NIAGARA FALLS — Former Falls Mayor Vince Anello now faces not one but two federal criminal cases.

On the same day that his trial on public corruption charges was again delayed, Anello was arraigned Tuesday on a new criminal complaint in U.S. District Court in Buffalo charging him with embezzling benefits from a union pension fund.

The complaint charges that Anello, 64, “did knowingly and intentionally embezzle and steal” money from the pension fund operated by International Brotherhood of Electrical Workers (IBEW) Local 237 in the Falls. The former mayor is also accused of making false statements about the number of hours he worked as an electrician so that his pension benefits would not be suspended for working over 40 hours per month.

Each charge carries a maximum penalty of five years imprisonment, a fine of $250,000, or both.

Anello’s defense attorney, Joel Daniels, dismissed the complaint as simply a disagreement between Anello and his union.

“Vince was a union electrician for 33 years and he earned every nickel of his pension,” Daniels said. “This is a dispute between Vince Anello and the union.”

When pressed by reporters on why federal prosecutors would intervene in a “dispute” between an individual and his union, Daniels responded, “The government has its spin on this and we have ours.”

Anello was arraigned before U.S. Magistrate H. Kenneth Schroeder who entered a plea of not guilty and released the one-time mayor on his own recognizance.

The magistrate set an Aug. 27 deadline for Daniels and prosecutors to exchange documents in the case. Schroeder said if Anello is not indicted on the charge or a plea deal is not reached by that time, he will dismiss the complaint.

“I don’t think (plea) negotiations are going to happen,” Daniels said. “You can’t rule it out, but I don’t anticipate this case will end in a plea deal. The first case will go trial and then we will deal with this case.”

Anello’s pending trial on public corruption charges remains stalled, awaiting a decision by the U.S. Supreme Court on the constitutionality of the federal honest services stature.

Anello faces conspiracy, obstruction and failure to provide honest services charges.

The Supreme Court has heard three cases challenging the law this year. During those arguments, a number of the justices expressed concern over the “vagueness” of the law.

Both prosecutors and Anello’s defense team have admitted plans for the trail could change if the high court strikes down the law. The Supreme Court’s current term ends on June 25 and the court rarely carries decisions in cases over to a new term.

Skretny set another status conference on Anello’s trial for July 7.

During a brief hearing Tuesday morning, Daniels told Skretny he did not expect the new criminal complaint against Anello to have an impact on the corruption trial.

Anello is charged with single felony counts of conspiracy and obstruction and four counts of scheme to deprive honest services. The charges stem from his dealings with Tuscarora businessman and developer Joseph “Smokin Joe” Anderson and three loans that Anello received from him.

Anderson has already pleaded guilty to a single count of scheme to deprive and is currently cooperating with prosecutors. His sentencing has been postponed until after Anello’s trial.

A Gazette review of documents filed by prosecutors in the case shows that Anello needed the $40,000 because he was delinquent to the same union benefit fund that he is now charged with ripping off. The documents show that in early August 2004, nine months after his election as mayor, Anello’s company owed the IBEW benefit plan more than $40,000 in payments for himself and his employees.

The new criminal complaint claims Anello collected pension benefits from IBEW Local 237 between March 1, 2008, and March 31, 2010, while working over 40 hours per month as an electrician. The benefit plan suspends pension payments if a retired electrician returns to work and works more than 40 hours a month.

The complaint also claims Anello failed to submit pension fund transmittals and, on those occasions when he did submit them, falsified the number of hours that he worked.

“This is a dispute between (Anello) and the pension fund,” Daniels said. “And we believe (it should be settled) between him and the union.”