Powerful Men
Among the Corleone's many, many family businesses, real estate played a prominent role, with the Don's favorite son and successor eventually becoming the largest stockholder in the real estate firm International Immobiliare. Real estate also turned out to be behind New York's biggest political scandals so far this year.
An Unfortunate Turn of Events
On January 22, New Yorkers woke up to the news that their long-term Assembly Speaker, 70-year-old Sheldon Silver, was arrested by the FBI, allegedly for failing to disclose income from several real estate law firms that could not be linked to legitimate legal work.
Photo: AP
Law & Order
One of the firms has been identified as Weitz & Luxenberg, specialists in asbestos litigation, reports Fortune. Silver also “obtained more than $500,000 in fees from another law firm specializing in real estate appraisal appeals.”
Guilty as Charged?
All in all, among the charges against Silver, The New York Times listed the following: “…using his position to obtain corrupt payments misrepresented as referral fees from a law firm, funneling state research funds and other benefits to a doctor who in return referred asbestos claims to the law firm where the speaker worked, and secretly helping real estate developers win tax breaks.”
Old Friends
One of the developers in question has been identified as 100-year-old Leonard Litwin, who owns luxury residential firm Glenwood Management. According to Crain’s New York Business, Mr. Litwin, or “Developer 1” has allegedly “made more than $10 million in New York political donations since 2005 and was the state’s largest political donor during that time. Including contributions made through various limited liability corporations, Glenwood Management’s 100-year-old owner Leonard Litwin has been the state’s largest political donor during that period.”
Photo: Steve Friedman
A Prominent Presence
Glenwood Management owns apartment properties in Manhattan and the Bronx, including the Upper East Side, the Upper West Side, Gracie Point, Midtown and Riverdale. Some of its buildings offer assisted housing units.
Partners in Crime
Crain’s reports that Litwin and as-yet-unidentified “Developer 2”: “have large properties with a high number of violations and large opportunities for reductions in assessments and contingency fees.”
Profitable Business
According to The Wall Street Journal, Silver now stands accused of “abusing his political power” for personal gain. A Manhattan judge has issued warrants for eight of his bank accounts containing approximately $4 million.
Thick as Thieves?
To top it all off, The Wall Street Journal reports that “New York City Mayor Bill de Blasio has had close ties with Mr. Silver, relying on the speaker to help pass parts of his agenda. On Thursday, Mr. de Blasio praised the speaker as a ‘man of integrity.’”
The Bitter End
If Silver is convicted, he will face a maximum sentence of 20 years in prison, according to Reuters. Until then, his political colleagues might to give the issue of seniors care facilities partnering with prisons some thought.
