Michael Grimm (politician)
|Member of the
U.S. House of Representatives
from New York
January 3, 2011 – January 5, 2015
|13th congressional district (2011–2013)|
|11th congressional district (2013–2015)|
|Preceded by||Michael McMahon|
|Succeeded by||Daniel M. Donovan, Jr.|
|Born||Michael Gerard Grimm
February 7, 1970
New York City, New York, U.S.
|Alma mater||Baruch College (B.B.A.)
New York Law School (J.D.)
|Service/branch||United States Marine Corps|
|Years of service||1989–1997|
|Unit||U.S. Marine Corps Reserve|
|Awards|| Combat Action Ribbon
Navy Unit Commendation
Meritorious Unit Commendation
Michael Gerard Grimm (born February 7, 1970) is an American businessman and politician who represented New York in the United States Congress from 2011 to 2015. Grimm represented New York's 13th congressional district during his first term, after which he represented New York's 11th congressional district. Both districts consisted of Staten Island and parts of Brooklyn. Grimm is a member of the Republican Party, and during his time in office was the only Republican to represent a significant portion of New York City. He is a former FBI agent, businessman, attorney, and U.S. Marine, having served in the Persian Gulf War.
On April 28, 2014, Grimm was charged by federal authorities with 20 counts of fraud, federal tax evasion, and perjury. On December 23, 2014, he pleaded guilty to a single count of felony tax fraud, and "acknowledged committing perjury, hiring illegal immigrants, and committing wire fraud." After initially vowing to retain his seat, Grimm announced on December 30, 2014, that he would resign from Congress effective January 5, 2015. On May 5, 2015, Daniel M. Donovan, Jr. won the special election to replace Grimm.
- 1 Early life and education
- 2 Career
- 2.1 Federal Bureau of Investigation (1991–2006)
- 2.2 Business and finance (2006–2010)
- 2.3 U.S. House of Representatives (2011–2014)
- 2.3.1 Elections
- 2.3.2 Tenure
- 2.3.3 Committee assignments
- 2.3.4 Caucus memberships
- 3 Federal criminal investigation
- 4 Personal life
- 5 References
- 6 External links
Early life and education
Grimm was raised as a Catholic in Queens, New York, the son of Petrina (née Castronova) and Gerard Grimm. He is of German, Irish, and Sicilian descent. He graduated from Archbishop Molloy High School in 1988.
Grimm entered active duty with the U.S. Marine Corps in 1989. In 1990, he was deployed overseas as part of the 6th Communication Battalion. He received a combat promotion to corporal, and was awarded the Combat Action Ribbon, Navy Unit Commendation, the Meritorious Unit Commendation, among other awards.
Grimm received a BBA in accounting from Baruch College in 1994. He transferred to the U.S. Marine Corps Reserve and was discharged from service in 1997. He received a Juris Doctor (magna cum laude) from New York Law School in 2002.
Federal Bureau of Investigation (1991–2006)
Grimm entered the FBI as a clerk in 1991. In 1995, he entered the FBI Academy in Quantico Station, Virginia. He graduated as a special agent and was certified to become an undercover agent. He transitioned into undercover agent work, eventually working in the FBI Gambino Squad, and was assigned to the inside activities of Peter Gotti, John Gotti's brother. Grimm worked for the FBI as an agent for 9 years.
In 2011, Evan Ratliff, writing for The New Yorker, reported that Grimm had been the subject of an internal investigation into allegations that he abused his authority as a FBI agent in a nightclub in 1999. At the time of the New Yorker report, the New York Police Department and U.S. Justice Department had not released documents regarding the alleged incident. Grimm stated that the incident had been fully investigated and that he had been cleared of all allegations.
During his time with the FBI, Grimm spent two years posing as a small-cap stockbroker, uncovering white-collar criminals on Wall Street. According to Grimm, the firm was involved in money laundering, making false trades, and manipulating stocks. After building a strong case for two years, he and the firm's partners were arrested together, at which point, the police informed the group that they had been infiltrated by an undercover agent. Grimm stated in 2011 that he has long been aware of the possibility that people may try to take revenge on him. He left the FBI in 2006, citing his exhaustion from working long hours.
