Rhode Island news
CVS Trial: Celona testimony concludes after 4 days
02:25 PM EDT on Thursday, May 22, 2008
Journal illustration / Frank Gerardi
Former state Sen. John Celona, left, answers questions from Scott D. Corrigan, center, defense lawyer for former CVS executive John Kramer. In the foreground, former CVS executive Carlos Ortiz, center, is flanked by two of his attorneys. Judge Mary Lisi presides.
By W. ZACHARY MALINOWSKI
Journal staff writer
PROVIDENCE -- After four days on the witness stand in the trial of two CVS executives -- Carlos Ortiz and John R. "Jack" Kramer -- accused of bribing him and buying his influence in the State House, former state Sen. John A. Celona has concluded his testimony.
The government’s star witness admitted this morning that he lied to federal investigators and cheated on his taxes during the years he worked as a paid consultant for the Woonsocket-based drug-store giant.
Today's exhibits
Exhibit U-20: Read a letter that the U.S. Attorney's office wrote to the Rhode Island Ethics Commission on Celona's behalf.
Exhibits J21, L21, K21: See John Celona's tax returns for 2003, 2004 and 2005.
During two hours of cross examination, Scott Corrigan, a defense lawyer, introduced evidence that Celona was paid $12,000 or more annually from several businesses.
Celona consulted for New England Ambulance Service Inc.; Certified cleaning and Restoration; Intercity Maintenance; and Healthlink. The consulting agreements called for representatives from the four businesses to appear on Celona’s cable television program at least once a year.
Corrigan produced documents that showed Healthlink paid Celona $17,000 in 2001 that he did not declare on his income taxes.
Celona also admitted that he used money from his campaign fund for personal use and failed to disclose it on his tax returns.
At one point during cross examination, Corrigan showed a copy of a letter from Celona to his accountant on a video screen.
“May I ask how you got those?” Celona asked.
Judge Mary M. Lisi snapped back –– “No, you may not.”
In 2005 Celona pleaded guilty to charges that he sold his public office to CVS, Blue Cross & Blue Shield of Rhode Island, and Roger Williams Medical Center. As part of the agreement in which Celona agreet to cooperate with the authorities, he was promised that he would not be prosecuted for tax evasion.
Celona’s cooperation resulted in a 12-month reduction in his prison sentence. He is serving a 2½ year term in a federal prison in Pennsylvania.
After a short break, Corrigan wrapped up his questioning at 11:30 a.m. with several questions about false statements that Celona provided to a federal prosecutor and FBI agent earlier this year.
It was clear that Celona was uncomfortable with the line of questioning.
"You told them that you couldn’t remember all the lies you told them, correct?" Corrigan said.
"I don’t know if that was the terminology," Celona said.
"Did you tell them that you didn’t want to lie to them about lying?" Corrigan asked.
Mark Smith, a lawyer for Carlos R. Ortiz, was next. He spent an hour and 15 minutes cross-examining Celona about his cable television show and a meeting in the office of former CVS spokesman Todd Andrews in January 2001. Celona said that Ortiz called the meeting in Andrews’ office to discuss his $1,000-a-month consulting contract.
Ortiz talked about coming up with an official title and duties for the former legislator, 11 months after he began his consulting job for CVS.
Andrews is expected to be the government’s next witness when the trial resumes at 9 a.m. tomorrow.
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