FBI agents raided the homes of state Sen. Malcolm Smith, D-Hollis, and New York City Council Member Dan Halloran, R-19, this morning and arrested both men, according to the New York Times. The criminal complaint , which had been sealed until today, alleges that the two, along with four other politicians from Rockland and Westchester Counties, engaged in bribery, defrauding of honest service and conspiracy to commit an unlawful activity. The remaining four defendants are Noramie Jasmin and Joseph Desmaret, the mayor and deputy mayor of Spring Valley; Vincent Tabone, a Republican official in Queens; and Joseph Savino, the Bronx GOP chairman.

The scheme

The New York Post states that it is alleged that Smith conspired with Republican officials to obtain the party's permission to run for mayor of New York City on the Republican line, even though he is a Democrat. The alleged conspiracy involved bribing select Republicans to influence that approval process. Halloran is also being investigated for taking bribes from a consultant in return for allocating city funds. The Spring Valley politicians are believed to be involved through Smith's alleged efforts to provide a benefit to a real estate developer in return for financial support.

Undercover activity

The FBI introduced an agent into the alleged conspiracy posing as a real estate developer. The agent and a cooperating witness met with the Tabone and Savino, and according to the Times, the politicians accepted bribes of $40,000 each. Halloran is reported to have solicited more than $20,000 in bribes.

Statements

U.S. Attorney Preet Bharara calls the alleged crimes "an unappetizing smorgasbord of graft and greed involving six officials who together built a corridor of corruption stretching from Queens and the Bronx to Rockland County and all the way up to Albany itself." Gerald Shargel, Senator Smith's attorney, is quoted in the New York Times saying "Malcolm Smith is a dedicated and highly respected public servant and he steadfastly denies these charges."

Repercussions

The fallout from these arrests and any potential convictions will affect both New York City politics as well as the New York state senate. The Times notes that two of the Republican officials involved are involved with existing mayoral campaigns of other Republicans. Tabone is a paid consultant for the campaign of John Catsimatidis while Halloran recently endorsed Republican candidate Joseph Lhota. Malcolm Smith is one of five Democratic state senators who are supporting Republican control of the Senate. From 2008 to 2010, Smith was the president of the senate while it was controlled by the Democrats. Republicans regained a slim majority in 2010, which they lost in 2012. Smith and four other liberal Democrats formed the Independent Democratic Conference and voted with Republicans to restore their control of the upper house of the New York legislature.

New York mayor Michael Bloomberg is term limited and cannot run for re-election. The process to determine who will succeed him has begun for both the Democratic and Republican parties. These arrests may affect that process and the election. In addition, the arrest of Malcolm Smith may affect Republican control of the state senate.