Business and finance (2006–2010)
In 2006, Grimm founded a small health food restaurant in Manhattan called Healthalicious. He co-owned and served as principal and chief executive officer of Austin Refuel Transport, an Austin, Texas-based bio-fuel company. As of 2011, Grimm owned 28% of the company, although he is no longer involved in daily operations nor is he CEO. In July 2011, the New York Daily News reported that Austin Refuel Transport had received 11 safety violations in two U.S. Department of Transportation checkups. Grimm’s spokesman said that he now "has no authority or managerial role in the daily activities of the company. He is simply a silent investor."
U.S. House of Representatives (2011–2014)
Grimm launched his campaign for the 13th New York Congressional District seat on January 23, 2010. He was endorsed by former NYC mayor Rudy Giuliani as well as Guy Molinari, a former U.S. Representative and Staten Island Borough President. He was also endorsed by the Conservative Party of New York State. He was challenged by Michael Allegretti who was endorsed by former six-term U.S. Representative Vito Fossella, the Staten Island Republican Party, State Senator Andrew Lanza, and State Assemblyman Lou Tobacco. Allegretti worked for the nonprofit Climate Group and cited his relationships with NYC Mayor Michael R. Bloomberg and former British Prime Minister Tony Blair. Grimm chose not to contest the Staten Island's party endorsement because of their “corrupt political culture” and “sham convention."
Grimm's primary win was divisive for the Republican Party leadership, which favored Allegretti. His campaign gained national attention from the Tea Party and the National Republican Congressional Committee, which contributed $90,000 to Grimm's campaign. He received endorsements from high-profile Republicans, including Giuliani, John McCain, Sarah Palin, and former President George H.W. Bush, who applauded his service in the Gulf War.
Grimm faced incumbent Michael McMahon in the general election. On October 12, the Staten Island Advance reported that it had been receiving emails from the McMahon campaign attacking Grimm's business credentials. The emails claimed that Grimm's real-estate and restaurant investments were failures despite Grimm's repeated insistence that they were successful. Grimm reportedly admitted in an interview with the Staten Island Advance that his former restaurant in Manhattan, Healthalicious, had been on the verge of bankruptcy, forcing him to sell his stake in it. A major difference between the two candidates was the issue of the U.S. economic stimulus package, which the Advance called the "starkest contrast" among the two candidates. Grimm stated that the stimulus was a "huge waste" of taxpayer money and ineffective in generating job creation and economic recovery, whereas McMahon cited improvements in the state budget and renovations on the Staten Island Expressway and the Saint George Ferry Terminal as direct successes of the stimulus.
On November 2, 2010, Grimm defeated McMahon in the race, 51% to 48%. The Advance reported that Grimm won in large part due to his political signs, which became popular among his supporters. They stated, "McMahon raised my property taxes 18.5%".
After redistricting, Grimm's district was renumbered the 11th District. He was challenged by Democrat Mark Murphy, a former aide to New York City Public Advocate Bill de Blasio. Grimm won reelection to a second term, 53%–46%.
In 2014 Grimm received the backing of the Staten Island Republican party and the Independence Party, who called him “‘a truly independent voice’ for his constituents.” He faced Democratic Party nominee Domenic Recchia in the general election. Grimm was endorsed by the Association of Flight Attendants-CWA, the International Union of Painters and Allied Trades, the United Transportation Union, and the Humane Society Legislative Fund. Grimm defeated Recchia on election night, November 5, 2014.
During a Sean Hannity interview of all freshmen Republican members, Representative-Elect Grimm took exception to being asked if he was a conservative. He replied that he was "American first" and that "we have become way too polarized," indicating a desire for compromise with Democrats. Grimm did not join the Tea Party Caucus in the House, instead joining the more moderate Republican Main Street Partnership.
Grimm was appointed to the House Financial Services Committee, which the Staten Island Advance considered a major opportunity for Grimm to influence the debate on financial reform. Roughly 70,000 of his constituents were involved in financial services, making this a vital issue for his political profile.
Grimm introduced legislation that would prohibit potential whistle-blowers from receiving a cash reward from the Securities and Exchange Commission unless they report wrongdoing to their employers before reporting it to the SEC.
Grimm voted for the fiscal cliff compromise bill that permanently extended most of the Bush tax cuts.
After the 2011 shooting of Gabrielle Giffords, Grimm voiced support for "security-based situational awareness training", including how to spot suspicious people, when to run for an exit, and how to keep guards at close range. Grimm also said congressmen should consider carrying firearms. House Leader John Boehner called his suggestions an "excellent idea" and indicated that security would be a major focus for Congress in 2011.
Grimm voted in favor of the Pain-Capable Unborn Child Protection Act, a bill banning abortions after the 20th week of fertilization.
