Atlantic City corruption case features sex, lies and videotape

3 on trial in Atlantic City corruption case

MAYS LANDING, N.J. — Sitting in the back seat of a car in Atlantic City, the young prostitute listened as two men in the front told her exactly what to do, prosecutors say. Lure the Baptist minister and councilman to a motel room, have sex with him while he is facing the clock radio and make sure he hands over some money.

Although the men never explicitly said so, Kristyn Haino suspected the encounter was being secretly taped.

It was. And the resulting recording from November 2006 forms the basis of the latest scandal in the nation’s second-largest gambling resort, known almost as much for dirty politicians as for its slot machines and card tables.

Opening statements and testimony began Thursday in the jury trial of Floyd Tally and brothers David and Ronald Callaway. Prosecutors say the three were part of a revenge plot to ruin Councilman Eugene Robinson by using the videotape to try to force him to resign from office. Haino, an admitted prostitute, is to testify for the prosecution.

The three defendants face charges of conspiracy, criminal coercion and invasion of privacy. They deny the accusations.

Former council president Craig Callaway, a brother to David and Ronald, has admitted masterminding the plot. He pleaded guilty in an unrelated bribery case and was out on bail, awaiting sentencing, when he decided to take care of some unfinished business involving Robinson. Craig Calloway pleaded guilty last year for his role in the Robinson sex videotape, and was sentenced to three years in prison, to be served at the same time as a 40-month sentence in the federal bribery case.

Defense lawyers said Thursday the three defendants were not involved.

“Ronald Callaway is here because of who he is, not because of what he did,” said his attorney, Bonnie Putterman. “Ronald Callaway is here because of the sins of his brother. This is the trial of Craig Callaway.”

Tally’s lawyer, Linda Tassone, said her client “had nothing to do with any plan. That was a plan of Craig Callaway.”

Attorney Harry Leszchyn Jr. made similar arguments on David Callaway’s behalf.

Known around town as “Brother Gene,” Robinson was a former supporter of Craig Callaway but broke with him after Callaway’s guilty plea to bribery. In testimony Thursday, convict Jayson Adams said Craig Calloway was seeking revenge.

“He said he wanted to teach Gene Robinson a lesson because he crossed him,” said Adams, a former Pleasantville school board member who is serving a federal term for extortion.

Prosecutors say the men rented adjacent rooms at the Bayview Motel in neighboring Absecon, and hid a wireless video camera in a clock radio that beamed a signal to a recorder in the next room. They say Tally picked up Haino, handed her a motel key as they drove to a 7-11 where Robinson was known to go most nights for snacks.

When Robinson arrived at the store, prosecutors say, Haino approached him and asked him for a ride to the Borgata Hotel Casino & Spa. He agreed, but while they were in the car, Haino asked Robinson to take her to her motel room, instead, according to the prosecution. He agreed, they went inside the room, and she asked for some money for sodas. He gave her some money and, later, was caught on the hidden camera in a sex act with her.

Prosecutors say an unidentified man brought a laptop computer to Robinson’s home and played the video.

“You have 30 minutes to resign or this is going to TV 40,” the man allegedly said.

The tape eventually was delivered to a local news reporter by a man wearing fake glasses and a beard, clad in a raincoat. She wrote a story about it and contacted authorities. She also is to testify for the prosecution.

The trial resumes Tuesday.