Official Complaint Submitted Against Canneth Lee

Below you will find the official complaint submitted to the South Bend Common Council Rules Committee regarding Canneth Lee:

SUBJECT: REQUESTING RECEIPT - Formal Complaint Against Common Council Member Canneth Lee - Conflict of Interests

BODY: REQUESTING RECEIPT FROM SB LEGAL AND COMMON COUNCIL- Formal Complaint Against Common Councilmember Canneth Lee - Conflict of Interest

Indiana Code 35-44.1-1-4: "A public servant who knowingly or intentionally has a pecuniary interest in or derives a profit from a contract or purchase connected with an action by the government entity served by the public servant commits conflict of interest, a Class D Felony." 

This complaint must be investigated thoroughly and promptly to ensure the public's trust. This complaint is submitted regarding South Bend Councilman Canneth Lee, who serves as the Chairman of the “PARC Committee,” responsible for oversight of Venues Parks and Arts. (He has chaired the Committee years 2022, 2023, and 2024)Councilman Lee is employed by Goodwill’s GVI, and South Bend Councilman Canneth Lee receives financial benefits from the City of South Bend as a result of his vote and the influence of his seat and committee assignments.This can be proved by the following:

1. The City of South Bend, via the Committee chaired by Councilman Canneth Lee, allocates funds to Goodwill for the program associated with his employment at Goodwill’s GVI/S.A.V.E. program (see attachment).

2. Councilman Canneth Lee has failed to file a Uniform Conflict of Interest Disclosure Form with the State Board of Accounts for any of the years he has held his position with Goodwill’s GVI/S.A.V.E. program alongside his role on the Common Council, including the year 2024.

3. During a budget hearing, Councilman Canneth Lee was documented on record advocating for the work being conducted by his GVI/S.A.V.E. program without disclosing the financial benefits he receives from the program.

4. Councilman Canneth Lee is identified as a point of contact on the official GVI/S.A.V.E. website.

5. His official bio on the City of South Bend’s website references his experience with the GVI/S.A.V.E. program.

6. The City of South Bend explicitly states on their website that they have members of the “South Bend Common Council” in GVI, which further indicates that Councilman Canneth Lee's connection to GVI is intertwined with his role on the Common Council.

These actions present a clear conflict of interest that necessitates immediate attention. Councilman Canneth Lee should have abstained from any discussions or votes concerning GVI, S.A.V.E., and Goodwill due to his personal financial interests in these programs. 

Not only does he vote on the budget that allocates funds to his employer, chairs the committee responsible for specifically funding his employer, but Canneth Lee takes extra opportunities to opine for his employer during official budget meetings and during past common council meetings.

Councilman Canneth Lee’s conduct violates "Sec. 2-8. - Decorum and debate regulating Common Council." We request that disciplinary measures be imposed against Councilman Canneth Lee to the fullest extent permissible under the law.Indiana Code 35-44.1-1-4: "A public servant who knowingly or intentionally has a pecuniary interest in or derives a profit from a contract or purchase connected with an action by the government entity served by the public servant commits conflict of interest, a Class D Felony."

Anyone else being investigated for this same action needs to recuse themselves from any investigations into this investigation.

Vice President Sheila Niezgodski is currently under investigation for this same statute.  ATTACHED DOCUMENTS:

Clause in the 2024 Contract Outlining Canneth Lee's Conflict of Interest As a Member of the Governing Body (City Council)

2024 Contract Between City of South Bend and GVI

Goodwill Industries

.pdf

Download PDF • 445KB

Uniform Conflict of Interest Disclosure Form

conflict-of-interest-2018

.pdf

Download PDF • 443KB

Follow Up Email on Septemeber 3rd, 2024: Council -  Please view the attached PDF (the contract between the city of South Bend and Goodwill/GVI)

The contract between the City of South Bend and Goodwill (GVI) clearly states: "Conflicts of interest. The Organization hereby certifies and agrees that no member, officer, or employee of the City, or its designees or agents, and no member of the governing body of the City of South Bend"

Who certified that no member of (South Bend's) governing body worked for Goodwill or GVI? Canneth Lee is clearly doing both.

Next, "In the event that such violation is associated with the use of funds under this Agreement, the City is also entitled to the return of all dispersed funds."Taxpayers are demanding that Canneth Lee be punished to the fullest extent of the law, and that all money paid to Goodwill be returned.