Press Release/Crime Story Assignment

EXTORTION/Caleb Waldron 1

ASSEMBLYMAN PLEADS GUILTY FOR ATTEMPTED EXTORTION

By Caleb Waldron

KALAMAZOO, Mich., On October 19^th former state Assemblyman Alfred E. Steele pleaded guilty to attempted extortion related to the guidance of public contracts, according to U.S. Attorney Christopher J. Christie.

The New Jersey Assemblyman pled guilty to accepting $15,500 in bribes from an FBI undercover insurance brokerage company in exchange for official assistance in the direction of public contracts and further payment via a portion of the insurance brokerage’s revenue.

Mr. Steele, age 53, was arrested on September 6 along with 10 other public officials and one private citizen for one-count criminal Information charging attempted extortion under color of official. Prior to his arrest, Mr. Steele had arranged and attended meetings between public officials within several municipalities, including his own, and

representatives of the FBI undercover brokerage company. The defendants involved in

the scandal include officials from the Paterson Housing Authority, the City of Passaic, the City of Orange, and the Paterson School District. After his arrest, Mr. Steele resigned both his job as a Passaic County undersheriff and his seat in the New Jersey Assembly.

The case was brought before U.S. district judge Anne E. Thomson. The crime carries a maximum statutory penalty of 20 years in prison with a $250,000 fine. Mr. Steele faces 37-46 months in federal prison and currently remains free on $200,000 bond pending sentence. Christie credited the investigation’s success to special agents of the FBI under the direction of Special Agent in Charge Weysan Dun. Also credited were investigators and prosecutors with the Atlantic County Prosecutor’s Office under Prosecutor Theodore F.L. Housel.

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Source: FBI press release via: http://newark.fbi.gov/dojpressrel/2007/nk101907.pdf