Dive Brief:
- A Connecticut developer pleaded guilty to fraud and money laundering charges in Hartford federal court Monday in relation to a failed redevelopment of a local sporting facility into a professional soccer arena, according to the Hartford Courant.
- Mitchell Anderson faces up to 37 months in prison and must pay more than $1 million in restitution to the city and subcontractors.
- Prosecutors allege that Anderson and his partner, James Duckett Jr., billed the city for work that was never performed and spent project funds on themselves instead of paying subcontractors. Duckett has pleaded not guilty to all charges and faces trial in May. Thus far, he has maintained that only Anderson had access to company bank accounts.
Dive Insight:
The federal investigation into Anderson and Duckett began after a Courant report last year revealed that subcontractors on the project had not been paid and that the company Mitchell had formed to conduct stadium business submitted fraudulent invoices to the city for roof design work. The paper's investigation also uncovered Duckett's past criminal history of an embezzlement conviction, as well as numerous civil judgments.
The Major Arena Soccer League dismissed the future Hartford City FC, but another business interest now has rights to the name and is reportedly going forward with a National Premier Soccer League franchise.
There was more bad news last year for Hartford sports fans — and the city — when the bonding company on the $71 million Dunkin Donuts Park baseball stadium took over the project and replaced the original contractors with Baltimore's Whiting-Turner Contracting. The city of Hartford is financing the project and made the switch after delays and questions over workmanship. The company and former project contractors Centerplan Construction Co. and DoNo Hartford are currently in mediation with the city over the termination. Because of the delays, the Hartford Yard Goats played last season on the road, but, according to the most recent reports, the project is still on schedule to open in time for the team's season opener in April.