Former Derby Senior Center Director Sarah Muoio was charged Friday with one count of first-degree larceny, a felony.
“Muoio turned herself in this morning after notification of the arrest warrant and was released after posting a $10,000.00 court set bond. She is scheduled to be arraigned at Derby Superior Court on May 25, 2016,” according to a prepared statement from Lt. Justin Stanko.
Dominick Thomas, Muoio’s lawyer, declined comment.
“We’ll address this at the appropriate time as we go through the procedure,” Thomas said.
Muoio’s arrest comes four months after Mayor Anita Dugatto fired her. An auditor was then contacted to review the senior center’s bank accounts and bookkeeping.
“Financial irregularities” were allegedly discovered dating back to 2011, which prompted a request in February from the mayor for the Derby Police Department to investigate.
Police affidavits included in search warrants connected to the investigation alleged Muoio used money from dues and fundraisers to fund personal shopping sprees.
The documents allege she bought items such as furniture, carpet, bed frames, a yoga ball, house paint, dining sets and quilts.
According to interviews cited in the court documents, the senior center deposited anywhere from $50 to $150 per week into accounts at Webster Bank. The money came from fundraisers or dues paid by seniors.
The Derby Senior Center has a board of directors. According to police, the board thought they had about $28,000 in a savings account — but in reality, they had roughly $15,500.
Derby detectives looked at bank records that were allegedly left behind in the Derby Senior Center after Muoio was fired. According to police, there were dozens of transactions paid for using senior center money — but the goods were not for the senior center.
The transactions included four purchases totaling $4,000 from Overstock.com, including a queen-sized bed frame, nightstands and a nine-piece dining set.
The items were allegedly shipped to Muoio’s Milford home address.
“(Derby Senior Center) employees confirm that the items purchased from Overstock.com were not purchased for the (senior center) facility,” the warrant stated.
City detectives also believe senior center money was used to buy about $800 of paint from Colony Paint and Wallpaper in Milford. In all, 20 gallons of paint in 15 different colors were purchased.
“Your Affiants (police) confirmed that the Derby Senior Center has not been painted while Muoio was Director,” police wrote.
Police believe Muoio purchased about 540 square feet of carpet from Empire Carpet Today and had it installed at her house in Milford for about $1,700.
The money was deducted from one of the Derby Senior Center Webster Bank accounts, according to police.
Derby police believe there are more than 200 “questionable transactions” totaling about $21,000 connected to one Derby Senior Center account at Webster Bank.
There are also five “questionable” cash withdrawals totaling roughly $3,000 and 31 questionable transfers between bank accounts, according to Derby police.
Stanko, in his prepared statement, said the Derby investigation took three months and included four search warrants — one for Muoio’s house, two for Derby Senior Center computers, and one for a senior center bank account.
Muoio was senior center director from 2012 until January. Prior to that she worked at the Ansonia Senior Center.
Mayor Dugatto Reacts
Dugatto came under heavy political fire after terminating Muoio without explanation in January.
At the time, Muoio was mourning the death of her father.
In a prepared statement Friday, the mayor said she was appalled by the accusations against the former employee.
“After a complete and thorough investigation of the Senior Center’s finances by the Derby Police Department, I am deeply troubled by the magnitude of the allegations,” Mayor Dugatto said.
“As director of the Senior Center, Sarah was responsible for managing the daily operation of the facility and its programs. She was also entrusted with the well-being of our elderly community members,” the mayor said. “Her actions exploited our most vulnerable citizens and betrayed the trust and confidence of our city.”
“I am appalled by the fact that these actions took place repeatedly over her tenure as a City official. As Mayor of the City of Derby, I have no tolerance for this type of behavior and criminal activity. I will take whatever action is necessary to seek full restitution to make the Senior Center whole again. I am likewise committed to restoring the trust and confidence of our citizens in this valuable community asset,” Dugatto said.
