Two former associates of John C. Liu, the New York City comptroller, managed to avoid lengthy prison sentences on Thursday for their roles in attempting to funnel money to Mr. Liu's mayoral campaign through an illegal fund-raising scheme.
But the charges filed by the United States attorney, Preet Bharara, against Ms. Hou suggest that she was taking instructions from Mr. Liu as she was carrying out what is alleged to have been a fraudulent fund-raising scheme.
A federal judge ruled on Monday that prosecutors may call a longtime aide to the New York City comptroller, John C. Liu, to testify in the trial of two former associates charged in an illegal campaign fund-raising scheme.
Two former associates of John C. Liu, the New York City comptroller and a Democratic candidate for mayor, were convicted on Thursday for their roles in attempting to funnel money to the Liu campaign through an illegal fund-raising scheme.
And, in a troubling development for Mr. Liu, the charges filed on Tuesday suggested that Ms. Hou was taking instructions from Mr. Liu as she was carrying out the fraudulent fund-raising scheme.
The justice secretary's abrupt U-turn – in response to the protest resignations of more than 100 magistrates – ditches a money-raising scheme introduced by his predecessor Chris Grayling, which only came into force in April this year.
Take Bayonne, which was represented both in Congress by Representative Cornelius E. Gallagher, who in 1973 went to prison for income tax evasion linked to a political fund-raising scheme.
He made his first foray to Southern California in 1874, to investigate a goat-raising scheme (it never materialized), and pronounced the place "the fattest land I ever was in".
Tony Hoffmann, the president of the Village Independent Democrats, and Bob Botfeld, a district leader in Three Parks Democrats, on the Upper West Side, said they were surprised that their clubs voted to endorse Mr. Liu, given that two of his associates were recently found guilty of trying to funnel money to his campaign through an illegal fund-raising scheme.
A longtime aide to John C. Liu, the New York City comptroller and a Democratic candidate for mayor, appeared to place herself in possible legal jeopardy on Thursday after she detailed for a jury how she had offered to reimburse donors' contributions to Mr. Liu's campaign in what prosecutors have said was an illegal fund-raising scheme.
