...“And admittedly it’s quite embarrassing, as the chief financial officer of the city, to have these kinds of questions. But the people of New York deserve a full accounting of my campaign finances and they certainly will get that from me.” The bright future that once stretched out before City Comptroller John Liu, including a good chance to be the next mayor of New York City, appears to be crumbling all around him.

Last week, as questions about his fundraising were revealed, he received the unsettling news that those campaign finances were being investigated by the federal government as one of his fundraisers was arrested and charged with attempted mail fraud.

A day later, former New York state Attorney General Robert Abrams, whom Liu had hired to conduct an independent review of his campaign finances, quit the job. Liu told Abrams it would make no sense to continue on since the federal probe would be going on at the same time.

On Friday, the Flushing Democrat, while making a speech at New York Law School, abruptly changed from his usual pleasant and energetic self, turned serious and admitted for the first time publicly that the whole campaign finance mess had become “quite embarrassing”.

“In the last couple of days,” Liu lamented according to press reports, “there have been some questions about what I’m doing—what I have been doing; there are questions about my campaign finances.”

After a pause, Liu continued: “And admittedly it’s quite embarrassing, as the chief financial officer of the city, to have these kinds of questions. But the people of New York deserve a full accounting of my campaign finances and they certainly will get that from me.”

For the past several weeks he has been badgered by the press to name his fundraisers, but has refused, promising to do so at a later date.

Federal authorities had provided the name of one of them—Xing Wu Pan, the New Jersey real estate man, who had been arrested on attempted mail order fraud and conspiracy to commit wire fraud. These charges resulted from his work for Liu as a “bundler”, one who collects campaign contributions from an assortment of people.

Where this whole federal investigation will lead is anybody’s guess, but it certainly doesn’t look good for Liu nor for his mayoral ambitions. He had already hurt his own reputation by challenging the city for charging him a total of about $500,000 in fines by haphazardly having his posters slapped up all over the place during his successful election for comptroller in 2009. The fines still have not been paid because Liu has been putting off the payment while he attempts to overturn the fines on legal grounds.

Meanwhile, we’ll all have to wait and see where the federal probe of his campaign finances leads. If that’s all it amounts to when it’s all over, then Liu will be able to count his blessings. But investigations generally hurt a political campaign, sometimes fatally. We’ll know soon enough. In this case, there could be damage even beyond next year’s election.

BROAD RESPONSE TO DOLAN’S DEATH: The tragic accidental death of a leading Queens civic leader, Patricia (Pat) Dolan, of Kew Gardens Hills, last Tuesday after being struck by an automobile, touched many people in the borough and brought many statements mourning her loss.

Dolan, 72, was killed after being struck by a car as she was crossing Hillside Avenue at 198 Street in Jamaica Estates at about 7:30 p.m. Dolan was on her way to a meeting of Community Board 8’s transportation committee, one of the many civic organizations she was active in.

No arrest was made, according to press reports, and no criminality was suspected.

In a statement, Queens Borough President Helen Marshall hailed Dolan as “the epitome of a civic leader…a tireless leader who fought with knowledge and passion” for any number of causes in the borough.

According to Councilmember James Gennaro (D–Fresh Meadows), “The community of Kew Gardens Hills and the entire borough of Queens are mourning the sudden and unspeakably tragic loss of the most passionately committed and effective civic leader in Queens.”

Dolan served as president of the Kew Gardens Hills Homeowners Civic Association and was presently president of the Queens Civic Congress, comprised of almost 100 civic organizations from every corner of the borough. She founded the Flushing Meadows-Corona Park Conservancy and was for 20 years a member of Community Board 8.

“Queens owes a great debt of gratitude to this unparalleled civic servant—who dedicated her life to this borough without a penny of compensation,” Gennaro said.

Congressmember Bob Turner (R–C–Queens/Brooklyn) said Dolan was “the true definition of a civic leader and epitomized grassroots community involvement” while City Comptroller John Liu noted Dolan was “a favorite daughter” of the borough…who was fearless about speaking her mind”. Assemblymember Rory Lancman (D–Fresh Meadows) hailed her as “a giant of civic life…and mentor to me for over 20 years”.

State Senator Toby Ann Stavisky (D–Whitestone) described Dolan as being “genuinely dedicated to helping make Queens a better urgings to President Barack Obama to keep all options open in dealing with Iran, the lawmaker said he was glad to hear that he and the president are on the same page where Iran and its anticipated nuclear bomb capacity are concerned.

In a statement released by Turner, he stated: “I commend President Obama for agreeing with what I and others in Congress have been saying all along. When dealing with the possibility of a nuclear Iran, all options must be left on the table.”

