Former Connecticut Budget Official Arrested on 22 Charges of Bribery and Extortion

A former senior official from Connecticut Governor Ned Lamont’s budget office has been arrested and charged with multiple counts of bribery and extortion, federal authorities announced on Thursday. Konstantinos “Kosta” Diamantis, who previously served as a state representative and is a practicing lawyer, was apprehended at his residence in the morning and later appeared in federal court in Hartford. He pleaded not guilty to a total of 22 charges, including extortion, bribery, conspiracy, and making false statements. Diamantis has consistently denied any wrongdoing.

Federal officials, including U.S. Attorney Vanessa Roberts Avery, FBI agents, and IRS personnel, allege that Diamantis abused his position as the director of the Office of School Construction Grants and Review to solicit and receive substantial bribes from contractors between 2018 and 2021. These bribes were purportedly in exchange for helping the contractors secure and retain lucrative state-funded school construction contracts.

In addition to Diamantis, three executives from two private contracting firms have also pleaded guilty to conspiring to bribe him. These firms include a masonry company and a construction management business. The authorities revealed that Diamantis used his official capacity to manipulate the awarding of contracts and demanded a percentage of the contract value as a kickback.

Diamantis and his attorney, Vincent Provenzano, chose not to comment on the allegations as they left the courthouse. Provenzano noted that they had only just received the indictment.

The detailed 35-page indictment disclosed by federal investigators includes electronic communications that illustrate how Diamantis coerced contractors into paying him bribes. In one such exchange, Diamantis informed Salvatore Monarca and John Duffy, president and vice president of Acranom Masonry Inc. respectively, that he expected a cut from the contracts they discussed. He specified his usual fee was 5 percent of the total contract value and mentioned that Duffy, his former brother-in-law, was aware of his practices.

Further messages highlighted in the indictment show Diamantis pressuring Duffy for money due to his negative bank balance of $276.68. He threatened to have Acranom removed from a Tolland school project if the remaining bribe was not paid, emphasizing that he was not a beggar and had fulfilled his part of the deal. Both Monarca and Duffy have pleaded guilty to conspiracy to commit extortion. Their legal representatives have declined to comment on the matter.

The indictment also alleges that Diamantis secured payments and a high-salary job for his daughter from Antonietta Roy, the owner of Construction Advocacy Professionals. Shortly thereafter, Roy’s firm received a $70,000 consulting contract for a school project in Tolland. Roy has pleaded guilty to conspiracy to commit bribery, with her attorney also declining to comment.

Diamantis, a former deputy secretary of the Office of Policy and Management, resigned in October 2021 following his placement on paid administrative leave pending an investigation into misconduct. The same day, he submitted his retirement paperwork, subsequently earning a state pension of $72,514 per year.

Governor Lamont’s office released a statement affirming the governor’s zero-tolerance policy for corruption and malfeasance in government. In 2021, Lamont had taken measures to remove Diamantis from his positions when ethical concerns first emerged and ordered an independent review of the school construction grant program, leading to several reforms.

In March 2022, state officials received a federal grand jury subpoena requesting electronic communications from January 1, 2018, onwards involving Diamantis and his management of school construction projects, upgrades at the state pier in New London, and hazardous material abatement projects.

Oversight of school construction grants, initially managed by the Department of Administrative Services before being transferred to the Office of Policy and Management under Diamantis, has since reverted to the Department of Administrative Services. The indictment unsealed on Thursday links the alleged bribery and extortion to construction work at multiple schools, including Weaver High School and Bulkeley High School in Hartford, Birch Grove Primary School in Tolland, and various projects in New Britain.

Diamantis also faces numerous charges for making false statements to FBI investigators, constituting a significant portion of the indictment.