bribery

July 28, 2021

U.S. Charges Ukrainian Industrialist With Conspiracy to Bribe

by Law Offices of David L. Freidberg, P.C.

In a case filed against a foreign national who had never set foot in Chicago (or the United States for that matter), a Ukrainian industrialist is facing charges related to a conspiracy to bribe an Indian official. Unfortunately, the bribe never happened and the deal fell apart. However, that has not stopped the U.S. from attempting to extradite the man to the U.S. to face charges related to a failed bribe.

Dmitry Firtash is a well-known and well-connected Ukrainian natural gas magnate. The question perplexing many is why a Ukrainian citizen who has never been to the United States ended up getting charged in a failed attempt to bribe an Indian official. Attorneys for Firtash claim that there is no case to be made since the bribe never happened, and even if it did, the U.S. lacks personal jurisdiction over the case.

What is going on?

July 14, 2021

Manhattan Jury Convicts Chicago Banker of Bribery

by Law Offices of David L. Freidberg, P.C.

A Trump associate was convicted in Manhattan after he enabled Paul Manafort to get $16 million in loans in exchange for an interview for a job with the Trump Administration. Stephen Calk was convicted of financial institution bribery and conspiracy. Calk insisted that he had broken no law nor done anything wrong.

Calk insisted that although he was given an interview for the job, he was not hired. Hence, there was no quid pro quo. However, Calk enabled Paul Manafort to get $16 million in loans related to his real estate ventures. This was money that would not have been offered to him had he used above-board channels.

Testimony

June 30, 2021

Chicago Alderman Facing Bribery Charges

by Law Offices of David L. Freidberg, P.C.

Chicago Alderman Carrie Austin and her chief of staff are facing federal criminal charges alleging bribery. According to the charges, Austin brokered a deal for a multi-unit real estate development contract. Federal authorities believe that the developer offered Austin home improvements to grease her wheels. Her chief of staff was also offered home improvements. Between them, they acquired new kitchen cabinets, granite countertops, bathroom tiling, new sump pumps, and a brand new HVAC system.

The federal government looks unkindly on businesses offering free services to elected officials, especially when that business went on to win a major contract that was granted with the help of the gift receiver. Austin is the third Chicago alderman to face indictment and the second charged this year.

On what basis are these charges filed?

October 16, 2020

State Representative’s Son-in-Law Pleads Not-Guilty to Bribery

by Law Offices of David L. Freidberg, P.C.

The son-in-law of Joseph Barrios has pled not guilty to federal bribery charges in October. 41-year-old James Weiss is accused of bribing a state representative and senator for legislation that would benefit gaming and gambling operations in Cook County.

Weiss will face eight counts of bribery, fraud, mail fraud, and lying to the FBI. The indictment also added charges to Luis Arroyo’s case which initially involved defrauding a federal program. Arroyo will face expanded charges of wire and mail fraud. Both men have pleaded not guilty to the charges.

Sweepstakes Machines or Gray Machines

September 18, 2020

Chicago Public Schools Staffer Pleads Guilty to Lying to FBI

by Law Offices of David L. Freidberg, P.C.

A former Chicago public school staffer has pleaded guilty to lying to the FBI concerning the divulging of information related to a custodial contract to one of the bidders. Pedro Soto is accused of leaking bid information to one of the bidders and then lying about the fact to the FBI.

Soto resigned from his position as one of Janice Jackson’s top aides after it was discovered that he leaked deliberations concerning the $1 billion contract to one of the bidders in exchange for “various benefits.” The prosecution was the cherry on top of an investigation into Alderman Daniel Solis who was recorded trading favors on wiretapped conversations. Soto and Solis are linked together by a political operative known as “Individual B” who helped broker deals between the men. This individual has not been charged with any crime and thus their identity remains a secret.

Soto Reaches a Plea Deal

July 22, 2020

Feds File Criminal Charges Against ComEd

by Law Offices of David L. Freidberg, P.C.

