Eric T. Schneiderman and Thomas P. DiNapoli,
the state comptroller, have entered into an agreement that will grant
Mr. Schneiderman powers to criminally prosecute corruption involving
taxpayer money, significantly expanding the attorney general’s authority
to pursue public integrity cases.
General Eric T. Schneiderman are collaborating on public integrity.
Under the agreement, the comptroller and the attorney general will
establish a joint task force on public integrity. Mr. Schneiderman’s
prosecutors will work with Mr. DiNapoli’s investigators and auditors
looking into legislative earmarks, state pensions and government
contracts.
But in a twist, Mr. DiNapoli has also agreed to employ a little-known
provision of state law to refer any findings from joint investigations
to Mr. Schneiderman for criminal prosecution.
“We’ll coordinate our respective roles to uncover and prosecute
government waste, fraud and abuse,” Mr. DiNapoli said in a statement.
“This is a powerful message: New York’s two independently elected
oversight officials are partnering together to ensure integrity and
accountability to every level of government in New York State.
The arrangement could make it easier for Mr. Schneiderman to investigate
and root out certain kinds of public corruption than past attorneys
general. And it comes as Gov. Andrew M. Cuomo
is seeking more aggressive and independent enforcement of state ethics
laws and broader disclosure of lawmakers’ outside employment.
“It could be a very effective approach,” said Eric R. Dinallo, who
headed the securities bureau in the attorney general’s office under
Eliot Spitzer and was later superintendent of the State Insurance
Department. “If you can’t get legislative relief around ethics issues in
government and you’re trying to get jurisdiction, sometimes the law has
all the jurisdiction you need — if you look at it in a creative way.”
The agreement between Mr. Schneiderman and Mr. DiNapoli has significant
limits: The attorney general will still lack standing to investigate
allegations of criminal violations of election law, or to investigate
the Legislature for offenses unrelated to the expenditure of state
money, like a lawmaker’s failure to disclose outside income. Mr. Cuomo
is hoping to increase scrutiny in some of those areas through a
comprehensive ethics deal with the Legislature; failing that, he could
appoint an investigative commission under the state Moreland Act, though
such a commission would be unable to bring criminal prosecutions.
But the new joint task force will give Mr. Schneiderman powerful legal
tools to tackle a host of other problems that have sullied New York
government in recent years: pension padding, no-show jobs, abuse of
legislative earmarks, and fraud at the state’s secretive public
authorities.
“Expanding the attorney general’s power to prosecute public corruption
will be a major element of our comprehensive approach,” Mr. Schneiderman
said in a statement.
Under the agreement, which was reached last week, Mr. Schneiderman
subpoenaed a local development corporation in Monroe County and its
prime contractor over a $224 million upgrade of the county’s emergency
communications system. Some local Democratic officials have criticized
the project, approved in 2009 by the Republican county executive and
Republican-controlled County Legislature, alleging secrecy and potential
conflicts of interest.
Mr. Schneiderman’s subpoenas were accompanied by a notice from Mr.
DiNapoli’s office, informing officials of an impending audit.
Under state law, the attorney general cannot unilaterally investigate
public officials for breaking campaign finance rules, violating ethics
laws or even taking bribes. As a result, major investigations of New
York officials in recent years have been conducted chiefly by district
attorneys or federal prosecutors with jurisdiction over bribery,
kickbacks, and other criminal forms of corruption.
Attorneys general have been able to pursue some corruption cases. Mr.
Cuomo, for example, investigated the state pension fund and Pedro Espada Jr.,
the former state senator from the Bronx, using laws that give the
attorney general jurisdiction over securities fraud and charities. Mr.
Cuomo sought legislation to expand the attorney general’s criminal
powers to investigate other forms of political corruption but was
rebuffed by the Legislature.
