A former commissioner in the Schneider administration and a St. Croix contractor have been indicted on 10 charges that they conspired to misuse federal funds after Hurricane Marilyn in 1995.
Former Department of Public Works Commissioner Ann Abramson and St. Croix contractor Berthill Thomas were charged by a federal grand jury with crimes including conspiracy, bribery, and making false claims to the United States and federal agents, U.S. attorney James A. Hurd said Thursday in a press release.
The indictment charges that Thomas paid Abramson, then Public Works commissioner, September to October 1995 to give him a contract to repair the Department of Finance’s hurricane-damaged roof.
The defendants are charges in 2 separate counts with giving and receiving
of a bribe in the amount of $6,500., according to Hurd.
Thomas was charged previously with 3 counts of making false statements to the Federal Emergency Management Agency. He was charged with submitted inflated invoices for work he performed on the Finance Department roof.
Abramson has been charged with submitting Thomas’ false invoices. They are both charged
with three counts of making false claims in connection with the submission of those invoices.
If convicted, Abramson and Thomas face up to 10 years in prison for each count of bribery, five years in prison for each count of conspiracy and false claims and false statements, and a $250,000 fine for each count.
The indictments follow a probe by FEMA and the Federal Bureau of Investigation.
PAY PHONE OPERATORS QUESTION PSC BILLS
The Public Services Commission has billed pay phone providers for services the PSC has not provided, officials for two pay phone companies claim.
According to Martin Kuykendall, president of Professional Payphones, and Fermin Osborne, president of Island Pay Phone Systems Inc., the PSC ruled three years ago that pay phone providers should cover the cost of pay phone inspections in the territory, but never notified pay phone operators of the new plan.
Suddenly the providers received bills for three years worth of fees, according to a story in the Virgin Islands Independent.
Osborne and Kuykendall say they were billed between $12,000 and $13,000 in 1997 for fees dating to June 1994. They have not paid, saying the fees are discriminatory and illegal under federal law.
PSC Executive Director Alexander Petersen said the fee was supposed to pay for an inspector to make sure the pay phones meet requirements set by the PSC and the communications industry. Petersen admitted no one has been hired due to lack of money in the PSC budget, according to the Independent.
Despite a federal law mandating all pay phone operators be treated the same, the V.I. Telephone Corp. does not have to pay for its pay phones, according to the Independent story.
Osborn said pay phone operators went to the PSC in 1997 and tried to iron out the problems with access and fees for pay phone operators, but was told the Commission was not able to address any of the issues at that time.
“However, we were told that a request would be submitted for a hearing regarding Vitelco’s not being subject to the same fees and rules," Osborn said.
Osborn said the matter has not been discussed since then.
According to Martin Kuykendall, president of Professional Payphones, and Fermin Osborne, president of Island Pay Phone Systems Inc., the PSC ruled three years ago that pay phone providers should cover the cost of pay phone inspections in the territory, but never notified pay phone operators of the new plan.
Suddenly the providers received bills for three years worth of fees, according to a story in the Virgin Islands Independent.
Osborne and Kuykendall say they were billed between $12,000 and $13,000 in 1997 for fees dating to June 1994. They have not paid, saying the fees are discriminatory and illegal under federal law.
PSC Executive Director Alexander Petersen said the fee was supposed to pay for an inspector to make sure the pay phones meet requirements set by the PSC and the communications industry. Petersen admitted no one has been hired due to lack of money in the PSC budget, according to the Independent.
Despite a federal law mandating all pay phone operators be treated the same, the V.I. Telephone Corp. does not have to pay for its pay phones, according to the Independent story.
Osborn said pay phone operators went to the PSC in 1997 and tried to iron out the problems with access and fees for pay phone operators, but was told the Commission was not able to address any of the issues at that time.
“However, we were told that a request would be submitted for a hearing regarding Vitelco’s not being subject to the same fees and rules," Osborn said.
Osborn said the matter has not been discussed since then.
LAW LEADS MATCH RACES AFTER DAY 1
The winds were so strong they helped injure a sailor, but Chris Law used them to his advantage.
