EDITORIAL: Hartford Treasurer Adam Cloud Needs Trip To Ethics Woodshed

Oct. 02--The Hartford ethics commission, which meets in two weeks, would be remiss if it does not review the actions of city treasurer Adam Cloud, whose conduct has been called into question again.

The issue was first raised with Mr. Cloud's involvement with insurance broker Earl O'Garro. In late 2011, Mr. O'Garro had an insurance office in Windsor when he met members of the Cloud family -- brothers Adam and Christopher and their father, Sanford "Sandy" Cloud, a longtime figure in Hartford business and political circles.

Mr. O'Garro moved his office to a building the Clouds owned on Lewis Street and hired Christopher Cloud as his state lobbyist. As reported by The Courant, Adam Cloud wrote an effusive letter of recommendation for Mr. O'Garro and introduced him to Mayor Pedro Segarra. Soon thereafter, Hybrid, Mr. O'Garro's firm, got some city business. Adam Cloud appeared to have had some role in this, though the extent of it isn't clear.

And it didn't work out well. Mr. O'Garro was charged by federal prosecutors with defrauding the city, the state and others, and is expected to stand trial early next year. Mr. Cloud, who has not been charged, said he was just trying to help a young minority-owned business in the city, and was taken in by Mr. O'Garro.

Back9

But pretty much the same pattern emerges with another Hartford-based business, Back9 Network. In this instance, as reported by WNPR's Jeff Cohen, the fledgling business also signed up Christopher Cloud as a lobbyist and eventually rented space in a building owned by Sanford Cloud.

With his brother under contract and his father poised to become the company's landlord, Adam Cloud used his city email to steer a potential investor to Back9.

Adam Cloud sent the email after a meeting he had with Robert Smith from Vista Equity Partners, an investment company. The first part of the email refers to the meeting, which concerned the city's pension funds. Then Mr. Cloud shifts to an investment pitch for Back9. "Back 9 plans to become the premium lifestyle and entertainment network for golf fans globally," he wrote, telling Mr. Smith that the city was also considering investing in Back9.

"I share it with you only because I get the sense that you are a man that likes to be on the ground floor of great ideas!"

Mr. Smith did not invest in Back9, for which he must thank his lucky stars, nor did the city. The company is inactive and all but defunct. That aside, Mr. Cloud's action was completely inappropriate, a blatant conflict of interest. A public official cannot use his position to help a private business that has connections to his family. What if Mr. Smith had invested in Back9?

Apology

Adam Cloud issued an apology this past week, saying he "should have used better judgment" in the matter. But his statement makes no reference to the potential benefit to his family from his lapse in judgment, and it says he is "unapologetic of my enthusiastic promotion of the great City of Hartford and its businesses." That suggests he is missing the point. The issue isn't promoting Hartford businesses, it is using his position to enhance businesses connected to his family.

The matter is on the ethics commission's agenda for discussion at its Oct. 20 meeting. The commission should pursue an investigation, for two reasons. Mr. Cloud, who has not been charged with any violations, has the Democratic endorsement and is likely to be re-elected in November. He needs a primer in ethical conduct. Secondly, an inquiry would determine if the city's ethics code bans what Mr. Cloud did, because at present it is not clear.

If it doesn't, the city council needs to upgrade the code..

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