Although two securities brokers pleaded guilty in 2005 in the City Hall bugging scandal, they weren't involved in any pay-to-play activity that was at the center of the controversy.
Administrative Law Judge James T. Kelly ruled yesterday that former J.P. Morgan executives Charles LeCroy and Anthony Snell illegally paid $50,000 to attorney Ron White for work he didn't do but that the money had not been in exchange for his getting business for Morgan.
LeCroy and Snell, who were based in J.P. Morgan offices in Florida and Georgia until their terminations in 2004, were charged with submitting a $50,000 invoice to pay Philadelphia lawyer Ron White for services he never performed.
White was the central figure of the corruption probe but died before he could be tried.
Kelly reaffirmed that LeCroy and Snell will lose their licenses.
Pleading guilty to felony wire-fraud charges "plainly" requires "that they should be barred from advocating with any broker, dealer or municipal securities dealer," Kelly said in his decision,
However, he also said there was no basis for cease-and-decist orders or civil monetary penalties. Both faced $15,000 fines.
After pleading guilty, LeCroy, in his early 50s, was sentenced to three months in prison and three months of house arrest.
Snell, in his late 40s, got a milder sentence of three months of house arrest because he cooperated with investigators. *