The Rogue Police Union

The Rogue Police Union December 7, 1993 Related New York Frank Serpico: A Letter Home by Frank Serpico Since Caruso and Hartman attained power in the PBA, law enforcement wiretaps have caught La Cosa Nostra figures bragging about their relationships with the two men. These gangsters included soldiers and associates of the Genovese and Luchese families. In addition, former Hartman associates told the Voice that Frank “Kiki” Testa, a retired sanitation worker who appeared to have ties to the Philadelphia mob, was for a period of time a menacing presence around the office where PBA legal matters were handled. Caruso stood by as a gambling addiction engulfed Hartman and compromised the integrity of the union. Like so many compulsive gamblers, Hartman became both liar and thief as he piled up enormous losses in Atlantic City casinos. Besides improperly taking funds from a police officers’ escrow account — i.e. the officers’ own money — to feed his habit, Hartman turned to a loan shark and to clients who agreed to pay their bills in cash. In one instance, an associate with a criminal record delivered $250,000 in cash to Hartman’s Atlantic City hotel room, so the lawyer could get back to the craps tables. Many sources for this story believe that the millions Hartman blew at the gaming tables came mostly from the grossly inflated retainers, fees, and consulting contracts he received from Phil Caruso’s PBA. Hartman relied on his close relationship with Senator Alfonse D’Amato and other friends in the Nassau County Republican machine to aid him in winning extremely generous contracts for clients. As a Nassau County supervisor, D’Amato intervened in labor talks on behalf of the Nassau Community College adjunct faculty. Hartman reciprocated by playing a vital role in D’Amato’s first successful race for the U.S. Senate. Among other things, Hartman allegedly funneled contributions through his staff. D’Amato later hired Hartman’s brother-in-law and eventually helped the man attain a judgeship, despite his lack of significant courtroom experience. The senator also assisted Hartman clients, including a felon, in efforts to get gun permits. Related The Front Rudy Guiliani: The Friend Within by William Bastone By massaging the labor negotiating process in Nassau County, Hartman racked up huge salary gains for cops there. He then cited the Nassau contracts as fair precedents in getting concessions from New York City, concessions that benefited the PBA bureaucracy far more than New York’s police officers. Although Hartman had previously seen numerous associates charged with legal improprieties including two bosses, a coworker, and a law partner, he greased this process by providing gifts and favors to officials in Nassau county. Among other plums, certain county officials who favored Hartman were rewarded with well paid teaching jobs on the Nassau Community College adjunct faculty, a client of Hartman’s and a patronage pit. Caruso transformed the modestly paid position of PBA counsel into a gold mine, paying Hartman millions of dollars a year and sending him millions more in referral business. Prior to Caruso’s election to president, the PBA spent a little above $1 million a year for legal representation, labor negotiations, and lobbying. By 1991, the PBA was spending more than $7.2 million for the same services. The huge bargaining budget had virtually no effect on the basic police officer’s salary, which at best has only kept pace with inflation. Others benefited greatly, however; Hartman poured contributions into Caruso’s campaigns for the PBA presidency and in 1981 gave Caruso a Jeep. According to investigative sources familiar with a 1988 Manhattan grand jury, convened to examine embezzlement in the union, the topic of cash kickbacks to a PBA official was also explored. The PBA foiled investigations of police corruption. Before going to jail in 1985 for bribing witnesses not to testify against cops, Walter Cox, the PBA’s private investigator, recounted that he had been operating under explicit orders from superiors. More recently, a PBA precinct official tried to sidetrack initial police probes of renegade cop Michael Dowd. And law enforcement sources say the PBA also recently ruined a Bronx D.A./NYPD sting set up to snare crooked cops. Related From The Archives How a Young Donald Trump Forced His Way From Avenue Z to Manhattan by Wayne Barrett After the Manhattan D.A. discovered that Hartman