Former New York Comptroller Pleads Guilty to Corruption

Alan Hevesi, the former comptroller of New York state, has pled guilty to corruption charges that he accepted campaign money and gifts from a California venture capitalist in exchange for directing pension-fund money to the donor's firm.

The state attorney general's office on Thursday announced that Hevesi, who resigned as state comptroller in December 2006 after nearly four years on the job, admitted to accepting almost $1 million from Markstone Capital Partners principal Elliott Broidy. The money included $500,000 in campaign contributions, $380,000 in consulting fees earmarked to a lobbyist friend of Hevesi's and $75,000 in vacation expenses for Hevesi and his family. Hevesi in turn approved a $250 million investment in Markstone from the New York State Common Retirement Fund, according to a statement from state Attorney General Andrew Cuomo.

Cuomo has been investigating allegations of corruption within the state comptroller's office for three years. His probe has so far resulted in seven guilty pleas and $138 million worth of fund recoveries, according to his office.

Before serving as the state comptroller, Hevesi previously served as an state assemblyman from 1971 to 1993, and as the comptroller of New York City from 1994 to 2001. He resigned as state comptroller after pleading guilty to defrauding the government by using a state-employed driver for personal errands.