As the second annual Frenchman's Reef Match Races blasted around St. Thomas Harbor on Thursday, defending champion Law, of Britain, finished the first day on top, but Virgin Islander Peter Holmberg was right on his heels.
Law won all three of his sailboat races. Holmberg and two other teams finished the day 2-1.
The wind, which gusted higher than 25 miles per hour, lent dramatic action to the close races. Smoking spray blew off the 40-foot yachts as they beat upwind.
The windward mark was close to the St. Thomas waterfront. Spectators had a close-up view as the racers struggled to remain under control when they launched the colorful spinnaker sails, increasing both sail area and speed for the run back to Road Town, Tortola.
Strong wind contributed to an injury sustained by Terry Hutchinson, a member of racer Paul Cayard's crew. Hutchinson was thrown across Cayard’s boat during close-quarters sailing off Frenchtown. Hutchinson was carried from the scene on a stretcher. He was released from Roy L. Schneider Hospital Thursday evening.
Cayard had to forfeit the race, giving Law his third victory.
Racing continues today, Saturday, and Sunday. For more details see www.matchrace.vi.
As the second annual Frenchman's Reef Match Races blasted around St. Thomas Harbor on Thursday, defending champion Law, of Britain, finished the first day on top, but Virgin Islander Peter Holmberg was right on his heels.
Law won all three of his sailboat races. Holmberg and two other teams finished the day 2-1.
The wind, which gusted higher than 25 miles per hour, lent dramatic action to the close races. Smoking spray blew off the 40-foot yachts as they beat upwind.
The windward mark was close to the St. Thomas waterfront. Spectators had a close-up view as the racers struggled to remain under control when they launched the colorful spinnaker sails, increasing both sail area and speed for the run back to Road Town, Tortola.
Strong wind contributed to an injury sustained by Terry Hutchinson, a member of racer Paul Cayard's crew. Hutchinson was thrown across Cayard’s boat during close-quarters sailing off Frenchtown. Hutchinson was carried from the scene on a stretcher. He was released from Roy L. Schneider Hospital Thursday evening.
Cayard had to forfeit the race, giving Law his third victory.
Racing continues today, Saturday, and Sunday. For more details see www.matchrace.vi.
GAS FLOWS, BUT SLOWLY
Government vehicles are again getting fuel, but the amount is limited.
According to Capt. Al Donastorg, commander of the Norre Gade central police station, his vehicles are being limited to about 10 gallons a day, the Independent reported Thursday.
Donastorg also said his vehicles were gassed up Monday when the motor pool was empty, thanks to residents and businesses who paid for gas.
Donastorg said police vehicles that run around the clock require 30 to 40 gallons a day.
Both Donastorg and Samual Baptiste, acting Property and Procurement commissioner, said this is the fifth or sixth time this year the motor pool has been out of gas because of a lack of money to pay vendors.
The motor pool faces another problem — this one with the federal Environmental Protection Agency. Baptiste said the facility's underground tanks must be removed by Dec. 22 to comply with an EPA order.
"We have something in negotiation right now to ensure that when the 22nd comes around fuel can continue to flow," Baptiste said.
He added that whatever the system for disbursement of fuel, it will still require payment for fuel to flow.
According to Capt. Al Donastorg, commander of the Norre Gade central police station, his vehicles are being limited to about 10 gallons a day, the Independent reported Thursday.
Donastorg also said his vehicles were gassed up Monday when the motor pool was empty, thanks to residents and businesses who paid for gas.
Donastorg said police vehicles that run around the clock require 30 to 40 gallons a day.
Both Donastorg and Samual Baptiste, acting Property and Procurement commissioner, said this is the fifth or sixth time this year the motor pool has been out of gas because of a lack of money to pay vendors.
The motor pool faces another problem — this one with the federal Environmental Protection Agency. Baptiste said the facility's underground tanks must be removed by Dec. 22 to comply with an EPA order.
"We have something in negotiation right now to ensure that when the 22nd comes around fuel can continue to flow," Baptiste said.
He added that whatever the system for disbursement of fuel, it will still require payment for fuel to flow.
