If this is your first visit to Providence, you will soon hear the words Plunder Dome.
For the uninitiated, Plunder Dome was the moniker the federal government gave to its three-year investigation into corruption at Providence City Hall. That investigation resulted in the conviction and sentencing of several lower-level city officials – and a couple of higher-level ones as well.
But no one higher than "the man" himself. Providence Mayor Vincent A. Cianci, Jr. Cianci was convicted on one federal racketeering-conspiracy charge in U.S. District Court after nine days of jury deliberations.
Seifert Systems Invests in Energy Efficiency to Strengthen Operations
For manufacturers, energy is more than just another operating expense. It plays a critical role…
Learn More
On Wednesday, June 26, a humbled Cianci told a crowd of media members assembled in his second floor office that he would not seek re-election.
"I don’t want to be the 300-pound gorilla in a race," he said. "It’s not fair to the people. It would be purely self-motivated and in my self-interests."
Cianci, 61, was acquitted of 11 other charges, including racketeering. The jurors initially couldn’t agree on two charges, but after two additional hours of deliberation, they found him innocent of extorting a free, lifetime membership to the plush University Club on Benefit Street.
Cianci was expressionless as the verdict was read, according to the Associated Press. He faces as many as 20 years in prison and a $250,000 fine. Attorney General Sheldon Whitehouse released an opinion just hours after the verdict that Cianci can legally remain in office "until he is suspended from holding the office of mayor, which happens by law immediately upon sentencing."
U.S. District Court Judge Ernest C. Torres has set a Sept. 6 sentencing date for Cianci.
After the jury’s decision, Torres asked for written arguments on the racketeering-conspiracy conviction.
On Wednesday, July 3, the judge heard oral arguments from both sides, leaving open the possibility that he could overturn the jury’s verdict against Cianci in the coming days. Torres said he would use the next two or three weeks to review all the arguments in the case before ruling.
The verdict came after a seven-week federal trial in which prosecutors alleged Cianci, his former top aide and two businessmen solicited bribes in exchange for city jobs, contracts and tax breaks.
Cianci’s two co-defendants fared far worse than the mayor.
Frank E. Corrente, Cianci’s former chief of staff, was found guilty on several counts of racketeering-conspiracy, extortion and bribery.
Richard E. Autiello, a Providence garage owner, was also found guilty of racketeering-conspiracy, extortion and bribery.
Sentencing for the co-defendants is also set for Sept. 6.
Business community reacts
In the days following the verdict, the city’s business community paused to reflect on what the impact of the Plunder Dome saga would have not only on current economic development efforts, but on the city’s economic future, as well.
In previous interviews with Providence Business News, some business leaders said that they were convinced that the federal government’s multi-year probe into corruption at Providence City Hall had exacted a heavy toll on economic development efforts in the capital city.
David Preston, a principal with the Providence-based Trion Communications, an advertising and public relations firm that represents a wide range of clients, said he believes that there are companies that have not come to Providence – or expanded operations here – because of a climate of corruption.
"There isn’t a Fortune 500 CEO anywhere who would even remotely consider Providence if this is the climate that exists," said Preston.
Preston said executives are very much concerned about the negative impact the very existence of political corruption can present.
"We have a number of Fortune 500 clients…trust me, none of them overlooks this," he said.
Others tend to believe that the aura of seedy political dealings has a decidedly minimal impact on economic development.
Peter Armato, president and chief executive officer of The Downcity Partnership, a nonprofit dedicated to the district’s growth, said he has never heard a business person cite the Cianci case as a reason for not doing business in the city.
"I’ve never heard that," said Armato.
Armato added that it’s impossible for him to gauge any impact the scandal might have had on the overall climate of business in the city.
"Coincidentally, the indictments were handed down the day I accepted my job. So I never experienced a Providence without the shadow of these indictments," he said.
Regardless of the fallout of Cianci’s conviction, Armato said his organization’s mission would not skip a beat.
