FLASH! GOVERNOR CUOMO INVESTS IN HOMELESS–$10.4 BILLION COMMITTED. 25,815 VIOLATIONS FOUND IN A 35 DAY PERIOD. CRACKDOWN, CLOSURES ANNOUNCED.

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WPCNR ALBANY ROUNDS. From the Governor’s Press Office. June 2, 2016:
Thursday, New York State announced the launch of Phase One of the Homelessness Action Plan, which is part of a multifaceted, focused and comprehensive package of initiatives involving multiple agencies.
In his 2016 State of the State address, Governor Andrew M. Cuomo proposed a historic $10.4 billion commitment to combat homelessness statewide over the next five years, which includes $2.6 billion for new supportive housing units and $7.8 billion for continuing commitments in support of existing supportive housing units, shelter beds, and other homeless services. 

The Governor’s Press Office also announced a  multiagency team inspected all 916 homeless shelters across the State over a 35-day period. Inspectors found 25,815 violations of habitability and safety standards that affected the health and safety of shelter residents, including 4,344 violations rated as severe. 

In remarks this morning  (June 2, 2016_)at the Supportive Housing Network of New York State’s annual conference, New York State Homes and Community Renewal Commissioner James S. Rubin outlined phase one of the Action Plan, which includes:


· Issuing a Request for Proposals for 1,200 units of supportive housing. The RFP is the first phase of the $2.6 billion plan to develop 6,000 units of supportive housing over the next five years.


· Addressing inadequate shelter housing in New York City by providing to the City of New York more than 500 beds in underused state and state-licensed facilities for the homeless.


· Creating an Interagency Council on Homelessness to explore targeted solutions to homelessness and recommend best practices and policies to meet the ongoing needs of communities and individuals.


· Completing inspections of all 916 homeless shelters in the state and taking action to improve the conditions in homeless shelters so facilities are safe, clean and well-maintained.


Homes and Community Renewal Commissioner James S. Rubin said: “With unprecedented financial assistance to combating homelessness, Governor Cuomo’s action plan is a broad, wide-reaching approach to addressing one of our society’s most troubling and intransigent problems. It’s comprehensive in the sense that it serves the entire state, but is designed to be flexible in the solutions it prescribes – understanding that there is no one way to solve homelessness. New York has always been ready and able to look to novel approaches and good ideas to solve what some would see as intractable issues. New York pioneered the Supporting Housing model and thanks to Governor Cuomo’s deep commitment to confronting the many root causes of chronic homelessness, we continue to lead.”

Permanent Support Housing
The Empire State Supportive Housing InitiativeRequest for Proposalsannounced today and issued by the New York State Office of Mental Health (OMH) seeks to fund approximately 1,200 units of permanent Supportive Housing.

These units will serve vulnerable individuals with special needs, and will include a variety of supportive services tailored to their needs such as employment training, counseling, independent living skills training, benefits advocacy and assistance in obtaining and maintaining primary and mental healthcare.

Proposals are due within 45 days and conditional award notifications will be made at the end of August. Funds awarded through the Empire State RFP will finance the operation and services provided by supportive housing; construction funding is availablethrough a number of other New York State and local capital funding programs and is not covered under this RFP.

Emergency Shelter Beds
In addition, the state has identified 513 emergency shelter beds in underused state and state-licensed facilities to provide immediate relief for the street homeless population and homeless individuals with mental health or substance abuse problems. The state will work with the City of New York to identify providers with the experience and expertise to successfully manage these facilities.

State-wide Interagency Council on Homelessness
In December 2015, more than 100 nonprofit leaders who address homelessness met with State agency heads about their work. To help guide and improve the State’s ongoing response to homelessness and move beyond the idea that there is one solution to homelessness, Governor Cuomo is forming the Interagency Council on Homelessness, co-chaired by Fran Barrett, the Governor’s Interagency Coordinator for Not-for-Profit Services, and HCR Commissioner James S. Rubin.

Charged with taking a comprehensive look at the problem of homelessness statewide, the Interagency Council will work collaboratively over the next 24 months with providers and local governments to identify problems, pursue solutions and establish a creative and flexible set of best practices, including ensuring a statewide Continuum of Care and conducting a thorough review of policies and procedures that can eliminate barriers to service.

