Following the exposure of an where cardboard and paper were exchanged for under-the-counter cash payments, the Town of Smithtown is seeking to terminate its contract with Jody Enterprises and press charges against the company.
The town is also set to take legal action against its surety, Platte River Insurance Company.
"I think that everyone in town here was shocked that this was occurring," said Smithtown's Town Supervisor Vecchio. "That's why we're moving so forcibly today against the violations."
According to Suffolk County District Attorney Thomas Spota, Jody Enterprises managerial employees William Stegemann, 55, of Lindenhurst, and Michael Dalessandro, 43, of East Patchogue, , but delivered the cardboard and paper for under-the-counter cash payments to Joseph DeMatteo, 72, the owner and operator of DeMatteo Salvage in West Babylon.
The decision to pursue legal action was announced via agenda resolutions at Tuesday's town board meeting.
The town board approved resolutions to appoint a hearing officer to pursue the termination of the contract with Jody Enterprises, to prepare charges for the revocation of the carting license issued to the company, and to start the process to take legal action against both Jody Enterprises and Platte River Insurance Company on Tuesday.
Vecchio said the decision for the town to take legal action against the company was the result of a meeting between Department of Public Safety Chief John Valentine, Environmental Protection Director Russell Barnett and Town Attorney John Zollo.
The town supervisor also said he believes this is the appropriate action to take against Jody Enterprises. The carting company is in its sixth year of a seven-year contract with the town.
Vecchio was not able to say when the legal proceedings would begin. Zollo was unavailable for comment by time of publication.
Spota said Aug. 22 that Jody Enterprises could have from the Town of Smithtown.
Associate Regional Editor Ryan Bonner and Commack Patch Editor Sara Walsh contributed to this story.