"The Downcity Partnership is a partnership organization, and the city is a key partner. Ultimately, we will continue to work with the city and our other partners to continue the great progress we’ve experienced in Downcity," he said.
Jim Wood, president and chief executive officer of the Providence Warwick Convention and Visitors Bureau, downplayed the effect that the cloud hanging over Providence City Hall would have on efforts to attract visitors to the capital city.
"Political corruption historically has not impacted meeting planners or leisure travelers in their making a decision on a destination," Wood said. "It’s not like a Confederate flag sitting on the state capital in South Carolina."
That sort of controversy tends to draw boycotts from activist groups, while cases of political corruption cases generally are viewed in isolation, Wood said. He added that meeting planners schedule events at least two years in advance, and generally are not concerned with predicting what the future political landscape of a city will be.
But the potential effects of the corruption conviction on economic development are less clear, Wood said.
"I think the real question is what the long-term ramifications will be on businesses coming into the city," he said.
James G. Hagan, president of the Greater Providence Chamber of Commerce, said Plunder Dome is low on the list of concerns for companies looking to move to Providence or expand in the capital city.
Last week, Hagan met with a potential investor from the Midwest looking at setting up headquarters in the city. Hagan also met with a delegation from China that has put Providence on its radar screen.
"They don’t mention Plunder Dome. Yes, they’re aware of it," he said. "But, businesspeople are very much interested in actions by the Providence City Council and state legislature when it concerns long-term public policy – policy that allows businesses to function in a way that doesn’t put so many restrictions on them."
Cianci’s out – no matter what
Even if Judge Torres reverses the jury’s verdict regarding the racketeering-conspiracy charge against Cianci, the term of the longest-serving mayor in the United States – now at 21 years – will come to an end. Cianci’s decision not to run this November, is irreversible.
At last check, 18 candidates were considering making a bid to succeed Cianci. They include: (Green Party): Greg Gerrit (Democrats): Andrew J. Annaldo; David N. Cicilline; Steven Costantino; David V. Igliozzi; John J. Lombardi; Keven A. McKenna; Thomas F. O’Connor Jr.; Joseph R. Paolino Jr.; (Independents): Pat V. Cortellessa; Robert E. Farrow; Daniel J. Grzych; Janice Luongo; Marvin Spiegle; Michael Terzian Tucker; Christopher F. Young; (Republicans): Gregg Mazel; David B. Talan
The fact that Cianci is now not eligible to run this fall made his press conference on June 26 all the more historic.
Here are excerpts from the hour-long meeting. It took place in Cianci’s ornate second-floor City Hall office.
• "This city is my life. Providence is my passion."
• "We have over 7,000 workers in this city and there are those who have had indiscretions and those who have done wrong. But the fact of the matter is, don’t ever think that the actions of a few permeate this city government. It’s just not true. We never could have had the revitalization that we experienced if that stuff was going on."
• "With the help of many talented people, from all walks of life, we have succeeded even beyond our fondest expectations. Providence today is a magnificent riverfront city at the head of the beautiful Narragansett Bay."
• "My greatest satisfaction as mayor comes from the realization that the dreams we dared to dream a generation ago, have become the magnificent reality of today.
• "Twenty-one years is a long time to bear the responsibilities of office."
• "We have restored the home and pride of every citizen of our city…Years ago people did not have self-esteem. Now, you can ask anybody – regardless of what has been going on. They have the sense of a city moving in the right direction. They are very proud of this city."
• "In the 1970s, mayors were social workers. We were concerned about how many fires we were going to have on the Fourth of July. We were concerned about subsidized housing for the elderly. In the 1980s, we became risk-takers. We started to invest. Our economy was changing. We saved a performing arts center. That was a risk. We saved Trinity Rep…We gave tax breaks to save buildings. And now mayors in the 1990s and after 2000 have become entrepreneurs. If anybody had said to me that the city would be a $142 million investor in the Providence Place Mall I would have said they were nuts. If anyone had told me in 1975 that we would be invested in 125 restaurants, I would have told them they were nuts. But we are. That has been the secret to success in this city."
