Officials say Dayton not part of FBI’s Redflex probe

A federal investigation that focused on Ohio politicians who allegedly received bribes for helping a traffic-ticket camera company secure contracts hasn’t driven up in Dayton, city officials said.

Some city commissioners and city administrators said they were surprised to learn over the weekend that a former chief executive officer for RedFlex Traffic Systems pleaded guilty to an eight-year bribery and fraud scheme.

“I was stunned,” Dayton city commissioner Matt Joseph said. “It’s disappointing there are people like that in the world.”

Likewise, commissioner Joey Williams said he hadn’t heard of a probe in Dayton related to the cameras.

“I have no reason to believe anybody is doing that,” he said. “I have heard nothing directly or indirectly.”

Similarly in Springfield, Law Director Jerry Strozdas said he’s received no inquiries from federal investigators related to the Redflex contract with the city. The contract began in 2006.

The former RedFlex executive, Karen L. Finley, 55, of Cave Creek, Arizona, pleaded guilty to one count of conspiracy to commit federal programs bribery and honest services wire and mail fraud. The Federal Bureau of Investigation probe also involved unnamed individuals in Cincinnati and Columbus, the FBI said.

City of Dayton spokeswoman Toni Bankston said the city has not received any federal subpoenas related to the probe.

The investigation is ongoing, said Justice Department spokeswoman Nicole A. Navas. She declined to provide details.

Asked whether the investigation involved other southwest Ohio communities that use the cameras, including Dayton and Springfield, Navas declined comment.

“We wouldn’t comment on specifics of an ongoing investigation,” she said.

The ticket cameras began to appear in area cities in 2006. Dayton’s program was approved by the commission in 2002.

The cameras are still issuing tickets in Akron, Dayton and Toledo. Those cities have challenged a state law requiring a police officer be present when cameras are operational. The case is scheduled for oral arguments in the Second District Court of Appeals in Dayton on July 28.

The cameras are still recording violations in Trotwood, Springfield, West Carrollton, Hamilton and Middletown, but motorists in those cities are not being fined for infractions caught on camera.

In 2014, the cameras brought in $2.5 million for the six communities in the Dayton region that used them. Dayton, with more than 30 traffic cameras, saw $1.7 million in revenue.

According to Finley’s plea agreement obtained by the Dayton Daily News, various unnamed elected officials in both Cincinnati and Columbus received disbursements from a consultant hired by Redflex. The payments were in the form of campaign contributions. The Columbus Dispatch reported that one of the officials implicated is Columbus City Council president Andrew Ginther.

“The initial stories linking me to these acts were flat-out wrong,” Ginther said earlier this week. “This is not about me. It never has been about me and never will be about me.

“What is true is that, like others, I have been asked by the U.S. Attorney’s office to assist by gathering information that may be relevant and helpful to the investigation of Redflex.”

Columbus mayor Michael B. Coleman said in a statement that he is “confident that the Department complied with the appropriate laws, rules, regulations, and city policies.”

The Cincinnati Enquirer reported that former Cincinnati city council member Jeff Berding said he was cooperating with the probe.

The roots of the Redflex investigation appear to start in Chicago, where an October 2012 story in the Chicago Tribune disclosed what the newspaper called "a 2-year-old internal whistleblower memo written by an ousted Redflex vice president that detailed the alleged bribery scheme."

The Tribune said that when the story was published, Redflex was the favorite to win the contract for Mayor Rahm Emanuel’s speed camera program. Emanuel then banned Redflex from holding the contract.

Finley has pleaded not guilty in the Chicago federal case, where she is accused as part of a $2 million bribery scheme, funneling cash, lavish trips and an Arizona condominium to now-retired city transportation manager John Bills, according to the Tribune.

Redflex said it has ousted top executives in response to the federal investigation.

In a lawsuit, one former executive alleged that the company had a long practice of offering gifts and bribes in dozens of municipalities in 13 states. Those include California, Washington, Arizona, New Mexico, Texas, Colorado, Massachusetts, North Carolina, Florida, New Jersey, Tennessee, Virginia and Georgia.

Dayton city commissioner Jeffrey Mims acknowledged that the ticket camera issue is controversial, but he credits the devices with improving public safety.

“It’s not popular, of course, but it’s proven to be beneficial with reduction of speeding and traffic light violations,” Mims said.

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