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VELELLA CLOSER TO JAIL; MAY BE BACK BY XMAS

A city panel yesterday paved the way to return disgraced Bronx state Sen. Guy Velella to a solitary cell at Rikers Island by Christmas.

The newly constituted Local Conditional Release Commission ruled everything its predecessor did was “invalid,” including the early release of Velella, two co-defendants and two other unidentified inmates.

As a result, all five have to reapply by Nov. 16 to have any hope of staying free. The panel said it would render a decision Nov. 19.

In a 15-minute public meeting, the five commission members indicated Velella and the others would have to make compelling cases to avoid being put back in the clink.

The panel’s new chairman, Daniel Richman, took the position that Velella, a 28-year state senator, and the others should never have been out in the first place.

“This commission would not make a decision, per se, to re-incarcerate anyone,” he said. “This commission would make a decision that previous actions by this commission were in error and invalid. At that point, the commissioner of corrections would have actions he would need to take to deal with individuals who were out on the street without legal authorization.”

In a finding released yesterday, the city’s Law Department determined the release of Velella and co-conspirators Hector Del Toro and Manny Gonzalez “had no legal basis.” Gonzalez applied for release after serving only four days of a nine-month sentence. The law requires that an inmate serve at least 30 days before applying.

Velella and Del Toro also were sprung in a vote where only two of the three required commissioners were present. Velella got out 100 days into his one-year sentence, which began June 21.

The Law Department also pointed out inmates improperly freed by commissions in upstate Livingston and Rensselaer counties were sent back.

Charles Stillman, Velella’s lawyer, issued a statement saying his client “did absolutely nothing wrong to obtain his conditional release” and had relied on oral advice from the commission’s senior staff.

“The fact of his eligibility to be released in as little as 60 days was fully known to the district attorney and the court,” said Stillman, who added a court fight seems inevitable.

A blistering report by the Department of Investigation found that the old commission operated without following procedures, without keeping proper records and by automatically considering every inmate for early release.

WHAT’s NEXT?

* To stay out of jail, Velella and co-conspirators must re-apply by Nov. 16 to Local Conditional Release Commission.

* Commission decides Nov. 19 if it will re-incarcerate any of the three.

* If its decides to re-incarcerate any of the three, the commission instructs Correction Commissioner Martin Horn to get them back to Rikers Island.

* Defendants’ lawyers expected to go to state Supreme Court to block the order.