Mangano ordered to pay more than $10 million in fraud case


Former Nassau County Executive Ed Mangano, sentenced to a 12-year prison term in a bribery scandal, is now on the hook for $10.6 million in restitution to two Connecticut insurance companies.

Mangano, 60, was ordered July 14 to pay the fine by U.S. District Court Judge Joan M. Azrack, who handed him the 12-year sentence for using his official position to influence the Town of Oyster Bay to guarantee loans for a town concessionaire in exchange for several bribes, including a $450,000 “no-show” job for his wife, Linda, 59, free meals and vacations, luxury chairs and flooring for the couples’ bedroom and a $7,500 watch for one of their sons.

In her order on July 14, Azrack said, “Having considered all the evidence in the record, I fined, based on Mangano’s own acts and the reasonably foreseeable acts of his co-conspirators, that Mangano is liable for restitution in the amount of $10,630,016.80.”

Mangano’s attorney, Kevin Keating, said in a statement that Thursday that  “The trial evidence was unambiguous that Ed Mangano had zero involvement in these loans and was unaware of their existence. We look forward to addressing those issues on appeal.

Mangano is scheduled to begin his prison sentence on July 17, unless the judge allows him to remain free pending his appeal. She has not yet ruled on the request. His wife was sentenced to 15 months in prison and is also seeking to remain free while she appeals.

Judge Azrack said Mangano must pay restitution at the rate of $25 every three months while he is in jail and 10 percent of his gross monthly income after he is released.

Loans were placed with two insurance companies – Phoenix Life Insurance and PHL Variable – by Purchase-based NDH Capital Corp. The companies submitted a restitution order on April 14, the day of Mangano’s sentencing they had sustained more than $10 million in losses from the NDH loans after defaulting on the loans and the Town of Oyster Bay guarantees, the judge’s order said.

Mangano,  a jury found, used his position to include Oyster Bay Town officials into backing $20 million in loans for Harendra Singh. Singh was a long-time Mangano friend and a former restaurant owner, He became the star witness for the prosecution after pleading guilty to bribery, conspiracy and tax evasion. He testified he had lavished the Manganos with gifts in exchange for favored treatment by the county executive.