The Niagara County District Attorney's office is looking into allegations made by current and former board and committee members of September's Third Street festival concerning financial irregularities on the part of the organization's chairman, former city councilman Michael Gawel.
"We're aware of the situation and would encourage anyone with any information to contact us," District Attorney Matthew J. Murphy told the Reporter.
Gawel is no stranger to the criminal justice system, having been arrested on at least five occasions over the past decade.
The most serious arrest stemmed from his June 1993 indictment on federal charges of money laundering, tax evasion and conspiracy, charges which led to his serving five months of a 17-month sentence at the McKean, Pa., federal penitentiary during 1995 and 1996. Following his release, Gawel served three years on parole, records show.
While awaiting trial in November 1994, Gawel was arrested by the FBI on witness intimidation charges and, in October 1994, he was picked up by Niagara Falls police and charged with drunk driving and leaving the scene of an accident.
Gawel, who had been an attorney and accountant prior to the federal indictment, was disbarred and lost his accounting certification.
More recently, in April 1997, he was picked up by city police on another drunk driving charge and, in March of that year, Gawel was arrested for harassment, obstructing governmental administration and endangering the welfare of a child following a domestic incident at his 84th Street home.
In a bizarre twist to that incident, Gawel attempted to elude police officers by leaping out of a second-story window and was captured while hiding in some bushes three doors away, records show.
The Third Street festival -- dubbed the Niagara Wine, Food and Music Festival -- was a smashing success, bringing thousands of people to the city's South End. As chairman, Gawel told members of the board and the volunteer committee he had obtained a sponsorship deal with Pepsi Cola. In return for an exclusivity agreement, Gawel said, Pepsi would fund the event to the tune of $1,000 and provide three television sets that could be given away as raffle prizes.
Neither the television sets or the money ever materialized, and the board members later learned that Pepsi officials informed Gawel weeks before the event that they wouldn't be participating. Gawel had run the exclusive Pepsi concession on his own.
Board Treasurer Frank Smith said Gawel told him verbally that he would resign as chairman after the Pepsi situation came to light. When Gawel failed to do so, Smith himself sent a letter of resignation.
Also distancing themselves from the festival committee were Steve D'Anna, who recently won election as county legislator in the First District, and his wife, Nicole D'Anna, who serves as an assistant district attorney.
Late last week, after Gawel learned of the planned Reporter article on the situation, he sent out a memo to the D'Annas and others associated with the festival advising them of a meeting to be held Wednesday, Dec. 10, to plan on events for the coming year.
On Saturday, a spokesman for Gawel said the ex-councilman would submit a written statement concerning the current allegations. As of press time, the statement had not materialized.
| Niagara Falls Reporter | www.niagarafallsreporter.com | December 9 2003 |