A question for Mayor Brown
Patrick Lakamp and I have an investigation in Sunday's News that goes something like this:
Former basketball star Leonard Stokes wants to open a restaurant in the old Locker Room on Delaware Avenue despite having no business experience.
Bankers tell him he can't borrow from them. Too much risk, not enough experience or equity.
City bureaucrats cobble together $110,000 in public financing, including a $30,000 grant using anti-poverty funds that are earmarked to help the impoverished Ellicott District represented by Councilman Brian Davis but which instead go to help the restaurant located in the city's wealthiest district.
Stokes doesn't attend classes recommended by the city to help business newbies like him learn the ropes and doesn't invest much sweat equity once the restaurant opens its doors.
Michelle Barron, veep of the city agency that financed the restaurant, doubles as a sort of de facto manager. Former employees said she was around more than Stokes. Among other things, she helps to handles the till, pay the bills and deal with those pesky employees and vendors who expect to be paid.
The restaurant starts to tank, so Barron and the agency's chief lending officer tell the county IDA it should give lend some money. They never tell the IDA the restaurant is deep in the red, and the IDA doesn't ask questions before forking over $50,000.
Councilman Davis, not content to simply send his constituents' money to another district, writes a check to cover the restaurant's overdue rent. Check bounces. Stiffed landlord files complaint with police. Oops.
Restaurant closes in less than a year. Stokes defaults on $160,000 in public financing. State goes after his business for not turning over sales tax collections or paying some of his employees.
Barron, it turns out, is a college drop out holding a job that calls for a college degree, and she deals with all kinds of public finances - and the restaurant's - despite having trouble paying her own bills.
My question for Brown, who, besides being the mayor, is chairman of the agency responsible for this mess:
"What are you going to do about this?"
Shouldn't that same "What are you going to do about this?" question also be asked of the local FBI office? And perhaps the state attorney general?
Isn't it difficult to believe that no corruption laws are being violated when a private business receives all those public funds and work by public employees?
And is One Sunset the only business with which BERC has been doing these kinds of things?
Also, shouldn't the county IDA be questioned heavily about why they handed over $50K of public money in this situation? Is this also typical of how they spend our money?
Posted by: Wondering | May 24, 2009 at 08:50 AM
Breathtaking stuff. And yet The Buffalo News gives this stupid kid a front page blurb with the favorable quote "I'm young and made a mistake". He should be doing a perp walk on the front page.
Posted by: avwrobel | May 24, 2009 at 09:47 AM
I was so happy to see Masiello's term over. I felt Brown represented a much need change. And it changed alright..... for the worse. Mayor Brown your administration is such a disappointment! Don't worry..... maybe the proceeds from your red light camera rip-off will pay for this lastest fiasco!
Posted by: MD | May 24, 2009 at 09:56 AM
Well, since there's been very little showing intelligence in the Brown administration, let's go for more of the same.
This time we'll combat stupidity with more stupidity.
Use the red light cameras to close this budget-gap.
Posted by: Jeff | May 24, 2009 at 09:57 AM
GASP! The patronage hires aren't qualified for the jobs they were brought on to do! Kinda like the empty suit occupying the Mayor's office. Now someone investigate why the authorities aren't investigating the shenanigans going on with Davis and this administration. They're bringing corruption to an unseen level here.
Posted by: enoughalready | May 24, 2009 at 10:04 AM
I'm shocked.
Posted by: Dick Strongbridge | May 24, 2009 at 10:50 AM
I read your article in the Sunday paper and felt the need to comment. I thought it was a great story and emphasized the facts that outline critical problems within the governments financial dealings. I am completely blown away by the lack of regulation to have qualified individuals that meet the educational requirements and experience of the positions they hold. Especially in a position that deals with city finances.
Posted by: Chris | May 24, 2009 at 10:52 AM
Great piece of journalism. Deserves the front page.
It's really the Michelle Barron story. And not unique through the years. Having dealt with similar situations of appointed people, as Michelle Barron, they have a sentiment of society "owing" them because "others got theirs."
But who is the donkey? Mayor Byron Brown is the latest Mayor to have have many tails pinned to him. But the News seems to say his budget is under control. As an outside businessman, I keep adding up the figures, and they tell me to keep my business out of Buffalo.
Posted by: Chris | May 24, 2009 at 11:07 AM
I was very upset when I read the article about Leonard Stokes! This city needs so much help and one of way to help is not another restaurant. I have 30 years experience in the restaurant business and tried to get a loan and could not, I am also a minority I am a women. I also wanted to purchase a large home and take in Foster children because of the need for all the children in crisis and no help. Our city and children could have used that money spent on stokes in many other ways. The people responsible for this including Ms. Barron will get just a little slap on the wrist.
Posted by: Mary Lou Privitera | May 24, 2009 at 11:22 AM
Its infuriating to read this type of story.....the sense of entitlement that Leonard Stokes exhibits when commenting on his "business failure" - it is so obvious - its filled with arrogance and lack of a feeling of responsibility for the conspiracy of lies that resulted in the State of New York being cheated out of Sales Taxes - already struggling vendors not being paid for for their supplies, employees not being paid and other - more deserving businesses- being denied IDA and other grant/loan money. His statement sounds like hes ready to do it all over again.
