Former New York Comptroller Said to Plan Guilty Plea in Pension Fund Probe

Former New York Comptroller Alan Hevesi will plead guilty to a felony charge tied to New York Attorney General Andrew Cuomo’s probe of corruption at the state’s pension fund during 2003-2006, a person familiar with the case said.

Hevesi is to be arraigned in a Manhattan courtroom this morning, said the person, who declined to be identified because the proceedings haven’t yet taken place. The judge overseeing the arraignment is Melissa Jackson.

Hevesi resigned as comptroller after pleading guilty to a felony in December 2006 for using state employees to chauffeur around his disabled wife, ending his 35-year career in politics.

Hevesi, a Democrat, was sole trustee of the fund from 2003 to 2006, the official responsible for investing its money. He allegedly allowed his political consultant, Henry “Hank” Morris, to corrupt the investment process to benefit money managers who made campaign contributions and politically connected placement agents who received lucrative fees.