NEW YORK (1010 WINS) — A former Connecticut state representative and City Council administrative assistant pleaded guilty to stealing more than $1.2 million in COVID relief and other funds from the City of West Haven through the use of multiple frauds, federal prosecutors said Tuesday.
Through his role as administrative assistant, 31-year-old Michael DiMassa was authorized to approve designated relief funds for the reimbursement of COVID-related expenditures incurred by West Haven, authorities said.
DiMassa conspired with other people to steal COVID-relief money as well as other funds by submitting bogus invoices and receiving payment for goods and services never provided, court documents show.
One of the ways DiMassa stole money was by collaborating with John Bernardo who worked as a Housing Specialist in the West Haven Office of Community Development Administration. DiMassa and Bernardo created “Compass Investment Group, LLC” in January 2021 and began billing the city and its “COVID-19 Grant Department” for consulting services they never performed.
Over the course of seven months, the city paid DiMassa and Bernardo’s company a total of $636,783.70. DiMassa also made multiple large cash withdrawals from the company’s bank account, some of which were made either right before or right after buying gaming chips at the Mohegan Sun Casino, officials said.
DiMassa and his now wife also conspired together on a scheme by submitting several fraudulent invoices to West Haven for various services related to a “Youth Violence Prevention Program” and for “Youth Violence COVID-19 associated expenses.”
The invoices submitted by Lauren detailed charges for in-home counseling, cleaning supplies, special needs hourly service, wi-fi assistance for low/moderate income families, counseling services, license fees, a fall youth clinic, meals, support group supplies, equipment rental and a youth clinic support group. Lauren received about $147,776 through at least 16 payments despite never actually providing any services to the City of West Haven, authorities said.
DiMassa also teamed up with a third unnamed person to submit fake invoices from companies controlled by the unidentified co-conspirator to West Haven for goods and services, including thousands of units of Personal Protective Equipment, HVAC maintenance at multiple municipal locations, COVID supplies for the Board of Education and cleaning services for various municipal and school buildings which included a school building that had been vacant and abandoned for several years. The company received about $431,982 through the scheme.
DiMassa pleaded guilty to three counts of conspiracy to commit wire fraud and faces up to 30 years in prison on each count. He also agreed to pay restitution of $1,216,541.80. A sentencing date has not yet been set. He was released on a $250,000 bond after his arrest on October 20, 2021.
Bernardo and Lauren DiMassa each previously pleaded guilty to one count of conspiracy to commit fraud. They are awaiting sentencing.
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