The Interagency Council will provide an opportunity to continue that important dialogue and will begin its work immediately, with plans to issue its first report in December 2016. The Council members include:


· Dr. Rosa Gil, President and CEO of Comunilife
· Tony Hannigan, Founder and Executive Director of the Center for Urban Services
· Deborah Damm O’Brien, Executive Director of Catholic Charities Housing of Albany
· Lilliam Barrios-Paoli, Senior Advisor to the President of Hunter College, Chair of the Board of Directors of NYC Health + Hospitals
· John Paul Perez, Partner Relations Associate, Finger Lakes Performing Provider System (FLPPS)
· Reverend Dr. Maria Skates, CEO of Utica’s Johnson Park Center
· Melissa Spicer, Executive Director, Clear Path for Veterans
· Christine Quinn, President and CEO of WIN
· Bobby Watts, Executive Director of Care for the Homeless
· Dale Zuchlewski, Executive Director, Homeless Alliance of Western New York


The Council is comprised of community leaders from across New York State, as well as representatives from state agencies, including the Office of Temporary and Disability Assistance, New York State Homes and Community Renewal, Office of Mental Health, Office of Alcoholism and Substance Abuse Services, Office of Children and Family Services, the Department of Corrections and Community Supervision, the Department of Health, including the AIDS Institute, and the Office for the Prevention of Domestic Violence.

Statewide Inspection Initiative


Improving the conditions in homeless shelters so facilities are safe, clean and well-maintained is central to the success of the Homelessness Action Plan.

In the State of the State, the Governor announced an unprecedented coordinated effort to undergo inspections at every shelter across the state. Those inspections have officially been completed.

The State’s multiagency homeless shelter inspection initiative, led by OTDA, uncovered deficiencies in 97 percent of shelters in New York State. These include thousands of housing quality issues that affect the health, safety and quality of life of the residents. These violations are unacceptable.

In response, today the state is announcing that it will:


· Require all homeless shelters using public funds to be subject to direct state regulation and inspected annually by the State, including for the first time shelters previously categorized as ‘uncertified’ shelters


· Require deficiencies at shelters be cured within specified deadlines (outlined below) or the State will take enforcement action including, but not limited to, closing shelters, installing a Temporary Operator, withholding reimbursement and/or limiting intake of new residents.

· Require the operator of each emergency shelter to submit a security plan to its local social services district and require each district to submit a comprehensive security plan to OTDA for approval. Regulations will also require that all serious security incidents be immediately reported to the State.


· Review and approve the per diem rates set for all types of shelters.

The State found that rates paid to shelter operators by local social service districts vary widely, irrespective of the quality and conditions of the shelter and the social services it provides. The State will ensure that reimbursement rates are appropriate for the type of shelter services being provided and are sufficient to keep the shelter safe, clean and well-maintained.Today, all local social services districts received individualized reports of the findings. The State will work with local social service districts to develop a corrective action plan for all shelters with violations. The corrective action plan will require the shelter operator to provide satisfactory evidence that it has remedied the violation.

Additional actions will be taken in the case of shelters with the most severe violations:


· The State shall place certain shelters under a temporary operator unless violations of regulations have been resolved within 90 days.


· Shelters with the most severe violations per unit will be subject to closure in 180 days if violations are not fully addressed.

Any shelter required to submit a closure plan must ensure that residents are placed either in permanent housing or in another shelter before the closure date. It is the responsibility of the local district to ensure that all current residents are appropriately housed before the shelter is closed. The State will track all residents in such shelters to confirm that they have been properly placed in permanent housing or a shelter that is clean, safe and well-maintained.

The multiagency team inspected all 916 homeless shelters across the State over a 35-day period. Inspectors found 25,815 violations of habitability and safety standards that affected the health and safety of shelter residents, including 4,344 violations rated as severe.

The full report can be viewedhere.

Interagency Coordinator for Not-for-Profit Services Fran Barrett said:

“The homeless situation is dire. By combining the skills and experience of both State Agencies and private experts, we will begin to reverse a trend that has resulted in more than 88,000 people experiencing homelessness on any given night throughout the State. The Governor is acutely aware of the remarkable rate of increase of homeless families and is tasking this Interagency Council with arriving at cross-cutting common sense solutions.”