Grimm voted to repeal the Patient Protection and Affordable Care Act in the House, as he had promised during his campaign. He was called "hypocritical" by several Democrats for enrolling in the congressional health-care plan.
Grimm was appointed to the House Republican Israel Caucus in January 2011, serving as co-chair. In February 2011, as House Republicans were pushing for deep cuts in discretionary spending, Grimm wrote a letter to Eric Cantor saying he would vote against any budget that reduced aid to Israel. Grimm was also named chair of the House Republican Policy Committee's Task Force on Foreign Policy.
Grimm opposed a military strike on the Assad regime in Syria, stating, "I am no longer convinced that a U.S. strike on Syria will yield a benefit to the United States that will not be greatly outweighed by the extreme cost of war."
Fundraising allegations by Rabbi Pinto
According to a January 27, 2012, New York Times article, several followers of Orthodox Rabbi Yoshiyahu Yosef Pinto said Grimm's campaign had accepted questionable donations. Three of Pinto's followers reportedly said that Grimm or Ofer Biton, a top aide of Pinto's, had told them that the campaign would find a way to accept donations that were over the legal limit. Grimm stated, "Any suggestion that I was involved in any activities that may run afoul of the campaign finance laws is categorically false and belied by my life of public service protecting and enforcing the laws of this country."
Hurricane Sandy aid
In June 2013, Grimm stated that he believed water fees should be waived for survivors of Hurricane Sandy who had been displaced from their homes. Under New York City's Department of Environmental Protection rules, all homeowners are subject to a minimum charge of $1.19 per day, even if a home uses no water during a given period. Residents who had been displaced from their homes for long periods of time received water bills over $500 for damaged, vacant properties. Grimm called the bills "ridiculous," saying, "That's $500 these people could use to replace a washer or dryer or refrigerator swept out to sea during Sandy."
Confrontation with reporter
On January 28, 2014, NY1-TV political reporter Michael Scotto was interviewing Grimm in a balcony hallway of the U.S. Capitol building about the recently concluded 2014 State of the Union Address. He then tried to question Grimm about a campaign finance investigation. Grimm said he would not discuss the investigation. As Scotto started to mention the investigation again, Grimm walked off. Scotto then turned to the camera and implied that Grimm didn't want to face the issue on camera. Grimm then appeared to threaten Scotto, saying that he would "break [Scotto] in half," as well as threatening to throw Scotto over the balcony.
Grimm issued a statement defending his behavior, saying that he was annoyed by what he called a "disrespectful cheap shot" from Scotto. The next day, Grimm contacted Scotto to offer an apology for his behavior, which Scotto deemed sincere. Grimm also issued a written apology, saying, "I shouldn’t have allowed my emotions to get the better of me and lose my cool." An unnamed former staffer for Grimm and NY1-TV political director Bob Hardt reported that Grimm had behaved in a similar manner to other reporters on previous occasions.
Flood insurance reform
In early 2014, Grimm and Bill Cassidy cosponsored the Homeowner Flood Insurance Affordability Act. In March 2014, the bill was passed by the U.S. Senate and signed into law by President Obama. The law repealed exponential increases in flood-insurance rates for homeowners in flood-prone areas, preventing "skyrocketing" flood insurance premiums for 5.5 million Americans.
According to Politico, in April 2014, Grimm became "the first sitting House Republican to stop denying the science that humans cause climate change." Grimm stated, "The majority of respected scientists say that it’s conclusive, the evidence is clear. So I don’t think the jury is out.”
- Committee on Financial Services
- Friends of Switzerland Caucus (Co-Chair)
- House Republican Israel Caucus (Co-Chair)
- House Oceans Caucus (Co-Chair)
- International Conservation Caucus
- Sportsmen's Caucus
Federal criminal investigation
In August 2012, the office of the United States Attorney for the Eastern District of New York said it was investigating Grimm's 2010 campaign. In November 2012, the House Ethics Committee decided to inquire into the campaign but agreed to "defer consideration" of it at the Department of Justice's request.
In January 2014, the FBI arrested Diana Durand on charges that she had illegally donated more than $10,000 to Grimm's 2010 campaign. Durand allegedly gave the campaign $4,800, the legal limit, but then used straw donors to donate more than $10,000 illegally. The FBI also charged Durand with lying to federal agents about the matter. Grimm denied any wrongdoing. In September 2014, Durand pleaded guilty to making illegal contributions to Grimm's 2010 campaign.
