Senator Kennedy Serious Try to Reform Surrogate Court

In the 1960s’ Senator Robert Kennedy came closest to stopping the looting of New York’s dead. Kennedy went to Albany to gain public support to reform the court. He was attacked by the legislatures and by Manhattan Surrogate Judge Samuel Di Falco.

“The testimony of Senator Kennedy and Justice Silverman had been based “solely on hearsay, not on facts. . . The committee heard from Kennedy in silence and asked no questions, but after the Senator left, members of the committee, and some Surrogates called as witnesses, denounced him for repeating “hearsay” statements impugning the system.” –NY Times Nov. 30, 1966

Senator Kennedy ran and elected Judge Samuel Silverman on a reform platform to the Manhattan Surrogate Court, as the junior judge.

The victory of Supreme Court Justice Samuel Silverman in the primary contest for the Democratic nomination is a triumph for better government . . . The most important result of the primary has been to direct public attention to the desirability of putting an end to the political patronage for which the Surrogate’s Courts have been notorious for many years. – NY Times, June 29, 1966

“Justice Samuel Silverman has performed a public service in taking on this disagreeable task. He is the better man and would administer the Surrogate Court – so long as it exists – in the severely impersonal, politically neutral and professionally distinguished manner that it requires.” –NY Times, June 24, 1966

But Kennedy effort to clean up the court was blocked by the Manhattan Surrogate Court’s Chief Judge Samuel Di Falco who stopped all of Surrogate Silverman’s reform attempts and ended shortly after Kennedy’s death in 1968.

The Liberal Party’s Alex Rose in 1972 attempted to continue Kennedy’s efforts against the Surrogate Court’s corruption, but was block by reformers when his candidate against Surrogate De Falico, Criminal Court Judge Amos Basel did not get enough support to get on the ballot to run on the democratic line. Basel running only on the Liberal Party line was endorsed by the New York Times was defeated in the general election.

“In office, Surrogate Di Falco has proved more impartial and responsible than many critics had feared. In his bid for a second fourteen-year term, he carries not only the endorsement of the Democratic, Republican and Conservative parties but also of the Citizen Union. However, we believe that the public interest would be better served by the election of his Liberal opponent, Amos Basel. Judge Basel has given distinguished service on the Criminal Court and has always demonstrated political independence and judicial disinterestedness. –NY Times, October 29, 1970


Ex Surrogate Samuel Di Falco Indicted in Criminal Contempt
“Samuel Di Falco, the former Manhattan Surrogate has been indicted for criminal contempt for allegedly telling a grand jury he could not remember having spoken to a law assistant about arranging favorable rulings for clients of his son’s law firm.” –NY Times, February 6, 1978

Court Insiders Impenetrable

A group of insider has resisted reforms for generations despite attempts from some elected officials, editorials newspaper boards and good government groups to reform the Surrogate Court. The last attempt to clean up the court came from Senator Kennedy over 40 years ago. Elected officials for the last generation have avoided court reform to avoid clashing with the powerful legal firms connected to the court. Their constituents who suffer from court’s high fees drawn from their estates are not as important.

“It means taking on a whole culture, which is entirely resistant to change. That is the fundamental difference between me and Renee Roth – real reformers cannot go along,” said Karen Burstein who was challenging Judge Renne Roth re-election to the Surrogate Court. “But the surrogate said she tried internally to overhaul procedures a decade ago, only to have a senior judge block her efforts. I didn’t do anything wrong here,” said Roth. “I was the good guy. I inherited a mess, and when I could do something about it, I cleaned it up.” –NY Times, September 7, 1996

A quarter a century ago Mayor La Guardia complained that the Surrogate Court kept Tammany alive during his City Hall regime. Ten years ago the distinguished Tweed Commission recommended their abolition and transfer of their functions to the State Supreme Court. –NY Times, June 29, 1966

“Manhattan – Surrogate’s Court - This sensitive office has been a center of patronage that favors politically connected lawyers and is a burden on the estates of decedents and their families. The Surrogate’s Court urgently requires reform through state legislation.” –NY Times Editorial, September 11, 1976

“The Citizens Union last week endorsed Senator Robert Kennedy’s proposal to abolish special-guardian appointments in surrogate courts and create salaried public guardians.” – NY Times, December 4, 1966

“Mayor Lindsay endorsed yesterday the proposal to merge the Surrogate Court into the State Supreme Court.” – New York Times, May 6, 1967

Media Lacks Passion on Court Change

We know through the relentless drum beat of publication of hundreds of stories, that former governor Eliot Spitzer wore knee high black socks when he had sex with admitted whores. But when it comes to informing the public about a court where the powerful and greedy steal and deeply hurt thousands of New Yorkers and their families in their most troubling times, the press covers only the breaking court scandals without doing any investigation into the causes or to connect the dots and build public support for change. The public is left with nothing but the hope that if they vote for this or that endorsed candidate for Surrogate promising change, the stealing from the dead will stop in Surrogate Court. An analysis of the past clearly shows that hope is not enough.

