In May 2013, Huntley was sentenced to a year and a day in prison. She was shown leniency since she cooperated with investigators and helped them gather evidence on other elected officials.

According to a document released by a federal court on May 8, 2013, Huntley made secret recordings of six state senators and a city councilman for federal prosecutors and the FBI. The recordings, which were made from June to August 2012, included city councilman Ruben Wills and Senators Eric Adams, Ruth Hassell-Thompson, Jose Peralta, Velmanette Montgomery, John L. Sampson and Malcolm A. Smith. Huntley also made recordings of Curtis Taylor, a former spokesman for the Senate Democrats, and Melvin Lowe, a former Democratic campaign consultant. Federal prosecutors said eight of the nine were the subject of continuing criminal investigations.

On August 27, 2012, Huntley was indicted for "falsifying business records, conspiracy and tampering with [a] joint investigation of a scheme to steal taxpayer dollars using a sham not-for-profit that did not provide services to the public." The charges were filed by New York Attorney General Eric Schneiderman as part of a joint initiative on suspected corruption among public officials between his office and state Comptroller Thomas P. DiNapoli. The case stems from an investigation into Parent Workshop Inc, a nonprofit founded by Huntley in 2006 after she was first elected. The organization, whose stated mission was to help poor parents navigate the NYC school system, was alleged to be fraudulent and that Huntley conspired to help her niece and an aide steal nearly $30,000 earmarked for it. Huntley and the others pleaded not guilty.