Cunningham and Hoyle were arraigned in Northampton District Court on a charge of witness intimidation in connection with an ongoing grand jury investigation, according to an assistant attorney general.
NORTHAMPTON -- Rex W. Cunningham and his co-defendant in a 1990s loan-sharking case found themselves co-defendants once again after arrests for witness intimidation on Thursday.
Cunningham, 65, and Brian Hoyle, 58, both of Springfield, pleaded not guilty to the charge in Northampton District Court on Friday afternoon. Both appeared in court in handcuffs and shackles after being held behind bars overnight.
They were released on $20,000 cash bail for each.
Details of the allegations were unavailable as they related to witnesses in an ongoing grand jury investigation in Hampshire County, according to Assistant Attorney General Gina Masotta. Discussions about the underlying alleged facts were discussed in whispers at a sidebar conference with Northampton District Court First Justice W. Michael Goggins.
Masotta asked for $50,000 bail for each defendant, citing their extensive criminal histories and the nature of the instant charge against them. Masotta also did not disclose the nature of the grand jury investigation.
In April, however, Massachusetts State Police raided two Springfield bars with ties to Cunningham and Hoyle: O'Brien's Corner on Page Boulevard and the Blarney Stone on Carew Street. Police also raided the homes of Cunningham and Hoyle the same day.
Cunningham spent 16 years in federal prison after pleading guilty to racketeering charges in 1998. Investigators said Cunningham, a former bar owner, bragged about his years of loan-sharking in concert with local Mafia members and once broke a man's arm after he fell behind in payments. He was released from prison in 2011 as he was jailed for some years before his plea. Cunningham spent three years on federal probation.
In addition, Hoyle and Cunningham were recruited by a third co-defendant, electrician Thomas Ferris, to collect about $21,000 in debts from customers. Hoyle was sentenced to 12 years in prison.
Cunningham's attorney, Daniel D. Kelly, asked that his client be released on $20,000 cash bail. Hoyle's defense attorney, Jeremy B. Powers, asked for the same.
Both lawyers said that despite their clients' long criminal histories, they had solid records of showing up for court dates.
"The only silver lining of having a record like this is the court does have a sense of the likelihood that the defendant will appear," Kelly said, also citing Cunningham's strong ties to the local community as a father of five children and grandfather of 13.
Powers echoed Kelly's argument.
"Mr. Hoyle's record is what it is, your honor. But he will appear in court," Powers said.
Goggins initially released the defendants on GPS bracelets and with a stay-away order from all potential witnesses against them. This was complicated slightly by the fact that Hoyle's live-in girlfriend and one of his longtime co-workers are witnesses in the case, according to Powers.
Hoyle is the entertainment director at O'Brien's Corner, Powers told the judge.
"Hmm, interesting. This is an interesting spot," Goggins said, before modifying the order to exclude co-workers and household members.
But then, Goggins vacated the stay-away orders altogether when the assistant attorneys general handling the cases left without providing the probation office with names and addresses of witnesses.
Kelly said he could not discuss details of the allegations since the reports were impounded by the court and grand jury proceedings are secret.
"The judge sealed the files so there's not much I can say about the facts, but my client is completely innocent," Kelly said.
Powers also maintained Hoyle is "100 percent innocent."
Both defendants were released before 4 p.m. on Friday.
"Say something nice about me," Cunningham joked to a reporter on the way out. "I'm always cheerful."
A pretrial hearing has been scheduled for Oct. 6.