Making money off a bankrupt city can be a sensitive issue. And sometimes it's best to be low key about it.
But Steve Neavling of the Motor City Muckraker points out that a local consulting firm, Conway MacKenzie of Birmingham, that billed taxpayers $17.2 million for helping in the restructuring of the city's bankruptcy, ran a full-page advertisement in Sunday's New York Times. Neavling writes that such an ad can cost about $100,000.
The point being: The taxpayers' money likely paid for that ad. Perhaps the firm could have trimmed the bill by $100,000 or donated that money school supplies in the city.
“Congratulations to the City of Detroit, Mayor Michael Duggan, City Council and Emergency Manager Kevyn Orr on a job well done,” the ad reads. “Your tireless and spirited efforts were instrumental in guiding the city – in record time – through the largest municipal bankruptcy in history.”
“Conway MacKenzie is proud to serve as operational restructuring advisor to the city of Detroit,” the ad continues, listing phone numbers for 10 of their offices.
The Motor City Muckraker writes:
Conway MacKenzie raised serious questions after hiring former embattled state Treasurer Andy Dillon, who played a role in helping the firm land the lucrative contract and helped Gov. Rick Snyder seize control of the city’s finances. The firm’s president and CEO, Van Conway, also was a good friend of Dillon’s before the contract process even began.
Van Conway is known for hosting lavish holiday parties with scantily clad women.
-- Allan Lengel