A former Stoneham police officer, Joseph Ponzo, has been sentenced to 27 months in prison by U.S. District Court Judge Nathaniel M. Gorton for his involvement in a bribery and kickback scheme. The scheme, which involved Mass Save contracts, resulted in millions of dollars being misappropriated. In addition to the prison sentence, Ponzo will face two years of supervised release and must pay $115,528 in restitution along with a $100,000 fine.
Joseph Ponzo pleaded guilty in November 2024 to charges including conspiracy to commit honest services wire fraud, multiple counts of honest services wire fraud, making false statements to government officials, and causing false tax returns from 2016 to 2019. He was indicted alongside his brother Christopher Ponzo by a federal grand jury in January 2023.
"Joseph Ponzo was a sworn officer who pledged an oath to uphold the law," stated United States Attorney Leah B. Foley. "However, he chose greed over integrity."
Jodi Cohen from the FBI’s Boston Division remarked on the betrayal felt when officers like Joseph Ponzo break their oaths: "Every year Massachusetts homeowners spend millions of dollars... Joseph Ponzo and his brother cheated them."
Thomas Demeo from IRS Criminal Investigation noted that this sentencing reflects their commitment to eradicating corruption: "Ponzo orchestrated an elaborate kickback scheme... designed to aid the citizens of the Commonwealth of Massachusetts."
The court found that both Joseph and Christopher Ponzo conspired with Company A employees through bribes and kickbacks amounting to tens of thousands of dollars. These bribes were exchanged for assistance in securing Mass Save contracts worth millions.
Massachusetts law requires utility companies to collect surcharges for energy efficiency programs funded by these collected fees. Under Mass Save, utility companies select lead vendors like Company A for contractor approval on energy improvement work at reduced costs.
Christopher Ponzo made regular payments to Associate 1 from Company A between 2013 and 2017 as part of this scheme. Later, Associate 2 joined the bribery-kickback scheme until approximately 2022.
Furthermore, Joseph Ponzo aided false tax return filings between 2016-2019 by claiming false business deductions for personal expenses made using company credit cards at various retail stores.
Both brothers falsely denied any involvement when questioned by federal agents in April 2022 but have since been sentenced accordingly—Christopher receiving a similar sentence as Joseph.
Assistant U.S. Attorneys Lauren Maynard and Dustin Chao prosecuted the case under announcements made by U.S. Attorney Foley; FBI SAC Cohen; and IRS Acting SAC Demeo today.