Tribe accuses Pataki of cronyism in deals

Michael Gormley

Tuesday, Feb. 15, 2005 | 9:21 a.m.

ALBANY, N.Y. -- The head of the New York Oneida tribe on Monday said Gov. George Pataki is luring out-of-state tribes into Catskills casino deals to benefit the governor's friends and cronies.

"Certain developers and friends of the governor stand to benefit handsomely from these casino deals," Oneida Nation Representative Ray Halbritter told Senate Democrats. "The governor's law firm, Plunkett & Jaffe, stands to make millions in fees for pulling this deal off. The former attorney general, (Republican) Dennis Vacco, reportedly has a $5 million success fee if he can open a casino in the Catskills. And Empire Resorts, which is sponsoring two of the five casinos, stands to make a lot of people rich, including a number of the governor's largest campaign contributors."

"We should have known," Halbritter continued, "that state policy was about to be based on cronyism principles instead of what is in the best interests of the state and the New York Indian tribes."

After his public statement to the Senate's minority conference, Halbritter refused to detail the connections. He argued the out-of-state tribes left New York 200 years ago and have no right to casinos. The Wisconsin and Oklahoma tribes disagree.

The Wisconsin Oneidas and the Seneca-Cayuga Tribe of Oklahoma denied they employ Plunkett & Jaffe, the law firm to which Pataki and his friend and chief of staff, John Cahill, once belong.

Wisconsin Oneidas attorney, Arlinda Locklear, and tribe spokeswoman, Bobbi Webster, said neither the law firm, Vacco or Empire Resorts is employed by the tribe.

Vacco and Empire Resorts, however, are employed by the Seneca-Cayuga Tribe of Oklahoma, said that tribe's chief, LeRoy Howard. He wouldn't discuss what the contracts were for or the compensation. He said the tribe hasn't hired Plunkett & Jaffe.

Neither Pataki, Vacco nor a spokeswoman for the law firm could be reached for comment.

The allegations should be investigated by the state Ethics Commission, said Blair Horner of the New York Public Interest Research Group, who attended the Senate meeting.

Halbritter "has a stunning interpretation of why the governor is behaving the way he is on the issue," Horner said. "I was amazed by his characterization."

Halbritter said Pataki's desire to help his friends is the motivation behind his about-face over dealing with out-of-state tribes, which would pose competition to New York tribes including the Oneidas, who already operate a successful casino in central New York.

Late last year Pataki agreed with three out-of-state tribes to open casinos in the Catskills in exchange for dropping their legal claims to ancestral land in New York. For years before, the Pataki administration said including out-of-state tribes in casino-land claim deals "would open a Pandora's box."