Rep. Michael Grimm indicted

Feds say Congressman committed tax, wage, insurance, immigration fraud

The Brooklyn Paper
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Federal authorities indicted Rep. Michael Grimm (R–Bay Ridge) on April 28, charging the ex-Marine and former law-enforcement agent with 20 counts of tax, insurance, and immigration fraud in connection with the Manhattan restaurant he co-owned prior to holding office.

“Grimm made the choice to go from upholding the law to breaking it,” said United States Attorney Loretta Lynch. “In so doing, he turned his back on every oath he had ever taken.”

Grimm surrendered himself to the Federal Bureau of Investigation Monday, but vowed to prove his innocence — and to win re-election against his Democratic challenger, former Coney Island Councilman Domenic Recchia.

“I am going to fight tooth and nail until I am fully exonerated,” Grimm said at an April 28 press conference.

The Justice Department alleges that Grimm — who held a 45-percent share in the restaurant Healthilicious from 2007 until 2010 — knowingly paid employees in cash to dodge payroll taxes, under-reported the business’s revenue, failed to obtain proper worker’s compensation insurance, hired illegal immigrants, and lied under oath during the investigation.

The indictment even claims that he directed his accountant to continue the policies while he was running his successful upstart effort against then-Rep. Michael McMahon in 2010.

Our sister publication, the New York Post, reported that the accountant who handled the payroll under Grimm’s direction at Healthalicious also handled the books for Grimm’s 2010 congressional campaign.

Grimm is also under scrutiny for his fund-raising tactics during that campaign, but Monday’s indictment was not connected to that investigation.

The late-day announcement on Friday of the impending indictment left both Democrats and Republicans in shock.

“Nobody expected this, nobody saw this coming,” said a source close to Grimm’s staff shortly after the news broke. “We’re all in shock.”

Lawyers for the Staten Island-to-Gravesend congressman — who has long battled allegations that his first campaign in 2010 strong-armed illegal contributions from Israeli nationals — blasted the investigation as a partisan ploy.

“From the beginning, the government has pursued a politically driven vendetta against Congressman Grimm and not an independent search for the truth. Congressman Grimm asserts his innocence of any wrongdoing,” said the pol’s attorney William McGinley in a statement.

Democrats were similarly amazed that the United States Attorney’s office moved against Grimm in the heat of an election year.

“They’re usually sympathetic to the political calendar, and would not do it when it would affect the outcome of an election,” said a leading Democrat in the district, who asked not to be named.

But other experts disagreed.

“I don’t think the U.S. government decides upon when it is going to indict somebody based upon election law calendar in a particular state,” said election lawyer Jerry Goldfeder. “They indict someone when they’re ready to indict.”

Political experts recommended Grimm bow out of the campaign.

“If he gets indicted, Recchia’s chances of victory increase exponentia­lly,” said political strategist and lobbyist Hank Sheinkopf. “It’s a very clear message. Someone is telling Mr. Grimm not to run again, and sometimes when people tell you something, you should listen.”

Meanwhile, Democrats described the scene at Recchia’s campaign headquarters on the Rock on the night of April 25 as jubilant.

“They’re popping champagne bottles over there,” a source said.

The talk of Grimm’s indictment spread on Friday as the Feds unsealed charges against his 2010 campaign donor — and supposed old flame — Diana Durand, who allegedly illegally contributed some $10,000 by having so-called “straw donors” give money, then reimbursed them.

Reach reporter Will Bredderman at or by calling (718) 260-4507. Follow him at
Updated 10:17 pm, July 9, 2018
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Reasonable discourse

jay from nyc says:
It is never good news when a person who is elected to one of the highest offices in the country gets indicted for crimes. I wish better people ran for office. And as for Recchia popping champagne bottles and acting jubilant, that is truly classless and repugnant and disgraceful as well, our country deserves better than this parade of garbage.
April 25, 2014, 5:53 pm
The Chooch from The Bohemian Magic Show says:
Ha! A mook-walk. I love it when the BP takes time out for some news from "real" Brooklyn.
April 25, 2014, 7 pm
The Chooch from The Bohemian Magic Show says:
"The only option, should Grimm decide not to seek re-election, is for the pol to run for a judgeship."

