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NY. NY Attorney General Defends State Workers Committing Fraud and Spend Millions On Attorney Fees in Their Defense. Rather than Investigating the Fraud Being Reported By the People?

May 10, 2010

NY State Dormitory Authority Spending Millions in Cover-up

The question remains once again, how long will it take for the NY State Attorney General Andrew Cuomo to investigate why the New York State Dormitory Authority (DASNY) is spending millions in legal fees to cover-up corruption and misconduct by former and current DASNY officials?

For over a decade the New York State Dormitory Authority has been paying one of the nations largest law firms, Akin Gump Strauss Hauer & Feld LLP, to delay a trial that will publicly expose the DASNY officials that were engaged in an elaborate plot that used an innocent company, The Vanderbilt Group and it’s principals, Frank and Ken Stubbolo, as scapegoats to cover-up New DASNY officials wrongdoings. Likely due to the Federal investigation of the MOB connected company, Sea Crest Construction, DASNY officials were giving special consideration to at the time.

If NYS Attorney General, Andrew Cuomo would simply review the court documents and testimony received so far, Mr. Cuomo would clearly see the false statements and outright lies given under oath by DASNY officials confirming these actions. Court records also reveal that these same officials violated New York State Ethics laws in many instances; the most severe was giving special consideration to a contractor with ties to organized crime, whose principals pleaded guilty to Federal charges of defrauding government agencies out of millions only months after their business dealing with them.
So far DASNY officials, Thomas Murphy, Douglas VanVleck, James Gray, Daljeet Sandhu and Claudia Hutten, just a few of the state officials involved in the scheme, have managed to escape the bullet, but at a cost of legal fees that could be in the millions by now. Akin Gump Strauss Hauer & Feld LLP has been retained and has been paid regularly since the year 2000! fending off the claims and keeping the evidence out of the spotlight that will surely create major problems for these DASNY officials and others within the power structure of New York State, including former Senator Alphonse D’Amato, Richard Nasti and Charles Gargano.

New York State Supreme Court Justice, Richard Lowe III has postponed the pending trial for the fourth time and it is rumored that Akin Gump Strauss Hauer & Feld LLP is once again asking for an adjournment. This is a David and Goliath trial war . The Vanderbilt Group’s single attorney against Akin Gump Strauss Hauer & Feld LLP , with its thousands of lawyers and staff members. As long as DASNY continues to foot the tab (At New York State’s expense) the eight hundred pound gorilla will continue to ply its manipulation of the courts and use their influences to save these officials from reprimand or possibly, prison. The legal fees paid to Akin Gump Strauss Hauer & Feld LLP since 2000 have probably increased to more than a conceivable settlement with the Vanderbilt Group. Could there be any other reason for this expense? Does this make sense to you Mr. Cuomo?

There is no incentive for Akin Gump Strauss Hauer & Feld LLP to suggest a settlement; they are the law firm receiving millions from the state just for this one case! If you were DASNY official facing criminal charges and just simply had to approve unrestricted spending for a defense to cover-up your wrong doings, I suppose anyone would do the same thing. Andrew Cuomo may make a fine governor of New York State, but while he is still the NYS Attorney General, Mr. Cuomo can clean up a huge problem right now in the Dormitory Authority buy bringing these state officials to justice.

Spend Millions in Legal Fees, paid for by New York State
or Make these people testify?

Pataki, Spitzer and Paterson have done nothing, What will Andrew Cuomo do?
One Comment
  1. Robert Stein permalink

    Two of us from different depatments reported fraud and fudging of numbers that led to our termination–nothing yet has been denied-there should be two additional cases and as far as Mr. Cuomo-he knows, and is aware of the relatives that run the organizations. Numbers are fudged and we are advised to either over report such as in our case or underreport such as Ava Dock–Two cases will be filed and four others are pending. “Sometimes Employees” is well known in Grants and Research and allowed-the reward given to no-shows–people will be amazed just how well they are treated.

    Robert Stein

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