Joe Coniglio

While New Jersey suffered from a crippling structural deficit, politicians created a slush fund to dole out tax dollars for their own personal gain.

Last week at the corruption trial of disgraced former state Sen. Wayne Bryant, a Democratic legislative aide testified that Bryant and other legislators were given complete discretion over the allocation of millions of dollars in the state budget -- from a fund that was supposed to be distributed based on a competitive, merit-based application process. Prosecutors allege that Bryant directed some of his share to the School of Osteopathic Medicine at UMDNJ in exchange for a no-show, pension-boosting job.

The separation of powers were non-existent in 2005 when the budget's $40 million slush fund was proposed by then-acting Gov. Dick Codey and ushered through the legislature by Senate President Codey (a prior budget from then-Gov. Jim McGreevey also included such a fund). Governor Jon Corzine shut the scheme down within months of taking office after conducting an internal investigation, the results of which are still not public.

Bergen County Democrats knew this day would come sooner or later, and today they responded to the indictment of former state Sen. Joe Coniglio not with an outright defense, but with pleas withhold judgment.

Republicans, on the other hand, pointed to the indictment as another sign of what they see as endemic corruption in the Democratic Party.

“Senator Coniglio accomplished a great deal for the working families of the 38th District during his career,” said Bergen County Democratic Organization Chairman Joe Ferriero. “Our legal system is founded upon the presumption of innocence and it is my sincere hope that Joe's upcoming trial is an opportunity for him to reclaim the good reputation that he built through his years of public service.”

State Sen. Bob Gordon spent two terms in the Assembly beneath Coniglio, ascending to the Senate after Coniglio decided not to run again after being pressured by Democratic Party leaders. During the investigation, Gordon saw his own office’s records subpoenaed, although he was not a target of the investigation.

Former State Sen. Joe Coniglio has been indicted by a federal grand jury.

Coniglio, 65, faces nine counts of mail fraud and extortion relating to his work as a $66,000 per year consultant for the Hackensack University Medical Center (HUMC). He’s scheduled to appear at the Martin Luther King Jr. Federal Courthouse in Newark at 2 p.m., after which U.S. Attorney Chris Christie plans to hold a press conference.

The indictment alleges that Coniglio’s employment with HUMC was ostensibly for “hospital relations,” but that its real purpose was to secure the hospital “Christmas Tree” budget items from the legislature and other state agencies.

“As a direct result of his corrupt consulting arrangement and influence as a state Senator, the hospital received millions of dollars from the State of New Jersey,” said a press release issued by the U.S. Attorney’s office.

According to the indictment, Coniglio began talks about setting up a relationship with HUMC in January, 2004 -- almost immediately after he was appointed to the Senate’s budget committee. After meeting with John Ferguson, the hospital’s CEO, Coniglio sent him a follow-up letter saying that he “[looked] forward to making [HUMC] the best in New Jersey.”

Former State Sen. Joe Coniglio will surrender to the FBI to face corruption charges at the Federal Courthouse in Newark later today, according to Coniglio spokesman Keith Furlong.

It is not yet known exactly what time Coniglio will turn himself in.

After his court apperance, Coniglio’s defense attorney, Gerald Krovatin, plans to issue a statement.

Joe Coniglio has announced that he will not seek re-election for state Senate.

“I have given a lot of thought to my upcoming re-election campaign, and determined that it is in the best interests of Democratic Party, and, more importantly, my family, for me to step aside and not seek re-election to the State Senate,” said Coniglio in a statement.

Speculation about Coniglio dropping out of the race has been rampant since he received a target letter from the U.S. Attorney in July over his role in allegedly steering state grants to the Hackenack University Medical Center while on its payroll as a $5,500-a-month plumbing consultant.

In his statement today, Coniglio defended himself against any allegations.

District 38 state Senate candidate Robert Colletti today said he was glad that it looks like embattled incumbent Sen. Joe Coniglio plans to stay in the race.

“I’m happy that the Democrats have finally cleared the air and have decided on their candidate,” said Colletti in a press release.

Senator Diane Allen issued this letter today in response to federal prosecutor’s investigation into Senator Joseph Coniglio’s legislative grants.

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CONIGLIO TO INTRODUCE LEGISLATION REQUIRING IMMEDIATE NOTIFICATION OF SOIL CONTAMINATION 

            PARAMUS – Senator Joseph Coniglio today vowed to introduce legislation that would require immediate notification of soil contamination at public schools or other public property.

            “One lesson we can learn from the situation at West Brook Middle School is that once soil or water contamination is identified, we can’t just sit back and wait for it to go away on its own,” said Senator Coniglio, D-Paramus. “I am making the enactment of this legislation a top priority, because the health of children is at stake. Parents, teachers and other workers deserve to receive immediate notification of any dangers to their health and safety.”

The Record's story this morning on the federal probe of legislators who received some personal benefit from state budget items suggests that only Democrats are being targeted.  According to The Record, there are some similarities between State Senator Joseph Coniglio and Assemblyman Brian Stack, both Democrats who have received subpoenas, and two Republican legislators who have not: State Senator Robert Singer and Assemblyman David Wolfe.