DA: Trio Arrested in Recycling Scheme That Ripped Off Smithtown

A recycling scheme that may have gone on for two years in the Smithtown area was dismantled this week, the Suffolk County District Attorney's Office announced late Wednesday night, and three people have been arrested for their involvement.

William A. Stegemann, 55, of Lindenhurst, and Michael Dalessandro, 43, of East Patchogue, are managerial employees at a Medford-based garbage carter and they were involved in the illegal sale of recyclable paper and cardboard collected at curbside from Smithtown homeowners, officials said. 

According to District Attorney Thomas Spota, Stegemann and Dalessandro, employed by Jody Enterprises Inc., were supposed to deliver the collected material to the Smithtown recycling plant, but they instead diverted the Smithtown cardboard and paper for under-the-counter cash payments from Joseph DeMatteo, 72, the owner and operator of DeMatteo Salvage in West Babylon. 

“We have evidence these suspects have been profiting at the expense of Smithtown taxpayers by depriving the town of recycling revenue for at least the past two years,” Spota said.

Jody Enterprises, which recently inked a 10-year trash collecting contract with the Town of Babylon, currently hauls trash for more than 30,000 homes in Brookhaven, Huntington, Islip and Smithtown.

All three men are charged with second degree grand larceny and they are due to be arraigned Thursday morning in First District Court in Central Islip. 

The DA's Office said it would release more information on the alleged crimes during a press conference Thursday afternoon. Stick with Patch for the latest.