WARREN Review of water records to start

FBI agents and city police have been investigating the department for about a year. No arrests have been made.
By PEGGY SINKOVICH andDENISE DICK
VINDICATOR TRUMBULL STAFF
WARREN -- A special prosecutor has been asked to review city water department records to determine if any criminal charges should be filed.
Atty. Bob Johnson, a Girard city prosecutor, was asked last week by Warren's law department to review a criminal investigation.
FBI agents and city police have been investigating the department for about a year. No arrests have been made.
"I met with the lead detective, Jeff Hoolihan, about six weeks ago, and he said at that time the investigation would be wrapped up in two weeks, so I'm not sure what is going on," Mayor Hank Angelo said.
Johnson could not be reached.
Allegations in audit
In June, the state auditor's office issued a finding for recovery of $26,036 against Debra Dunewood, the water department's former head cashier. She has not been charged with a crime. She was approved for a disability retirement Feb. 13, 2001.
Authorities have said they are investigating whether a possible scam to divert funds was under way at the water department.
Dunewood sometimes delayed depositing money, according to the audit. That shows & quot;a potential lapping scheme & quot; to divert cash and delay deposits until & quot;sufficient subsequent receipts are accumulated to cover the amount diverted, & quot; the audit says.
Water office manager Richard Griffing was suspended without pay for a few days after being found guilty of gross neglect of duty, dishonesty and nonfeasance regarding the missing money.
He has not been criminally charged.
He is responsible for overseeing collections and deposits and enforcing a policy that money is to be deposited within 24 hours. The city determined he did not enforce that rule between April 3 and May 1.
His brother, city auditor David Griffing, said police were at his office two weeks ago and took additional records.
David Griffing said he did not talk to the officers but detectives did talk to a few members of his staff.
Police confirmed the confiscation of water department revenue receipts.
The investigation is not the only shake-up at the department.
Longtime director Manuel Michelakis retired in February. Michelakis, who was the department director for 16 years, went on sick leave in November, his personnel record states.
The file does not state the nature of his illness.
sinkovich@vindy.comdick@vindy.com