Some of the information that led to New York Assembly Speaker Sheldon Silver's arrest came from Gov. Andrew Cuomo's now-defunct Moreland Commission.
SYRACUSE, N.Y. - Some of the work started by Gov. Andrew Cuomo's now defunct anti-corruption Moreland Commission led to last week's arrest of Assembly Speaker Sheldon Silver, according to federal prosecutors.
How much? That is unclear at this point.
"The only person who knows for sure is the federal prosecutor," said Assembly Minority Leader Brian Kolb, R-Canandaigua. "So far, he hasn't shared it."
Cuomo disbanded the Moreland Commission in March, just months after its co-chair, Onondaga County District Attorney William Fitzpatrick, said it had uncovered unspecified criminal activity and not long after it had subpoenaed records from Silver and from the law firm from which Silver allegedly received millions of dollars that he failed to reveal in state financial disclosure records.
At that time, U.S. Attorney Preet Bharara publicly criticized the governor for halting the Moreland Commission's work, calling it a "premature end" that was "difficult to understand."
On Thursday, Bharara and the FBI filed a 35-page criminal complaint against Silver filled with charges about bribes and secret earnings but without witness statements, supporting documents and a more-detailed timeline about who discovered what, and when.
In fact, the government's investigation into Silver started in June 2013, according to the complaint, one month before Cuomo first formed the Moreland Commission.
A few days after Cuomo dismantled the Commission to Investigate Public Corruption, Bharara requested and received files and documents from panel. That data included the commission's work in investigating legislators' outside income.
"We had been looking at Speaker Silver's outside income for some period of time, and then merged our investigation with new material that we got from the Moreland Commission," Bharara said at a news conference following Silver's arrest.
Some of the documents and leads Bharara received from the Moreland Commission "are reflected in this complaint," the legal papers against Silver read.
The five counts against Silver, 70, accuse him of hiding kickbacks and bribes under the guise of private-sector attorney fees for legal work he never did. Investigators searched court records back to 2002 and found no instance where Silver represented any client in a legal matter. They say he collected more than $6 million in legal payments from two law firms during the same time. Silver was required by state law to disclose the income, but he only clearly disclosed payments from one of the law firms.
Did the Moreland Commission uncover any evidence of Silver's alleged illegal conduct? Should it have continued to investigate Silver, brought charges against the speaker or referred a case against him for prosecution?
Fitzpatrick, one of three people who headed up the commission, has declined since Silver's arrest to comment on the Moreland Commission's investigation of the speaker. Onondaga County Executive Joanie Mahoney, also a member of the panel, did not return a phone call seeking comment.
At a news conference after Silver's arrest, Bharara was asked if Cuomo bears any blame for the Moreland Commission's failure to discover or to make public the secret payments to Silver.
"I've made my view about the shutting down of the Moreland Commission clear. That's all I'll say," Bharara said.
Assemblyman Will Barclay, R-Pulaski, said he's not convinced that the work from Moreland factored into the investigation by federal prosecutors. He thinks that a new requirement to disclose legislators' private income played a bigger role. "I think one of the real catalysts was disclosing income," Barclay said Monday. "We always had to disclose it, but it never was made public."
Silver has denied any wrongdoing. He pleaded not guilty last week and was released on $200,000 bail. He's due back in court on Feb. 23.
Here's a timeline of the Moreland Commission and the investigation into Silver, according to the federal prosecutor's complaint, press conferences and news reports during the past 18 months:
June 2013: Federal prosecutors launch a grand jury investigation into the outside income of Silver.
July 2, 2013: Cuomo creates the Moreland Commission, a panel with subpoena power to examine New York's weak campaign finance laws, propose changes and investigate any suspected wrongdoing, including earnings associated with lawmakers' outside incomes.
August 29, 2013: The commission sends a letter to lawmakers earning more than $20,000 in outside income requesting information about that income. Many lawmakers, including Silver, do not comply.
September-October 2013: Cuomo faces questions about whether his administration is interfering with the Moreland Commission.
November 2013: Fitzpatrick says publicly that the commission has uncovered illegal activity, though he doesn't specify what it is or whether it involves lawmakers. That same month, lawmakers, including Silver, fight request from the commission to disclose more information about their private-sector incomes. The commission subpoenas employers of any state lawmaker with an outside income of more than $20,000. That includes Weitz & Luxenberg, the law firm paying Silver. The subpoena requests records concerning "clients advised or represented by Assembly Speaker Sheldon Silver, and a general description of the services provided by the (speaker)...," the complaint says.
December 2013: The commission releases its initial report, which includes worries about potential political kickbacks or money earned for no-show jobs. The report does not make any specific allegations against any specific lawmaker. Also early this month, Silver leads the Assembly (while Sens. Jeff Klein and Dean Skelos do the same in the Senate) to file a motion in State Supreme Court to quash the legal request. Weitz & Luxenberg also files its own motion to quash the subpoena.
Feb. 25, 2014: Silver says at a press conference that the Moreland Commission was "engaged in a fishing expedition to intimidate legislators" and had exceeded its mandate. Fitzpatrick calls it the dumbest thing he's ever heard.
March 29, 2014: Cuomo announces, as a part of budget negotiations, that he would dismantle the Moreland Commission. Lawmakers agree to pass the Public Trust Act, a new set of laws that would increase penalties for bribery and make small changes to the state's campaign finance laws. The new act did not change how lawmakers would disclose their private incomes going forward. "Silver and his Assembly staff were key participants in these negotiations and prior discussions of these issues, including advocating against the Moreland Commission's formation and continued existence and arguing against limits to legislators' outside income and related disclosure requirements."
April 10, 2014: Bharara requests and receives the Moreland Commission's files and documents, including documents related to its investigation of legislators' outside income. "Certain of these documents and leads contained therein are reflected in this complaint."
April 22, 2014: Attorney General Eric Schneiderman files a letter in state Supreme Court withdrawing the subpoenas related to outside income and requesting that any pending motions be dismissed.
July 2014: The New York Times publishes a lengthy story saying the Cuomo administration interfered with investigations by the panel. Parts of the story already were reported by the New York Daily News and City and State. But this detailed accounting - along with Cuomo's lengthy denial of any interference - renews discussion about the Moreland Commission's findings. Cuomo, his top aide and Fitzpatrick deny the accusations of interference.
December 2014: Silver acknowledges he's earning money from a second law firm not found on his public disclosure notices.
Jan. 22, 2015: Silver is charged with five counts involving political corruption. He faces 100 years in prison. He denies all charges.
January 2015: Bharara continues to investigate lawmakers.
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