Document spells out charges in scrap metal scandal
BRIDGEPORT — A document outlining charges against Joe Tiago accuses him of improperly running the city’s scrap metal program, failing to account for proceeds and not depositing money in an approved account.
The letter from the city detailing the charges was obtained by Hearst Connecticut Media through a Freedom of Information request filed with the city two months ago.
Tiago, the former deputy public facilities director, was fired earlier this year for his role in a scrap metal sale program beset by malfeasance, city records show.
The sale of at least $33,000 worth of scrap metal has drawn a federal subpoena and interest by the FBI, which is also looking at three private contractors who interacted with Tiago as part of his former job.
The letter advises Tiago that “improprieties associated with scrap metal sales and the possible theft of city funds” are subject to further investigation and that the city reserved the right to “bring additional disciplinary charges” against him.
Tiago’s lawyer, John Gulash, did not respond to requests seeking comment.
About $27,000 from scrap metal sales remains missing, documents previously obtained by Hearst show.
City employees used thousands of dollars in scrap metal proceeds to buy goods, such as a $139 espresso machine, diapers, groceries and bike parts, as part of a morale boosting program.
Public Works Director John Ricci was suspended over the sales and lost a month’s pay. Another official was fired and a fourth worker received special training.
Scrap metal sales by the public facilities department ended last fall following an investigation by Mayor Joe Ganim’s administration.
But the reason for Tiago’s termination on Feb. 1 was not disclosed by city officials.
A Jan. 23 letter outlining the city’s accusations against Tiago said he “improperly directed and/or permitted the scrap metal sales” and said that under city ordinance such sales must go through the city’s purchasing department.
Tiago was also accused of failing to keep track of proceeds and receipts and not directing those proceeds to the city Treasurer’s office for deposit and accounting.
“Your actions and inactions reflect unprofessional conduct,” the city concluded.
Tiago started in the public facilities department under former Mayor Bill Finch and rose to the position of deputy director under Ganim.
He is a friend of Democratic Town Committee Chairman Mario Testa and is dating Testa’s niece.
Tiago also had a financial relationship — and potential conflict of interest — with Luis Vaz, owner of Vaz Quality Works, over a mortgage he held for Vaz over the sale of Seaview Avenue property.
The federal subpoenas sought documents related to scrap metal sales and contracts awarded to G. Pic and Sons Construction, Vaz Quality Works and Seaview Equipment Sales and Rental.
Vaz and G. Pic have received millions of dollars worth of work since Ganim took office in 2015.
The city declined to release an investigatory report detailing the findings that led to Tiago’s dismissal.
The city’s attorney’s office cited ongoing law enforcement investigations as the reason to withhold the documents.
“We believe that a public disclosure of ‘investigative reports’ regarding Mr. Tiago’s employment with the city at this time would have the potential to interfere with, or otherwise compromise, ongoing investigations,” the city attorney’s office said in a letter.
What those investigations are, and who is conducting them, is unclear at this point.
The city police department has not charged Tiago with a crime and a federal grand jury instructed the city not to include internal scrap metal investigation documents in its response to the federal subpoena issued in February.
Rowena White, Ganim’s spokeswoman, did not respond to questions over which, if any, investigations remain underway regarding Tiago and city scrap metal sales.
Tom Carson, a spokesman for the U.S. Attorney’s office in New Haven, declined comment on Tiago or any investigations that may be ongoing.
A Hearst investigation earlier this year into the city’s scrap metal sales found a program in disarray — money appeared to be missing and payments reported by P.C. Metals of Bridgeport, where the material was sold, were not reconciled.
The records showed workers recorded just over $5,700 from scrap metal sales between October 2016 and December 2018. Yet P.C. Metals reported paying the city more than $33,000 during the same period.
Receipts showing how the money was spent by city workers did not account for all the money received.
Some of the money was spent at stores such as Bed, Bath & Beyond, Big Y, Walmart, ShopRite, Stop & Shop and the Spoke & Wheel Bicycle Shop in Bridgeport, receipts showed.
The union representing city workers has denied any wrongdoing by employees regarding scrap metal sales, pointing out they were following city policy at the time.