Tag: corruption

Oct 28

2024

Ethics board says former Evans supervisor owes $23K

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Mary Hosler, Erie County’s chief auditor, should be fined $23,000 for payments she took but was not entitled to while serving as Evans town supervisor, the town’s Ethics Committee concluded last week. The five-member panel  agreed with a recent audit by the state comptroller’s office that found Hosler improperly took compensation for opting out of the town’s health insurance coverage.  (Investigative Post wrote about  the audit last month.) Elected officials were not entitled to such opt-out payments at the time Hosler sought the money, the ethics board concluded. On top of that, Hosler was covered by the town’s health insurance[...]

Posted 2 months ago

Apr 30

2023

Former BURA chief alleged City Hall fraud

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City of Buffalo officials misused millions of dollars in federal anti-poverty funds and steered grants to favored real-estate developers, according to a federal lawsuit filed three and a half years ago and kept under seal until a month ago. The lawsuit was brought by Nona Watson, a former executive director of the Buffalo Urban Renewal Agency, which serves as a pass-through for federal funds intended to fight poverty, blight and substandard housing.  Watson led BURA from September 2015 until she was fired in October 2018 — an act of retaliation, she claimed in the suit, “because she raised concerns about[...]

Posted 2 years ago

May 11

2022

Maziarz sues OTB alleging “fraud”

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Updated on Thursday, May 12, at 5:25 p.m. Former New York State Sen. George Maziarz wants a judge to order  officials from Western Regional Off-Track Betting Corp. to reimburse taxpayers for benefits he says they improperly obtained while using the public agency as a “slush fund, an ATM [and] a piggy bank.”  OTB leaders, meanwhile, want Maziarz to shut up. In a lawsuit filed Saturday in state Supreme Court in Erie County, Maziarz alleges that the misuse of public resources by OTB higher-ups has prevented the agency’s “massive revenues” from being “fairly distributed to the municipalities and taxpayers it serves.” [...]

Posted 3 years ago

Sep 11

2019

Federal grand jury to investigate OTB

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A federal grand jury is investigating possible corruption at the Western Regional Off Track Betting Corp. Sources told Investigative Post and the Niagara Gazette the grand jury is looking into issues previously reported by the two news organizations, including the: Provision of free health insurance to the board’s part-time board members. Awarding of vendor contracts to businesses with political ties to OTB President Henry Wojtaszek and Chairman Richard Bianchi. Possible distribution of tickets purchased by OTB to Sabres and Bills games to friends, family members and political associates of OTB executives and board members. In addition, the state comptroller has[...]

Posted 5 years ago

May 31

2019

Ciminelli appeals corruption conviction

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 Lawyers for Louis Ciminelli have appealed his felony conviction last summer on corruption charges related to the Buffalo Billion. Ciminelli, president of LPCiminelli, and Alain Kaloyeros, head of a state-affiliated development corporation, were convicted for their roles in the awarding of the contract to develop the $750 million facility to house Tesla’s solar panel manufacturing plant. Jim Heaney told WGRZ that Ciminelli’s attorney is using the same failed legal arguments in the appeal that he did during the trial.  

Posted 6 years ago

Apr 26

2019

FBI investigating Buffalo-area OTB

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The FBI is investigating the awarding of lucrative contracts by the Western Regional Off Track Betting Corp. to politically wired companies. The investigation, confirmed by multiple sources, is looking into contracts involving firms with ties to OTB Chairman Richard Bianchi, a member of the Monroe County Conservative Party’s executive committee, and CEO Henry Wojtaszek, former chairman of the Niagara County Republican Committee. The full scope of the probe is unclear and an FBI spokesperson would neither confirm nor deny the investigation. But sources told Investigative Post that it includes, at a minimum, contracts the OTB has awarded to at least[...]

Posted 6 years ago

Mar 15

2019

Key witness in ‘Billion case avoids prison

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 Kevin Schuler, the prosecution’s star witness in the Buffalo Billion corruption trial, escaped a prison term at his sentencing in Manhattan on Friday. Schuler was an executive at LPCiminelli who detailed the bid rigging scheme that resulted in the company landing the contract to build the SolarCity plant in South Buffalo. His testimony was key to convicting his former boss, Louis Ciminelli, and a top state economic development official, Alain Kaloyeros, on corruption charges. Both were sentenced to prison, although they remain free pending appeals. Schuler is required to perform 400 hours of community service over the next two[...]

Posted 6 years ago

Mar 6

2019

OTB protecting its perks

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The regional Off Track Betting Corporation has a story – two stories, actually – and they’re sticking to them. Officials there continue to insist that the OTB is authorized to provide health, dental and vision insurance free of charge to its board of directors. Gold-plated insurance, described to me by one health insurance expert as “literally the richest plan available.” I reported in December that the state Attorney General issued an opinion in 2008 that appears to conclude that OTBs are not permitted to provide health insurance coverage to board members. President Henry Wojtaszek responded by pledging to ask the[...]

Posted 6 years ago
Investigative Post