Former Mayor Charles Moreau
From Wikipedia:
Central Falls is a city in Providence County, Rhode Island, United States. The population was 19,376 at the 2010 census. With an area of only 1.29 square miles (3.3 km2), it is the smallest and most densely populated city in the smallest state, and the thirty-second most densely populated incorporated place in the United States. Central Falls takes its name from a waterfall on the Blackstone River.
In May 2010, Central Falls went into receivership, then filed for bankruptcy August 1, 2011. As it is immediately north of Pawtucket, Rhode Island, one of the options under discussion is municipal merger.
Recent issues involving the mayor's office
On April 25, 2010, the Providence Journal Bulletin ran an article detailing rampant fraud and corruption by Mayor Charles D. Moreau, outlining no-bid contracts and kickbacks from a high school friend, who was granted almost $2,000,000 in overpriced property boarding fees. The article further states that the same friend gifted him a $6,875 furnace for his own home for only $6000, which Moreau said he paid 'in cash'. The friend in question, Michael G. Bouthillette, was a campaign contributor to Moreau's multiple re-election campaigns. These allegations and others are currently being investigated by the Rhode Island State Police.
Insolvency of municipal government
Financial straits of the city government of Central Falls have worsened in the past decade as pensions and pensioneer health insurance for city employees have accumulated to the extent that the city government has been in receivership since it declared insolvency in May 2010.
On August 1, 2011 Central Falls filed for bankruptcy under Chapter 9, Title 11 of the United States Code. It made the filing as it grappled with an $80 million unfunded pension and retiree health benefit liability that is over five times its annual budget of $17 million.
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