A federal grand jury is investigating town finances in Oberlin. The grand jury meets Tuesday in Lafayette, when city officials are to furnish bank records and other information.

The police chief says the probe may involve the town’s handling of federal grants:

Over recent years, Oberlin seems to have been plagued with financial difficulties. At one point some businesses refused to provide gas on credit for police cars.

But now, federal investigators are interested in Oberlin finances.

A subpoena served on town officials requires them to provide financial and bank records and any other information from January 2017 to this June. They must bring them to Lafayette Tuesday, where a federal grand jury is meeting.

Oberlin Police Chief Grady Haynes says he understands it may deal with the town’s handling of federal grant money:

“That’s what the federal investigators were checking into. We had a water system and sewer system projects that were going on. And it’s something about being mismanaged,” said Haynes.

Haynes says there are other allegations– such as city employee’s deductions for health insurance not being used to pay premiums. He says that came to light when a worker was injured.

“He went to the emergency room and that’s when he discovered that his benefits were not covered,” said Haynes.

Haynes says there are also allegations of special treatment and financial compensation for some employees.

Employees are complaining about certain people that were receiving extra checks for doing the same jobs that they do also.

And Haynes says it was discovered bills were not being paid.

“They hired a new clerk and once she got in here she discovered about $80,000 in unpaid bills,” said Haynes, who believes most of the bills have now been paid.

And there are more allegations.

Oberlin Mayor Joseph “Moochie” Manuel declined to appear on camera. But he said on the phone that “they haven’t done anything wrong.” He reserves further comment until the investigation is over.

Federal grand jury proceedings are secret. No word as to how long the investigation may go on.

https://www.kplctv.com/2019/06/28/oberlin-bank-financial-records-subpoenaed-federal-grand-jury-june/