Office of Mental Health Commissioner Ann Sullivan said:

“Governor Cuomo’s historic investment in the battle against homelessness will provide thousands of New York residents with the support they need to rebuild their lives. For individuals struggling with mental illness and substance use disorders, a safe place to live with integrated services is a proven route to recovery and resilience. The Governor’s plan will improve the lives of our most vulnerable residents by bringing together agencies, communities, and service providers to create tangible solutions that seek to end homelessness in New York State.”

Office of Temporary and Disability Assistance Commissioner Samuel Roberts said: “This comprehensive, statewide review of homeless housing is an important first step to creating standards that must be met. Access to a home of one’s own, whether it is a single room or an apartment, can empower people who are troubled or otherwise down on their luck to look forward to a brighter, independent future.”

Lilliam Barrios Paoli, Senior Advisor to the President of Hunter College, Chair of the Board of Directors of NYC Health + Hospitals said: “Governor Cuomo’s commitment to investing in affordable housing and tackling the homelessness crisis is bringing New York into a brighter tomorrow. From establishing and interagency council on homelessness to kicking off the development of 1,200 units of desperately needed supportive housing, New York is tackling the homeless crisis head on. I applaud Governor Cuomo for his leadership on this issue and look forward to seeing the impact this historic investment will have in the lives of our most vulnerable New Yorkers.”

Dr. Rosa Gil, President and CEO of Comunilife said: “Today’s actions announced by New York State are imperative to mitigating the homelessness crisis. By providing funding for new housing units, beds and supportive services, the State is taking an aggressive step toward ensuring that those in need have access to resources that will place them on the road towards health, recovery and prosperity. I applaud Governor Cuomo for his leadership on this issue, and his commitment to improving the lives of all New Yorkers.”​

Tony Hannigan, Founder and Executive Director of the Center for Urban Services said: “Working on the Interagency Council on Homelessness is a great opportunity for me and for all of us working on this to help shape better systems of services and housing for homeless individuals and families in New York.”

Deborah Damm O’Brien, Executive Director of Catholic Charities Housing of Albany said: “Governor Cuomo and NYS are leading the way in the fight against homelessness, proving that no matter how pervasive, or seemingly unconquerable, government and its partners can successfully tackle this crisis. This comprehensive action plan not only keeps more people off the streets, but ensures the homeless and vulnerable that they can have hope and a home. Today New York’s moral compass is pointed in the right direction, and I am proud play a role by serving on the Interagency Advisory Council.” ​​

John Paul Perez, Partner Relations Associate, Finger Lakes Performing Provider System said: “Combatting homelessness is a challenge, but the action plan announced today by New York State gives protection and hope to countless individuals and families across New York. I am proud to be a part of Governor Cuomo’s Statewide Interagency Council on Homelessness, where we will continue our work in combatting this crisis by developing real policy recommendations and provide insight into the growing problem across New York.”

Christine Quinn, President and CEO of WIN said: “As the impact of homelessness grows in our communities, Governor Cuomo has once again stepped up to the plate and is delivering real, tangible solutions for all New Yorkers. These groundbreaking initiatives, including the development of 1,200 units of supportive housing will make a fundamental difference in the lives of New York’s children and families. I thank Governor Cuomo for his comprehensive efforts to combat this crisis, and I look forward being a proud partner in this action plan.”

Brenda Rosen, President and CEO of Breaking Ground said: “We cannot thank Governor Andrew Cuomo enough for his continued commitment to helping homeless New Yorkers restore their lives. Transitional housing is a critical resource to break the cycle of housing instability and homelessness for some of our most vulnerable clients. The Governor’s generous assistance of state-run facilities for transitional housing development will be an invaluable resource in our efforts to end homelessness.”

Muzzy Rosenblatt, Executive Director of BRC said: “I’m grateful for and inspired by Governor Cuomo’s dogged determination to maintain a focus on the needs of homeless New Yorkers, our most vulnerable neighbors, and his continued commitment to create the opportunities and provide the resources that can and will make a positive and meaningful impact on people’s lives. His leadership evokes the spirit of FDR, who said “the test of our progress is not whether we add more to the abundance of those who have much, it is whether we provide enough to those who have little.”

Reverend Dr. Maria A. Scates, D.D. CEO/Founder of Utica’s Johnson Park Center said: “Homelessness – the visible and the hidden – illuminates the division between those who have and those who have not. The state’s action plan provides powerful, real-world solutions to real-world problems, and drives these actions forward with an unprecedented investment in combatting the homelessness crisis. As someone who has faced homelessness personally, I commend Governor Cuomo for his leadership in working to strengthen the New York family.”

