Former MediSys CEO guilty of bribery


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The former CEO of a not-for-profit corporation that supports a group of Queens and Brooklyn hospitals was found guilty on multiple counts of bribery in Manhattan federal court on September 12.
David Rosen, the entrenched ex-CEO participated in a ploy to bribe New York State Senator Carl Kruger, Assemblymember William Boyland Jr. and former Assemblymember Anthony Seminerio.
The former CEO of MediSys Health Network faces a maximum of 70 years in prison on multiple counts of fraud and conspiracy.
Kruger and Boyland face similar counts for accepting the bribes and were arrested in March. Seminerio pleaded guilty to mail fraud in February 2010 and was sentenced to six years in prison. He passed away while incarcerated.
Preet Bharara, the U.S. Attorney for the Southern District of New York, prosecuted the cases against Rosen and his public official conspirators.
“If there were any doubt about the pervasive nature of public corruption in Albany, today’s multi-count conviction of David Rosen should put it to rest once and for all,” Bharara said in a statement. “While this verdict is a very sad commentary on the state of affairs in Albany, it also should send a clear message that we will pursue those who violate the public trust and hold them to account.”
Rosen headed the not-for-profit that supports Jamaica Hospital Medical Center, Flushing Hospital Medical Center, and Peninsula Hospital Center in Queens and Brookdale University Hospital Medical Center in Brooklyn.
In 2008, he attempted to bribe Kruger in connection with the assemblymember’s push to provide the health care network with $400,000 in New York State funds. Those funds would have helped MediSys acquire Caritas Hospital in Queens, according to the U.S. Attorney’s office.
Rosen also influenced Brookdale Hospital to enter into a contract with Compassionate Care Hospice, in which Kruger had a monetary interest. Between 1999 and 2008, Rosen caused MediSys to make over $400,000 in corrupt payments to Seminerio through a fraudulent consulting company. The ex-Queens assemblymember advocated on the health network’s behalf with New York State agencies for a $19 million loan in 2006.
Boyland received a $35,000 annual consulting fee for requesting that the Speaker of the Assembly, Sheldon Silver, award Brookdale Hospital millions of dollars.
Kruger and Boyland’s charges for their collusion are still pending, according to the U.S. Attorney’s office.