The Collaborative International Dictionary of English v.0.48:

Connive \Con*nive"\, v. t.
   To shut the eyes to; to overlook; to pretend not to see. [R.
   & Obs.] "Divorces were not connived only, but with eye open
   allowed." --Milton.
   [1913 Webster]

The Collaborative International Dictionary of English v.0.48:

Connive \Con*nive"\ (k[o^]n*n[imac]v"), v. i. [imp. & p. p.
   Connived (-n[imac]vd"); p. pr. & vb. n. Conniving.] [L.
   connivere to shut the eyes, connive, fr. con- + (perh.) a
   word akin to nicere to beckon, nictare to wink.]
   1. To open and close the eyes rapidly; to wink. [Obs.]
      [1913 Webster]

            The artist is to teach them how to nod judiciously,
            and to connive with either eye.       --Spectator.
      [1913 Webster]

   2. To close the eyes upon a fault; to wink (at); to fail or
      forbear by intention to discover an act; to permit a
      proceeding, as if not aware of it; -- usually followed by
      at.
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            To connive at what it does not approve. --Jer.
                                                  Taylor.
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            In many of these, the directors were heartily
            concurring; in most of them, they were encouraging,
            and sometimes commanding; in all they were
            conniving.                            --Burke.
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            The government thought it expedient, occasionally,
            to connive at the violation of this rule.
                                                  --Macaulay.
      [1913 Webster]

WordNet (r) 3.0 (2006):

connive
    v 1: encourage or assent to illegally or criminally
    2: form intrigues (for) in an underhand manner [syn: scheme,
       intrigue, connive]