Melissa Spicer, Executive Director, Clear Path for Veterans said: “Homelessness is a crisis in New York, and Governor Cuomo has put forth a solutions-based approach that addresses the causes of this pervasive moral dilemma. Ensuring that our veterans, who have put their lives in harm’s way to safeguard our protections, have a safe and comfortable place to call home is a priority, and I thank Governor Cuomo for his leadership and commitment to protecting a population that should be assets to New Yorkers, not living in homelessness.”

Dale Zuchlewski, Executive Director, Homeless Alliance of Western New York said: “Homelessness has been a crisis in our state for decades – but with this robust action plan, New York is launching an unprecedented response to attack this problem head-on. By immediately providing funding for more than 1,200 supportive housing units, 500 beds, and supportive services, those in need will have better access to the resources necessary to help them get off the streets and on a path toward a brighter future. I commend Governor Cuomo for his commitment to improving the quality of life for millions of people across the state.”

Bobby Watts, Executive Director of Care for the Homeless, New York City said: “We have had a great example at the federal level of an Interagency Council has helped to marshal resources. It is one of the best investments we can make to address homelessness.”

 

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TOUR WHITE PLAINS HOSPITAL MEDICAL CENTER FOR CANCER TONIGHT ON “PEOPLE TO BE HEARD” SEE IT TONIGHT ON THE INTERNET AT www.wpcommunitymedia.org and later on WHITEPLAINSWEEK.COM

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DR. UNA HOPKINS

ADMINISTRATIVE DIRECTOR 

THE NEW WHITE PLAINS CANCER CENTER

TAKES 

JOHN BAILEY

OF PEOPLE TO BE HEARD

ON A TOUR OF THE NEW

WHITE PLAINS HOSPITAL CENTER FOR CANCER

NOW ON 

www.wpcommunitymedia.org

and later this evening on

www.whiteplainsweek.com

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In his blue gardens men and girls came and went like moths among the whisperings and the champagne and the stars–Nick Carroway, The Great Gatsby

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WPCNR SOUTH END TIMES. From The Woman’s Club of White Plains. June 2, 2016:

The Woman’s Club is presenting it second annual Jazz for the Gardens” on Thursday, June 9 from 6:30 – 9:00 PM.  This year’s event is particularly timely as the Woman’s Club is celebrating its centennial in 2016 and the program is part of a long tradition of musical programs at the Club.

The performance will feature a jazz quintet including vocalist Alma Micic, described by All About Jazz as “confident, soulful, vulnerable, rhythmically savvy, with the most sensual vibrato you’re likely to hear”.   Accompanying her will be Hiroshi Yamazaki on keyboard who performed at the event last year, Nick Bello on sax, John Lang on bass and Jake Robinson on “skins.”

Mr. Yamakazi, Lang and Robinson are also faculty members of the Music Conservatory of Westchester.

Last year’s concert was a resounding success with nearly 100 attendees enjoying music, food and cocktails in the beautiful setting of the gardens of the CV Rich Mansion, the home of the Woman’s Club. Plans for this year promise an even more spectacular event.

One of the missions of the Woman’s Club of White Plains and the Woman’s Club of White Plains Foundation is the maintenance and restoration of the 106 year old CV Rich Mansion and its gardens.

The house, an Italian villa style mansion built in 1910, was purchased by the Woman’s Club in 1930 and has served as its clubhouse since that time. The home is listed on the State and National Historic Registry and proceeds from the evening will be used for the enhancement of the gardens.

Wine & Hors d’oeuvres will be served. Tickets are $60 per person and advance reservations are required. They can be purchased online at  www.womansclubofwhiteplains.org. For more info, contact jscherm5@hotmail.com.

 

 

 

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GOVERNOR CUOMO INKS 21ST CENTURY LAGUARDIA AIRPORT UPGRADE READY IN 2022.

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WOW! CUOMO’S LAGUARDIA–TO OPEN BY THE END OF 2021. THE DEAL WAS SIGNED WEDNESDAY.

WPCNR ALBANY ROUNDS. From Governor Andrew Cuomo’s Office. June 1, 1016:

Wednesday afternoon, Governor Andrew M. Cuomo announced that the Port Authority of New York and New Jersey executed a 35-year lease agreement and reached financial close with LaGuardia Gateway Partners on the transformational redevelopment of LaGuardia Airport.

