| In SDNY Parnas Pleads Not Guilty But
Urges DOJ Taint Team For Executive Privilege
Issues
By Matthew
Russell Lee, Patreon Alamy
photos
SDNY COURTHOUSE,
Oct 23 – Lev Parnas'
lawyer raised the issue of
executive privilege and the
need for a US Department of
Justice taint team when his
client, along with Igor
Fruman, were arraigned and
both pleaded not guilty on
October 23 before U.S.
District Court
for the
Southern
District of
New York Judge
Paul Oetken.
Inner City
Press thread here.
Judge Oetken
inquired into
whether Parnas
worked for
President
Trump - his
lawyer said no
- then put off
the issues,
and the
setting of a
trial date,
until December
2 at 2 pm.
Parnas will be
under home
detention with
GPS monitoring
in the
Southern
District of
Florida, with
no contact
with
co-defendants
outside the
presence of
counsel.
That's a
condition
co-defendent
David
Correia's
lawyer said he
intended to
revisit,
telling Inner
City Press it
was because of
business
relationships,
see below.
Here's
some of how it
went on
October 23:
Judge
Oetken's
deputy tells
the lawyers,
The room is
cavernous,
please speak
up. Now Judge
Oekten says,
we're hear for
arraignment on
a four count
indictment.
Asks for time
of arrest and
about
presentment
AUSA:
Parnas will be
released on a
$1 million
bond.
Pre-trial
supervision
out of
Southern
District of
Florida. Home
detention with
GPS
monitoring; DC
for legal
visits.
Surrender
passport, no
contact with
co-defendants
outside
presence of
counsel
(Correia
disputes)
AUSA:
Igor Fruman
putting up a
condo. Judge
Oetken
approves the
bail
conditions;
now proceeding
to the
arraignment,
Parnas first.
He waives
public reading
of the
indictment.
Pleads Not
Guilty.
Now
Fruman pleads
not guilt.
Judge Oetken
asks AUSA to
describe the
discover in
the
case.
AUSA: multiple
search
warrants, 50
bank accounts,
"the
investigation
is ongoing."
AUSA:
By the Dec 2,
2 pm
pre-trial
conference US
will know
more. Judge
Oetken: Given
the volume of
discovery, not
setting a
trial date
yet. Might set
it on Dec 2.
Parnas' lawyer
will be out of
the country on
that day, he
says.
Parnas'
lawyer says
there should
be DOJ
taint team,
says that
there are
excutive
privilege
issues...
"hese are
issues we need
to be very
sensitive"
with, he
says.
Judge
Oetken: When
you say
executive
privilege,
you're not
suggesting
your client
worked for the
President, are
you? Parnas'
lawyer: No, my
client worked
with Mr.
Giuliani.
Parnas'
lawyer: If
information
gets out then
we determine
it is all
privileged,
we've got a
problem. AUSA:
This is the
first that
we've heard of
this... With
respect with
executive
privilege,
we're happy to
have a
conversation.
Judge
Oetken to
Parnas'
lawyer: if
there's a
particular
application
that you want
to make, I'm
all ears. Are
you going to
reach a
protective
order? AUSA:
We are working
on it. Judge
Oetken:
Anything else?
Only exclusion
of time under
the Speed
Trial Act. To
Dec 2
Judge
Oetken: Okay,
I'll see you
all on
December 2 at
2 pm. Inner
City Press
will be there.
Back on October
17, David Correia, charged in
a foreign donor scheme, was
presented in and bailed out of
SDNY Magistrates Court on
October 16. On October 17 he
and co-defendant Andrey
Kukushkin were arraigned
before SDNY Judge J. Paul
Oetken and both pled not
guilty.
The
government said discovery will
be extensive, involving more
than 10 e-mail accounts. They
will work on a protective
order and then begin "rolling
production." Judge Oetken set
the next court date for them
for December 2 at 2 pm, and
make the defendants' physical
attendance optional. (The
prosecutors said it would be
helpful to have them present.)
The two lead named defendants
in the case, Parnas and
Fruman, will appear before
Judge Oetken on October 23 at
11:30 am.
Kukushkin
was released on $1 million
bond secured by $100,000 cash
and $93,000 in property.
Parnas is still in custody in
the Eastern District of
Virginia, no able yet to meet
the bail conditions offered to
him. The prosecutor said he
will not be transported north
for the October 23 appearance
absent a new order and
revocation of unyet bail
condition. Judge Oetken didn't
issue such an order, to not
problematize Parnas efforts to
meet the conditions.
On October 16 one
of the conditions of Correia's
release was that he not have
contact with his co-defendants
without the presence of
counsel; his lawyer said in
court that he might ask to
revisit that.
Afterward
Inner City Press asked this
attorney Mr. Marcus of
Florida, pro hace vice
application pending, when and
why he would seek to revist
that condition, that was
imposed without objections on
other processed through and
bailed by the SDNY Mag court
before and after Correia.
"There is
a business relationship,"
Marcus replied, before
declining to say which Middle
East country it was Correia
has flown back from to
self-surrender. A bit later
he, Correia and a New York
based lawyer ventured out into
Worth Street in the rain and
photographers, running ahead
of them and into a black car
and away.
Here's
from the US Attorney's
description of the business
relations: "Beginning in or
around July 2018, PARNAS,
FRUMAN, CORREIA, and KUKUSHKIN
made plans to form a
recreational marijuana
business (the “Business
Venture”) that would be funded
by Foreign National-1, a
Russian national, and required
gaining access to retail
marijuana licenses in
particular states, including
Nevada (the “Business
Venture”). To further
the Business Venture, PARNAS,
FRUMAN, CORREIA, and KUKUSHKIN
planned to use Foreign
National-1 as a source of
funding for donations and
contributions to state and
federal candidates and
politicians in Nevada, New
York, and other states to
facilitate acquisitions of
retail marijuana
licenses.
In or about September and
October 2018, CORREIA drafted
a table of political donations
and contributions, which was
subsequently circulated to the
defendants and Foreign
National-1. The table
described a “multi-state
license strategy” to make
between $1million and $2
million in political
contributions to federal and
state political
committees. The table
also included a “funding”
schedule of two $500,000
transfers. Foreign
National-1 then arranged for
two $500,000 wires on or about
September 18, 2018, and
October 16, 2018, to be sent
from overseas accounts to a
U.S. corporate bank account
controlled by FRUMAN and
another
individual.
PARNAS, FRUMAN, CORREIA, and
KUKUSHKIN then used those
funds transferred by Foreign
National-1, in part, to
attempt to gain influence and
the appearance of influence
with politicians and
candidates."
Inner City Press
will continue to cover these
cases.
***
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