Connecticut AG Settles with Former Owner of Waste Management Firm

Connecticut Attorney General George Jepsen has announced the settlement of an unfair trade practices and antitrust lawsuit against James Galante, the former owner of waste disposal companies operating in the Danbury, Ct., area.

Under terms of the settlement, the state received $600,000 to be distributed to an estimated 500 commercial customers of Galante’s former companies: Automated Waste Disposal Inc. (AWD) and Thomas Refuse Services Inc., both located in Danbury. The state sued Galante in 2009 for alleged violations of the Connecticut Unfair Trade Practices Act and the Connecticut Antitrust Act.

The lawsuit alleged that in 2002 and 2004, Galante ordered his employees at AWD and Thomas to raise prices by 10 percent for certain commercial customers under the false representation that they were mandatory increases for disposal-site costs. The lawsuit also alleged two incidents of bid-rigging by American Disposal Services of Connecticut, another Galante-owned company, in attempts to secure waste-hauling contracts.

According to a news release issued by the Connecticut Attorney General’s office, the settlement was timed to the federal government’s sale of these and other companies forfeited by Galante as part of his 2008 guilty plea to federal racketeering conspiracy, conspiracy to defraud the Internal Revenue Service and wire-fraud conspiracy for his role in orchestrating a scheme to drive up trash-removal prices.

To view the settlement, click here http://www.ct.gov/ag/lib/ag/press_releases/2011/socvgalante_stip.pdf