U.S. Department of Justice United States Attorney District of Connecticut
Connecticut Financial Center 157 Church Street New Haven, Connecticut 06510 (203) 821-3700 Fax (203) 773-5376 www.usdoj.gov/usao/ct
FOR IMMEDIATE RELEASE November 3, 2008
CONTACT:
Tom Carson Public Information Office (203) 821-3722 (203) 996-1393 (cell)
Statement of Acting United States Attorney Nora R. Dannehy announcing the withdrawal of several lawsuits pending in the Superior Court “Last month, a News-Times report made the U.S. Attorney’s Office aware of the fact that Automated Waste Disposal and affiliated companies formerly owned by James Galante recently had initiated several lawsuits against customers. Subsequently, this Office conducted a review of known suits pending in Connecticut Superior Court. The audit revealed that a number of these lawsuits were filed against customers to enforce contracts entered into with James Galante or his co-conspirators. These suits are being withdrawn, as they are both antithetical to the efforts of this Office and the Agencies involved in the underlying investigation and prosecution. In addition, the Companies are now in the process of retaining new legal counsel and evaluating other pending lawsuits. Some of the pending enforcement lawsuits, however, concern contracts entered into after the United States Marshals Service began monitoring AWD and its affiliated companies in June 2006. These suits will not be withdrawn. The companies are entitled to enforce contracts that were reached as a result of fair and open market pricing. In addition, in the future the monitors may decide to bring appropriate civil lawsuits against competing companies that go beyond simply providing pricing information to current customers of AWD and affiliates by actively inducing them to breach valid, lawful contracts. The United States Attorney’s Office and the United States Marshals Service are fully aware that these companies, which once operated corruptly, continue to provide critically important waste removal and recycling services to thousands of individuals and businesses in Connecticut and New York. Since June 2006, the USMS has monitored the operation of these companies, ensuring that waste is picked up, payroll for hundreds of employees is met, and bills are paid. The Government remains committed to its responsibility to properly manage the transition of these businesses from corrupt ownership to new and ethical ownership. At the same time, we must protect the assets of the forfeited companies. While this transition process may
not proceed as quickly as some might hope, the United States Attorney’s Office remains committed to the monitoring of the actions of the companies to ensure that the businesses operate fairly and efficiently. Indeed, our Office and its investigative partners are heavily invested in ensuring a proper ending to this extraordinary law enforcement effort undertaken by agents and officers who have worked for more than four years to eliminate an extensive criminal enterprise and return fair competition the region’s carting industry and consumers, and we will continue to do all we can to make certain that the public’s interests are well served.” ###