The announcement marks a major milestone for the renowned project, with construction on the new 35-gate Terminal B expected to begin shortly. New facilities will begin to open to the public in 2018, with all portions of the new Terminal B slated to open by the end of 2021.

A rush transcript of the Governor’s remarks is below:

Hello and good afternoon. I think these gentlemen and the teams that have worked with them deserve a round of applause because this is a really big deal and it is a great job. This is an exciting day and it is a long time coming. It has been a lot of hard work that has gone into getting us to this point but we will actually be starting construction on a new LaGuardia Airport, an entirely new LaGuardia Airport that is long overdue and is essential for New York.

Airports are not what they were at one time. Big business for this state is tourism, airports are essential, for commerce airports are essential, just for convenience of the citizens airports are essential.

If you look at the airports around the world it is clear that New York has been left behind, that many on the great international airports are better, more sophisticated than New York’s airports. LaGuardia and Kennedy are the front door for New York to the world. LaGuardia especially, Kennedy needs improvement and we are working on that but LaGuardia especially, it has been unacceptable for a very long period of time.

Vice President Biden, God bless him, has a way of speaking frankly and he made that point when he said if you were blindfolded and you landed in LaGuardia airport you would think that you landed in a third world country. Not the most tactful statement but he made the point and he was right and anyone who has been using LaGuardia for the past ten or twenty years knows that it is not what it needs to be and it is certainly not of New York Quality. So the plan was, let’s do it right. Let’s do it from the ground up and let’s build a whole new airport. Not rebuilding what was, we are not repairing what was, this is virtually, blank slate, building new and it is a really overdue but exciting opportunity.

So to Pat Foye the executive director has done a magnificent job shepherding it through, the chairman John Degnan of the Port Authority, LGP Partners, Delta Airlines, Rick Cotton, Dan Tishman and so many people who have worked long and hard to get us here today.

Why hadn’t we done it before? Well it is hard to build an airport, you know? It is expensive and it is complicated and it is technical. This is going to be the first new airport since the Denver airport built twenty years ago. So it is difficult and I think especially in New York, somewhere over the past couple of decades New York lost part of its governmental ambition right?

This is a public sector job, this is a public sector project. We are doing it in partnership so it is a private sector partnership as Pat mentioned the largest in the country but it is complicated and it is tough and we lost our appetite for big and complicated, difficult public works. I have been working very hard to regain that ambition because you need to. You need to continue to build and grow, otherwise other places will pass you by.

You look at New York, what makes New York, New York? We always did the impossible, we always did the first, we always did the ambitious. We were always a step ahead and there was nothing that we couldn’t do. That was our attitude that is the New York ethics and the New York way, some call it the New York arrogance. But we made the greatest city, the greatest state on the planet and we have to keep that energy and that positivism and rebuilding infrastructure and staying ahead of the curve on infrastructure is essential. 


Airports, trains and bridges and we are doing it all across the board. LaGuardia airport, we are working now on the redesign of Kennedy airport. We are working on a new Penn station, Penn Farley complex, we are working on adding a third rail track to the Long Island Railroad coming in from Long Island. Eastside access, large scale capital projects to make sure New York stays New York and New York leads the other states and the other countries in making sure we have state of the art facilities.

Again I know how long and hard these gentlemen have worked and now the work really just begins I want you to know, the shovel will literally go into the ground and then we are going to do a ceremonial groundbreaking to celebrate the moment. It is exciting and it is a new day for New York.

As a Queen’s boy who was born and raised this gives me a special pleasure that Queen’s is going to get a new airport but this is really New York’s airport and this is going to be state of the art and it is going to be better than anything out there and it is going to be the airport that New York State deserves. So well done and congratulations to all.

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Former Corporation Counsel of White Plains Memorial Service

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WPCNR MILESTONES. June 1, 2016:

A Memorial Service is being held Wednesday morning observing the death of Charles A. Bradley III of Briarcliff Manor, an attorney and former Corporation Counsel of the City of White Plains,  who devoted much of his career to public service in municipal and state governance, died at home on May 23, 2016 after a long illness.

