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Judge approves subpoena of Street
Philadelphia Inquirer ^ | Mar. 29, 2005 | John Shiffman

Posted on 03/30/2005 12:06:18 AM PST by Mo1

A federal judge authorized a subpoena yesterday for Mayor Street's testimony at the City Hall pay-to-play trial but said he wanted to hear more argument before agreeing to call Gov. Rendell.

The mayor could take the witness stand at the U.S. Courthouse in Philadelphia as early as Thursday. His testimony, however, may be limited.

Attorneys for former City Treasurer Corey Kemp, the defendant who sought the subpoena, said they are calling Street only to identify phone calls the mayor had with the late bond lawyer Ronald A. White, conversations wiretapped by the FBI.

Prosecutors have charged that White corrupted Kemp, showering him with gifts to favor White's clients in bond deals. Defense lawyers have argued that final authority to approve bond deals rested with the mayor, not the treasurer - and they contend that wiretaps between White and Street help prove this.

Dan Fee, the mayor's spokesman, said: "It is impossible to comment on a request that's not yet been delivered. The mayor has always said he has done nothing wrong and expects everyone to cooperate with the investigation in every way."

One of Kemp's lawyers, L. George Parry, said in an interview that Street would not have to appear if federal prosecutors would agree to a compromise in which the tapes could be introduced by an FBI agent on the stand. Parry said prosecutors would not agree.

Assistant U.S. Attorney Robert Zauzmer declined to respond, citing "the judge's strong suggestion that we not speak to media during the trial."

U.S. District Judge Michael M. Baylson also said yesterday that he would hear arguments today on Kemp's lawyers' request to call Rendell, Atlanta Mayor Shirley Franklin, her chief of staff, and a financial executive from Chicago.

If he is called, Rendell is expected to be asked about campaign finance and city bond work during his terms as mayor. Rendell spokeswoman Kate Philips said that "if Gov. Rendell is subpoenaed, he will appear in court and cooperate fully."

Franklin would be expected to testify about interviewing Kemp for a job in 2003. In a statement yesterday, Franklin said: "After a courtesy dinner with Mr. Kemp, we both immediately concluded that he did not meet the seasoned skills or leadership requirements that would have warranted any further discussions with him."

Also yesterday, Baylson said he approved subpoenas for "four of five" Philadelphia lawyers to testify. Kemp's lawyers declined to identify them, except to say they were involved in bond work.

"Everybody knew that in order to be successful you had to have someone like Ron White advocating on your behalf," said Kemp's other attorney, William Spade Jr.

This morning, Baylson is expected to consider a request from Spade that federal prosecutors produce a copy of an FBI report related to a meeting Street had with agents the day the bug was discovered in the Mayor's Office.

As The Inquirer reported on Sunday, three FBI agents quizzed Street at his City Hall office on Oct. 7, 2003, and asked him about Imam Shamsud-din Ali, a businessman and Street political ally who was a target of the corruption probe.

The agents told the mayor that the listening device had been planted by the FBI, sources have said. Street, then in the midst of a tense mayoral election, told the public later that day that he had "no idea" who had installed the bug.

The flurry of subpoenas came as the trial entered its fifth week, and as the government neared the end of its case. The 64-count indictment charges five people, including Kemp, with depriving Philadelphia taxpayers of Kemp's honest services as treasurer.

The other defendants are businesswoman Janice R. Knight of Cherry Hill, Detroit businessman La-Van Hawkins, and Commerce Bank executives Glenn K. Holck and Stephen M. Umbrell.

Michael Schwartz, a federal prosecutor, spent much of yesterday presenting evidence to attempt to show that Kemp and the two bank executives conspired to "secretly guarantee" that Commerce won a $30 million line of credit.

Authorities allege that after five banks, including Commerce, submitted proposals to offer the line of credit, Kemp told White that Commerce's bid was second-best.

On cross-examination, defense attorneys Lawrence Lustberg and Kevin H. Marino, representing the Commerce executives, tried to demonstrate that the selection process was essentially a negotiation, not based on sealed bids.

The defense lawyers also elicited testimony to try to show that other banks besides Commerce were privy to initial bid numbers before they rebid.

Next at the Trial

As the government moves toward the end of its case, several bankers are expected to testify about a $30 million line of credit that the city wanted for its plan to revitalize blighted neighborhoods.


TOPICS: Crime/Corruption; Extended News; Government
KEYWORDS: johnstreet; philadelphia

1 posted on 03/30/2005 12:06:20 AM PST by Mo1
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To: Mo1
Oh, my poor little city:-( First, we're named the fattest city in the nation...then, our murder rate brings us into the national spotlight...and now this!

At least we can drown our sorrows in soft pretzels and cheesesteaks:) Mmmm....

2 posted on 03/30/2005 1:23:46 AM PST by phillygirl2
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To: Mo1

This is going to be interesting. I'm watching from York.


3 posted on 03/30/2005 1:30:23 AM PST by 7.62 x 51mm (• Veni • Vidi • Vino • Visa • "I came, I saw, I drank wine, I shopped")
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To: Mo1

Having Rendell testify would be a good thing - let's let everyone see how corrupt he was as mayor before he ruins the entire state.


4 posted on 03/30/2005 3:50:52 AM PST by ikka
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To: Mo1

This could get very interesting..


5 posted on 03/30/2005 7:42:29 AM PST by Dog
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To: Dog

yep

ABC6 aired other parts of the tapes were White & Street were talking about using the race card during the election campaign


6 posted on 03/30/2005 9:36:50 AM PST by Mo1
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To: phillygirl2

at least we have the eagles


7 posted on 03/30/2005 4:23:00 PM PST by philsfan24
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To: philsfan24

Right...and Villanova, too:) Oh, I'm so bitter...


8 posted on 03/31/2005 1:15:42 AM PST by phillygirl2
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To: phillygirl2

that wasnt a travel! just wasnt right. on the bright side, they should be preseason national top 5 next year with losing no seniors.


9 posted on 03/31/2005 5:55:56 AM PST by philsfan24
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