Former Republican Committee Chairman Zehy Jereis Charged with Conspiracy, Bribery, and Extortion in Connection with Two Real Estate Developments Projects within the City of Yonkers which were Pending before Annabi; and
Westchester County Lawyer Anthony Mangone Charged with Conspiracy, Bribery, and Extortion in Connection with the Same Two real Estate Projects within the City of
White Plains, NY -- Mr Mangone was arrested early this morning in Purchase, New York. Ms Annabi and Mr Jereis surrendered to federal authorities earlier today. All three defendants were presented before United States Magistrate Judge Lisa Margaret Smith in White Plains Federal Court.
The Longfellow Project
In 2003, the Milio Brothers proposed to develop a tract of partially withing the Yonkers City Council District represent by Ms Annabi by renovating two vacant schools in what is known as the Hollows. During a City Council meeting on June 14, 2005, Ms Annabi proclaimed her strong opposition to the project. She stated, "Even if the entire community supported [it], I would be opposed." She went on to say the project was "outrageous" and a "slap in the face to the taxpayers of Yonkers." Despite considerable effort, the Milio Brothers were unable to move the project forward in the face of Ms Annabi's opposition.
In April 2006, the Milio Brothers hired Mr Mangone to assit in "persuading" Ms Annabi to support the Longfellow Project. A meeting was arranged by Mr Mangone, the Milio Brothers, and Mr Jereis, after which Mr Jereis advised that he could persuade Ms Annabi to support the project. Later Mr Mangone told the Milio Brothers that in order for the project to proceed, the milio Brothers would have to pay Ms Annabi $30,000 in exchange for her support. The Milio Brothers gave Mr mangone the $30,00 in cash for Ms Annabi and paid mr Mangone a $10,000 cash fee for his services.
Shortly after receiving the $30,000 in cash, Ms Annabi made several substantive cash and credit card purchases - including airline ticket upgrades, a Rolex watch, and a diamond cross necklace. Then, at a City Council meeting in September 2006, Ms Annabi reversed her long-held opposition to the Longfellow Project and voted in favor of awarding the project to the Milio Brothers. [Editor's note: The indiction does not mention the Milio Brothers by name, rather, it rfers to them as "Developer No. 1]
The Ridge Hill Development Project
The "Ridge Hill Development Project" was a project proposed by Forest City Ratner to develop an 81-acre tract of land to establish retail shopping, restaurants, office s[pace, hundred of residential units, and a hotel and conference center. Ms Annabi was an outspoken critic of the project and voted against legislation that would permit the project to proceed. Ms Annabi joined two other Yonkers City Councilmembers filed a civil lawsuit to effectively block the Ridge Hill development project. FoRest City Ratner repeatedly tried to convince Ms annabi to vote in favor of the project to no avail.
On June 2, 2006, Mr Jereis was introduced to representatives of Forest City Ratner after which Mr Jereis arrabnged for a meeting between them, Ms Annabi and himself to discuss the Ridge Hill Developmet Project. Mr Jereis and representatives of the Ridge Hill Development Project agreed to give Mr Jereis a consulting job sometime after Ms Annabi reversed her opposition to the project. Two weeks after the reversal, Mr Jereis began to receive $5,000 per month. Both Mr jereis and representatives of Forest City Ratner would draft a press release divulging Ms Annabi's support for the Ridge Hill Development Project.
Ms Annabi voted in favor of the zoning change required to permit the Ridge Hill Development Project to move ahead. Mr Jereis would receive $60,000 over one year's time.Secret Payments to Annabi and Efforts to Conceal the Crimes
Since at least 2004, Ms Annabi has recieved Mr Mssrs Jereis and Mangon, and thers more than $160,00 worth of secret payments designed to influence and reward her for official action or inaction on matters pending before the City Council as specific opportunities arose. Ms Annani, Mr Jereis, and Mr Mangone also took various steps to conceal their scheme by making false statements and or omitting required information in various reporting documents.
According to the indictment, Ms Annabi affirmatively concealed the illegal benefits she received from Mr Jeris amd Mr Mangone by filing annual financial disclosure documents, from 2004 through 2007, that intentionally omitted illegal payments.
Preet Bharara, the United States Attorney for the Southern District of New York said, "Today's indictment describes what was essentially a bipartisan corruption pact between sandy annabi, Zehy Jereis, and Anthony Mangone. When the people of Yonkers elected Annabi to the City Council, she swore an oath to faithfully discharge the duties of her office. But rather than keep her word, she betrayed Yonkers' residents by selling the most important assets any elected official has: her integrity and her independence. In our down economy, there are too many buildings with 'For Sale' signs hanging in the window; City Hall shouldn't be on of them."
The charges contained in the Indictment are merely ccusations and the defendants are presumed innocent unless and until proven guilty.