He was 82. Born in Boston, MA and raised in Corning. N.Y., he was a graduate of Phillips Academy (Andover), Williams College, and the University of Virginia Law School.He was admitted to the New York State Bar in 1958 and joined a law firm in Elmira, N. Y., also serving as Justice of the Peace for two years, followed by service as Town Attorney and then as Town Supervisor for six years. He was appointed Chemung County assistant district attorney and was appointed to the staff of the Attorney General of New York State to serve on the Organized Crime Task Force created by Governor Nelson Rockefeller. He was assigned as a Special Assistant Attorney General in the investigation of the Attica prison riot in 1971. Following that assignment, he joined the staff of the Attorney General’s office in New York City where he represented a host of state agencies in state and federal courts.

Bradley resigned from the Attorney General’s office to become Corporation Counsel for the City of White Plains in 1979. In that post, he won significant cases on the City’s behalf. He was a member of the Westchester County Bar Association and once assisted with its continuing education program.

He retired as Corporation Counsel in 1985 and returned to private practice for several years. In 2001 he served as Acting Village Manager of Briarcliff Manor where he was responsible for overseeing the completion of the renovation of Law Park.

In retirement, he served with avid interest and great enthusiasm for more than a decade as a docent at Kykuit, the Rockefeller Estate in Sleepy Hollow, and as a part-time archivist at the Rockefeller Archive Center.

Bradley was predeceased by his parents, Katherine Rose Bradley and Charles A. Bradley Jr. and a twin brother, William Edward Bradley, all of Corning, NY; he was also predeceased by two brothers in law.

His survivors include his beloved wife of 34 years, Eileen Oakley Bradley, and daughter Jennifer C. Earl of Briarcliff Manor; daughters Margaret Bradley Van Orman and her husband of Stroudsburg, PA and Katherine Bradley Irwin and her husband of Mouth of Wilson, VA, son Charles A. Bradley IV and his wife of Virginia Beach, VA; and sister Susan Bradley Lee of Buffalo, NY and brother Peter Bradley and his wife of Saint Paul, MN. He is also survived by five grandchildren and two nieces and two nephews. In addition, he is survived by his mother in law, five sisters in law, four brothers in law and their children and grandchildren.

Charley greatly enjoyed and valued the time he spent with all members of his family, his friends and his colleagues. His keen intelligence, wit and sense of humor will be missed by all.The family wishes to extend special thanks to members of his care team, especially Happerline, Cecilia, Jesse and Luanna, as well as the staff at Phelps Hospice. In lieu of flowers, donations to Phelps Hospice or Historic Hudson Valley/Kykuit would be greatly appreciated.

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Investment Bank Director Charged with Insider Trading on 10 Mergers His Bank Handled.

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WPCNR FBI WIRE. Special to WPCNR  From the Federal Bureau of Investigation. May 31, 2016:

Preet Bharara, the United States Attorney for the Southern District of New York, and Diego Rodriguez, the Assistant Director-in-Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), announced the arrest of STEVEN MCCLATCHEY, a director at an investment bank in Manhattan (the “Investment Bank”), on charges of participating in a scheme to commit insider trading in connection with potential mergers and acquisitions (“M&A”) in which the Investment Bank was involved.  In addition, charges against GARY PUSEY were unsealed.  PUSEY pled guilty and admitted to his participation in the scheme last week.

MCCLATCHEY was arrested this morning in Long Island, New York, and was to be presented this afternoon in Manhattan federal court before U.S. Magistrate Judge Kevin Nathaniel Fox.  On Friday, May 27, 2016, PUSEY pled guilty before U.S. District Judge Katherine Polk Failla to conspiracy, securities fraud, and wire fraud.

In a separate action, the Securities and Exchange Commission (“SEC”) filed civil charges against MCCLATCHEY and PUSEY.

U.S. Attorney Preet Bharara said:

“Insider trading continues to tarnish our securities markets.  As alleged, Steven McClatchey abused his position at a major investment bank, feeding sensitive information about mergers and acquisitions to his close friend, Gary Pusey, who in turn traded on that material, nonpublic information.

McClatchey did not tip Pusey for free, allegedly receiving cash kickbacks and home renovations from Pusey in exchange.  A free and fair marketplace is what securities investors deserve and is what we seek to enforce through prosecutions like this one.”

FBI Assistant Director-in-Charge Diego Rodriguez said:

“As alleged, Steven McClatchey violated his confidentiality duty at an investment bank when he shared insider material information with his boat dock buddy, Gary Pusey, who ultimately used the information to make trades.  McClatchey allegedly benefited from thousands of dollars cash payments and home repairs.  Investing in our markets should be fair to all investors with equal access to information, not boat-side chats that give certain investors advantage.  The FBI will continue to work with our partners to ensure our markets are fair and equitable to all.”