The Federal Govt and the NY State govt should be investigating and prosecuting those involved in the major irregulaties perpetrated by those involved in this fiasco.
Mayor Brown , Brian Davis and others have corrupted a system to help real businesses and they should be held accountable
Posted by: Robert Wendt | May 24, 2009 at 11:28 AM
How much more do people need to read about this bumbling fool of a mayor and his crew of incompetents ? He lets Casey force qualified people out if they don't drink the company Koolaid. Mickey Mouse could run a more efficient regime. I'll settle for Mickey Kearns.
Posted by: Ben Rathburn | May 24, 2009 at 11:35 AM
The City has been without a director of OSP for over a year now. The Mayor is required to hire one by charter. But, he refuses to. The OSP director also has a seat on BERC and is there to block this kind of behavior.
Where is the investigation, when will the City function under its charter?
Posted by: Watchdog | May 24, 2009 at 12:00 PM
This is--or used to be--a Democratic country with very clear lines between church and state and business and government. In Buffalo we're making a slow and corrupt transition into a Socialist state with all of its underhandedness and corruption.
The Common Council and mayor have no right spending money to finance a private business, especially when Stokes was already denied a business loan. Wake up and smell the coffee!
Nepotism is bad enough, padding the government with workers who don't have a clue as to what they're doing and are an added burden on the taxpayers. But this? Directly stealing money to give to a PRIVATE and risky business?
Will the feds investigate this and make arrests or will they and everyone continue to say Buffalo isn't corrupt, it just has problems with ethics??
That $30,000 anti-poverty money could have helped the homeless or the hungry.
Posted by: PJ | May 24, 2009 at 12:23 PM
I am disgusted that lazy idiots like Michelle M. Barron get high-paying jobs when they can't even pay their own bills. She is making $76K a year and has a nearly free home coming to here (thanks to grants which is taxpayer money). What is going on with her? Gambeling? Drug problem? Why was she working at that restaurant? Who was running the agency she was suppose to be running? Was she "clocking in" at work but really at that restaurant decorating the toilets or whatever?
She should be fired and order to pay back the salary that she obviously did not earn. What she committed was fraud.
Posted by: Sally Mae | May 24, 2009 at 12:32 PM
Why is anyone surprised at this??? You allow Gov't at all levels to "invest" in dreamy "development" projects, and it WILL be wasted. From Buffalo all the way up to Obama's "stimulus" that is giving billions to the criminals in ACORN, to hire more "community organizers."
Stop being such DUPES, voters!
Posted by: pgr88 | May 24, 2009 at 12:41 PM
I find it interesting that you have not published my comment posted much earlier; perhaps it was too constructive for the Buffalo News?
Posted by: Appalled by What I See | May 24, 2009 at 12:52 PM
The IDA spending habits are the same in almost every City/Town.
They are directed by "Political" insiders to again use tax dollars to feed those close to the Admin.
Lancasters IDA used Millions to buy a building from a IDA Board Member. The building was over valued and basicaly still sits empty for years.
- They did it years ago with the old Boccees building - this time financing it for local insiders who now get paid to operate the facility.
When will law enforcement look at these insider deals - well maybe now that re-election time is coming ! ?
Posted by: my2cents | May 24, 2009 at 12:53 PM
Why would Brian Davis use money for his district to help a business in another district? Why would he write (and bounce) a personal check to cover the rent at One Sunset? What is the relationship between Brian Davis and Leonard Stokes?
http://eagercolin.wordpress.com/2009/05/24/brian-davis-leonard-stokes-and-the-failure-of-one-sunset/
Posted by: Colin | May 24, 2009 at 01:57 PM
DA or FBI or U.S. Attorney. Are you going to do anything or sit on your bum?
Posted by: mr,justice | May 24, 2009 at 02:27 PM
Yahoo!
Posted by: Gerry | May 24, 2009 at 02:34 PM
There is a pink elephant in the room that no one will mention for fear of being labeled a racist.
Posted by: Aaron | May 24, 2009 at 02:56 PM
Aaron no one will call you a racist, just say it.
Posted by: mr,justice | May 24, 2009 at 03:03 PM
I really doubt that any of this is about race. Does Brian Davis write personal checks to cover the rent for every black businessperson he meets? I doubt it. This all seems unusually personal -- from Davis writing the check to Barron decorating the bathrooms.
http://eagercolin.wordpress.com/2009/05/24/brian-davis-leonard-stokes-and-the-failure-of-one-sunset/
Posted by: Colin | May 24, 2009 at 03:54 PM
That is true.
Posted by: mr,justice | May 24, 2009 at 04:00 PM
It would be nice if the DA or FBI or U.S. Attorney looked into this. But, my bet is that the Senate local government committee will be the ones to get to the bottom of this matter.
Buffalo: "Safer and Stronger"
Posted by: Kenmore Bill | May 24, 2009 at 04:10 PM