Paul Silvester is the son of George and Eva Silvester of Hartford, Connecticut. Silvester was married to West Hartford lawyer Christine A. Olson but the couple divorced in 2002 while he was on trial, they have two children together.
Soon after he retired the FBI and SEC began investigating him and his close associates while in office. Silvester's campaign was referred by the United States Attorney to the State Elections Enforcement Commission for fundraising irregularities. The commission found that during Silvester's 1998 campaign a number of individuals connected to the campaign and Silvester had made illegal contributions to Paul Silvester for State Treasurer. The commission assessed multiple civil penalties against those responsible as well as requiring parties to enter into a consent agreement. A scheme was discovered by incoming Treasurer Denise Nappier. Nappier alleged that Silvester had moved so much of the State Retirement and Trust Fund into high-risk, long term, non-liquid private equity funds that it unbalanced the State's investment plan, increasing the risk of a long term failure. Silvester was accused of diverting State Pension and Trust Fund business to specific investment firmsin return for kickbacks. These kickbacks came in a number of forms, but primarily took the form of no-work consulting and lobbying contracts provided to Silvester and close associates. The scheme was alleged to have netted $2.25 million in false fees and kickbacks.
Sentenced
Silvester pled guilty and was sentenced to 51 months in prison, he had faced up to 40 years but the sentence was especially lenient because Silvester agreed to cooperate in taking down a wider network of racketeers and corrupt government officials. The case also involved his brother Mark Silvester pleading guilty to conspiracy to solicit and accept corrupt payments. His brother-in-law Peter D. Hirschl pleading guilty to conspiracy to launder money. George Gomes Connecticut's Assistant Treasurer, pled guilty to mail fraud. His Campaign Manager and mistress Lisa A. Thiesfield who was sentenced to six months in jail. And former Connecticut Senate Majority Leader William A. DiBella.
Prison and post-release
In 2003 Silvester was ordered to serve 28 more months in prison. The U.S. Attorney's Office commented that "The sentence imposed today is not only reflective of Paul Silvester's criminal wrongdoing but also of his admission of guilt and substantial cooperation in the investigation and prosecution of other individuals involved in this treasurer's office scandal.’' Post-release he went to work at Harrison, New York based metal trading company PM Recovery, Inc. and as of 2019 was their Executive Vice President of Finance.