Turner recalled: “During a speech to my constituents on Sunday [November 13], I spoke about the dangers Iran poses to New York and our nation. Sworn enemies who have been outspoken about their discontent for America and our allies are less than a year away from developing a nuclear bomb.

“We must take advantage of any opportunities to work with the people of Iran who want freedom. We must make sure there is no option we will not consider when it comes to protecting our citizens.”

Turner added: “I urge the president to be aggressive.”

TURNER ON JOBS, SPENDING: On the key issues of jobs and “irresponsible spending”, Turner issued a statement last Thursday as our national debt “reached an astonishing $15 trillion”, it became more critical for President Obama and Congress “to do everything we can to cut government spending and encourage economic growth”.

The 70-year-old freshman lawmaker said he had voted for the three percent Withholding Repeal and Job Creation Act, and explained: “Repealing the three percent payment withholding to vendors will keep money in the pockets of job creators. Passing this bill is a great example of what we should be doing and I am proud to have taken part in the bipartisan effort.” But there was still much more to do, Turner continued. Including discussions on a bill “that would require the federal government to do what we tell our children to do every day: only spend the money you have”.

The conservative Breezy Point lawmaker, elected this past September, added: place to live and work”; Assemblymember Michael Simanowitz (D–Flushing) said “Pat’s decade’s long involvement in the community single-handedly impacted and improved the lives of many” and Assemblymember Philip Goldfeder (D–Far Rockaway) said Dolan “Was truly a woman of the people and encompassed everything great about Queens.”

A memorial service has been scheduled for 7 p.m. next Tuesday at Schwartz Brothers Forest Park Chapel, 114-03 Queens Boulevard in Forest Hills.

OBAMA, TURNER AGREE ON IRAN: Responding to Congressmember Bob Turner’s

“The balanced budget amendment, along with the 20 bipartisan bills passed by the House, that are still stalled in the Senate, will help get our country back to being fiscally responsible and our economy back to prosperity. We must take action now to get our country back on track.”

MILLER PROPOSES BILLS ABOUT ‘QUALITY OF LIFE’: Looking ahead to possibly being called back to Albany by Governor Andrew Cuomo after the upcoming holiday season to deal with some important legislation, Assemblymember Mike Miller (D–Woodhaven) said he plans to file three bills which he believes “will alleviate many current concerns within the community”.

Miller explained, “These bills are about the quality of our lives. When there is a need in the community for a state law to be changed or introduced, it’s my job to make sure that happens.”

The first of Miller’s two bills would require owners of new multiple dwelling units to install insect screens in all windows to protect the residents of these buildings from mosquitoes, pests and the potentially life-threatening illnesses within the community.

Bill number two would give the NYPD and other local police throughout the state the authority to immediately impound vehicles with purposely obstructed license plates. A previous bill he introduced covers impounding a vehicle with a “for sale” sign on it with missing or improper registration. Both these bills would address a situation primarily unfolding along Woodhaven Boulevard which has resulted in many cars being left abandoned on this major roadway in Woodhaven.

Miller’s final bill is aimed at preventing any restaurant from selling beer and/or wine for consumption on the premises within 200 feet of a school or a house of worship. Current state law prohibits the sale of liquor under these conditions, but beer and wine are not included, Miller says.

The need for the new law arose when a new establishment along Woodhaven Boulevard in a residential neighborhood next to a church wanted to open for business.

“After a public outcry from the community,” Miller said, “This bill was introduced as a compromise. The business could continue operating, but they will not be allowed to sell beer and wine.”

CUOMO GETS BAD BUDGET NEWS: Gov. Andrew Cuomo breezed through the first part of his inaugural term last spring, getting most of what he wanted from the legislature and then getting the budget out on time, although there was some misery connected with the spending plan.

The governor will start out the new year facing the budget blues all over again, he learned last week.

According to the mid-year budget report that was issued last week, the projected budget deficit will be between $3 billion and $3.5 billion. In addition, the administration is facing a $350 million deficit in the current budget.

The administration is expected to deal with the projected deficit in this year’s budget, but if he runs into any difficulty, the governor might have to call a special session and bring the legislature back to Albany.

Besides dealing with the $350 million deficit, there are several more serious problems looming for the popular governor that will test his mettle. They are the hydrofracking issue, the need to redraw the state’s legislative and congressional districts and possibly the millionaires tax.

Hydrofracking, the controversial method of blasting natural gas out of the earth, is opposed by environmentalists and others, but there’s a feeling among Albany observers that the governor will approve it in some areas to help the upstate area benefit from jobs the natural gas industry would provide.

Cuomo must find some way to get the economy moving, and giving the natural gas industry a foot in the door is an easy way to do it.

