EDA in Focus
FBI, State Police descend on EDA headquarters Tuesday morning

The EDA office complex is in western section of old Avtex Admin building at left of this aerial photo. Royal Examiner File Photo/Roger Bianchini Courtesy of CassAviation
Agents from the Federal Bureau of Investigation and Virginia State Police conducted a search and apparent removal of items from the office of the Front Royal-Warren County Economic Development Authority on Tuesday morning, April 16.
FBI Special Agent/Supervisor Neil Mathison told press present at 11:30 a.m. that units had been on the scene since early morning and expected to be done with their search of the premises by mid-afternoon.
Other than that summary of the federal and state law enforcement presence at the scene, information on the nature of the search and its enabling authority was not forthcoming. Boxes were seen being carried in and out of the rear parking lot, main entrance to the western section of the old American Viscose Administration Building the EDA shares with the Northern Shenandoah Valley Regional Commission.

We’ve seen those black SUV’s in movies – a sure sign of a federal presence and apparently not just in Hollywood. Photos/Roger Bianchini
Present in addition to FBI Supervisor Mathison, VSP Special Agent in Charge Lt. John Defilippi and additional personnel from the federal and state law enforcement agencies, was Warren County Assistant Commonwealth’s Attorney Bryan Layton. Layton confirmed that his boss, Brian Madden, was off on Tuesday. The Commonwealth’s Attorney’s Office said that Madden was not expected back in the office until next week.
A Special Grand Jury requested by Madden and authorized by Circuit Court Judge Clifford L. Athey Jr. to explore potential criminal charges related to allegations of financial misappropriations of EDA assets in recent years was empanelled on Thursday, April 11. While tight-lipped like the law enforcement officials present, Layton did say that the EDA Special Grand Jury would determine its own schedule as the members saw fit to accomplish their assigned task.
Madden requests, Athey empanels special grand jury in EDA case
However asked whether the search in progress had been authorized by the Warren County Special Grand Jury Layton, like the federal and state law enforcement official present, was non-committal.

From left, Virginia State Trooper Joey Yokiel, Asst. Comm. Attorney Bryan Layton, FBI Special Agent Supervisor Neil Mathison and VSP Special Agent in Charge Lt. John Defilippi
A Richmond FBI Public Information Officer referenced by Mathison for additional information, said that at this time no further information would be released by the FBI. The VSP public information office deferred to the FBI as the lead agency in the investigation.
Interim EDA Executive Director John Anzivino was seen arriving and entering the EDA office while media was present. In response to a question, Anzivino said he had been able to meet with Front Royal town officials Tuesday morning as planned to discuss a Freedom of Information Act request the Town has filed regarding the results of the six-month-old, $760,000 forensic audit of EDA finances currently underway.

Interim EDA Executive Director John Anzivino returns to office shortly after 11:30 a.m. as law enforcement search continued.
It is the civil litigation filed on behalf of the EDA on March 26, by the Sands-Anderson law firm seeking recovery of a minimum of $17.6 million in allegedly misdirected EDA assets that was the basis for the launching of the Warren County Special Grand Jury.
Sheriff, ITFed principal Tran, Donnie Poe named with McDonald in EDA civil suit
Mathison, Defilippi and Layton did not respond to questions about whether Tuesday’s law enforcement activity at the EDA headquarters was a result of the special grand jury investigation or another potential investigative source at the state or federal level.

FBI and VSP Supervisors Mathison and Defilippi ponder the status of search …

And three law enforcement vehicles prepare to roll out.


Recent file photo of shredded documents in EDA office recycling bin – according to Interim Executive Director Anzivino various updated forensic audit reports have been shredded after review by the EDA Board of Directors. Anzivino explained that the EDA is the only board that has thus far viewed the evolving Cherry Bekaert documentation of its forensic audit investigation. However, former County Board Chairman Tony Carter and County Administrator Doug Stanley, below at March 22 EDA meeting, have been allowed to sit in on EDA board discussion of the report.

