In a State of New York Supreme Court, Appellate Division decision dated June 24, 2010 that will send shockwaves throughout New York State, the Third Department Appellate Division revived a citizens’ lawsuit that seeks to outlaw billions of dollars in cash grants to private firms for alleged “economic development.”
The Court agreed with the plaintiffs’ main contention that the State may not funnel its funds through public benefit corporations such as Empire State Development Corporation as a means to avoid the Constitution’s ban on gifts to private firms.
The case now goes to the New York State Court of Appeals. Should the plaintiffs win the case, the current practice of giving billions of dollars of tax money to private firms, many of which then kick back campaign donations to politicians, will abruptly end. The briefs were filed on February 26, 2011.
James Ostrowski, a solo practitioner and tea party activist from Buffalo, New York, is counsel for the plaintiffs. Ostrowski said his group will now file a class action suit against every municipality in the state that provides cash grants to private firms under a similar but separate clause in the state constitution.
We wrote to Jim Ostrowski this evening and he replied to our email:
"The Court of Appeals is hearing the State's appeal on October 12th in Albany. We are having a large rally on that date.
Please see the webpage.
Hope to see you there."
For more information on this important court case, put 'Pork Lawsuit' in Google.