraignment will be next Wednesday, Jan. 25, at 5 p.m.
Espada: Maybe JCOPE Should Investigate Cuomo
Dec 27th - 5:48 pm
In a classic example of grabbing the lion’s tail, former Sen. Pedro Espada released a statement late this afternoon to not only blast the Legislative Ethics Commission, but also called on Albany’s new ethics panel to investigate Gov. Andrew Cuomo.
Espada was responding to a report from the Legislative Ethics Commission that said the former pol broke the law when he his uncle, Juan Feliciano Jr., for an $80,000-a-year job as “special assistant.”
Espada then makes a pivot to call for the new Joint Commission on Public Ethics to investigate Cuomo. As AG, Cuomo charged Espada last year with pocketing $14 million in public money from his Soundview Health Clinics (The Espada statement was released by Soundview).
Espada alleges that Cuomo uses state property for private fund-raising, closes community health care centers for “personal political vendettas” (I’m assuming Espada is talking about his own health care network. Just a hunch I have) and makes an allusion to the Committee to Save New York.
The statement doesn’t refute any of the substantive claims made by the ethics commission and the swipes at Cuomo don’t seem to make much sense. The CSNY stuff has raised eyebrows, but Cuomo has kept the committee at arm’s length.
Here’s the statement:
“The report generated and released by the Legislative Ethics Commission is false from beginning to end. It is indicative of the work created by a group recently deemed unnecessary and a waste of resources by legislative leaders and is particularly disheartening during time in which so many New Yorkers face real issues such as joblessness, a depressed economy and a need for delivery of vital services,” said Mr. Espada, former Senate President Pro Tempore and Majority Leader.
“It is my hope that the new Joint Commission on Public Ethics will take up real ethics violations such as the use of state owned assets by Governor Cuomo for private fundraisers, the closing of Community Health Centers due to personal political vendettas and the use of money from interest groups who do business with the State to fund television ads explicitly pushing the Governor’s agenda,” noted Mr. Espada
Espada’s Family Ties
Dec 27th - 8:58 am
Here’s the Dec. 9 notice posted without announcement or fanfare on the Website of the Legislative Ethics Commission alleging that former Senate Majority Leader Pedro Espada Jr. violated the law by hiring his uncle, Juan Feliciano Jr., as an $80,000-a-year “special assistant” and then lying about their family connection.
The TU reported on the allegation this morning – the latest in a string of charges lodged against Espada, who has repeatedly insisted he has never done anything wrong.
This latest accusation could lead to another criminal charge against the former Bronx Democrat who was bounced from office in 2010, thanks to a successful primary challenge by Sen. Gustavo Rivera.
As the TU notes, the Public Officers Law clearly states elected officials may not “articipate in any decision to hire, promote, discipline or discharge a relative for any compensated position at, for or within any state agency, public authority or the Legislature.”
A “relative” is defined as “any person living in the same household as the individual and any person who is a direct descendant of that individual’s grandparents or the spouse of such descendant.”
The Ethics Commission lays out the family connection between Feliciano and Espada, and it is not the first investigative entity to do so. Then-AG Andrew Cuomo made the same allegation in a lawsuit he brought against Espada in April 2010.
The commission says Espada did not cooperate with its probe, which will be its last now that its investigatory responsibilities have been usurped by JCOPE.
Blast From The Past
Sep 28th - 2:37 pm
Compliments of The Brooklyn Politics blog, we bring you an unusually candid peak inside the Senate Democratic conference.
It’s an oldie, but a goodie.
Shortly after the 14-minute mark of an extended interview you can access by clicking the above link, Sen. Diane Savino provides details of the heated exchange that took place between herself and Sen. Kevin Parker back in February 2010 (not 2009, as the blog reports) while the Democrats were discussing whether to expel then-Sen. Hiram Monserrate after he was found guilty of a misdemeanor assault charge.
The verbal altercation almost became physical (Parker has a bit of a history), but Sen. Jeff Klein and then Majority Leader Pedro Espada Jr. interceded. Savino said she thought at the time that Parker had “lost his mind.”
She also couldn’t help but note “the irony that he’s coming at me defending a guy who was about to be expelled from the Senate for slashing a woman’s face with broken glass,” adding: “It just didn’t seem to make any sense.”
Much as happened since then.
The Democrats lost control of the chamber. Both Monserrate and Espada are long gone. (Monserrate was expelled, and Espada was defeated in a primary by Sen. Gustavo Rivera). Savino, Klein and two of their colleagues – Sen. David Carlucci and David Valesky – left the minority and formed their own conference, the IDC.
Savino’s recollection of the exchange, which appears in full after the jump, just goes to show you how far the Democrats have come since their extremely dysfunctional days in the majority.
Although that’s not to say they don’t still have their work cut out for them as they prepare for a re-match in hopes of wresting control of the chamber back from the GOP in 2012.
Medicaid IG To Boot Espada’s Soundview
Aug 10th - 5:34 pm
As expected, the Medicaid IG has recommended that the state exclude former Senate Majority Leader Pedro Espada Jr.’s Bronx-based Soundview Health Network from the Medicaid program based on its “failure to develop and enact a comprehensive compliance program.”
Medicaid IG James Cox made this decision after an “extensive review of management practices” by Soundview. Reviews were conducted in May by the office’s Bureau of Compliance and depositions were taken from Soundview’s board chair and assistant controller in July.