According to the allegations in the charging documents unsealed today in Manhattan federal court, including the Complaint and Information, and statements made in court proceedings[1]:

MCCLATCHEY, who had served as a director at the Investment Bank since at least 2008, routinely possessed material, nonpublic information (“Inside Information”) concerning pending mergers and acquisitions in which the Investment Bank was involved.  Indeed, among MCCLATCHEY’s responsibilities at the Investment Bank was the tracking of the status of all such pending transactions and the likely date on which such transactions would be publicly announced.  MCCLATCHEY breached his duty of confidentiality to the Investment Bank and to its clients by providing Inside Information about pending M&A transactions to his close friend, PUSEY.  PUSEY, in turn, used the Inside Information to execute profitable securities trades ahead of at least 10 separate M&A announcements.

Specifically, from February 2014 through September 2015, MCCLATCHEY and PUSEY participated in a scheme to commit insider trading in advance of and in connection with more than 10 separate mergers and acquisitions.  MCCLATCHEY and PUSEY were close friends who owned boats docked in a Long Island marina and who spent most Saturdays on their boats, at the marina, or playing pool and watching sports.

MCCLATCHEY learned about the deals as part of his employment with the Investment Bank, which generally advised either (i) the company to be acquired in the transaction; (ii) the acquiring company; or (iii) a company which ultimately lost a bid to acquire the company involved in the transaction.

Having learned the Inside Information about these impending transactions, MCCLATCHEY, in breach of fiduciary duties and other duties of trust and confidence owed to the Investment Bank and its clients, tipped PUSEY so that PUSEY could use the information to trade and with the expectation that PUSEY would confer a benefit upon MCCLATCHEY.  Among the benefits that MCCLATCHEY received as part of the insider trading scheme were thousands of dollars of cash payments by PUSEY and the provision of home renovation services.

PUSEY used the Inside Information that he received from MCCLATCHEY to make profitable trades in, among other securities: Forest Oil Corporation, Questcor Pharmaceuticals, Inc., Zygo Corporation, Pepco Holdings, Inc., Measurement Specialties, Inc., Entropic Communications, Inc., PetSmart, Inc., Emulex Corporation, Omnicare, Inc., and TECO Energy, Inc.  PUSEY reaped approximately $76,000 in ill-gotten gains from this scheme.

*                *                *

MCCLATCHEY, 58, of Long Island, New York, is charged with one count of conspiracy to commit securities and wire fraud, which carries a maximum sentence of 25 years in prison; one count of wire fraud, which carries a maximum sentence of 20 years in prison; and 11 counts of securities fraud, each carrying a maximum sentence of 25 years in prison. The charges also carry a maximum fine of $5 million, or twice the gross gain or loss from the offense.

On May 30, 2016, PUSEY, 47, of Long Island, New York, pled guilty to one count of conspiracy to commit securities and wire fraud, which carries a maximum sentence of 25 years in prison; one count of wire fraud, which carries a maximum sentence of 20 years in prison; and 11 counts of securities fraud, each carrying a maximum sentence of 25 years in prison. The charges also carry a maximum fine of $5 million, or twice the gross gain or loss from the offense.

The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentences for the defendants will be determined by the judge.

Mr. Bharara praised the work of the FBI, and thanked the SEC.

The charges were brought in connection with the President’s Financial Fraud Enforcement Task Force.  The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes.  With more than 20 federal agencies, 94 U.S. attorneys’ offices, and state and local partners, it is the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud.  Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets; and conducting outreach to the public, victims, financial institutions and other organizations.  Since fiscal year 2009, the Justice Department has filed over 18,000 financial fraud cases against more than 25,000 defendants.  For more information on the task force, please visit www.StopFraud.gov.

This case is being handled by the Office’s Securities and Commodities Fraud Task Force.  Assistant U.S. Attorney Rebecca Mermelstein is in charge of the prosecution.

The allegations contained in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.

