Tuesday, January 10, 2017

01102017 - News Article - Tow operations control shifted to Lake commissioners





Tow operations control shifted to Lake commissioners
Post-Tribune
January 10, 2017
The Lake County Commissioners now are responsible for the county's towing contracts.

The Lake County Council on Tuesday approved in first and second readings two ordinances that transfer control over the county's towing contracts to the commissioners and a second that eliminates the Sheriff Department's non-reverting tow and franchise fee fund, redirecting towing money the general fund.

Officials moved to strip responsibility of the towing contracts from Sheriff John Buncich in the wake of a towing scandal alleging bribes and misappropriation of funds.

Buncich, former Chief of Police Timothy Downs and William Szarmach, of CSA Towing in Lake Station, were named in a multicount indictment alleging an illegal towing scheme in which the sheriff accepted bribes in the form of thousands of dollars in cash and donations to his campaign fund, Buncich's Boosters, according to court records. All three are facing charges of wire fraud, while Buncich and Szarmach also are charged with bribery.

The sheriff, whose department was in charge of deciding which companies were called for towing services, and the chief allegedly steered business toward towing operators in exchange for cash and checks, the U.S. attorney alleged in a 14-page indictment. Buncich allegedly took more than $25,000 in cash bribes and $7,000 in checks from Szarmach and another towing operator identified as "Individual A," according to the indictment.

Buncich and Szarmach pleaded not guilty during their initial appearances in November.

Downs struck a plea agreement with the U.S. Attorney's office, which a federal judge has not yet accepted, admitting he allegedly cooperated with Buncich to solicit brides from tow truck operators for favorable treatment.

Dan Dernulc, R-Highland, said residents deserve to know county officials are working to improve transparency regarding the county's towing program. By stripping the program from the sheriff's department and placing control of towing contracts with commissioners, there will be more oversight.

"Now we will have three people looking at this," Dernulc said.

Council President Ted Bilski, D-Hobart, said the sheriff's department now will have to move the two staff positions and other bills paid from the non-reverting tow and franchise fee fund to the general fund to clean up the accounting. While the transition is underway, the positions paid through the fund will continue to be paid.

Resident Joe Hero questioned the oversight of the program once it is switched to the commissioners, saying without increased controls the county is setting itself up for additional trouble.

Prior to Tuesday's ordinance passing, the Sheriff's Department collected the money from towing operations and accounted for the details of the funds received, according to Lake County Auditor John Petalas. The Auditor's Office received the checks from the Sheriff's Department, according to Petalas, but didn't get any detail on what those funds were for.

Leading up to the annual audit, Petalas said the funds processed by the county would need to match with what the Sheriff's Department recorded.

Hero said the county should add language to the ordinance to provide better accounting for where the money from towing operations comes from and who is responsible for collecting those funds.

"I think that's a mistake to leave that up in the air," Hero said.

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