Gary Bess

Rip Off

Judges in Paradise: Headquarters of Global Security Service near Festus, which is also the residence of the owner of the business — Judge Ed Page, and his wife, Judge Lisa Pagano Page.

Global Security Service — a company founded by convicted murderer William N. Pagano — overcharged the St. Louis Parks Department $285,000 over a period of years, but when the jig was finally up, the feds refused to prosecute. Instead, they claimed the politically-connected firm had been duped. 

The swindle continued undetected for several years, with the co-conspirators funneling misappropriated funds in monthly installments to a dummy corporation located in a South St. Louis County strip mall. Gradually, the pilfering added up to hundreds of thousands of dollars. The majority of the graft involved a city contractor with a checkered history — Global Security Service. But a federal probe concluded that the firm itself was an unwitting victim in the scam.

The St. Louis Post-Dispatch, Dec. 6, 2013.

Two  St. Louis Parks Department officials pleaded guilty to the crime in 2013 and received light prison sentences. In addition to Global Security, two other city contractors avoided prosecution. 

Appearing before Judge Carol E. Jackson at the sentencing of one of the defendants, Assistant U.S. Attorney Hal Goldsmith absolved Global Security and the other vendors of complicity in the scheme, saying “we believe they were duped.” The embezzlement by the high-ranking city employees netted a total of nearly $500,000 from the St. Louis Parks Department. $285,000 of that amount was due to the creative accounting methods of Global Security.

Global Security is owned by Jefferson County Associate Circuit Court Judge Edward L. Page, who took control of the business in 1992, after his father-in-law. William N. Pagano, was charged with murder. Page is married to Pagano’s daughter, Lisa Pagano Page. William Pagano founded Global Security in 1987, while serving as the Festus, Mo. police chief. In 1991, Pagano was charged with homicide in the shooting death of  Mark Todd, a top lieutenant in Pagano’s private security guard service. Pagano was convicted of the crime, but never served time because he committed suicide in 1994, after his appeals efforts had been exhausted.

Jefferson County Associate Circuit Court Judge Ed Page, the late William Pagano’s son-in-law and current president of Global Security Service.

Pagano’s tragic death did not thwart the growth of the company he founded, however. Under his son-in-law’s ownership, Global Security thrived, and mushroomed into one of the largest private security services in the Midwest. Between 2009 and 2013, the company raked in more than $2 million from its city contract alone, providing guard services to the train station, bus depot, Soldiers Memorial and other city-owned sites.

The deal with the city started going sideways when Global Security became involved in the scheme hatched by Deputy Parks Commissioner Joseph Vacca and chief park ranger Thomas “Dan” Stritzel to embezzle city funds under the guise of acquiring additional equipment not provided for in the city budget, according to the federal indictments. The ruse continued for years, with Global Security overcharging the city and funneling the excess money to Dynamic Management Group, a dummy corporation set up by David Michael Goetz, a friend and business associate of Stritzel. But Goldsmith, the federal prosecutor, argued in 2013 that Global Security was an unwitting participant, and, therefore, not complicit.

Then-St. Louis Parks Department Commissioner Gary Bess admitted no foreknowledge of wrongdoing and apologized for the actions of his subordinates. A  little more than a year late, in January 2015, he retired from his long-held city position, and was immediately appointed director of the St. Louis County Parks Department by newly elected St. Louis County Executive Stenger.  Bess resigned his county post last month in the wake of the ouster of Stenger, who pleaded guilty to unrelated federal corruption charges.

Page was recently elected on the Republican ticket as an Associate Circuit Court Judge in Jefferson County. Jefferson County unlike the city of St. Louis and St. Louis County is not bound by the non-partisan court plan. Page’s  wife is a jurist of higher standing. Lisa Page, the daughter of the late William N. Pagano, was appointed to the Missouri Court of Appeals by then-Gov. Jay Nixon, a Democrat, in December 2015.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The Mafia and Rex Sinquefield

In his bid to privatize the St. Louis airport, billionaire Rex Sinquefield jumped in bed with a consultant with mob ties, according to the feds.

Jeff Aboussie, a consultant connected to billionaire Rex Sinquefield’s scheme to privatize Lambert International Airport, has Mafia ties dating back to the 1980s, STLReporter has learned.

Aboussie’s Mafia connections are referenced in background information included in a 1988 federal appeals court ruling on a case involving convicted racketeer Sorkis Webbe Jr., a criminal associate of Aboussie’s.

Nov. 25, 1983 St. Louis Post-Dispatch

The  information is contained in an Eighth Circuit Court of Appeals ruling and is based on an FBI wiretap that captured conversations in which Aboussie discussed efforts to track down a rival gang member during a protracted turf war between competing factions of the St. Louis underworld in the early 1980s. The background in the appeals court decision names Aboussie as being associated with a Kansas City, Missouri organized crime family. The appeals court ruling goes on to say that Aboussie provided support to one of side of the gang war by “contacting the Denver and Chicago crime families.”

Aboussie, who now resides in the affluent suburban town of Wildwood, is the former head of the St. Louis Building and Constructions Trades Council. Prior to heading the council, he was affiliated with Operating Engineers Union Local 513. Aboussie resigned from the St. Louis Airport Commission in 2016 to form Regional Strategies, a consulting firm connected to Grow Missouri,  the non-profit corporation formed by Sinquefield to push the billionaire’s plan to privatize the city-owned airport. Aboussie was appointed to the commission by former St. Louis County Executive Steve Stenger in 2015. Stenger resigned last month and pleaded guilty to federal corruption charges. 

 Webbe — Aboussie’s past partner in crime —  played a pivotal role in the federal sting that ultimately brought down Stenger, introducing the politician to shady businessman John Rallo and also attending a meeting with Stenger and St. Louis Economic Development Partnership CEO Sheila Sweeney. Stenger and Sweeney pleaded guilty earlier this month for their roles in the pay-to-play scheme. Rallo pleaded not guilty to the same charges. Webbe was not charged. 

In 1983, Webbe and Aboussie were implicated by the feds in a conspiracy to harbor a fugitive wanted for participating in a series of gangland car-bombings here. The feds indicted Aboussie for lying to a federal grand jury about the plot. 

Aboussie later pleaded guilty to insurance fraud in a separate federal criminal case and received a six month sentence and five years probation. As a part of the same 1985 plea deal, the feds dropped the perjury charges. The full terms of the plea deal remain unknown.

In the current investigation, the U.S. attorney’s office here subpoenaed the personnel records of Lou Aboussie, Jeff Aboussie’s first cousin. Lou Aboussie was hired by Stenger in 2015 at an annual salary of more than $75,000. At the time of his resignation earlier this year, he was listed as working for the County Parks Department, then-headed by Gary Bess, another Stenger appointee who also quit in the shakeup of County government that took place in the wake of the federal indictments of Stenger and his accomplices. Lou Aboussie was formerly an aide to U.S . Rep. Lacy Clay.