Hassan Nemazee: Schumer, Gillibrand Among New York Democrats Who Received Money From Alleged Fraudster

ALBANY, N.Y. (AP) -- Attorney General Andrew Cuomo, freshman U.S. Rep. Scott Murphy, and U.S. Sens. Charles Schumer and Kirsten Gillibrand are among the many New York Democrats who accepted donations from a national Democratic fundraiser now charged with lying to get a $74 million business loan.

Cuomo and state Comptroller Thomas DiNapoli each received $5,000 in campaign contributions from investment banker Hassan Nemazee. As attorney general, Cuomo investigates abuses in the financial markets and was critical of executives given bonuses by investment banks that received federal bailouts. DiNapoli, who returned the money to Nemazee, is the sole trustee of New York's massive pension fund for state workers.

Many Democrats -- including Murphy, Schumer and Gillibrand -- are turning the donations over to charity. Cuomo's campaign said he will be donating the contribution to charity.

Schumer is giving $4,800 he received in the past two years to a New York City foreclosure prevention program. Murphy gave his $1,000 donation to a camp that serves children with life threatening illnesses. Gillibrand hasn't decided what charity will get the $4,600 she received.

Nemazee is under house arrest. Federal prosecutors charged him with giving Citibank "fraudulent and forged" documents showing he owned millions of dollars in collateral to secure the loan, which he has repaid. Nemazee has raised money for President Barack Obama, Hillary Rodham Clinton, and others.

Other politicians to receive donations from Nemazee include New York City Council Speaker Christine Quinn. Her spokesman says the account for an earlier potential run for mayor is frozen and they can't do anything with the $1,000 contribution right now. City Council member David Yassky is donating the $500 he received while running for Congress in 2006 to a foreclosure and homeless prevention organization in Brooklyn. U.S. Reps. Anthony Weiner and Carolyn Maloney, both Democrats, are donating their contributions to charities.

Many of the political action committees that received donations from Nemazee are now defunct.

The chairman and chief executive of Manhattan-based Nemazee Capital Corp. served as national finance chairman for Clinton's presidential campaign in 2008. He raised money for Obama after her primary defeat.

Nemazee was released under a $25 million bail package that requires him to pledge his Park Avenue apartment and a Katonah, N.Y., home worth $8 million as collateral within a week. He is also banned from using computers or the Internet or getting new cell phones or bank loans. He has not had to enter a plea because he has not been indicted. He faces up to 30 years in prison if he is convicted.

Comments

[veracity]

HOLY SMOKES!! after paragraph after parargraph of "CONVICTED UNTIL PROVEN INNOCENT" innuendo reporting, ALL we know about Nemazee's alleged "CRIME" is that "HE LIED TO OBTAIN A LOAN" ????

ARE YOU s***ING ME ????!!!

The guy has to put up $25 MILLION in bail for "lying to get a loan" ????

This sounds like a CLASSIC goddamn-sachs HIT job, "knock off the opposition so we can get their business,"

or more precisely, a MARTHA STEWART SMEAR JOB, "let's take that UPPITY b____ down a few notches" - Stewart's "CRIME" of selling $55,000 of ImClone stock SHE HAD NO fiduciary connection to, CRUELLY FARCICAL compared to what Mr. Obama's bankster-gangsters have DONE TO MILLIONS of American families.

Is Mr. obama TRYING to BECOME THE NEW WOODROW WILSON, RESTORING the RADICAL RIGHT-WING SEGREGATIONISTS (and LYNCH-MOB ERA) to Washington DC & America ???!!!

[JulieSA]

Wilson was a statist progressive who locked up citizens who disagreed with his policies. Obama just insults and belittles citizens who disagree with him--so far.

Nemazee raised a lot of money for Obama. he also did these things for the party:

National Finance Chair - Hillary Clinton for President, 2008
National Finance Chair - Democratic Senatorial Campaign Committee (DSCC)
New York Finance Chair - John Kerry for President 2002 -2004

[JulieSA]

Nemazee is current finance chair of the DSCC. Why does the article not mention that?

[ibsteve2u]

Tsk, tsk....living in New York, and not knowing the game? You don't use "fraudulent and forged" documents; you take something of near infinitesimal value and you "leverage it up" into collateral.

At least, that is how the banks and Wall Street - those cesspools of Republicans - do it. Witness the sub-prime mortgage crisis.

I wonder if the right will recall that it is their boyz who have so defrauded America when they are calling for the political lives of these Democrats; politicians who merely accepted donations from someone they most likely didn't know was a crook?

[JulieSA]

Wall Street is a Dem shop now. Fannie and Freddie have been for years, too.

[cognitivereddawn]

SOLE TRUSTEE of New York's pension fund for state workers? Stupid asses. You deserve to be ripped off. SOLE TRUSTEE?

[baffy]

Schumer takes money from anybody and everybody and gives it back when they are shown to be criminals. I'm surprised that he still has any left.

[hulagirrrl]

Maybe we should just have a law that forbids any outside money, and every party will have a certain amount of money generated by tax and that is it. The mayor of Honolulu is going to run for Governor and already has a million or so in campaign money. WTF, the money "donated' for political cause should all be forwarded to non profits that help their communities. This money issue is getting out of control I think.

[edwarvir]

They are doing the right thing, by giving the
monies to a charitable organization.

[serindipity803]

I am all for exposing the sources and recipients -- so long as the recipients give it away or return it -- then we can go on. The time waster is when the recipient; aka: Congress, chooses to LIE and Thieve the nation in support of the culprit lobby/corporate dole.

[oldgeek1]

If you have to raise money there is always the risk that someone who donates is dishonest.

[samuelberg]

Politicians and shady fraudsters go together like disco and polyester.

[JulieSA]

This isn't just some guy, though. Here's what he's done recently for the Dems:

National Finance Chair - Hillary Clinton for President, 2008
National Finance Chair - Democratic Senatorial Campaign Committee (DSCC)
New York Finance Chair - John Kerry for President 2002 -2004

And appointed by Bill Clinton to be ambassador to Argentina, although that fell through.

Funny how the article leaves that stuff out.