While Donald Trump has recently announced that federal authorities will be unleashed in major democratic cities, by now, federal involvement in Chicago has been an ongoing fact of life for major developers and politicians for centuries. Most recently, the feds filed a criminal case against ComEd, and they are also targeting House Speaker Michael Madigan.

The feds have lobbyist Mike McClain speaking to a ComEd executive. He told this executive that he should not put anything in writing and that putting things in writing could “only hurt ya.” The two men then discussed a favor for Mike Madigan that federal authorities believe is part of a larger bribery scheme.

How Did the Bribery Scheme Work?

October 20, 2017

The Entrapment Defense Against Bribery in Chicago

by Law Offices of David L. Freidberg, P.C.

Although the entrapment defense against a charge of bribery is considered to be largely ineffective by many lawyers, it is nonetheless quite capable of leading to an acquittal. For recent cases, the collapsed trial of former Representative Ray Frias has shown that it is quite possible for an effective lawyer to make use of this unique defense strategy.

The defense in this case was so unlikely that other parties to the trial, including Lawrence Bloom, considered it to be a model for their own trials. Nevertheless, it is imperative that defendants think carefully before choosing this option.

For a start, it requires a complete confession and admission of the material facts in the case. For a politician, that can spell political doom since opponents will have a pre-prepared oppositional research statement from the admission.

March 17, 2017

Bribery in Chicago: Raising Standards of Public Service

by Law Offices of David L. Freidberg, P.C.

The adage of “The Chicago Way” has been used to stereotype the city as a hub of crime. Bribery is a part of corruption and mismanagement, but its subtlety means that the crime is hard to prosecute. The fact that it erodes public confidence in the system means that the jail sentences for the crime are increasing. Most of the relevant cases focus on the behavior of politicians and public officials yet bribery can also lead to questions about the conduct of the person that is offering the bribe. In some cases, the bribe is not monetary but rather influences insidious levels of influence peddling, nepotism, and cronyism. The courts will have to untangle the web of deceit that is involved in cases in which a sophisticated criminal deliberately exploits a culture of bribery.

Chicago is unfortunate in having two former governors serving jail time for bribery-related criminality. The worst affected departments include justice, law, and administration because that is where the real power is. Bribery essentially involves asking people to pay you extra for doing your job or not doing your job. In some of the worst cases, bribery leads to other forms of criminality because the public official becomes negligent or corrupt in the execution of his or her duties. The belief that officials are powerful means that the courts are harsh on defendants who commit a breach of trust. The defense attorneys typically attempt to present their clients as low-lying officials who are at worst incompetent or naïve.

The Bribery Law as it Stands Today

November 4, 2016

Bribery in Chicago: A City of Pay for Play

by Law Offices of David L. Freidberg, P.C.

Chicago has never been able to quite shake off its sometimes unwarranted reputation as a corruption center in the USA. Take the case of a city insider who has been sentenced to 10 years in jail for taking bribes in a scandal that ironically involved jumping red light cameras. The appropriately named John Bills is not alone in the long list of high ranking and low ranking government officials who soon find that they are in need of an excellent criminal defense attorney. The scale of the case and the sentencing are fairly atypical. The court heart that Mr. Bills took up to $2 million in euphemistically labelled “gifts.” His services included sending large red light camera contracts to Redflex Traffic Systems Inc., a company based in Arizona.

If you are looking for the key ingredients of bribery then this case is as good as any in terms of demonstrating them. First of all you have someone in a position of authority who uses that authority to illegally secure pecuniary advantage in exchange for abusing his offices. There are elements of discriminatory and unlawful behavior which means that certain bids for tenders are never treated fairly for no other reason than the fact that they did not pay the authorizing officer a bribe. Such a crime reduces public confidence in the system and judges are particularly harsh in exercising their discretion. Of course it is possible to reduce the maximum sentence if there are mitigating factors. Some of those mitigating factors include an early confession, cooperation with the police, restitution, and examples of good public works.

The Dangers of Plea Bargaining