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GBI investigating companies accused of billing Macon-Bibb Industrial Authority for work that wasn't done

The GBI says allegations were made that work was not completed, but the companies were paid as if it had been finished

MACON, Ga. — Editor's Note: The video in this story is from previous coverage in May 2018 from a story titled 'Missing documents causes concern among Bibb County Industrial Authority, following misused funds.'

The GBI is now investigating three companies used to complete work for the Macon-Bibb Industry Authority.

According to a news release, Attorney General Chris Carr requested that the GBI office in Perry investigate claims of theft, forgery and false statements involving the industrial authority on March 2.

Currently, the primary focus of the investigation is on three companies that did work for the industrial authority: Armstead Management, Integrated Technology Consulting, and New Age Concepts and Consulting.

The GBI says the allegations are that the work was not done, but invoices were submitted and money was paid to the companies reflecting that it was completed.

Macon mayoral candidate Cliffard Whitby released a statement in response to the GBI's investigation:

"As a man who has been fully vindicated of all federal charges as you have already stated in your recent article, I reiterate, that I and my family are pleased to have gone through the judicial process of these United States, had all of the evidence presented and come out fully vindicated.  Anyone who ever attempts to do anything of substance will always have enemies.  In this current political environment, it does not surprise me that after three years some would choose to bring up these old allegations at the Industrial Authority that were fully reviewed previously.  To be brief, I stand on the work and achievements that were made under my leadership while at the Industrial Authority.   

As you know, my platform is on Equity, Balance and Fair-play and this is what this boils down down to.  I trust that the citizens of Macon-Bibb can see this for what it is - a politically motivated attack.   My focus however, is on the real issues of this community which continues to suffer from economic disparities, blight, substandard education, crime and other issues, and on creating a plan that can spur economic growth and prosperity for all of our community.   For me, failure to do so is not an option."

PREVIOUS COVERAGE

The Macon-Bibb Industrial Authority has been going back and forth with the companies trying to get their money back for several years.

In 2017 and early 2018, the authority sent letters, demanding payment, to an Atlanta company, Armstead Management; and W.M. Construction of Macon; and New Age Concept and Consulting of Macon.

Those letters and other documents allege that the companies billed the authority for a total of $1,954,749 for work that was never done -- in some cases, on buildings that didn't exist.

The billing happened between 2015 and 2017, and the industrial authority says problems came to a head in 2017 due to audits.

In April 2018, they blamed the bogus billing on their former chairman, Cliffard Whitby.

Many of the invoices -- like the ones for $97,000 in payments for demolition of a building that was never demolished -- were apparently authorized by Whitby and marked "Approved -- C.W."

In May 2018, the three companies responded with a lengthy letter saying the billing dispute was, at least in part, a misunderstanding based on the authority's system for numbering the buildings it owns.

The same letter also said that authority officials, including Whitby and others, were aware of what their contractors were doing and what they were getting paid for.

In July 2018, the industrial authority's lawyer, Kevin Brown, scoffed at the companies' defense.

"Your clients have offered falsehoods instead of facts to support that they did the work," he said.

He called the companies' explanation about mis-numbered buildings "incredulous and obviously fabricated."

In Sept. 2018, the lawyer for the three companies told the authority that his clients had not and will not be repaying the money. He also claimed to have not heard from the authority since that July.

It is an ongoing investigation and anyone with information can call the GBI’s Perry Office at 478-987-4545.

PREVIOUS COVERAGE

Missing documents causes concern among Bibb County Industrial Authority, following misused funds

Bibb industrial authority, contractors stalemated over $2 million billing dispute

Authority links $2 million bogus billing to former chairman Whitby

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