Day three of Bruno trial

It's day three in the federal corruption trial of former Senate Majority Leader Joe Bruno.

Francis Collins, Bruno's former counsel, and currently a state Court of Claims judge, wrapped up his testimony this morning. He repeatedly stated he wasn't responsible for advising Bruno about financial disclosure forms.

The trial's fourth witness, Helen George, then took the stand. George, who worked as internal legal counsel at Wright Investors' Service, a Connecticut-based investment advisor that employed Bruno for a dozen years starting in 1994, was granted immunity for her testimony. Being granted immunity means the witness can't be prosecuted for their testimony. Only if charged with perjury would the immunity privilege be waived.

From 1994 to 1998, Bruno worked for Wright as a independent consultant. From 1998 until 2006, he was a part-time employee. For those dozen years, said George, Bruno functioned as an introducer – someone who met with potential clients, in this case union pension funds, and recommended they give Wright the power to invest their money.

A 1994 letter from the company to Bruno laid out his duties as well as disclosure requirements. Each potential client was to be informed of Bruno's affiliation with Wright. Before an investment contract was signed, a disclosure letter had to be sent to the client. According to George, she looked for but didn't find completed disclosure forms in Wright's files.

George admitted some pension fund trustees raised objections to signing the disclosure form because they didn't like working with referral agents in general. To the best of her knowledge, it was nothing to do with Joe Bruno specifically.

UPDATE: 7:08 P.M.
George acknowledged learning in a conversation with Francis Collins that the Legislative Ethics Committee had approved Bruno's job with Wright Investors' Service. However, she never received a written letter confirming such. She said she was "surprised" there was no letter. George testified that Frank Gluchowski, a lawyer for the Legislative Ethics Committee and later the legislative counsel to the Senate majority, recommended not issuing a letter because he thought it would "raise more questions than it answered."

Wednesday's other witnesses included former New York Sun reporter Bill Hammond and former Bruno press secretary Marsha White, among others. For details of their testimony, be sure to check out the next edition of The Legislative Gazette on Nov. 10.

First witnesses testify at Bruno trial

The first two witnesses testified this morning in the corruption trial of former Senate Majority Leader Joe Bruno.

James Featherstonhaugh, an attorney with the Albany-based firm Featherstonhaugh, Wiley & Clyne, LLP, was the lead witness. Featherstonhaugh, who introduced Bruno to the investment and brokerage firm McGinnSmith in 1992, admitted to knowledge of a financial relationship between Bruno and McGinnSmith. (Bruno would be elevated to the position of Senate majority leader in 1994.) Featherstonhaugh admitted to introducing Bruno to McGinn at the request of the firm's Chairman of the Board Tim McGinn.

The firm's chairman testified that Bruno was on the payroll. A letter sent to Bruno describing his role at the firm was admitted into evidence. According to the letter, Bruno would spearhead McGinnSmith's efforts at landing investment deals with labor union pension funds. McGinn called Bruno "a significant ally in that effort." A W-2 earnings summary, which was also admitted into evidence, showed that McGinn paid Bruno $24,500 in 1994.

McGinn said Bruno brought in investments by the hospitality workers union and the Teamsters. According to McGinn, Bruno didn't bring in funds from any entity other than labor unions.

James Featherstonhaugh told the jury that Sen. Bruno never asked him to conceal anything about his relationship with McGinnSmith.

UPDATE: 8:02 P.M.
Tim McGinn also said in his testimony that his firm offered Bruno an office, which he used about a dozen times. One interesting moment came when the chairman said his firm and Bruno intended to send our simultaneous press releases announcing the senator's job with McGinn. Bruno wasn't interested in making it public, according to McGinn.

Tim McGinn admitted having two conversations with Bruno about the ethics of working for the investment firm. According to McGinn, Bruno acknowledged the moral implications of his work, but told him it was okay. McGinn said he chose Bruno to work for the firm because he was a respected member of the community. He emphasized Bruno's life story and his success in the Legislature.

McGinn said Bruno requested payments be sent to his consulting company, Capital Business Consultants, Inc., rather than to him personally. He didn't give a reason, according to McGinn.

During questioning form Bruno's attorney Abbe David Lowell, McGinn said "it was well known" that Bruno worked for his firm and he made no effort to conceal it.

The prosecution pointed out that Bruno's compensation from the firm increased to $72,000 in 1995 from $24,500 the year before. Sen. Bruno became majority leader of the state Senate in November 1994.

The third witness of the day was Francis Collins, a New York state Court of Claims judge who served as Sen. Bruno's counsel.