Thursday, February 21, 2008

Marlboro: Ex-mayor wants town to dismiss suit against him

Marlboro asserts damage done by bribed officials

A complaint filed by Marlboro Township in November asserts that the town was indeed damaged by the actions of four former public officials who accepted more than $300,000 in bribes from real estate developers between 1997 and 2004.

Marlboro claims that the corrupt activity by those officials resulted in increased development and a corresponding increase in the need for public services, such as roads and schools. As a result, the town would like to recoup damages of at least $300,000.

But one of those corrupt officials — former Mayor Matthew V. Scannapieco, who admitted accepting $245,000 in cash and awaits sentencing — contends that Marlboro has no proof of such harm and is asking a judge to dismiss the township’s complaint.

“It is legal and political folly,” Scannapieco’s lawyer, Douglas J. Katich, said Tuesday of the complaint.

And a motion Katich filed Feb. 12 to dismiss the complaint states that Marlboro has failed to “allege or set forth any injury to its property or business.”

At the core of the dispute is the township’s contention that the four former public officials — Scannapieco; Planning Board member Stanley Young; municipal utilities chairman Richard Vuola, and Western Monmouth Utilities Authority executive director Frank Abate — conspired with real estate developers to defraud the township.

The real estate developers named in the complaint are Anthony Spalliero and his son, Joseph Spalliero; brothers Bernard and Steven Meiterman, and Edward Kay, who worked with the Meitermans.

All of the public officials have either pleaded guilty or been convicted of accepting or passing bribes. All of the developers except Joseph Spalliero have pleaded guilty to bribing officials. Joseph Spalliero has pleaded innocent and awaits trial.

The November complaint was filed in federal court and claims the officials and the developers engaged in a pattern of racketeering, in violation of federal RICO (Racketeer Influenced and Corrupt Organizations) Act.

Robert Kleinberg, who was mayor of Marlboro when the complaint was filed, said Tuesday the actions of the corrupt public officials and developers will have long-term effects on the township.

“When you build more houses, you have to hire more police, you have to pave more roads, you have to have more schools, you have to hire more teachers,” Kleinberg said. “People don’t understand what the cost of corruption is.”

Katich, who represents Scannapieco, said towns are barred, under the applicable federal law, from suing to recover the cost of municipal damages.

Stephen N. Dratch, an attorney representing Marlboro, said Tuesday the township is “on firm ground” legally.

He said that if the case is eventually dismissed by a federal judge, the township would likely pursue other charges against the former officials, such as official misconduct, in state court.

“This thing is not going away,” Dratch said.

Oral arguments in the motion to dismiss have been requested for March 17 before U.S. District Judge Joel A. Pisano.

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