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Remembering Ed Koch's Scandalous Third Term
By
Garth Johnston
Published Feb 1, 2013
Modified Feb 1, 2013
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By
Garth Johnston
Published Feb 1, 2013
Modified Feb 1, 2013
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As New York wakes up to a world without Ed Koch, it is important to remember that the three-term mayor wasn't always the saintly NYC mascot he's been portrayed as in the last decade. Like the city he loved and is survived by, the real-life Koch was far from perfect—as his troubled third term proved.
Third terms have historically been tricky for New York mayors (even billionaires able to shake off occupiers and hundred-million-dollar embezzlement scandals), and Koch's last four years in Gracie Mansion were no different. From the get go, Koch—who had run for mayor initially fighting against the cronyism represented by Mayor Abe Beame—suddenly found himself with his own cronyism scandals. As the Times today notes:
Weeks after Mr. Koch’s inauguration, his ally Donald R. Manes, the Queens borough president, attempted suicide — he succeeded two months later — in a troubling prelude to one of the worst corruption scandals in city history.
What followed was a series of disclosures, indictments and convictions for bribery, extortion, perjury and conspiracy that touched various city agencies. Much of the skulduggery centered on the Transportation Department and the Parking Violations Bureau. Stanley M. Friedman and Meade H. Esposito — the Democratic bosses in the Bronx and Brooklyn, respectively, and Koch supporters — were convicted. Mr. Friedman went to prison, and Mr. Esposito, who was in ill health, received a suspended two-year sentence and a fine.
Anthony R. Ameruso, the transportation commissioner, was forced to resign, and the scandal snared businessmen, lawyers, parking meter attendants, sewer inspectors and others. Scores of convictions were obtained by the United States attorney in Manhattan, Rudolph W. Giuliani.
The scandals—in short, party bosses were awarding lucrative contracts to companies they created—though not directly pinned to Koch, clearly left the former reformer shaken. He later claimed they led him to consider suicide himself. Though he consistently said that he'd only befriended the disgraced pols because their votes could "make or break" legislation, he clearly made some shady deals before even becoming mayor (which was a problem when you say you are anti-machine):
At a Sunday morning breakfast at Esposito's mother's home, Esposito agreed to give Koch secret logistical support in return for access to his administration. Newfield quotes Esposito as later bragging: "I get whatever I fucking want from [Koch]. I told him not to dump our captains, and he said no problem. He promised me access and that he would be a good mayor. . . [Koch media adviser David] Garth didn't want to use my name. . . But everyone knew I was calling the shots." Koch cut a similar deal with Bronx boss Stanley Friedman.
Once Koch took office, funny things began to happen. Machine captains were not fired; in fact many were promoted to high positions in contract-rich agencies. Koch appointed Anthony Ameruso, an Esposito crony, as commissioner of transportation, even though a screening panel Koch personally established found Ameruso unqualified. The Parking Violations Bureau was run on a complex system involving hundreds of thousands of dollars in bribes, which went to PVB chief Lester Shafran and to Manes.
Friedman held 167,000 shares in a dummy company called Citisource, which received a $22 million contract from the bureau to build hand-held computers for parking meters, even though Citisource had no assets, no employees, and no computer. (A systems analyst who pointed out these facts was told he'd be fired if he didn't recommend Citisource.) When evidence of corrupt activity made it to city hall, it was ignored or suppressed.
When the truth finally started to emerge at the start of Koch's final term, the damage was done and the tone was set for a very rough four years scarred by tense racial relations, the crack epidemic, the AIDS crisis, and a severe homeless problem. As we remember and give tribute to the man, it would do a disservice to history to gloss over his shortcomings as mayor.
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Garth Johnston
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