Comptroller John Liu may be facing the scrutiny that comes with two associates being convicted of an attempted fraud scheme on his behalf, but his mayoral campaign is still plugging along. Indeed, Mr. Liu will be endorsed by Brooklyn Assemblyman Peter Abbate tomorrow morning, according to a Democratic operative with knowledge of the event. Read More
Against the backdrop of the contentious turf war over Governor Andrew Cuomo’s pension reform plan, a trio of Democratic Assemblyman and several labor leaders are calling for passage of the Institutional Investor Recovery Act. This legislation would allow the Attorney General to seek damages and recoveries when public pension funds suffer losses due to securities fraud. Currently, the Martin Act gives the Attorney General broad powers to prosecute securities fraud, but it does not allow the State to recover losses on behalf of public pension funds. Pursuing losses from financial firms is a favored topic of opponents of the governor’s pension reform push who argue the focus should be on penalizing Wall Street firms that lost money from the pension fund rather than cutting benefits.
“All the focus on the issue of pensions has been on the benefit side of the equation. We need to look at what happened on the investment side. It simply doesn’t make sense that the pension funds have no practical way to recover investment losses caused by fraud,” said Assemblyman Peter Abbate the lead sponsor of the bill to update the Martin Act. Read More
According to people familiar with the situation, the State Assembly’s redistricting maps will contain two new Asian-majority districts in Queens and Brooklyn. These two districts will house incumbent Assembly Members Peter Abbate and Rory Lancman.
Despite the demographic shift in their districts, both Assemblyman Lancman and Abbate should be strong favorites for reelection in their Democratic primaries this year, partially because of the strength of the incumbent candidates and partially because any challenger would face difficulties forming a majority coalition. Read More
