West Haven Lawmaker Charged In $630K Fraud Scheme: Feds

WEST HAVEN, CT — Connecticut State Rep. Michael DiMassa, of West Haven, is accused of defrauding the city out of more than $630,000, according to authorities.

DiMassa, 30, was arrested Wednesday on a federal complaint. He surrendered to law enforcement and appeared in federal court in New Haven. He was released on a $250,000 bond, according to officials.

DiMassa, a Democrat who represents the 116th District including parts of West Haven and New Haven, has also been employed by the city of West Haven for about 12 years and currently serves as the Administrative Assistant to the City Council.

He most recently served as Vice Chair of the Appropriations Committee and as a member of the Judiciary Committee and Executive & Legislative Nominations Committee in the Connecticut House of Representatives.

“In January 2021, DiMassa and another individual formed Compass Investment Group, LLC,” officials wrote in a news release. “Beginning in February 2021, Compass Investment Group LLC fraudulently billed the City of West Haven and its ‘COVID-19 Grant Department’ for consulting services purportedly provided to the West Haven Health Department that were not performed. From February 2021 through September 2021, the City of West Haven paid Compass Investment Group a total of $636,783.70.”

DiMassa is also accused of making several large cash withdrawals from the Compass Investment Group LLC bank account, some of which were made “shortly before or after he was recorded as having made a large cash ‘buy-in’ of gaming chips at the Mohegan Sun Casino,” the news release states.

DiMassa has been charged with wire fraud, which carries a maximum term of 20 years in prison.

The matter is being investigated by the Federal Bureau of Investigation and the U.S. Department of Housing and Urban Development – Office of Inspector General for Investigations.

West Haven Mayor Nancy R. Rossi issued a statement Wednesday night, commending the FBI on its "speedy investigation and arrest of Rep. Michael A. DiMassa."

"If Representative DiMassa broke the public’s trust and his oath to protect and serve his constituents and is found guilty of fraudulent activity, I am demanding that he and any other individual(s) involved be held accountable and prosecuted to the full extent of the law," Rossi said. "If convicted, all individuals involved should go to jail.

“As I stated when I found and reported this probable fraudulent activity, I will update our residents when information becomes available and when its release will not compromise the ongoing investigation.”

See also: ‘Suspicious’ Grant Spending Prompts Investigation In West Haven

House Republican Leader Vincent Candelora (R-86) released the following statement regarding DiMassa’s arrest:

“While I’m hopeful that the disturbing allegations against Representative DiMassa in West Haven are a one-off, this case should be a wakeup call to the governor and the public at large. A staggering amount of federal relief funds has flowed into Connecticut, and the governor has taken advantage of every opportunity to trumpet all the new programs and grants made possible by these funds and tout the overall positive impact this money can have on our state and its residents. But with such a large amount of federal money comes tremendous responsibility, and we’ve reached a critical juncture where it’s not only time for residents to demand accountability and look beyond the governor’s press releases, but for the governor himself to do his part to meet the public halfway and explain exactly how he’ll measure the success of his own initiatives and what his administration is doing to track whether funds provided to various entities are being used appropriately. Through his repeated requests to extend his emergency powers, the governor has made it clear that he wants to be in charge, but that responsibility also includes the obligation to reassure the public that he’ll settle for nothing less than absolute transparency in how these historic levels of federal funds are spent.”