Redistricting must be completed in time to stage next year’s election primaries, which would be sometime in the spring.

The problems are that the Democrat-controlled Assembly and the Republican-controlled senate want to do it themselves and have both completed some local community hearings and are prepared to redraw the lines.

However, the governor and reform-minded types in the state want a bi-partisan commission to do it to avoid having the state legislature do the job and assure that incumbent lawmakers get new lines that protect their jobs.

The governor has promised to veto the legislature’s new lines and throw the whole issue into the courts, but that would take a long time. There’s a possibility the governor will try to work out a solution, but time is short.

As for the millionaires tax, it will run out by the end of December and the governor has steadfastly refused to support extending it. However, the Democratic Assembly feels it would not be too much to ask wealthy New Yorkers to pay some additional tax to help the state through this recession, but the governor continues to oppose it.

These are three big issues facing the governor and in each case he has real opposition. How they’ll be decided is anyone’s guess.

LOWERING THE NOISE: State Senator Michael Gianaris (D–Astoria) brought good news to Hunters Point last week—a reduction in noise that used to come from a large fan that removed fumes from a nearby subway tunnel. The noise reduction was achieved by putting a muffler on the fan, Gianaris explained.

Last year, in response to the noise complaints, Gianaris, Assemblymember Catherine Nolan (D–Ridgewood) and Councilmember Jimmy Van Bramer (D–Woodside) had each secured public funds which amounted to $700,000 to pay for the muffer and its installation.

JUDGING MAYOR’S ACTION RE OWS’ERS: Mayor Michael Bloomberg readily admitted that it was his order and his alone that brought the NYPD to Zuccotti Park to remove the Occupy Wall Street protesters and precipitated the court action brought by the OWS in which the judge ruled against their sleep-in there.

The mayor got heat from those who disagreed with his belated action, among them City Council Speaker Christine Quinn, City Comptroller John Liu, Public Advocate Bill de Blasio, Manhattan Borough President Scott Stringer and former city Comptroller Bill Thompson, all candidates to follow Bloomberg into City Hall as mayor. Their reactions to Bloomberg’s action give us a clue as to how each would handle a similar situation.

•Quinn: “We must work to ensure that the protesters are allowed back into Zuccotti Park as soon as possible.”

•De Blasio: “Bloomberg made a needlessly provocative and legally questionable decision.”

•Thompson: “Our city must be one where all voices are respected and not repressed.”

•Liu: “Going in and forcibly removing the protesters in the dead of night sends the wrong message. City Hall should have continued to talk with the protesters in the light of day instead of evicting them in the middle of the night.”

•Stringer: “The administration acted to end the occupation of Zuccotti Park by forcible eviction…Zuccotti Park is not Tiananmen Square.”

Councilmember Peter Vallone Jr. (D–Astoria) stated: “I support Mayor Bloomberg’s actions today in ending only the legal aspects of what had clearly become an occupation which denied others their right to safe, clean streets. The protests can continue, within the reasonable restrictions set by the legislature and the courts.”

•State Senator Tony Avella (said in part): “Obviously, the more conservative elements of our city have finally succeeded in their efforts to obtain the forceful removal of protesters from Zuccotti Park. Unfortunately, what those conservative forces fail to realize is that the Occupy Wall Street (OWS) protesters symbolize an undercurrent of frustration in the United States about the ever increasing alienation of wealth by the top one percent of income earning individuals and corporations.

GILLIBRAND VULNERABLE? U.S. Senator Kirsten Gillibrand (D–N.Y.) took Hillary Clinton’s seat in the upper house more than two years ago and according to most polls doesn’t show the voter strength to give one confidence in her ability to win election to the post next year.

Two Republicans are eyeing the seat— Nassau County’s Comptroller George Maragos and Harry Wilson, who almost defeated state Comptroller Tom DiNapoli last year. Wilson is a wealthy investor who was tapped by President Obama to serve on the Auto Industry Task Force in 2009.

Wilson appears to be a better pick than Maragos, based on his effort against DiNapoli and his ability to use his own money to conduct an election. He didn’t seem very interested several months ago but conceded recently that he’s giving it serious consideration, according to press reports. He’s expected to make a decision to run next year.

Maragos had been expected to run against Gillibrand last year, but former Congressmember Joe DioGuardi wound up Gillibrand’s opponent and got trounced. Maragos has already announced his intention to run against Gillibrand, so maybe there will be a GOP primary between the two possible Republican hopefuls.

However, highly placed sources in the state Republican leadership favor Wilson, and that could make it easy for him to avoid a primary and get the party support to take on Gillibrand.