Allegation of bribery sparks an investigation

The ex-state fire marshal official said he is being victimized by the repeated investigations.
By DAVID SKOLNICK
VINDICATOR POLITICS WRITER
YOUNGSTOWN -- The Ohio State Highway Patrol is conducting an investigation at the request of the state Department of Commerce into court testimony given by Bruce Zoldan's former attorney that the owner of B.J. Alan Fireworks bribed a state fire marshal.
The investigation was launched after officials with the Department of Commerce read a Vindicator article in which Jack Campbell said he saw Zoldan, his ex-boss, bribe Billy J. Phillips, chief of the fire marshal's inspection bureau, said Bill Teets, the department's spokesman. The Commerce Department oversees the fire marshal's division,
"When we see something like that, we're going to typically refer it on," Teets said. "We've referred it to the State Highway Patrol on the allegations we read."
Campbell made the statement while testifying in the federal case-fixing trial of two ex-Mahoning County prosecutor's employees. In a statement to the FBI, Campbell, who has been convicted of fixing cases, said that bribe occurred in 1992 or 1993.
"It's sad that based on Jack Campbell's testimony that innocent people have to be put through the scrutiny of an investigation," Zoldan said.
This is not the first investigation into the conduct of Phillips, who says Zoldan never bribed him.
Three investigations: Phillips said the OSHP investigated him three times, including once about his relationship with Zoldan. Also, the state inspector general investigated him once and he also was the subject of an internal investigation by the Department of Commerce.
The departmental allegations included exerting undue control and influence over another in the processing of a license application, unauthorized approval of variances to the state fire code, neglect of duty and unauthorized removal of state files.
Phillips was never charged by the OSHP, and he was exonerated after investigations by the inspector general and the Commerce Department.
But the state agency removed him from his position with the fire marshal in March 1995 and transferred him to the post of chief investigator of the Board of Building Standards, which is also under the authority of Commerce.
"I understand that when the department hears allegations like this, they have to take the appropriate action to research them out and refer them to the appropriate agencies. However, I feel like I have been victimized," Phillips said.
Phillips and Zoldan said Campbell has made these allegations against them for years.
"This stuff is old hat," Phillips said. "These allegations were completely investigated. In each and every one of those investigations, it came back no wrongdoing."
Defend relationship: Phillips and Zoldan said they had a strong professional relationship and even though Phillips no longer works for the state fire marshal, they still consider each other good friends. Phillips said Campbell's testimony that he took a bribe from Zoldan is false.
"My assumption is that Campbell in his dealings with the feds decided he would throw anybody and everybody he could into the mix and muddy the waters as much as he could," Phillips said.
Zoldan said Campbell fabricated stories about him and his business after being fired as his corporate and personal attorney when it was discovered that Campbell was having an affair with Zoldan's sister-in-law.
Zoldan said he gave small gifts to Phillips for his wedding and after the birth of two of his children, but those could not be construed as bribes.
"It was a professional relationship, and nothing will ever be proven that Billy Phillips did anything for me or my company in return for what Jack Campbell alleges were gifts of some type," Zoldan said.
The relationship between Zoldan and Phillips has been questioned before.
1997 lawsuit: Barbara Hess, who worked under Phillips as fire marshal supervisor, gave a sworn deposition in 1997 in a civil lawsuit related to an explosion at a B.J. Alan-owned fireworks store in Scottown in 1996 that left nine people dead. In that deposition, Hess said Zoldan threatened her sometime in the late 1980s with physical violence, in the presence of Phillips, if she did not help Zoldan obtain new fireworks licenses.
Phillips and Zoldan denied the threat occurred. The highway patrol did not file any charges after investigating.
"Ms. Hess is motivated by a lot of different factors," Phillips said. "Ms. Hess made some allegations during a deposition and the Ohio Highway Patrol did a thorough and complete investigation and came back that there were no facts to substantiate Ms. Hess' allegations."
Zoldan said he was eating with Phillips and Hess and others when someone -- not him -- may have jokingly made a threat toward Hess.
"It was a distortion on her part," Zoldan said of the allegation.
In the deposition, Hess acknowledged that her son-in-law was a bootlegger fireworks salesman and that Zoldan told her if she cooperated with him, he would allow her son-in-law to open a fireworks facility. Zoldan said he never made a deal with Hess.