Philadelphia Federal Bribery Charges: Public Corruption and Kickbacks

Philadelphia Federal Bribery Charges: Public Corruption and Kickbacks

Philadelphia has a long, unfortunate history of public corruption scandals involving bribery, kickbacks and shady dealings. Over the years, numerous Philly politicians, government employees and business leaders have faced federal bribery charges for abusing their positions to line their own pockets.

Just this past year we saw the downfall of powerful labor leader, John Dougherty. “Johnny Doc,” as he was known, got caught up in a sweeping federal investigation into bribery and embezzlement. He was convicted on conspiracy and honest services wire fraud charges for exchanging cash, gifts and jobs for favorable treatment from Philadelphia officials.

Sadly, this case is just the latest in a string of Philly corruption sagas. Back in the 1970s, city council members got snagged for taking bribes from taxi companies for medallion contracts. In the 90s, a state senator went to prison for squeezing funds from a nonprofit agency. And in the 2000s, it was city treasurers embezzling millions from the city’s coffers.

The cycle of graft seems endless. But why does Philly have such an ingrained culture of kickbacks and crooked contracts? Experts point to a few key factors:

Powerful Unions:

Philly has some of the strongest public sector unions in the country. But absolute power corrupts absolutely, as they say. Certain unions have gained so much control over jobs and contracts that it invites backroom deals and under-the-table payments from those wanting access.

Lack of Oversight:

With one political party dominating Philly for decades, there’s been little accountability. Corruption investigations fall by the wayside. And audits intended to catch fraud rarely have teeth. It’s the perfect environment for bribery and misconduct to flourish unchecked.

“Go Along to Get Along” Mentality:

There’s a lingering old boys club culture in Philly power circles. You help grease my palm, I’ll help grease yours. As long as everyone benefits, no one rocks the boat by reporting shady dealings.

This combination of factors has spawned many cringe-worthy corruption sagas over the years. But what exactly constitutes bribery and public corruption from a legal standpoint? And what charges and penalties do the perpetrators face? Let’s break it down:

Key Federal Bribery Laws and Charges

There are a few main federal bribery and corruption laws prosecutors utilize to go after Philly public officials and power brokers on the take:

Federal Programs Bribery

18 U.S. Code § 666 makes it illegal to solicit or receive bribes connected to organizations, state/local governments or agencies receiving significant federal funds. Even small kickbacks over $5,000 can trigger charges.

Past Philly Case: Ex-Philadelphia Treasurer, Corey Kemp, got 10 years for steering city contracts to certain firms in exchange for gifts and favors.

Honest Services Fraud

Honest services fraud essentially means depriving taxpayers of the intangible “honest services” of a public official because of bribery or kickbacks.

Past Philly Case: Longtime political powerbroker Ronald White plead guilty to honest services fraud for showering gifts on a city councilman to influence government actions.

RICO Charges

The Racketeer Influenced and Corrupt Organizations Act (RICO) allows prosecutors to go after corrupt organizations engaging in ongoing bribery, extortion, fraud and other illegal activities.

Past Philly Case: Labor leader John Dougherty and City Council member Bobby Henon faced RICO charges for their long-running bribery conspiracy.

These federal charges can lead to hefty fines and years behind bars. But corruption cases can be tricky to prosecute with various defenses in play:

Key Defenses Against Bribery Charges

Lack of Criminal Intent: Bribery requires clear evidence the defendant intended to engage in quid pro quo dealings. Their defense may argue no such intent existed.

Lack of Official Action Taken: If there’s no solid link between any favors/gifts and an elected official actually influencing policies or contracts, bribery can’t be proven.

Gifts vs Bribes: Defense attorneys often claim any money/gifts were simply generosity among friends, not bribes per se. They’ll describe them as tokens of appreciation or goodwill gestures.

Withdrawal from Conspiracy: If a public official disengages from the bribery plot mid-stream, they may escape charges.

Skilled defense lawyers utilize these arguments to poke holes in prosecution cases. And sometimes charges get reduced or dropped altogether due to lack of concrete evidence.

But when corrupt officials do get convicted, the penalties can be severe. Let’s look at potential sentences for different bribery-related charges:

Penalties and Sentences

• Federal Programs Bribery – Up to 10 years prison and $250k fine per violation
• Honest Services Fraud – Up to 20 years prison potential
• RICO Violations – Up to 20 years prison, plus asset forfeiture
• Obstruction of Justice – Up to 10 years prison if trying to derail an investigation
• Money Laundering – Up to 20 years prison if concealing bribe money

These sentences get stacked if convicted on multiple charges. Plus state charges often accompany federal raps. So corrupt politicos can end up behind bars for decades.

John Dougherty faces up to 50 years for his recent convictions. And he’s still facing trial on separate union corruption charges too. His years as a Philly kingmaker seem long gone.

Halting the Corruption Cycle

Philly’s deeply embedded culture of bribery, kickbacks and graft won’t vanish overnight. But perhaps the latest federal crackdowns will make local politicians, labor leaders and government employees think twice before engaging in dirty dealings.

Citizens are fed up and demanding increased accountability. It’s time to halt the corruption cycle plaguing this city.

Stronger ethics rules, expanded oversight committees, robust hotlines for whistleblowers and routine independent audits would be a start. Stiff penalties for those caught with their hands in the cookie jar or briefcases full of cash can also deter illegal behavior.

There will always be temptation for public servants to cut corners and line their pockets. But robust transparency initiatives, accountability measures and enforcement can reduce fraud and corruption.

Maybe, just maybe, we’ll see less Philly politicos and power players hauled off in handcuffs over bribery allegations in the years ahead. Here’s hoping the recent string of indictments and convictions leads to some positive reforms. Our city deserves better leadership and stewardship.