In addition, the IG subpoenaed thousands of pages of documents from the healthcare organization – some of which have yet to be produced, according to Cox’s press release.
Espada and his son, Pedro G. Espada, were barred from participating in the state’s Medicaid program on Jan. 10, which means they cannot be paid with Medicaid funds. Nevertheless, according to Cox, both Espadas have continued to work at Soundview.
Charges Mount Against Espadas
Mar 28th - 1:18 pm
The charges filed against former Senate Majority Leader Pedro Espada Jr. and his son, Pedro G. Espada, now include tax and wire fraud.
We were expecting this, but just in case you really enjoy reading legal documents….here it is. Pedro Espada’s court date is Sept. 12.
Espada Goes To Trial Sept. 12
Mar 4th - 3:57 pm
A federal judge has set a Sept. 12 trial date in former Senate Majority Leader Pedro Espada Jr.’s corruption case.
In addition, as per Ny1′s Grace Rauh, we also learned today that the US attorney’s office plans to file a superseding indictment against Espada by the end of the month. That is expected to include new tax charges.
Espada’s lawyer also raised the idea of having a jury questionnaire for this case, arguing that it is very high-profile due to the ex-senator’s public profile. The questionnaire would be designed to root out potential bias in would-be jurors.
Both sides back in court on June 23 at 3 p.m.
Espada’s attorney, Susan Necheles, told Judge Frederic Block in Brooklyn federal court that a plea deal is highly unlikely because the Bronx Democrat is convinced of his innocence and determined to fight the charges against him.
Espada and his son, Pedro G., were indicted last December for allegedly stealing more than half a million dollars from the Soundview health care clinic, a federal-funded healthcare not-for-profit.
The indictment cames as a result of a joint investigation between the AG’s office (then manned by now-Gov. Andrew Cuomo) and the US Attorney’s Office for the Eastern District of NY, the FBI and the IRS.
The Espadas are facing five counts of embezzlement and one count of conspiracy.
If convicted, they face up to 10 years in prison on each of the embezzlement counts and 5 years for the conspiracy charge, on top of another $250,000 fine for each conviction.
Do The Espadas Plan To Plea? (Updated)
Dec 16th - 3:59 pm
After pleading not guilty to embezzlement and conspiracy charges yesterday, Sen. Pedro Espada Jr. told reporters: “I do have abiding faith in the justice system, in the people who decide these matters, and I look forward to a full and complete vindication in court.”
But paperwork filed by his attorney appears to tell a different story.
This application of excludable delay, forwarded by a helpful reader, indicates Espada’s legal team needs additional time to prepare for trial due to the “complexity of the case.”
It also indicates the following:
“Given the reasonable likelihood that ongoing plea negotiations will result in a disposition of this case without trial, the exclusion of time will allow counsel to focus their efforts on plea negotiations without the risk that they would be denied the resonable time necessary for effective preparation for trial, taking into account the exercise of due diligence.”
Also, another document indicates Espada filed an unsecured bond for $750,000 to make bail, which is apparently unusual and rarely offered for any offense over a misdemeanor.
UPDATE: An attorney says the documents filed here are fairly standard, and it’s not unusual to have an unsecured bond in a white collar case.
Samuels Still After Espada
Dec 16th - 11:52 am
New Roosevelt Founder Bill Samuels, who helped Gustavo Rivera defeat Pedro Espada Jr. in a primary back in September, is now calling on the former Senate Majority Leader not to use campaign funds for his legal defense of federal embezzlement and conspiracy charges.
“Espada should not be allowed to use his remaining campaign contributions to defend himself against the various state and federal charges he is facing,” Samuels said. “He should either return the money to his contributors or donate the funds to a legitimate charity. It is the right and transparent thing to do.”
State law allows candidates to use campaign funds for many personal things, including legal defense. And Samuels says Espada has nearly $300,000 in funds he could tap.
“While we don’t know how much campaign cash Espada has on hand since he didn’t file mandatory disclosures following the election, we can safely assume that he’ll be using as much as $290,556.24 to fend off these criminal charges,” Samuels said. “This loophole must be closed so that corrupt politicians, such as Espada who is well known for his campaign finance violations, can’t just skirt the law and use their ill-gotten gains to defend themselves.”
Judge On Espada Case Recuses Himself (Updated)
Dec 15th - 4:33 pm
A reader forwarded this order by US District Court Judge Eric Vitaliano, who recused himself from presiding over the case of Senate Majority Leader Pedro Espada Jr. and his son, Pedro G. Espada, who were indicted on criminal charges yesterday by AG/Governor-elect Andrew Cuomo and US Attorney Loretta Lynch.
Vitaliano came to the bench from a lengthy political career. He’s a former congressional staffer (to ex-Rep. John Murphy), and then served in the Assembly, representing Staten Island from 1983 to 2001 when he was elected to serve as a Civil Court judge.
In 2004 he became a state Supreme Court justice and in 2005, he was recommended to the Eastern District bench by Sen. Chuck Schumer. He was nominated by former President George W. Bush in October 2005.
UPDATE: The Espadas pleaded not guilty earlier today. The Post reports:
Federal Magistrate Judge Steven Gold told the Espadas they were “charged with very serious crimes and if convicted faced long sentences in prison,” and ordered the pair held on $750,000 bail each, which father and son quickly posted.
The duo was ordered to turn over their respective passports. The senator’s has reportedly expired, and he told the court he has misplaced it.
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