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Birdsall Services Group

Monday, April 15, 2013

Birdsall Reaches Settlement With Attorney General's Office

Criminal prosecution still pending against firm members

A settlement between Birdsall Services Group and State Division of Criminal Justice was reached on Monday afternoon for what was called a "civil forfeiture action," according to a press release from Attorney General Jeffrey S. Chiesa.  According to the settlement Birdsall will pay the state a total of $2.6 million including $2.5 million in forfeiture and $100,000 to cover the state's attorneys fees in the bankruptcy action. Most of the funding for the payment will come from "the cash surrender of certain 'key man' life insurance policies," from officers and former officers who are under indictment according to the release. The remainder will come from cash on hand. Birdsall will also set up a $1 million fund that will be used to pay up to …

Thursday, April 11, 2013

Eatontown-Based Birdsall Services Group Furloughs 300 Employees

Several of firm's employees were indicted last month

Birdsall Services Group, an Eatontown-based engineering firm, furloughed its 300 employees Wednesday, after a federal judge blocked the payment of the indicted firm’s payroll and other expenses, according to an article on the Asbury Park Press. Birdsall's former CEO and six of its executives and shareholders were indicted last month on charges they allegedly violated state pay-to-pay laws. U.S. District Court Judge Michael A. Shipp blocked the release of any cash from the the firm’s accounts until a hearing can be held Monday on the state Attorney General’s appeal of the company’s bankruptcy filing, according to the report. As a result, Birdsall canceled processing of its payroll for Friday’s payday, according to court documents. “With no …

Tuesday, March 26, 2013

Former Brick Administrator Indicted in 'Pay-to-Play' Scandal

Scott MacFadden made at least $77,957 in illegally reimbursed political contributions, indictment charges

Brick Township's former business administrator, Scott MacFadden, has been indicted for violating state pay-to-play laws in his role as chief administrative officer of Birdsall Services Group, a Monmouth County-based engineering firm. Birdsall has been under investigation for skirting the state's pay-to-play laws by allegedly reimbursing its employees for their personal, unreportable political contributions. The firm has engineering contracts with a host of Shore area communities, including Brick. MacFadden, 58, a township resident, is accused of making at least $77,957 in such illegally reimbursed contributions, a statement from state Attorney General Jeffrey S. Chiesa said Tuesday. He is being represented by Brick-based attorney William P…

Tuesday, December 11, 2012

Former Executive of Engineering Firm Indicted in Pay-to-Play Scheme

Belmar man's indictment comes less than two weeks after another former executive of Birdsall Services Group pleaded guilty

A former executive of Birdsall Services Group, a Monmouth-based engineering firm, was indicted today, less than two weeks after another executive pleaded guilty for his role in a scheme to avoid the state's pay-to-play regulations. Thomas Rospos, 60, of Belmar was indicted after being accused of disguising illegal corporate political contributions as personal contributions by employees of the firm, according to a release from the Attorney General's Office. “Mr. Rospos allegedly conspired with others at Birdsall Services Group to circumvent New Jersey’s pay-to-play law through a fraudulent scheme in which extra bonuses were paid to employees to reimburse them for making unreported political contributions,” said Attorney General Jeffrey …

Claudine Scozzari

9:48 am on Saturday, March 30, 2013

Because the problems BSG were having going through M & A during due diligence weren't enough. When did cash flow become a problem?   more ›

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