The investigation, which originally focused on Grimm's 2010 fundraising, branched out to include Grimm's prior business dealings. On April 25, 2014, Grimm's attorney was advised by the U.S. Attorney's office that his client would be indicted on criminal charges related to Healthalicious. On April 28, prosecutors unsealed a 20-count indictment charging that Grimm and others concealed over a million dollars of the restaurant's sales and wages from both the U.S. federal government and the State of New York. Grimm surrendered to the FBI that morning. Grimm pleaded not guilty to all charges and was released on $400,000 bond. He told reporters that he not only had every intention of fighting the charges, but also of staying in office and running for a third term.
On December 23, 2014, less than two months after winning reelection, Grimm pleaded guilty to one charge of felony tax evasion. He admitted to under-reporting Healthalicious's revenues by over $900,000 over four years and to filing false tax returns based on that under-reported income. He also admitted to using the under-reported receipts to pay restaurant expenses, as well as to make under-the-table cash payments to employees. As part of the plea bargain, the other charges were dropped, but Grimm admitted to two of the offenses in the original indictment: knowingly employing people ineligible to work in the United States and lying in a 2013 deposition. Sentencing is scheduled for June 2015; he could face as much as 30 months in prison.
At first Grimm admitted making mistakes, but told a reporter he would "absolutely not" resign. But on December 29, 2014, it was reported that after discussing the matter with House Speaker John Boehner, Grimm had changed his mind and would decline to take his seat for a third term. He resigned from Congress on January 5, 2015. A special election to replace him was held on May 5, 2015, and Staten Island District Attorney Daniel Donovan, a Republican, was elected to the seat.
Grimm's sentencing for his crimes is scheduled on July 17.
Had Grimm not resigned, his role in Congress would have likely been very limited. Longstanding House rules state that a member convicted of a felony should not take part in floor votes or committee work until the House Ethics Committee reviews the matter. Although there is no constitutional rule barring a convicted felon from voting, Boehner and the Republican leadership would have strongly discouraged Grimm from doing so, and the House Ethics Committee has indicated in the past that convicted felons can be disciplined if they do take part in committee or floor votes.
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- "Company Overview of Whale Securities Co., L.P.". Bloomberg Businessweek. Retrieved September 18, 2013.
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- "About Me: Full Biography". Grimm.house.gov. Retrieved April 5, 2012.
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- "Former Mayor Rudy Giuliani to endorse GOP congressional candidate Michael Grimm". Staten Island Advance. February 18, 2010. Retrieved April 5, 2012.
- Saltonstall, David (May 28, 2010). "Staten Island GOP Committee Endorses Michael Allegretti for Vito Fossella's Old Congressional Seat". N.Y. Daily News.
- Wroblewski, Tom (June 4, 2010). "Allegretti Collects Endorsements from Lanza and Tobacco". Staten Island Advance.
- Hernandez, Raymond (October 23, 2009). "The City: Fight for Staten Island". New York Times.
- Slajda, Rachel (May 28, 2010). "Staten Island GOP, Deprived of Fossella, Chooses Allegretti". TPM.
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- "TheDC Interview: Republican New York congressional candidate Michael Grimm". Daily Caller. October 21, 2010. Retrieved April 5, 2012.
- Spencer, Peter N. (October 29, 2010). "Giuliani buoys Grimm at Whitehall Ferry Terminal". Staten Island Advance. Retrieved April 5, 2012.
- Chen, David W. (September 15, 2010). "Results Are Mixed for Tea Party in New York". New York Times.(coverage of the Grimm vs. McMahon race)
- Wrobleski, Tom (October 9, 2010). "Former President George Bush endorses Michael Grimm". Staten Island Advance. Retrieved April 5, 2012.
- Randall, Judy L. (October 12, 2010). "Staten Island Rep. McMahon peppers Advance with e-mails that rip Grimm". Staten Island Advance. Retrieved April 5, 2012.
- Patten, David A. (October 24, 2010). "2010: Democrats Set Records for Dirtiest Election Ever". Newsmax.
- Wrobleski, Tom (October 11, 2010). "Stimulus dollars become political football in Staten Island congressional race". Staten Island Advance. Retrieved April 5, 2012.
- Wrobleski, Tom (November 8, 2010). "'Tax signs' may have helped propel Michael Grimm to victory in Staten Island congressional race". Staten Island Advance. Retrieved April 5, 2012.
