Fausta's Blog

American and Latin American Politics, Society, and Culture

August 25, 2004 By Fausta

Corruption Junction today

Jim has the scoop on The Governor and the Feds

During the interview on Friday, McGreevey had his lawyer by his side. That’s a good thing for McGreevey, because as we know from television detective shows (and from law school), anything he might have said during that interview can be used against him, even though the interview on Friday focused on his claim of extortion. (Note: No Miranda warnings would have been necessary, as the interview was most certainly not a “custodial interrogation.”)

Jim remarks, “Yes, he is still in office”, which is not unreasonable since just yesterday the headline was Governor yet to submit resignation letter, which also probably explains why the State of NJ website still doesn’t mention the resignation at all. The Post says MCGREEVEY ‘EXTORTION’ JUST A DISTORTION: FED PROBERS

After quizzing the principals in McGreevey’s gay-sex scandal, the probers have concluded preliminarily that what was really was going on was negotiations between attorneys, law-enforcement sources said

Hardly surprising there’s a Jim aide in a rage. To add to the story, NY Lawyer says Ex-McGreevey Aide’s Legal Team Falls Outside the Norm.

Similarities to a former Democrat President come to mind, when reading today’s Star Ledger: Troopers drove McGreevey to Cipel visits: Sources say governor’s use of his security detail made some officers uneasy. Indeed. The article includes some home-financing information:

In December 2001, soon after the affair began, the security detail took McGreevey to the Amboy National Bank branch in Woodbridge where he helped Cipel secure financing for a condominium in West Windsor, near Drumthwacket.

George Scharpf, the bank’s president, said yesterday McGreevey and Cipel came to the branch together.

McGreevey was known at the bank as a neighbor: his campaign headquarters had been located above the branch office in the Wilentz Building on Woodbridge Center Drive. The bank also had held some of the McGreevey campaign’s accounts.

It was clear that Cipel was close with the governor, Scharpf said. “If we turned it down it would have to go through me,” he said.

But in the end it was processed just like any other mortgage, Scharpf said. Cipel filled out an application and the bank ultimately gave him two mortgages worth $171,000.

McGreevey was later overheard telling Cipel that he told a bank official Cipel would soon be making $110,000 a year, according to the law enforcement source. Citing privacy concerns, Scharpf would not comment on the details of any discussions about the Cipel loan with the governor

This being NJ, where there’s a name, there’s a fine: The Trentonian says that

George Scharpf, president of the bank, has given $17,000 to both Republicans and Democrats since 1989. Most of his contributions have been for the Middlesex County Democratic Majority funds controlled by former Senate President John Lynch. Lynch is one of McGreevey’s political mentors. Scharpf has given $1,000 to McGreevey since his 1997 gubernatorial bid.

In January 2003, the bank and Scharpf were fined for urging bank executives to use expense accounts for political contributions. The bank agreed to pay a $60,000 civil fine to the Federal Election Commission for improperly raising money for political action committees. Scharpf agreed to pay a $24,000 penalty

In the “he doth protest too much” department — while reacquainting himself with hundreds of the state’s labor leaders, no less: Corzine won’t lobby for early departure: Sen. Jon Corzine yesterday stumped for John Kerry, stood by Gov. James McGreevey’s decision to remain in office until Nov. 15 and reacquainted himself with hundreds of the state’s labor leaders who could be instrumental if the senator does decide to run for governor next year. Perhaps rather prematurely, someone at WPIV News wonders What’s Next for McGreevey?. Obviously they haven’t read my predictions.

Adding to the NJ glossary, The Trenton Times has a story on wheeling, a concept new to me, but apparently in vogue among some circles (in this case, a democrat):

“wheeling,” in which savvy politicians get around the statutory $37,000 cap on what an individual can give to a county political organization by shifting cash from one county to another

9 days to disenfranchisement if we can’t persuade McGreevey to leave by September 3. Join us tomorrow in front of the State House, and contact the politicians and insist that we are allowed to vote for a change. Call your State representatives, and also:

New Jersey Democratic Party Contact page

Phone the Democratic Party: (609) 392-DEMS (3367)

Snail mail: McGreevey

The State House

P. O. Box 001

Trenton, NJ 08625

(609) 292-6000

email contact page

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