had raided the PBA members’ escrow fund to pay for gambling binges and got him to surrender his law license, Hartman turned right around and set up a cozy relationship with the PBA’s successor firm, Lysaght, Lysaght & Kramer. The new outfit, headed by Hartman’s former roommate, an ex-cop named James Lysaght, seamlessly took over the lucrative PBA account, moving into Hartman’s offices and retaining his staff. Several Hartman relatives are on the Lysaght payroll and his brother Elliott until recently has handled the firm’s bookkeeping, just as he did before the transition. Furthermore, the Voice observed Lysaght holding a clandestine meeting with Hartman during the past year, one of a string of business discussions Hartman held in near empty parks on cold winter days. If legal matters were discussed, such a meeting would seem to violate Hartman’s agreement with the district attorney to get out of the PBA’s legal affairs. Instead of firing Hartman for dipping into the escrow funds, Caruso continued to reward him. After Hartman gave up his law license, Caruso granted him another multi-million dollar compensation arrangement. Hartman became both a “labor consultant” to the PBA and the broker on an expensive new life insurance policy sold to PBA members, before handing the account off to the wives of PBA lawyers James Lysaght and Peter Kramer. Caruso, his staff, and PBA accountants are decidedly cavalier in the way they handle the PBA’s huge cash flow — $63 million in annual contributions from the city, dues from PBA members, and income on assets. In every document filed with the government, one of the biggest line items is always “other,” which is rarely explained on supplemental sheets. In 1991, a whopping $6.6 million in expenses was lumped under “other.” That figure only hints at the overhead that the PBA carries today. Because of its extravagant administrative costs, and huge payouts to lawyers, lobbyists, and labor negotiators, the PBA’s expenses nearly equal the benefits it disburses to members—approximately $26 million. (See “The PBA’s Bloated Overhead,” page 28.) For United Way and other tax-exempt organizations, such spendthrift practices have recently triggered public outrage and forced resignations. So far, the PBA has successfully avoided virtually all inquiry and criticism. Related News & Politics Rudy Giuliani’s White World by Wayne Barrett Related From The Archives Bill Barr: The “Cover-Up General” by Frank Snepp Related The Front The Birthday Boy: Roy Cohn is 52 at 54 by Wayne Barrett Related The Front Rogue Police Union: The PBA’s Bloated Overhead by Russ W. Baker Related From The Archives New York’s Whitest by Janice Prindle Related The Front Rogue Police Union: Nassau’s GOP Affirmative Action Machine by Russ W. Baker Related The City How To Cure the Police Crime Plague by Jack Newfield Related New York Forget It, Jake, It’s Chinatown by T.J. English Related From The Archives Crazy Joe Gallo, Playing the Godfather Game by Arthur Bell Most people who gamble don’t really want anyone to know what they are doing. Most of them will lie about what they had for breakfast. Compulsive gamblers who are down on their luck steal 90, 95 per cent of the time. — Bill, Gamblers Anonymous Related New York Don’t Tread on Us: New York Should Secede From the Union by Pete Hamill Related From The Archives Our Nixon: Whose Life Was It Anyway? by Tom Carson Related New York Donald Trump’s Tower of Trouble by Wayne Barrett Related From The Archives The White Issue: White Like Who? by Edward Ball Related Neighborhoods Thug Life by Wayne Barrett Related New York Wayne Barrett: How Donald Trump Managed To Turn Triumph Into Disaster by Wayne Barrett Related From The Archives The CIA Report the President Doesn’t Want You to Read by The Village Voice Archives Related The Front Crossfire: The NRA Under Siege by Frank Smyth Related Pride Full Moon Over the Stonewall by Howard Smith Related New York New York’s Other Mafia: Young Warriors in Chinatown by Mark Jacobson Phil Caruso is more difficult to get to than the mayor or the president. — Eric Adams, president of the black officers’ association, the Guardians Related From The Archives The Day They Got Mr. Untouchable, Nicky Barnes by Timothy Crouse Related Jockbeat How Donald Trump Hooked Mike Tyson by Rick Hornung Related From The Archives Donald Trump’s Seduction of Mario Cuomo by Wayne Barrett

2020-07-31 | From The Archives, News & Politics, The City | English |