Thursday, May 17, 2012

Covelle Caves and Quits

Medford Housing executive resigning under fire

Backstory:

"Medford housing chief faces scrutiny over hirings" April 24, 2012|By Sean P. Murphy and Andrea Estes

MEDFORD - Medford Housing Authority chief Robert Covelle hired his close friend and bocce teammate to a $53,000-a-year job, demoting a staff member to create the opening, his employees say. He hired his son’s girlfriend in a no-bid contract to do more than $4,000 worth of seasonal decorations in the office, according to federal investigators. He created a new $85,000-a-year job that went to a family friend of Mayor Michael J. McGlynn of Medford.

And when two employees complained separately in writing to the Medford Housing Authority board about Covelle’s alleged attempts to get jobs and subsidized housing for insiders, each was suspended from work, for allegedly being rude or for showing anger, according to records and interviews.

The housing authority in this blue-collar city of 55,000 has been under siege since last June when state officials first visited the Riverside Avenue headquarters to investigate allegations of widespread favoritism in hiring and contracting under Covelle, the brother-in-law of the late Middlesex County sheriff, James DiPaola.  

Related: Boston Globe Murdered Middlesex Sheriff

It is illegal for public officials to use their official position to help friends or family get jobs or contracts. 

Except that it happens all the time and that is how the system is run. 

So who did Covelle piss off?

In recent months, state troopers have raided authority offices, carrying out boxes of documents, while authority officials have been called to testify before a state grand jury that is considering criminal charges. Last week, some city councilors called for Covelle’s resignation after a federal audit showed almost $1.4 million in questionable spending in a 15-month period, including the $4,355 paid to decorator Erica DeCrescenzo, now married to Covelle’s son. 

Not to approve of the looting in any way, shape, or form, but notice bankers are never brought up for this kind of s***?  Are those that perpetrated the foreclosure fraud being investigated? No, they paid a slap on the wrist fine and went back to doin' bidness!!!! 

Covelle insists that he has done nothing wrong, arguing that many of the questionable spending practices cited in the US Department of Housing and Urban Development audit started before he arrived in June 2009. At a contentious housing board meeting last week, Covelle boasted that the authority is in good financial condition. Coming to his defense was the friend that he hired as a $53,000 housing manager, who portrayed Covelle as a victim of bitter employees.

“Bob is unfortunately taking the rap here for things that happened here for the umpteenth year,’’ said Santo “Sam’’ Pirri, who plays bocce with Covelle at the Malden Italian-American Club. He told the audience of more than 50 people that Covelle has been targeted by a “disgruntled group of people who sent a letter in to HUD.’’

But others say Covelle has clamped down on dissent during the federal and state investigations, creating a climate of fear for employees....

The controversy in Medford comes at a time of heightened scrutiny of public housing following disclosure that the housing director in nearby Chelsea, Michael E. McLaughlin, had concealed his $360,000-a-year salary, which he collected despite rarely working a full day at his office. The authority’s entire board of directors resigned under pressure from Governor Deval Patrick, and a state receiver took over day-to-day operations until a new board could be appointed. 

See: Chelsea Evictions

Sunday Globe Special: Auditors Enabled Slumlord Stealing

The state’s 242 housing authorities collectively receive billions of dollars from state and federal government, but they are run by local boards that often receive only superficial outside review. For instance, the Chelsea and Medford housing authorities were both rated as “high performers’’ by federal housing authorities just before allegations of wrongdoing surfaced....  

Just like all those AAA-rated securities in the continuing mortgage-backed securities crisis before they s*** the bed.

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Related: Housing director's support dwindles

Medford's Covelle says he'll fix problems

Patrick urges Covelle to resign

He'll think about it:

"Medford housing director on leave" May 01, 2012|Matt Byrne, Globe Correspondent

Faced with calls for his resignation, Robert Covelle, the Medford Housing Authority director, took an unpaid two-week leave of absence Monday night, giving the agency’s board of commissioners time to decide whether he can continue to lead the agency amid state and federal investigations of alleged favoritism in hiring and contracting.

The board voted to place Covelle on leave from his $126,000-a-year job just days after Governor Deval Patrick demanded Covelle’s resignation following a federal audit that found widespread problems in the authority’s management.  

At least he wasn't pulling a McLaughlin.

The board also voted to place the authority’s second highest paid employee, John Lonergan, on indefinite leave while the Medford police investigate whether he improperly kept money from the sale of copper salvaged from public housing....

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"Housing chief’s removal sought; Medford officials cite hiring of man with criminal past" by Sean P. Murphy and Andrea Estes Globe Staff / May 3, 2012

The entire Medford Housing Authority board, as well as the city’s mayor, called on housing chief Robert Covelle to resign Wednesday as new information emerged in a scandal that has engulfed the agency for weeks following reports of favoritism in hiring and contracting.

“I strongly believe that it is in the best interest of the Medford Housing Authority and the citizens of Medford that you resign,’’ Mayor Michael J. McGlynn, who appoints a majority of the board and has been one of Covelle’s leading backers, wrote in a letter to the embattled housing chief. “To do anything less could be detrimental in the relationship between [the housing authority] and the state and federal government.’’

He turned on him after Covelle created a job for his friend!

All four commissioners on the board, which has one vacancy, informed the Globe Wednesday night that they would vote to dismiss Covelle if he did not resign. At least one, Sylvia Jean Baumeister, said she made her decision after learning that a maintenance worker had been hired - and given a master key to authority properties - despite having a criminal record....

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