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- "2014 Election Results Senate: Live Map by State, Midterm Midterm Races Races". Politico. Retrieved July 15, 2014.
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- FoxNews.com, Hannity's Freshman Focus Group, January 4, 2011, at 5:30 mark
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- Kate Shepherd (May 11, 2011). "Republicans take aim at whistleblower rule". MarketWatch. Medill News Service. Retrieved May 13, 2011.
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- O'Neill, Natalie (January 14, 2011). "Grimm: House members should pack heat if they want". The Brooklyn Paper. Retrieved April 5, 2012.
- Eilperin, Juliet (July 8, 2013). "So abortion will be an issue in 2014. Where could it make a difference?". Washington Post. Retrieved September 2, 2014.
- Brooklyn Eagle, Bay Ridge Eagle Brooklyn, NY :: daily paper in Brooklyn[dead link]
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- Gay, Mara (April 29, 2014). "Michael Grimm Expressed Limited Support for Immigration Law Changes". Wall Street Journal. Retrieved September 2, 2014.
- Mascaro, Lisa (June 6, 2013). "GOP rejects Dream Act-like deportation deferrals". Los Angeles Times. Retrieved September 2, 2014.
- Randall, Judy L. (January 31, 2011). "Rep. Michael Grimm named co-chair of House Republican Israel Caucus". Staten Island Advance. Retrieved April 5, 2012.
- Danko, Carol. "Grimm Stands Up for Israel; Opposes Cuts to Aid" (Press release). Washington: U.S. Congressman Michael Grimm.
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- Blake, Aaron (September 5, 2013). "Republican congressman withdraws support for Syria strike". Washington Post. Retrieved September 2, 2014.
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- Thomas Ferraro (January 29, 2014). "U.S. congressman apologizes for threatening to throw reporter over balcony". Reuters. Retrieved March 23, 2014.
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- Durrett, Clint (March 21, 2014). "Obama signs bill into law preventing flood insurance rate hikes". WDSU. Retrieved July 24, 2014.
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- Goode, Darren (April 25, 2014). "Grimm’s woes cast cloud on climate turnabout". Politico. Retrieved July 24, 2014.
- Harrison, Timothy (April 25, 2014). "Rep. Grimm endorses climate change science, dropping previous skepticism, after Hurricane Sand". Staten Island Live. Retrieved July 24, 2014.
- Cowan, Alison Leigh; Rashbaum, William K. (August 8, 2012). "Congressman's Report of Trip Is at Issue". N.Y. Times. Retrieved September 18, 2013.
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- "New York Rep. Michael Grimm threatens reporter after being asked about fundraising allegations". New York Daily News. January 29, 2014. Retrieved January 30, 2014.
- Rashbaum, William K. (Jan 2014). "F.B.I. Arrests Fund-Raiser for Congressman". The New York Times. Retrieved January 14, 2014.
- "Diana Durand pleads guilty to making illegal contributions to GOP Rep. Michael Grimm's 2010 campaign," Staten Island Advance, September 3, 2014. Accessed November 3, 2014.
- Rashbaum, William (April 26, 2014). "Indictment Expected for Grimm, Staten Island Congressman". New York Times.
- Evan Perez; Shimon Prokupecz (April 25, 2014). "Feds close to filing charges against Rep. Michael Grimm, officials say". CNN.
- "Rep. Michael Grimm, facing federal charges, surrenders to FBI". The Washington Post. April 28, 2014.
- "Staten Island Rep. Michael Grimm Pleads Not Guilty To 20-Count Indictment". WCBS (AM)/WINS. April 28, 2014.
- "Rep. Grimm pleads guilty to felony count of tax evasion". New York Daily News. December 23, 2014.
- Copy of Grimm's allocution
- "Michael Grimm to resign from Congress: sources". NY Daily News. Retrieved 2015-05-06.
- Annese, John M. (June 9, 2015). "Grimm sentencing now scheduled for July 17". Staten Island Advance. Retrieved June 10, 2015.
- United States House of Representatives. "Status of a Member of the House Who Has Been Indicted For or Convicted of A Felony" (PDF).
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Michael Grimm (politician)
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|United States House of Representatives|
|Member of the U.S. House of Representatives
from New York's 13th congressional district
January 3, 2011 – January 3, 2013
Charles B. Rangel
|Member of the U.S. House of Representatives
from New York's 11th congressional district
January 3, 2013 – January 5, 2015
Daniel M. Donovan, Jr.