The Manhattan Surrogate Court Controlled By A "Group" of Three Insiders for nearly 50 Years

Despite over a generation of Surrogate candidates and newspaper editorials calling for and promising reform three men have run the Manhattan Surrogate Court’s counsel office for almost 50 years and they all belong to the same "core" law firm. The last two counsels are law partners. One of the three, John Reddy, is trying to become the Surrogate Judge this year to continue their fifty year run well into the future.

The Family Business
1. Joseph T. Arenson
2. Phillip Beckerman
3. John Reddy

The Family Cuts Out the Middle Man or Woman

“John Reddy, who has worked in the Surrogate's Court for 29 years, was the protégé of a lawyer who got mixed up in a court scandal.” -Daily News, August 14, 2008

Public Administrator counsels John Reddy, Phillip Beckerman both belonged to Counsel Joseph Arenson's law firm. In addition Reddy and Beckerman are partners in their own law firm.

Karen S. Burstein, a former State Senator and Family Court judge challenged Renee Roth for Surrogate in 1996. Burstein contends that a circle of friends and political allies have benefited disproportionately.

“Ms. Burstein says that when the Manhattan Public Administrator, Bruno Cappellini, resigned under pressure in 1988, Surrogate Roth let his successor, Ethel Griffin, hire to the lucrative position of counsel to the public administrator a law partner of the previous counsel, who had also resigned under pressure.” – NY Times, September 7, 1996

Bruno Cappellini the Public Administrator and his counsel Joseph Arenson left the Manhattan Surrogate Court after a report about his management style were published by AG Robert Abrams and Controller Ned Regan in 1987. Beckman, a member of Arenson law firm, was Arenson replacement as counsel. Beckman was replaced by his law partner John Reddy shortly after a story came out accusing Beckman with having an illegal bank account that the office opened up for the dead, the PA used to distribute funds to other lawyers. Beckman said his name was forged on papers and check of the said account. Arenson also had the same kind of bank account that the office opened for the deceased to distribute fees to lawyers for their work on the estates.

Update

Mr. Reddy has received $691,447 for work his firm has received on 28 cases involving the Public Administrator's Office, according to information provided by the OCA. The court system first started tracking those payments in May 2006. - NY Law Journal, August 21, 2008

Report # 1: Delays, lax Record-Keeping and Inflated Legal Fees

“In 1987, Comptroller Edward V. Regan and Attorney General Robert Abrams -- determined that record-keeping was in disarray, property was warehoused chaotically and outside lawyers were awarded windfall fees for minimal legal work. The report also said that there were serious delays in completing cases and that money from estates was deposited improperly into accounts used to pay for some of the public administrator's office expenses.” –NY Times September, 7 1996

John Reddy got his first job from resigned counsel Joseph T. Arenson. Reddy and Bekerman are law partners, and were members of Arenson law firm, Reddy started working for Arenson in the Surrogate Court PA counsel office from 29 years ago. Today Reddy has Arenson’s old job as counsel to the PA.

John Reddy Protégé Arenson

"John Reddy is a partner in the law firm of Bekerman and Reddy, LLP. Mr. Reddy has been associated with the Counsel to the Public Administrator of New York County since 1979, and has served as counsel since 1996. Mr. Reddy has found Memories of Professor Joseph Arenson who helped him begin his career in trusts and estates. Joe Anerson gave me a job while I was still in Law School," Mr. Reddy recalled. "Eventually I became a partner in his firm and now I have his old job as Counsel to the Public Administrator." – NY Law School Report Alumni Connection 2007

Mr. Arenson, whose ten-lawyer firm has served the Public Administrator’s office for 35 years. . . Mr. Arenson firm received a total of 1.7 Million in 1985 (Controller's Report said) – NY Times, November 28, 1987

Joseph Arenson was involved in an additional scandal five years later with his replacement counsel Phillip Beckerman a member of his law firm and partners with Surrogate candidate John Reddy