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Thursday, July 23, 2009

3 NJ mayors, lawmakers arrested in corruption case

3 NJ mayors, lawmakers arrested in corruption case

AP Photo
A group of unidentifed men are walked outside FBI offices Thursday, July 23, 2009, in Newark, N.J.. to a waiting bus for transport to court hearing.


NEWARK, N.J. (AP) -- The mayors of three New Jersey cities, two state legislators and several rabbis were among more than 40 people arrested Thursday in a sweeping corruption investigation that began as a probe into an international money laundering ring that trafficked in goods as diverse as human organs and fake designer handbags.

Among 44 people arrested Thursday were Hoboken Mayor Peter Cammarano III, Secaucus Mayor Dennis Elwell, Jersey City Deputy Mayor Leona Beldini, state Assemblyman President L. Harvey Smith and state Assemblyman Daniel Van Pelt.

Ridgefield Mayor Anthony Suarez, who is also an attorney, is charged with agreeing to accept an illegal $10,000 cash payment for his legal defense fund.

Gov. Jon Corzine reacted to the corruption probe Thursday morning by saying, "any corruption is unacceptable - anywhere, anytime, by anybody. The scale of corruption we're seeing as this unfolds is simply outrageous and cannot be tolerated."

In separate money laundering complaints, several rabbis from Brooklyn and New Jersey were charged with offenses ranging from the trafficking of kidneys from Israeli donors to laundering proceeds from selling fake Gucci and Prada bags.

Van Pelt is accused of accepting $10,000 from a cooperating government witness posing as a developer who sought help in getting permits for a project in Ocean County.

Smith, the Jersey City Council President, and several other current and former Jersey City public officials also are accused of accepting money to help the fake developer gain permits and approvals.

Beldini, 74, is charged with conspiracy to commit extortion by taking $20,000 in illegal campaign contributions. Jersey City Mayor Jerramiah Healy said Thursday the charges were "a little shocking."

"I have full faith in Leona," Healy said. "She's a good friend of mine - was and will be."

Cammarano, 32, who won a runoff election last month, is charged with accepting $25,000 in cash bribes from an undercover cooperating witness. Elwell is charged with taking $10,000.

Joseph Hayden, an attorney representing Cammarano, said his client "is innocent of these charges. He intends to fight them with all his strength until he proves his innocence."

According to the U.S. Attorney's Office, the investigation initially focused, with the help of the cooperating witness, on the money laundering network that operated between Brooklyn, Deal, N.J. and Israel. The network is alleged to have laundered tens of millions of dollars through charities controlled by rabbis in New York and New Jersey.

Israeli police spokesman Micky Rosenfeld said he has heard of the story but knows nothing of kidneys being sold by Israelis.

The investigation widened to include official corruption in July 2007 when the cooperating witness approached public officials in Hudson County posing as a developer seeking to build in the Jersey City area.

For full story go to: http://www.kyw1060.com/

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