MICHELE MOTEL RESIDENTS TAKE TIME TO PARTY
Thanks to the Virgin Islands Alliance for the Mentally Ill, 31 men and women suffering from mental illness forgot their woes for an evening and simply celebrated Christmas.
It has been a difficult holiday season for the residents of Michele Motel, all of whom suffer from some type of mental illness. Just before Thanksgiving they ran out of medications because the government had failed to pay their pharmacy bills Thanks to an emergency donation of psychotropic medicines from local pharmacists, residents were stabilized, according to the Daily News.
But for a moment on Wednesday night life was brighter.
With discounts provided by Kmart and Tropicana, Alliance members bought clothing and perfume for the men and women of Michel Motel — and they partied.
The V.I. Alliance for the Mentally Ill is an offshoot of the national organization that supports the mentally ill and their families. Many members have relatives who suffer from mental illness.
The Alliance also tries to educate the public about the mentally ill and to dispel some of the ignorance and fear surrounding the mentally ill.
"What they really need, is a safe home, clean clothes and a bed to sleep in, "said Alliance member Tany Fuertes.
It has been a difficult holiday season for the residents of Michele Motel, all of whom suffer from some type of mental illness. Just before Thanksgiving they ran out of medications because the government had failed to pay their pharmacy bills Thanks to an emergency donation of psychotropic medicines from local pharmacists, residents were stabilized, according to the Daily News.
But for a moment on Wednesday night life was brighter.
With discounts provided by Kmart and Tropicana, Alliance members bought clothing and perfume for the men and women of Michel Motel — and they partied.
The V.I. Alliance for the Mentally Ill is an offshoot of the national organization that supports the mentally ill and their families. Many members have relatives who suffer from mental illness.
The Alliance also tries to educate the public about the mentally ill and to dispel some of the ignorance and fear surrounding the mentally ill.
"What they really need, is a safe home, clean clothes and a bed to sleep in, "said Alliance member Tany Fuertes.
DONOGHUE LOSES CASE; WON'T APPEAL
Chief District Court Judge Thomas Moore has ruled that evidence didn't prove Dr. Eddie Donoghue was fired due to his attendance at a Democratic Party meeting.
Donoghue, former Education Department public relations director, went to court after Gov. Roy L. Schneider fired him. Donoghue contended he was fired for political reasons. The governor had cited budgetary constraints.
Moore also ruled that since Donoghue was appointed by the governor as a government spokesperson, he could be legally terminated due to party affiliation. Donoghue held an exempt, or unclassified, position.
Donastorg said he will not appeal Moore's ruling but was satisfied that he got his day in court. Democracy, he said, was the winner in this case.
Y2K PROPOSED BUDGET
Project Purchase
Agency Description Price
Bureau Internal Revenue Intelligent Forms Tax System $1,900,000.00
Assessment Required Income Tax and other local tax integration for Y2K Implementation $2,500,000.00
IRB Totals $4,400,000.00
Department of Finance RS/6000 Computer System $350,000.00
Upgrade and System Integration for FMS $200,000.00
Finance Totals $550,000.00
Government Wide Replace Aging PC's & Servers.. Approx. PC's/Servers/Data Wiring/Lisc. Software,etc. $3,500,000.00
Hospitals and Health Hospitals and Health Systems with Government wide Health Information Network. $6,000,000.00
Y2K Impact Assessment and Certification with date and time sensitive computerized components. $750,000.00
Estimate Upgrade and Replacement of Medical equipment. This estimate is based on research of Hospitals of comparable size. $8,100,000.00
Hospital and Health $14,850,000.00
Department of Justice AS/400 Computer System $300,000.00
Upgrade and System Integration (JALEN) $100,000.00
Department of Justice $400,000.00
Division Of Personnel Geac Smartstream Human Resources Management System to support all personnel functions including the NOPA process. $525,000.00
Integration and Installation $100,000.00
Division Of Personnel $625,000.00
