Council oversight hearing details federal indictment, city's policy changes after alleged Council on Aging theft

Quincy City Councilors and administration officials spent hours on June 22 examining a criminal investigation into alleged theft from the city's Council on Aging and the resulting administrative reforms.

City administration representative Walker told the oversight committee that an elder-services employee first raised concerns in April 2024 and that the mayor immediately directed the matter to Quincy Police and the city solicitor. "This was about an individual perpetrating a fraud on the city and its people," Walker said, adding the city moved quickly to involve investigators and safeguard the reporting employee.

Police Chief Kennedy described the investigative timeline: detectives met the employee on April 18 and served the suspect with administrative leave on April 19; as investigators developed evidence, an FBI task-force detective asked whether the city wanted assistance, and the U.S. Attorney's Office ultimately indicted the former director on federal counts including embezzlement and wire/mail fraud, Kennedy said.

Municipal finance director Paul Del Barber explained how requisitions and purchase orders are supposed to flow through Munis and the purchasing department, emphasizing multiple review points: department-head approval, municipal finance review and a final purchasing review that creates a purchase order and encumbers funds.

Treasurer Molly Smith said her office performed an on-site response after the allegation. Smith said investigators reviewed "almost 100 turnover sheets," and that their review showed checks were sent to the treasurer's office but cash was not. To reduce future risk, she listed policy changes posted in October 2024: a $500 cash-in-office threshold, at least weekly deposits, departmental policies required to be on file, annual on-site audits performed by her office and the purchase of tools such as a cash-counting machine and mobile-deposit scanning. She also said the city will launch an online payment system next week to reduce cash handling.

Councilors asked pointed questions. Councilor Riley pressed whether the city has a formal fraud policy or a confidential whistleblower reporting mechanism; Walker and Smith said many practices are governed by Massachusetts law, that whistleblowers are protected under state and federal law, and that a formal outside reporting line remains under consideration. Smith said on-site reviews have so far been announced but that tightened procedures mean turnover sheets are now scrutinized routinely.

Councilors also raised the scope of the suspected fraud. One councilor cited a report listing 262 suspect transactions totaling about $329,148 and noted the defendant pleaded guilty to an amount of about $136,000; Smith and Walker said investigators determined the suspect used fraud and manipulation, and that many vendors contracted by the department appear to have been duped by a shell company rather than complicit.

Several councilors said the case surfaced concerns about workplace culture, reporting reluctance and "optics" when a powerful or well-connected employee is accused. Walker and other administration officials repeatedly said there is no evidence of a systemic culture of tolerance for theft and said the city's response included both disciplinary action and policy changes.

The committee did not vote on policy changes at the hearing but asked that departments produce certain documentation and asked administration to continue work on electronic invoice capture and other reforms. Councilors said they expect follow-up oversight and a broader review of procurement and reconciliation practices in coming months.

What happens next: the criminal case is being prosecuted in federal court; the council asked administration for follow-up documents and indicated it will continue oversight later this year.