REP. MENENDEZ CALLS ON RAVI BHALLA TO PROVIDE ANSWERS AND STOP LYING REGARDING QUID PRO QUO ALLEGATIONS

In recent weeks, the public has learned about a series of allegations made against Hoboken Mayor Ravi Bhalla in a lawsuit filed by a former city director, including that a Hoboken cannabis dispensary approval was granted for a property co-owned by Jersey City Mayor Steve Fulop’s wife in exchange for legal work for Mayor Bhalla from Jersey City. Multiple media outlets have confirmed aspects of the story, and both Mayor Bhalla and Mayor Fulop have since made false and misleading claims regarding the situation.

“Through his spokesperson, Mayor Bhalla lied to the public about a no-bid contract his law firm received from Jersey City after Hoboken approved a cannabis dispensary for a property co-owned by Mayor Fulop’s wife,” said Congressman Rob Menendez. “Ravi Bhalla needs to stop hiding, stop lying, and immediately be transparent with the public about all of his communications with Mayor Fulop regarding the cannabis dispensary and how the no-bid legal contract for his law firm came about.”

The following facts are not in dispute:

• On February 24, 2022, the Hoboken Cannabis Review Board approved a retail cannabis dispensary for Story Dispensary at 51-53 14th Street in Hoboken, a property co-owned by Mayor Fulop’s wife and Drew Nussbaum, chair and treasurer of a super PAC supporting Mayor Fulop
• Weeks later, on April 19, 2022, the Jersey City Redevelopment Agency approved a no-bid legal contract with Ravi Bhalla’s law firm, Schenck, Price, Smith & King.
• The building at 51-53 14th Street was purchased for $2.4 million and a lease with the tenants includes a purchase option for $3.5 million once a cannabis dispensary is approved for the property, indicating that Mayor Fulop’s wife and super PAC chair stand to profit $1.1 million from the cannabis dispensary approval.

Both Ravi Bhalla and Mayor Fulop have made deceptive and false claims regarding the situation:

• Mayor Fulop has stated “my family has no economic interest in any dispensary,” despite the $1.1 million his wife and her business partner stand to gain from the approval of a dispensary.
• Ravi Bhalla’s spokesperson stated that the contract from the Jersey City Redevelopment Agency “was selected in a competitive process” despite the contract resolution stating it is “exempt from public bidding” and no such process took place.

Mayor Bhalla also recently stated that “the buck stops with me as the mayor” and that “the public has a right to know how their government officials are communicating, how their government officials are acting.”

In furtherance of his stated principles about accountability, transparency, and open government, and in consideration of how long his Administration typically takes to respond to Open Public Records Act (OPRA) requests, Mayor Bhalla should provide the following information by Friday, May 31st so that the public knows the truth:

1. Provide any text messages sent by Mayor Bhalla or members of his Administration to Leo Pellegrini on February 24, 2022 regarding the Cannabis Review Board meeting.
2. Provide any text messages sent between Mayor Steve Fulop and City of Hoboken government officials from August 2021 through February, 2022 that discuss cannabis licensing in Hoboken.
3. Provide records for all calls made between Mayor Bhalla and Mayor Steve Fulop in January and February, 2022.
4. Disclose, in addition to the Jersey City Redevelopment Agency, which other Jersey City government entities awarded contracts to law firms where Mayor Bhalla has or continues to work or derives income (understanding there may be gaps in his law firm career due to licensing and disciplinary issues).
5. Provide any records of approvals or denials of a cannabis dispensary license within a 6 block radius of the property at 51-53 14th Street co-owned by Mayor Fulop’s wife and Drew Nussbaum.
6. Provide any email, text messages or phone records of communications between Mayor Bhalla and John Allen regarding any cannabis dispensary related issues including, but not limited to, the property co-owned by Mayor Fulop’s wife and Drew Nussbaum.
7. Provide any email, text messages or phone records of communications between Mayor Bhalla and John Allen on any legal work or contracts between Jersey City and Schenck, Price, Smith & King or any other firm where either Bhalla or Allen has or has had an interest.