Former Wisconsin Chief Pleads Guilty to Embezzlement

Stephen Gotelaere led the Superior Fire Department to blaze a trail of success during his 13 years as the city�??s chief.

Stephen Gotelaere led the Superior Fire Department to blaze a trail of success during his 13 years as the city's chief.

But charges filed today in Douglas County Circuit Court raise questions about the former chief's motives in guiding the shrinking ranks of firefighters to take on greater responsibility during his tenure as department head.

The kickback scheme defrauded the city of $240,000, said Assistant Attorney General Paul Barnett. He said Gotelaere disputes about $13,000 of that amount.

A criminal complaint says Gotelaere co-conspired with a fire equipment vendor, Eddy Brothers Co. of Chetek, to submit partially false and entirely false invoices and double-billed between 1999 and 2005. Gotelaere than signed off on the phony invoices and submitted to the city for payment. The pair than divided the proceeds when the city made payments.

Barnett said "Gotelaere got the lion's share" with his co-conspirator getting about 10 percent.

Sitting before Judge Michael Lucci, Gotelaere pleaded guilty to two counts of felony theft and one count of felony misconduct in public office. Lucci entered a conviction and ordered a presentence investigation.

Under Gotelaere's watch, the fire department took on responsibility for leading an eight-county regional hazardous materials response team, gearing up a dive team, taking on medical first-response duties and reducing fires. Some grants that helped support those programs funded Gotelaere's scheme, Barnett said.

Gotelaere's accomplice in the scheme is expected to be charged later today in Barron County Circuit Court.

"I don?'t believe we've seen anything like this in the history of Superior," Mayor Dave Ross said. "This is a rare event...an aberration."

After the theft was discovered, Finance Director Jean Vito said the city sought assistance from its independent auditor and implemented the recommended changes. Part of the problem that led to the theft, she said, was Gotelaere was ordering the equipment and signing off on the invoices before payment. Those duties have since been segregated, she said.

Gotelaere came under scrutiny more than two years ago when he was forced to retire after city officials discovered he had falsified travel records, including the creation of a flyer for the training he planned to attend. The hotel conference center where the training was to occur, it was discovered, was closed for remodeling at the time.

After the former chief stepped down, then-acting fire chief Tad Matheson discovered other discrepancies in Gotelaere's handling of fire department money while preparing for a grant audit. City officials approached the Wisconsin Department of Justice in June 2005 to request a criminal investigation, which resulted in the charges filed today.

"This has been a real black eye for the department," Matheson said following today's hearing. "Now that he's pleaded guilty, we can move on. He's an individual and doesn't represent the morals of the department."

Barnett said the Wisconsin Department of Justice, which investigated the case, will be seeking restitution as part of its plea agreement with Gotelaere. Barnett said the state will be seeking nine years prison with four years served in confinement.

Gotelaere could spend as many as 16 1/2 years in prison if Lucci rejects the recommendation.

Gotelaere, who is free on a $50,000 signature bond, is scheduled for sentencing March 14.

Republished with permission from The New Richmond News

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