Board of Education Loan Management Software $50,000.00
Government Development Bank Loan Management Software $50,000.00
Economic Research Data Warehouse System $100,000.00
Department of Public Safety Assessment & Technology Replacement For 911 $250,000.00
Assessment & Technology Replacement For DMV $200,000.00
Assessment Needed for Other Areas of Police Investigative areas and other applicable systems $300,000.00
Equipment Replacement $575,000.00
Department of Public Safety $1,325,000.00
Department of Public Works Assessment & Technology Replacement $350,000.00
Licensing & Consumer Affairs Y2K Impact Assessment and Certification with date and time sensitive computerized components. $25,000.00
Technology Replacement $100,000.00
Licensing & Consumer Affairs $125,000.00
Fire Service Y2K Impact Assessment and Certification with date and time sensitive computerized components. $60,000.00
Technology Replacement $500,000.00
Fire Service $560,000.00
Property & Procurement TransportationY2K Impact Assessment and Certification with date and time sensitive computerized components. $25,000.00
Transportation Technology Replacement $300,000.00
Central Stores Y2K Impact Assessment and Certification with date and time sensitive computerized components. $25,000.00
Central Stores Technology Replacement $100,000.00
Property & Procurement $450,000.00
VITEMA Y2K Impact Assessment and Certification with date and time sensitive computerized components. $225,000.00
Technology Replacement $1,200,000.00
VITEMA $1,425,000.00
Y2K Project Monitor (Firm)Independent Consultant A Management firm vital for the success of the Y2K Implementation Project $2,300,000.00
Grand Totals: $31,060,000.00
Agency Description Price
Bureau Internal Revenue Intelligent Forms Tax System $1,900,000.00
Assessment Required Income Tax and other local tax integration for Y2K Implementation $2,500,000.00
IRB Totals $4,400,000.00
Department of Finance RS/6000 Computer System $350,000.00
Upgrade and System Integration for FMS $200,000.00
Finance Totals $550,000.00
Government Wide Replace Aging PC's & Servers.. Approx. PC's/Servers/Data Wiring/Lisc. Software,etc. $3,500,000.00
Hospitals and Health Hospitals and Health Systems with Government wide Health Information Network. $6,000,000.00
Y2K Impact Assessment and Certification with date and time sensitive computerized components. $750,000.00
Estimate Upgrade and Replacement of Medical equipment. This estimate is based on research of Hospitals of comparable size. $8,100,000.00
Hospital and Health $14,850,000.00
Department of Justice AS/400 Computer System $300,000.00
Upgrade and System Integration (JALEN) $100,000.00
Department of Justice $400,000.00
Division Of Personnel Geac Smartstream Human Resources Management System to support all personnel functions including the NOPA process. $525,000.00
Integration and Installation $100,000.00
Division Of Personnel $625,000.00
Board of Education Loan Management Software $50,000.00
Government Development Bank Loan Management Software $50,000.00
Economic Research Data Warehouse System $100,000.00
Department of Public Safety Assessment & Technology Replacement For 911 $250,000.00
Assessment & Technology Replacement For DMV $200,000.00
Assessment Needed for Other Areas of Police Investigative areas and other applicable systems $300,000.00
Equipment Replacement $575,000.00
Department of Public Safety $1,325,000.00
Department of Public Works Assessment & Technology Replacement $350,000.00
Licensing & Consumer Affairs Y2K Impact Assessment and Certification with date and time sensitive computerized components. $25,000.00
Technology Replacement $100,000.00
Licensing & Consumer Affairs $125,000.00
Fire Service Y2K Impact Assessment and Certification with date and time sensitive computerized components. $60,000.00
Technology Replacement $500,000.00
Fire Service $560,000.00
Property & Procurement TransportationY2K Impact Assessment and Certification with date and time sensitive computerized components. $25,000.00
Transportation Technology Replacement $300,000.00
Central Stores Y2K Impact Assessment and Certification with date and time sensitive computerized components. $25,000.00
Central Stores Technology Replacement $100,000.00
Property & Procurement $450,000.00
VITEMA Y2K Impact Assessment and Certification with date and time sensitive computerized components. $225,000.00
