Bayfront Park Management Trust Launches Inspector General Investigation into Allegations of Financial Misuse by Former Chairman Joe Carollo

The Bayfront Park Management Trust, led by Chairman Miguel Gabela, announced a request Tuesday for an independent investigation by the Miami-Dade County Inspector General's Office into allegations of financial waste, fraud, and abuse under former Chairman Joe Carollo.

According to a release, the probe stems from a forensic audit precipitated by continuous concerns within the Trust and the pubic. Specifically, the audit unveiled a pattern of "inadequate oversight, financial irregularities, and management practices" that put taxpayer funds at risk.

“Our top priority is restoring public confidence and ensuring taxpayer money is safeguarded,”
Gabela said. “These audit results are deeply troubling. They point to a systemic
failure in oversight and financial discipline that demands a thorough and independent
investigation.”

Moreover, the allegation says the instances under Chairman Carollo, twice Miami's former mayor, were allowed to persist. Carollo was elected to the Miami City Commission in 2017, representing District 3.

Some of the allegations include: unapproved bank reconciliations, missing documentation from journal entries, lax payroll controls, negligence, and breach of public trust.

On payroll controls, the audit uncovered "inadequate documentation surrounding salary adjustments and approvals," which it said could have allowed for "unauthorized raises, misreporting of payroll, and violations of financial regulations."

In addition, the audit claims that bank reconciliations were "reconciled without managerial sign off," possibly compromising cash balances and undetected fraud, errors, or theft.

If the Inspector General's investigation substantiates the claims, the Trust will refer all findings and documentation to the Florida Department of Law Enforcement (FDLE) for review and possible criminal charges.

Gabela also assured cooperation with the investigation. If confirmed, the Trust committed to adopting recommendations to "prevent future issues, strengthen financial controls, and ensure full transparency" of Bayfront Park.

“If wrongdoing is found, we will not hesitate to pursue legal action. The public deserves accountability,” Gabela said.