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Tuesday
Apr 13th

Sandra Bielanski of Hillsborough pleads guilty in $1.1 million overbilling, bribery scam

The former sales director of OSI Collection Services Inc., a state contractor hired to collect unpaid taxes, pleaded guilty Monday to offering an illegal gift to a state official and concealing the fact that the firm was overbilling the state by at least $1.1 million.

Sandra Bielanski, 43, of Hillsborough, pleaded guilty to a charge of offering an unlawful benefit to a public servant for official behavior before state Superior Court Judge Robert C. Billmeier, state Criminal Justice Director Stephen J. Taylor said.

That charge was contained in an Aug. 10, 2006 state grand jury indictment obtained by the state Division of Criminal Justice Corruption Bureau. She also pleaded guilty to an accusation charging her with tampering with public records or information. Both are third-degree crimes.

Under the plea agreement, the state will recommend that Bielanski be sentenced to 364 days in the county jail as a condition of a term of probation to be set by the judge. She must agree to a consent order barring her from doing business with any public agency for five years, and may face a criminal fine of up to $30,000.

Billmeier scheduled sentencing for Sept. 8.

In pleading guilty, Bielanski admitted that she arranged a night in New York City at the expense of her company for Robert Thompson, the former director of the state Division of Taxation, and Thompson's wife on Sept. 22, 2004. The excursion, which included limo service to the city, tickets to the Broadway musical "Wicked," and meals and drinks at two restaurants, cost OSI more than $2,450. Criminal charges are pending against Thompson, 61, of Hamilton.

Bielanski further admitted that she became aware that OSI was improperly billing the state, but took steps to conceal that fact from state officials. That is the basis for her guilty plea to tampering with public records.

Two other employees of OSI, Enos "George" Blake, 62, of Kendall Park, and Carol Labbe, 42, of Jackson, were indicted in connection with the improper bills. The charges against Blake and Labbe are pending.

The indictment against Blake and Labbe alleges that Blake, as the OSI vice president responsible for managing state projects, and Labbe, as his second in command, purposely submitted improper bills between 1999 and 2005 that caused the state to overpay OSI by $1,184,662.

OSI was contracted to collect unpaid income and business taxes. The contracts provided for OSI to bill the state on an hourly basis for work performed by employees who fit five defined job titles. In some cases, employees were identified with incorrect job titles that resulted in them being billed at a higher rate. In others, employees were billed who should not have been billed at all. Blake and Labbe were initially indicted in 2007, and were charged in a superseding indictment in 2008.

Bielanski was charged in 2006 indictment with Thompson and two deputy directors of the Division of Taxation: David M. Gavin, 57, of Titusville, and Harold E. Fox, 61, of Wall.

Charges are pending against Thompson, Gavin and Fox. They are charged with making discretionary decisions while under undisclosed conflicts of interest caused by their receipt of meals, entertainment, golf outings and other gifts from OSI. Thompson, Gavin and Fox are charged with second-degree official misconduct.

Deputy Attorneys General Thomas R. Clark and Steven J. Zweig are prosecuting the cases. The investigations were conducted and coordinated by Detective Benjamin Kukis and Deputy Attorneys General Clark and Zweig of the Division of Criminal Justice Corruption Bureau.

– TOM HESTER SR., NEWJERSEYNEWSROOM.COM

Last Updated ( Monday, 08 March 2010 17:14 )  
Comments (7)
7 Thursday, 08 April 2010 13:12
X-OSI employee
You call this justice?

Mrs. Bielanski was the marketing rep for OSI. She had NO POWER to do anything other than what she was directed. Don't you think it's ironic that NO OSI executive was indicted? That's because OSI paid the Jersey Justice department over $1,000,000.00 to keep their executive asses out of jail!

The CFO of OSI was the one who directed Bielanski to book the night out for the director and his wife!!! The CFO of OSI PAID for the evening on HIS credit card!!! He even went as far as to commit fraud by expensing the evening to "New Yoks Bank One" instead of Jersey Taxation. The Jersey Justice department KNOWS THIS!!!!!!

The Jersey Justice department is full of inept pieces of crap that are looking to enhance their future political careers. Simple as that!

Mrs. Bielanski didn't pay anyone off! There were NO favors done for anyone. There were NO bribes.... The real crooks got away because your wonderful Jersey justice department didn't want to cross state lines to go after the real crooks!

As for the billing back to the state, Bielanski had NO control over ANY of the billing issues! The justice department needed to have Bielanski cop a plea in order to go after all the others involved.

Simply put, the justice department ran this poor woman into the ground, took every penny she had to her name, raked her over the coals and now expect her to agree to their line of BS in order to prosecute the rest of those involved....

And to the ex OSI employee (Justice Served), Your ignorant to the facts and your name comes through in your post! You are a very petty person....
6 Wednesday, 07 April 2010 19:01
Tim Lowerre
You gentlemen will go after the easiest target as usual. Thats why John Corzine is done now. Seat belt and all....lol. I will assign my name to this because I know the character of the person I am defending. You have ruined a good womans life to advance your own career. To force this HONEST woman to do time is nothing short of an attempt to advance your own silly liitle careers. How much nepitism goes on in NJ? You have spent how much ruining this womans life? NY and I will defend her to the fullest and trust me, I will take it to court. Get your seatbelts on, boys.
Wow
5 Sunday, 14 March 2010 22:11
former client
....i'm surprised Bielanski got entangled in this - and managed to get the worst rap it seems..... / thought she'd be able to hire a decent attorney.....
My bet is... if Bielanski knew the billing department did anything wrong she couldnt resist telling anyone and everyone who would listen.....
4 Friday, 12 March 2010 14:06
Thrilled To Be Out Of OSI
It is amazing to me that all the heads of OSI were not even indicted. If an employee took out a client someone above that employee would have to ok it & sign off on the expense report. I guess when you have tons of money & sleep with the enemy u r protected. For Sandy to take the brunt of this is abhorrent. I am not saying she is not guilty, but other people should get at least sentenced & convicted if not get harsher sentences.Labbe & Blake were 2 of the worst peoole I have ever come across. I think they r perfect for each other actually.Hopefully they will live happily everafter in a 2x4 jail cell.
3 Thursday, 11 March 2010 15:02
Surprised
What about Tony Gluepo? He always acted like he ran OSI tax dept. Didn't he review bills too? Talk about stepping in dog poo!!
2 Wednesday, 10 March 2010 16:08
I'd Rather Not Say
It's so sad that so many good people lost their jobs over this nonsense. 200+ people suffered for the greed of a few. Where did all this excess money go to ? As an employee I know I never saw a penny of it, nor were the yearly raises (if you could call them that) anything to sing about. There were only a couple of good Managers who "took the bullets" and stood up for their Units and helped them make their monthly goals. Thats why I stayed there..because my Manager was a good person and we had RESPECT for one another and he APPRECIATED our endeavors. In the end, they will reap what they deserve.
1 Wednesday, 10 March 2010 13:17
X-OSI employee
I worked at this company for three years while this was going on. They treated their employees like garbage. I think that Carol and George should get harsher punishments. George was such a slime ball and was always hitting on anything that walked around in a skirt. They all walked around the office with their noses up in the air at everyone. Funny, now it all makes sense how the company got out of that Bankruptcy so quickly.

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