After months of stalled negotiations, the New York State attorney general's office announced Monday that it plans to file its first charges of civil fraud in the statewide pension scandal against Centerport attorney Lawrence Reich and is seeking at least $2 million in back salary, pension and health benefits. Reich, 69, is a private attorney who was falsely reported as a full-time employee of five school districts at the same time, which enabled him to get a public pension of nearly $62,000 and health benefits for life, according to records. His case, reported last year in Newsday, ignited a public uproar, spurred federal and state investigations, and ultimately led to sweeping pension reforms. In a June 22 letter to Reich, Assistant Attorney General Renee Jarusinsky described the litigation as "a straightforward case of fraud and false claims." She noted that six school districts had falsely reported him as an employee at various times between 1978 and 2006. Records show that Reich collected more than $1.8 million in salary from the school districts, while also collecting more than $2.5 million in retainer fees. In addition to the back salary, Reich has already collected $83,000 in pension payments, plus health benefits on top of that, and the attorney general's office will seek penalties and legal fees, said spokesman John Milgrim. Reich's attorney, Peter Tomao of Garden City, called the action "entirely unjust and unwarranted. "He is simply being prosecuted for things which had always been approved by multiple government agencies over many, many years," he said. In a statement, Attorney General Andrew Cuomo said, "Lawyers, especially those with a background in employment or labor law issues, know full well the difference between being a retained consultant and salaried employee, and that only public employees are entitled to public benefits." To date, Cuomo's office has reached settlements totaling $1.7 million covering 75 private professionals who had improperly secured public pension benefits. Reich and the attorney general's office have been in discussions for more than a year to settle the matter, Tomao said. He declined to characterize them, but said most of the settlements have been reached with attorneys who are still in private practice. Reich, he said, has stopped practicing law and is in a different financial position. Reich, formerly a partner in the Hauppauge law firm of Ingerman Smith, was listed as a full-time employee of the Baldwin, Bellmore-Merrick High School, East Meadow, Copiague and Harborfields school districts. Records show he was also briefly listed as a part-time employee of the Freeport school district.

Errick Allen not guilty … Sloth encounters … What's up on Long Island Credit: Newsday

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Errick Allen not guilty … Sloth encounters … What's up on Long Island Credit: Newsday

Fallen NYPD cop wake ... Suffolk water rates ... Nissan settlements ... Female winemaker

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