National Grid fined for giving meals and rounds of golf to state regulators; three regulators fined
National Grid fined for giving meals and rounds of golf to state regulators; three regulators fined for ethics violations in dealings with utilities
ALBANY - The New York State Joint Commission on Public Ethics announced that National Grid and two former employees of the State's utility regulating agency paid fines settling cases involving the giving and receiving of improper gifts including rounds of golf and meals. In a separate settlement, another employee of the regulator, the Department of Public Service (DPS), paid a fine for sharing a draft investigative report with a consultant for another utility that was under investigation.
National Grid, according to its settlement agreement with the Joint Commission, gave numerous gifts, including meals and rounds of golf, to employees of the DPS between 2002 and 2010. The DPS is the administrative arm of the Public Service Commission, which regulates utilities in the State. Under the settlement agreement, National Grid agreed to pay a $25,000 fine, to cooperate fully with the Joint Commission on any related investigation regarding the gifts, and to provide supplemental annual ethics training to its employees for the next four years.
The Joint Commission's enforcement actions are the result of an investigation and July 2012 report by the New York State Office of the Inspector General, and subsequent investigation by Joint Commission staff. The investigations resulted from National Grid self reporting the gifts after learning of them though an internal audit.
In related actions, former DPS employees Joseph Klesin and Carlos Ortiz paid fines of $1,500 and $1,000, respectively, for accepting gifts of rounds of golf and meals from National Grid in violation of State ethics laws. Both former employees resigned in early 2012 during investigations into National Grid providing gifts to DPS employees.
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