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Jury selection begins in R.I. trial of former CVS execs

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May 5, 2008

PROVIDENCE, R.I.—Jury selection began Monday in the federal trial of two former CVS executives accused of paying off a state senator for favors at the Statehouse.

Carlos Ortiz and John Kramer are accused of directing former state Sen. John Celona to advance the pharmacy company's legislative agenda while paying him a $1,000-a-month consulting contract.

The men, both former vice presidents at the Woonsocket-based company, were indicted last year on charges of conspiracy, bribery and fraud. They have pleaded not guilty and have been free on bond.

Opening statements are set for May 12 and the trial is expected to last roughly a month.

Celona, who pleaded guilty in 2005 to federal fraud charges and is serving a prison sentence in Pennsylvania, is expected to testify against the executives.

CVS has since changed its name to CVS Caremark Corp. The company has not been charged.

Kramer and Ortiz were charged as part of "Operation Dollar Bill," a federal investigation into influence-peddling at the Statehouse.

Two former top executives at Roger Williams Medical Center were convicted in 2006 for their business dealings with Celona, but those convictions were overturned on appeal earlier this year. Prosecutors say they plan to retry the case.

The probe also led to a plea agreement with former House Majority Leader Gerard Martineau, who was sentenced in February to 37 months in prison, and to a deal with Blue Cross & Blue Shield of Rhode Island, which agreed to pay $20 million to avoid criminal charges.

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