Technology Replacement $1,200,000.00
VITEMA $1,425,000.00
Y2K Project Monitor (Firm)Independent Consultant A Management firm vital for the success of the Y2K Implementation Project $2,300,000.00
Grand Totals: $31,060,000.00
Y2K PROPOSED BUDGET
Project Purchase
Agency Description Price
Bureau Internal Revenue Intelligent Forms Tax System $1,900,000.00
Assessment Required Income Tax and other local tax integration for Y2K Implementation $2,500,000.00
IRB Totals $4,400,000.00
Department of Finance RS/6000 Computer System $350,000.00
Upgrade and System Integration for FMS $200,000.00
Finance Totals $550,000.00
Government Wide Replace Aging PC's & Servers.. Approx. PC's/Servers/Data Wiring/Lisc. Software,etc. $3,500,000.00
Hospitals and Health Hospitals and Health Systems with Government wide Health Information Network. $6,000,000.00
Y2K Impact Assessment and Certification with date and time sensitive computerized components. $750,000.00
Estimate Upgrade and Replacement of Medical equipment. This estimate is based on research of Hospitals of comparable size. $8,100,000.00
Hospital and Health $14,850,000.00
Department of Justice AS/400 Computer System $300,000.00
Upgrade and System Integration (JALEN) $100,000.00
Department of Justice $400,000.00
Division Of Personnel Geac Smartstream Human Resources Management System to support all personnel functions including the NOPA process. $525,000.00
Integration and Installation $100,000.00
Division Of Personnel $625,000.00
Board of Education Loan Management Software $50,000.00
Government Development Bank Loan Management Software $50,000.00
Economic Research Data Warehouse System $100,000.00
Department of Public Safety Assessment & Technology Replacement For 911 $250,000.00
Assessment & Technology Replacement For DMV $200,000.00
Assessment Needed for Other Areas of Police Investigative areas and other applicable systems $300,000.00
Equipment Replacement $575,000.00
Department of Public Safety $1,325,000.00
Department of Public Works Assessment & Technology Replacement $350,000.00
Licensing & Consumer Affairs Y2K Impact Assessment and Certification with date and time sensitive computerized components. $25,000.00
Technology Replacement $100,000.00
Licensing & Consumer Affairs $125,000.00
Fire Service Y2K Impact Assessment and Certification with date and time sensitive computerized components. $60,000.00
Technology Replacement $500,000.00
Fire Service $560,000.00
Property & Procurement TransportationY2K Impact Assessment and Certification with date and time sensitive computerized components. $25,000.00
Transportation Technology Replacement $300,000.00
Central Stores Y2K Impact Assessment and Certification with date and time sensitive computerized components. $25,000.00
Central Stores Technology Replacement $100,000.00
Property & Procurement $450,000.00
VITEMA Y2K Impact Assessment and Certification with date and time sensitive computerized components. $225,000.00
Technology Replacement $1,200,000.00
VITEMA $1,425,000.00
Y2K Project Monitor (Firm)Independent Consultant A Management firm vital for the success of the Y2K Implementation Project $2,300,000.00
Grand Totals: $31,060,000.00
Agency Description Price
Bureau Internal Revenue Intelligent Forms Tax System $1,900,000.00
Assessment Required Income Tax and other local tax integration for Y2K Implementation $2,500,000.00
IRB Totals $4,400,000.00
Department of Finance RS/6000 Computer System $350,000.00
Upgrade and System Integration for FMS $200,000.00
Finance Totals $550,000.00
Government Wide Replace Aging PC's & Servers.. Approx. PC's/Servers/Data Wiring/Lisc. Software,etc. $3,500,000.00
Hospitals and Health Hospitals and Health Systems with Government wide Health Information Network. $6,000,000.00
Y2K Impact Assessment and Certification with date and time sensitive computerized components. $750,000.00
Estimate Upgrade and Replacement of Medical equipment. This estimate is based on research of Hospitals of comparable size. $8,100,000.00
Hospital and Health $14,850,000.00
Department of Justice AS/400 Computer System $300,000.00
Upgrade and System Integration (JALEN) $100,000.00
Department of Justice $400,000.00
Division Of Personnel Geac Smartstream Human Resources Management System to support all personnel functions including the NOPA process. $525,000.00