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DOWNTOWN MUSIC PRESENTS 10th ANNIVERSARY CONCERT OF WHITE PLAINS OWN PERFORMERS’ PERFORMERS “THE DOWNTOWN SINFONIETTA” AT GRACE CHURCH NOON ON WEDNESDAY

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WPCNR LIVE AT NOON. From Downtown Music at Grace. May 31, 2016:
The local all-star performers from some of the greatest performing organizations in the world, known as “The Downtown Sinfonietta” will celebrate its 10th Anniversary Wednesday since it was created in 2006 by Timothy Lewis, the founder and Artistic Director of our Downtown Music at Grace concert series.
His vision was to have a resident chamber orchestra in place that would supplement and enhance the very successful Wednesday Noonday Getaway Concerts that began in White Plains in 1988.
Tim approached Vincent Lionti, a frequent viola recitalist at the church, about forming a small orchestra from his colleagues at the Metropolitan Opera Orchestra in a similar way that the venerable downtown London church in Trafalgar Square, St. Martin-in-the Fields, had started an ensemble in England. Downtown Sinfonietta’s Inaugural Concert took place on May 11, 2006 in the Grand Banking Room at the Arts Exchange in White Plains.
The program included music by Tchaikovsky, Grieg, Dvorak, Sibelius, Percy Grainger (a longtime White Plains resident) and a World Premiere by the Westchester composer Dalmazio Santini. The Sinfonietta has performed a total of 69 works by 36 different composers in 19 concerts (including today’s concert).
The Sinfonietta has close affiliations and collaborations with the Downtown Music Chorus, the Stecher and Horowitz Piano Foundation, narrator Robert Sherman, and has given two World Premieres. Most of Downtown Sinfonietta’s performances have been recorded by Downtown Music’s master sound engineer and producer, Rocco Bueti.
Downtown Sinfonietta marks the Tenth Anniversary Wednesday by performing (appropriately) Franz Joseph Haydn’s Symphony No. 10, as well as its first appearance on the Wednesday Noonday Getaway Concert Series.
The Downtown Sinfonietta
Yurika Mok, violin                    Metropolitan Opera Orchestra
Derek Ratzenboeck, violin         New York City Ballet Orchestra
Shenghua (Simon) Hu, violin    Metropolitan Opera Orchestra
Yuko Naito, violin                     St. Louis Symphony Orchestra
Mary Hammann, viola               Metropolitan Opera Orchestra
Chihiro Fukuda, viola               Metropolitan Opera Orchestra
David Heiss, violoncello            Metropolitan Opera Orchestra
David Calhoun, violoncello       Metropolitan Opera Orchestra
David Romano, contrabasso      American Ballet Theatre Orchestra
Hsuan-Fong Chen, oboe            New York Philharmonic
Phillip Rashkin, oboe                Chelsea Symphony Orchestra
Katie Jordan, horn                     Sarasota Orchestra
Jasmine Lavariega, horn            The Juilliard School
Downtown Music at Grace concerts will resume
after Labor Day in September. 

Please look for our twenty-ninth season announcement in August.

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PEOPLE TO BE HEARD’S TOUR OF THE PERCY GRAINGER HOUSE–LATEST HISTORICAL LANDMARK DESIGNATED BY WHITE PLAINS HISTORICAL PRESERVATION COMMISSION MAY BE SEEN ON www.whiteplainsweek.com

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LAST AUGUST, JOHN BAILEY AND PEOPLE TO BE HEARD

SHOWED YOU THE HISTORICAL LEGACY OF

THE PERCY GRAINGER HOUSE 

HOME OF THE WORLD FAMOUS WHITE PLAINS PIANIST AND COMPOSER

PERCY GRAINGER

he lived there for 40 years.

AND NOW THANKS IN PART TO THAT PROGRAM,

THE WHITE PLAINS HISTORICAL PRESERVATION COMMISSION RECOMMENDED TO THE COMMON COUNCIL THIS MONTH THE HOME is RECOMMENDED AS AN HISTORICAL LANDMARK TO BE PRESERVED.

SEE THE REMARKABLE STEP BACK IN TIME THIS HOME–STILL FURNISHED AS PERCY GRAINGER LEFT IT

on

PEOPLE TO BE HEARD

IN A SPECIAL ENCORE PRESENTATION OF

PEOPLE TO BE HEARD

YOU MAY SEE IT AT

www.whiteplainsweek.com

SCROLL DOWN THROUGH THE PEOPLE TO HEARD PROGRAMS AVAILABLE TIL YOU FIND THE PERCY GRAINGER PROGRAM

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