On the date of November 13, legal action was instigated by the Mashpee Wampanoag Tribe along with two associated parties, Louis Catarina of Greenville, Rhode Island, and Constantinos Mitrokostas, native to Mashpee. The trio lodged a civil lawsuit against the tribe’s ex-chairman, Cedric Cromwell.
As per the lawsuit, the Massachusetts-based tribe and its two affiliates claim to have suffered significant financial loss arising from Cromwell’s federal indictment in 2020. The indictment was linked with the tribe’s plans for constructing a Taunton resort and casino named the First Light Resort and Casino.
The lawsuit was put forward in Massachusetts’ Barnstable County Superior Court under seven distinct charges. These included accusations of honest services fraud, breach of fiduciary duty, civic conspiracy, and fraudulent concealment.
Interruption of Business Operations and Financial Repercussions
As of May 2022, the former tribal chairman was declared guilty on three counts of extortion under color of official right, two counts of accepting a bribe in the capacity of an Indian tribal government agent, and one count of conspiracy to commit extortion. The adjudged punishment was a prison term spanning 36 months.
In addition to this, he was also instructed to remit a fine totaling $25,000 and a $200 special assessment, as well as a restitution amount of $250,000 by January 9.
Due to the aforementioned indictment, the plaintiffs were forced to halt their business operations, leading to a string of resultant expenses. Furthermore, they endeavored to secure alternative financing sources in wake of the reputational damage caused by the indictment.
The plaintiffs, constituting the tribe and the Mashpee Wampanoag Village Limited Partnership as well as the Mashpee Wampanoag Gaming Authority, are now seeking financial redress of an undetermined sum, along with applicable interest and costs.
Claims of Money Laundering and Diverting Payments
The green signal for the construction of the billion-dollar Taunton resort and casino complex was given by the Mashpee Wampanoag tribe back in 2012, during Cromwell’s term as chairman.
In September 2015, the Mashpee tribe designated 321 acres of land to the federal trust and collaborated with Genting for executing the project.
As per the allegations in the lawsuit, under Cromwell’s guidance, Catarina and Mitrokostas channeled payments from third parties seeking to do business with the plaintiffs into accounts under the chairman’s control.
As per the plaintiffs’ assertions, Cromwell exploited his position as chairman and president of the Gaming Authority to solicit monetary gain from others by offering access to the tribe’s top echelons.
Court papers allege Mitrokostas played a role in facilitating Cromwell’s access selling by aiding the channeling of funds through CM International and several other entities, with Mitrokostas being the only member with total control over CM International Consulting, LLC.
Catarina, purportedly acting as an agent for the chairman, facilitated interested parties in securing access by instructing them on the payment and access acquisition process.
Pending Review of Cromwell’s Appeal in Federal Court
The tribe’s members elected Cromwell as chairman in 2009 and retained him in the same position in 2013 and 2017. Cromwell was entrusted with overseeing all tribal council meetings, performing standard chairperson responsibilities, acting as the spokesperson for the tribe, and managing public relations.
Federal prosecutors claim that Cromwell misused the First Light casino project for his personal gain, allegedly receiving a $10,000 cash bribe, a Bowflex Revolution home gym, and a ”luxury weekend stay at a Boston hotel in May 2017”, in return for a $5 million design contract awarded to architect David DeQuattro.
Cromwell proceeded to contest his 2022 imprisonment verdict in January 2023. His case is currently under consideration by the U.S. Court of Appeals for the First Circuit, based on court documents and information provided by the U.S. Attorney’s Office. Pending the review of his appeal, Cromwell was provided bail.