Wha? This is the goombah that threatened to throw a reporter off a balcony. Now he's under inditement for something that fell off a truck. And a "judgeship" is an "option" for this lowlife? Oh yeah, and WE'RE the ones who are ruining Brooklyn. Right.
April 25, 2014, 7:06 pm
joey from Clinton Hills says:
I saw Grimmy in Manhattan today...he's just a little guy...who'd be scared of him?
April 25, 2014, 9:13 pm
People First from Brooklyn says:
Rumor has it Steve Harrison is going to make one more run for it. Recchia's people aren't popping champagne, they're sweating a primary.
April 25, 2014, 9:29 pm
Chris from Bay ridge says:
Not surprised, he is a scumbag. Not happy with him as my representative and I will be glad when this jerk is gone!
April 25, 2014, 11:25 pm
Epiphany from Ex-Brooklyn says:
Hope they put evidence together to nail Velmanette Montgomery and Eric Adams next! Brooklyn sure knows how to pick em!

Though Grimm is a Republican (can you even tell the difference in New York anymore?), what does De-Blah-sio have to say about all his Dem colleagues in Broolyn under federal corruption investigation? (Hint: Nothing. He is the oil in the Dem machine now and must keep the money flowing at all costs, whether they break the "law" or not).
April 26, 2014, 12:44 am
Mary Mondiello from Bay Ridge says:
The minute a politician opens their mouth, you know they are lying! I don't trust any of them!
April 26, 2014, 1:13 am
Tom Hilton from Bay Ridge says:
I am NOT surprised. I have been exposing this lying RINO fraud for three years on multiple Web pages.

Grimm is taking the entire SIGOP with him as dupes such as John Antoniello, Bob Scamardella, and Mike Long of the Conservative Party support him. Congrats to Craig Eaton in Brooklyn for not endorsing him.

Grimm waited until yesterday to announce this - a day after it was to late to force him off the ballot! Sleazy.

If this dirtbag gets re-elected he gets a huge lifetime pension even if he is in prison!!

Follow Grimm,'s criminality here:
April 26, 2014, 7:44 am
Frank from Furter says:
The US Attorney's office should be ashamed of themselves but probably don't care. This is the first announcement that I ever heard of that says well we haven't indicted him yet but will soon wait and see. I hope the grand jury indicts the leaker.
Its really unfair to say we are about to indict him for something. The grand jury is supposed to be secret. No one knows the charges because there aren't any yet.
I have no respect for Grimm but what is leaked here may have nothing to do with the actual charges.
Sometimes the feds leak info to get witnesses to come forward but its hard to understand what they are trying to do here...except give Grimm a reason to appeal any conviction.
April 26, 2014, 8:22 am
John from Bay Ridge says:
No surprise here. Grimm has had the cloud of corruption hanging over his head for years, and it's all his own doing.

Recchia shouldn't celebrate yet. This is a Staten Island district, and there is nothing more backwards than Staten Island politics. After all, Staten Island voters kept Vito Fossella in office for years, and he was the very definition of the term "empty suit."
April 26, 2014, 9:11 am
Andy from Park Slope says:
Nobody on Grimms staff saw this coming?
Its the most publicized grand jury investigation I've seen.
April 26, 2014, 1 pm
bkmanhatman from nubrooklyn says:
well say good bye to this mook
April 26, 2014, 6:39 pm
jim from park slope says:

April 26, 2014, 10:02 pm
Real Republican from Todt Hill says:
This is all Fossella's fault.
April 26, 2014, 10:34 pm
Ed from Bay Ridge says:
Goodbye, I hope, to this empty suit and thug poseur. (And THANK you -- coughcough -- Staten I., for both Fossella and Grimm.)
April 27, 2014, 12:20 am
Anthony M. from Dyker Heights says:
Is it true that Harrison is going to run again?
April 27, 2014, 11:17 am
judahSpechal from bedstuy says:
Hate to do this I don't....
April 28, 2014, 8:06 pm
Angie Jimenez from Sunset says:
Who is this guy, Grimm, any way? Where did he come from? So he has an interesting resume. So what?
April 29, 2014, 5:02 am
NoToEpi-pinion from BirdBrainLand says:
My! This Epi girl sure only know one tune! And no facts to corroborate a thing.

I hope she and diehipster are very happy and have loads and loads of...whatever that pair could come up with!

Hey, maybe they could use Michael Grimm for a babysitter! He's gonna need a job, if he ever makes it out of prison...
April 29, 2014, 12:14 pm

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