Guilty Plea In New York Case

     From the New York Times:

A former New York City police officer accused of playing a major role in a scheme to defraud the Social Security Administration pleaded guilty on Wednesday and agreed to testify against his co-defendants.

Prosecutors said that the former officer, Joseph Esposito, was one of four people who concocted a scheme that bilked the federal government out of more than $27 million. ...

Under the terms of the agreement, if his testimony is satisfactory, he will be allowed to plead guilty to a lesser charge of second-degree grand larceny and prosecutors will recommend a sentence of one and a half to four and a half years in prison. ...

Mr. Esposito and Mr. Hale, court papers say, referred most of the applicants to two psychiatrists for treatment and to establish a year’s worth of medical records. On several telephone calls recorded by the authorities, Mr. Esposito was captured coaching applicants on how to mimic the symptoms of depression and post-traumatic stress when being examined by doctors. ...

It was also Mr. Esposito’s job, court papers say, to collect a large cash fee from the applicants — usually more than $28,000 per person — after they received the first lump-sum check from the government, prosecutors said. Mr. Esposito would bring the money to Mr. Hale’s house, where it would be split among the four men, according to court papers.