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Sheldon Silver 'Abused Power,' Prosecutors Say as Trial Begins

By Irene Plagianos | November 3, 2015 1:15pm | Updated on November 3, 2015 7:17pm
 Embattled assemblyman Silver is facing corruption and fraud charges.
Embattled assemblyman Silver is facing corruption and fraud charges.
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Getty Images/Daniel Barry

MANHATTAN FEDERAL COURT — "Power, greed, corruption" are at the heart of the case against former Assembly Speaker Sheldon Silver, federal prosecutors said Tuesday during opening arguments in the trial.

Silver, 71, once one of New York’s most powerful politicians, is facing fraud charges related to two extensive bribery schemes that gave him more than $4 million in kickbacks over several years, disguised as legitimate payments.

The embattled assemblyman, who has represented Lower Manhattan for 40 years, was indicted in February on charges of wire fraud, mail fraud and extortion.

He was "picking the people's pocket to line his own," said federal prosecutor Carrie Cohen.

"Year after year after year, Sheldon Silver was on the take...he abused the power he had as leader of the New York State Assembly to get rich," Cohen said. "He told lie after lie about how he made his fortune," Cohen said.

Prosecutors and Silver's defense attorneys gave their opening statements Tuesday, painting two very different pictures of the prominent politician. Prosecutors described him as a corrupt, all-powerful politician, while the defense painted him as a man who served the public interest and also earned a private salary.

Federal prosecutors said Silver received bribes through work he claimed to do for personal injury law firm Weitz & Luxenberg and a real estate law firm. One of the kickbacks involved a grant that was supposed to go toward studying 9/11-related cancer but had no oversight, according to the federal complaint.

Though he stepped down from his powerful position as speaker of the Assembly in January, after he was arrested, Silver — who pleaded not guilty to all charges — has repeatedly told constituents and the press that he will be vindicated.

His lawyers argued that federal prosecutors are wrongly going after Silver for practices that are not uncommon in Albany and not illegal. His lawyers said his position as Assemblyman was separate from his work as a private lawyer who refers cases to his law firm.

"You will not find that Mr. Silver had a corrupt intent," said Silver's lawyer, Steven Molo. "Make no mistake, Mr. Silver did not sell his office."

It's not Silver, but the system of earning a private income that people should take issue with, if they so choose, Molo said.

According to federal prosecutors, however, Silver took nearly $4 million in bribes over 12 years from referring asbestos lawsuits to personal injury firm Weitz & Luxenberg.

Prosecutors say he also worked with a prominent Manhattan doctor, Robert Taub, to send patients to the firm in exchange for $500,000 in research money and other favors.

Silver also took what he called referral fees from a real estate law firm while he directed tax breaks to two developers, including Glenwood Management, the largest political donor in the state.

According to the indictment, Silver tried to cover up his fraud by lying about his work, saying that none of his clients had business with the state even though he was being lobbied by Glenwood Management.

Defense attorneys said there was no corruption, Silver was simply earning money through work in the private sector, something that is legal.

Despite the charges, many in Lower Manhattan have continued to support Silver, a man they say has spearheaded numerous positive changes in the neighborhood.

Silver could face up to 130 years in jail if found guilty on all seven charges.

The trial is expected to last 4 to 6 weeks.