Passaic Mayor Alex D. Blanco, 44, of Passaic, New Jersey, admitted today to pocketing $110,000 in corrupt payments from developers building low-income housing — cash drawn from federal HUD funds meant for the city’s poorest residents. The confession, delivered in Newark federal court, marks the fall of a mayor who exploited his office for personal gain while families waited for affordable homes.
Blanco pleaded guilty to one count of soliciting and accepting corrupt payments related to city business, a charge that carries up to 10 years in prison and a $250,000 fine. U.S. District Judge William J. Martini accepted the plea. According to court documents, Blanco used an intermediary to demand payments in 2011, threatening to stall a housing project unless the cash flowed his way.
After the Passaic City Council approved $216,400 in HUD funds for two developers in 2011, Blanco moved fast. He met with the developers in September and demanded $75,000. When cash wasn’t available, he accepted signed, blank checks — later filling in payee names and collecting $65,000 in cash. Days later, he took two more checks totaling $40,000, and by March 2012, added another $5,000 in illicit proceeds.
“The conduct admitted by Mayor Blanco demonstrates an aggressive and appalling greed,” said U.S. Attorney Paul J. Fishman. “He took federal money meant for housing the poor and stuffed it in his own pockets. We expect better from public officials.”
FBI Newark Division Special Agent in Charge Timothy Gallagher called the guilty plea a win in the bureau’s top-priority fight against public corruption. “This case shows how diligently we pursue those who betray the public trust. No badge, no title, no position shields anyone from accountability.”
Sentencing is set for February 23, 2017. The investigation was led by the FBI and Homeland Security Investigations, with critical support from the HUD Office of Inspector General. Special Agent in Charge Terence S. Opiola of HSI Newark praised his team’s work: “This plea is a testament to the hard work and dedication of our special agents — job well done.”
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Key Facts
- State: New Jersey
- Agency: DOJ USAO
- Category: Public Corruption
- Source: Official Source ↗
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