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Strategies & Market Trends : AP's Crime

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From: Dale Baker1/27/2005 2:10:50 AM
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How much you wanna bet this guy goes down for the count too? Obviously corrupting public institutions then playing dumb is not a smart life choice. Federal prosecutors really don't like it, and convicting the perps doesn't seem to be too hard.

Prosecutor: Phila. Plagued by Corruption

By DAVID B. CARUSO
PHILADELPHIA (AP) - A federal prosecutor described Philadelphia Wednesday as a city awash in ``pervasive corruption'' and asked a jury to convict an investment banker of lying to the FBI.

Jurors began deliberations after prosecutor Joan Markman said in her closing arguments that wiretaps of city officials and a politically connected lawyer had shown ``shocking and appalling evidence of how business is conducted'' in the city.

Investigators claim to have uncovered a scheme in which one of Mayor John F. Street's close friends and top campaign fund-raisers conspired with the city's treasurer to trade government contracts for gifts, payments and favors.

The investment banker, Denis Carlson, is accused of lying to FBI agents during their probe of the alleged influence peddling in 2003.

Carlson, who has sold bonds for schools and hospitals in Pennsylvania for three decades, isn't accused of any corrupt acts. He became ensnared in the probe when he told investigators he knew of no special influence that Street confidant Ronald White or treasurer Corey Kemp had over city contracts.

In her closing argument Wednesday, Markman called that plea of ignorance ``a load of hooey.''

During the trial, jurors heard excerpts of phone conversations secretly recorded by the FBI in which Carlson seemed to repeatedly seek White's help in obtaining lucrative roles for his company in certain bond deals.

In several of the calls, White, who died in November, promises to use his connections to the mayor to get Carlson more city business.

On the witness stand this week, Carlson insisted he did nothing improper in seeking White's help, or by offering Kemp use of a vacation condominium. He also said he was truthful when he told FBI agents he didn't believe White or Kemp had any influence.

Carlson faces a potential jail term if convicted. Kemp is scheduled to be tried separately in February.

Street has denied any wrongdoing and has not been charged.
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