- Following the indictment of former Elder Services Director Tom Clasby, Quincy’s mayor is implementing new financial control measures.
- Reforms include more frequent cash deposits, stricter receipt procedures, and annual audits of departmental cash flow.
- The city is also developing a “speak up” policy with an anonymous hotline for employees to report financial concerns.
QUINCY ‒ In the wake of the indictment of former Elder Services Director Tom Clasby on embezzlement charges, the administration of Mayor Thomas Koch is reforming how city departments handle cash and how city employees report suspicious activity.
“We’re tightening things up,” Koch told The Patriot Ledger, but cautioned that no policy is bulletproof. “At the end of the day, if someone wants to be devious, … they can probably accomplish a little of that until they get caught.”
Clasby was indicted in federal court Jan. 9. The indictment alleges he robbed Quincy’s Elder Services department by stealing cash and falsifying purchase orders for personal expenses – such as steak tips, a painting of himself and hours singing in a recording studio.
The charges allege Clasby pocketed at least $120,000 in cash, goods and services.
City Council ordered a ‘comprehensive review’ of purchasing and accounting
At its Jan. 21 meeting, Quincy City Council ordered a “comprehensive review” of the city’s purchasing and accounting protocols. The order, introduced by Council President Ian Cain, states a “need for robust safeguards to prevent such a breach of trust in the future.”
Chris Walker, the mayor’s chief of staff, said he agreed with the order’s “sentiment” and some control measures had already been implemented.
“There’s a good story here about how the city has handled this to date,” Walker said. “Largely, the public can have great confidence in the financial controls around the city.”
Reforms to cash management
A number of reforms to the way the city handles cash went into effect Oct. 1, 2024, according to policy documents. They include the following:
- Departments now turn over cash and checks to the treasurer whenever daily receipts reach or exceed $500. Previously, departments accumulated larger sums before depositing money with the treasurer.
- The city’s treasurer will conduct site visits at least annually to each department to audit cash flow procedures. These visits can be unannounced.
- Separate people will be responsible for receiving cash and endorsing checks, recording payments, turning receipts over to the treasurer and depositing cash and checks.
- Staff at the treasurer’s office receiving cash will review receipts for accuracy in the presence of the department employee making the deposit, and both will sign off on the transaction.
- Department employees will check cash drawers daily.
Director of Municipal Finance Eric Mason said the goal is to “maintain a visual on cash at all times” and ensure that all employees understand the full chain of custody of cash or checks received by the city.
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Charges say Clasby stole at least $57K in cash over 3 years
When COVID-19 hit, virtually all of Elder Services’ senior programming and cash transactions ceased until June 2021, when the Kennedy Center, where Elder Services is headquartered, reopened, the indictment says.
Between June 2021 and April 2024, when Clasby was barred from the building and put on leave, he “stole most if not all of the cash receipts” from programming such as yoga and the Kennedy Center’s café, according to the indictment – all without detection.
“(Clasby) failed to remit any of the cash receipts to the Treasurer-Collector’s Office for deposit … ,” the indictment says.
During this period, the Kennedy Center also received checks and cash payments for transportation services. The indictment mentions no tampering with cash receipts related to transportation.
Clasby stole at least $57,000 in cash from “Kennedy Center offerings” and an “unknown amount of cash from the Kennedy Center cafe,” the indictment says.
City drafting a new ‘speak up’ policy to empower whistleblowers
Mason told The Patriot Ledger that the city is drafting a “speak up” policy to empower whistleblowers who notice possible misallocation or mishandling of funds.
The initiative would include an independent hotline that city employees could call to voice their concerns anonymously.
“There has to be a large gap of insulation between the individual (making the call) and someone like me who would be in charge of the investigation, so the worker feels protected,” Mason said.
Fear of embarrassment – if their suspicions prove unsubstantiated – can discourage employees from blowing the whistle as much as fear of retaliation, Mason said.
The independent firm tasked with running the hotline would also have the financial competency and authority to investigate claims, Mason said.
City officials have already met with a qualified firm, according to Mason. He said he couldn’t discuss details because the policy is still in draft, but he described the company as a “nationally reputable firm.”
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Reach Peter Blandino at [email protected].
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