Integration and Installation $100,000.00
Division Of Personnel $625,000.00
Board of Education Loan Management Software $50,000.00
Government Development Bank Loan Management Software $50,000.00
Economic Research Data Warehouse System $100,000.00
Department of Public Safety Assessment & Technology Replacement For 911 $250,000.00
Assessment & Technology Replacement For DMV $200,000.00
Assessment Needed for Other Areas of Police Investigative areas and other applicable systems $300,000.00
Equipment Replacement $575,000.00
Department of Public Safety $1,325,000.00
Department of Public Works Assessment & Technology Replacement $350,000.00
Licensing & Consumer Affairs Y2K Impact Assessment and Certification with date and time sensitive computerized components. $25,000.00
Technology Replacement $100,000.00
Licensing & Consumer Affairs $125,000.00
Fire Service Y2K Impact Assessment and Certification with date and time sensitive computerized components. $60,000.00
Technology Replacement $500,000.00
Fire Service $560,000.00
Property & Procurement TransportationY2K Impact Assessment and Certification with date and time sensitive computerized components. $25,000.00
Transportation Technology Replacement $300,000.00
Central Stores Y2K Impact Assessment and Certification with date and time sensitive computerized components. $25,000.00
Central Stores Technology Replacement $100,000.00
Property & Procurement $450,000.00
VITEMA Y2K Impact Assessment and Certification with date and time sensitive computerized components. $225,000.00
Technology Replacement $1,200,000.00
VITEMA $1,425,000.00
Y2K Project Monitor (Firm)Independent Consultant A Management firm vital for the success of the Y2K Implementation Project $2,300,000.00
Grand Totals: $31,060,000.00
IRB OFFICIAL CHARGED WITH EMBEZZLEMENT
Stephen Monsanto, a high-ranking Internal Revenue Bureau official, was charged Tuesday with embezzling $195,883 from the IRB.
Monsanto, 40, is also charged with forgery, obtaining money by false pretense and conspiracy, according to the Daily News. Monsanto, who is special assistant to IRB Director Joseph Aubain, is charged with stealing money in two ways: intercepting and cashing checks that were intended for vendors, and creating false invoices and later cashing the checks issued to pay those invoices, according to Assistant Attorney General Douglas Sprotte.
Monsanto was hired by the IRB in January 1995. His annual salary is $53,000, the Daily News reported. No one at the IRB has commented. WVWI reported that Aubain is off-island at a conference.
Monsanto has been released on $40,000 bail.
Monsanto, 40, is also charged with forgery, obtaining money by false pretense and conspiracy, according to the Daily News. Monsanto, who is special assistant to IRB Director Joseph Aubain, is charged with stealing money in two ways: intercepting and cashing checks that were intended for vendors, and creating false invoices and later cashing the checks issued to pay those invoices, according to Assistant Attorney General Douglas Sprotte.
Monsanto was hired by the IRB in January 1995. His annual salary is $53,000, the Daily News reported. No one at the IRB has commented. WVWI reported that Aubain is off-island at a conference.
Monsanto has been released on $40,000 bail.
THARPES TURNS DOWN ELECTIONS BOARD SEAT
Yvonne Tharpes of St. John, who was seated on the Board of Elections with only six votes in the general election, has opted not to accept the position.
"It's in the interest of justice and fair dealing," Tharpes told the Daily News.
Tharpes was certified for the board after the Attorney General's Office said the V.I. Code requires that two members of the Elections Board must be from St. John.
Tharpes' decision could allow Democrat Gaylord Sprauve, with 5,526 votes in the election, to be seated on the board.
Tharpes said the situation points to the need for election reform.
"It's in the interest of justice and fair dealing," Tharpes told the Daily News.
Tharpes was certified for the board after the Attorney General's Office said the V.I. Code requires that two members of the Elections Board must be from St. John.
Tharpes' decision could allow Democrat Gaylord Sprauve, with 5,526 votes in the election, to be seated on the board.
Tharpes said the situation points to the need for election reform.
