Connecticut man found guilty in waste industry corruption
Nora R. Dannehy, acting United States Attorney for
the District of Connecticut, announced that a federal
grand jury in New Haven has returned an indictment
charging Timothy Arciola, of Washington, Connecticut,
with three counts of mail fraud. The indictment
was returned September 10.
According to the indictment, Arciola devised a scheme
to defraud Automated Waste Disposal (AWD) and Superior
Waste Disposal (SWD), trash hauling companies located
in Danbury, Connecticut that were at the center
of a long-term federal investigation into the trash
hauling industry. The indictment alleges that Arciola,
who was employed as a salesman at AWD and SWD until
March 2008, created a scheme by which a portion
of payments made by some of AWD and SWD’s customers
were diverted to him.
It is alleged that, in December 2007, Arciola formed
Omni Management Group, LLC, and was the company’s
only listed officer. As part of a scheme to defraud,
Arciola, through Omni Management Group, LLC, solicited
customers with established business relationships
with AWD/SWD. The indictment alleges that Arciola
and others approached customers of AWD/SWD, had
them sign contracts with Omni Management Group,
and asked them to submit future payments for trash
removal to Omni. Arciola and others then approached
company officials at AWD/SWD and provided them with
fraudulent reasons why customers should be given
a reduced rate for trash service currently being
provided to the AWD/SWD customer. AWD/SWD then executed
change orders that reflected the lowered rate. The
change orders often would substitute a post office
box controlled by Arciola for the customers’ legitimate
addresses. The customer would pay Omni, who then
would mail a portion of that payment to AWD/SWD.
Arciola and others would take the difference between
the two payments and retain the funds.
The indictment alleges that Arciola initiated this
fraud scheme after being charged for his participation
in a trash industry racketeering conspiracy on June
8, 2006. On June 9, 2006, Arciola was arrested and
subsequently released on bond, a condition of which
required that he not commit any offense in violation
of federal, state or local law while on release.
On May 11, 2007, Arciola pleaded guilty to one count
of racketeering conspiracy and, on January 22, 2008,
he was sentenced to 15 months of imprisonment. Arciola
began serving his prison term on approximately March
4, 2008, and currently is incarcerated.
The charge of mail fraud carries a maximum term
of imprisonment of 20 years and a fine of up to
$250,000. Because Arciola allegedly committed these
offenses while on release in another federal case,
if convicted, he could be sentenced to an additional
10-year term of incarceration on each count, which
must run consecutively to any sentence imposed on
the mail fraud counts.
Dannehy stressed that an indictment is only a charge
and is not evidence of guilt. The defendant is entitled
to a fair trial at which it is the government’s
burden to prove guilt beyond a reasonable doubt.