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Donovan and six top executives of Schiavone, including its chairman, Ronald Schiavone, 59, were charged with grand larceny in this scheme. Together, Donovan and Schiavone own about 90% of the company's stock. Also charged with fraud were Masselli, 57, and Galiber, 59. The alleged "theft," in Merola's view, was from the Transit Authority and the Federal Government...

Author: /time Magazine | Title: Time Out for the Defense | 10/15/1984 | See Source »

Silverman interviewed Orlando but apparently doubted his credibility. Edward McDonald, chief of a federal strike force that had been unable to gain access to the tapes, decided to turn Orlando over to Merola. By then, the Bronx D.A. had secured convictions of two gangsters in the slaying of Masselli's son Nat, who had been cooperating with Silverman. At the 1983 trial, Bronx Assistant District Attorney Martin Fisher claimed that young Masselli had been killed in order "to help and protect" the Schiavone company and Donovan...

Author: /time Magazine | Title: Time Out for the Defense | 10/15/1984 | See Source »

...Merola's assistant Stephen Bookin obtained a court order for the Masselli tapes early this year, but was stalled for months by the FBI before getting them. In the New York FBI office, Walton admitted barring his agents from talking to Merola's staff. At least one agent was disciplined for giving information to the Bronx investigators anyway. FBI headquarters last week ordered an internal investigation into the way its New York office had handled the Masselli wiretap evidence. Despite the lack of FBI assistance, Bronx Detectives Michael Geary and Lawrence Doherty finally put together the case that...

Author: /time Magazine | Title: Time Out for the Defense | 10/15/1984 | See Source »

...Donovan's personal role in any alleged crimes, Merola insisted last week, "Donovan benefited from the skullduggery. He was part of the operation. He knew about specific transactions." The Bronx D.A. will now have the difficult task of proving that to a jury...

Author: /time Magazine | Title: Time Out for the Defense | 10/15/1984 | See Source »

Donovan firmly proclaimed his innocence. Declared he: "Merola may have won today's battle by the misuse of his office, but I guarantee you he will not win the war... I fully expect to resume my duties just as soon as this injustice has been dealt with." Whether justice or injustice, dealing with it is likely to take months...

Author: /time Magazine | Title: Time Out for the Defense | 10/15/1984 | See Source »

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