Congressman Michael Grimm Will Resign After Pleading Guilty In Tax Fraud Case
The news was first reported by the Daily News, which said Grimm made the decision after speaking with House Speaker John Boehner.
After he pleaded guilty Grimm, who represents Staten Island and parts of Brooklyn, spoke to reporters outside the courthouse and vowed he would not resign.
"As long as I am able to serve, I will serve," he said.
Though Grimm insisted he would "get back to work" there was speculation Boehner might pressure him to leave his seat.
The charges against Grimm all related to Healthalicious, a Manhattan restaurant he was a part owner of from 2007 until 2010. An indictment filed against him in April detailed 20 different charges including allegations he hid over $1 million in earnings to pay lower taxes and knowingly hired undocumented immigrants. Grimm, initially denied any wrongdoing, plead guilty to one felony count of filing false tax returns.
Grimm's departure from Congress means that there will be a hotly-contested special election to pick his replacement. He is the only Republican representing New York City in Congress and Democrats have made taking his seat a top priority.
In addition to the tax fraud case, Grimm is facing a federal investigation into his campaign fundraising. Despite his legal woes, Grimm easily won re-election last month. He maintains many supporters in his district, including the source who spoke to Business Insider.
"It's a loss for Staten Island and Brooklyn," they said of his departure.