Louisiana Agency Owner, a Jefferson Parish Official, Retires Amid Probe

Jefferson Parish’s embattled chief administrative officer, Tim Whitmer, is retiring as federal investigators began subpoenaing records of his private company’s insurance work with government agencies in Louisiana.

The U.S. attorney’s office sent subpoenas to Parish President Aaron Broussard’s administration and the Parish Council clerk’s office for records of an employee insurance contract at the publicly owned West Jefferson Medical Center, Broussard and Councilman John Young confirmed.

Whitmer, meanwhile, told department directors he will leave his post Feb. 1, Broussard said. The parish president didn’t say whether Whitmer was motivated by the increased scrutiny on his insurance agency, Lagniappe Industries, but said instead that Whitmer had been contemplating a return to private life for some time.

“Since Katrina, Tim has told me on a number of different occasions that he was seriously considering retiring,” Broussard said.

The U.S. attorney’s office would not confirm or deny a criminal investigation.

Whitmer, 49, makes $190,000 a year as Broussard’s top aide.

Whitmer’s retirement announcement came just hours after Councilman Young and Metropolitan Crime Commission President Rafael Goyeneche sent letters demanding that he fully disclose his business dealings in Jefferson Parish.

“We need an immediate and full disclosure of contracts that Whitmer has with any (state) subdivision or public entity within Jefferson Parish, and for that matter, any vendor doing business with the parish,” Young said.

He said neither Whitmer’s announcement, nor the federal investigation, should hinder a lifting of the veil surrounding Lagniappe Industries.

Goyeneche agreed, writing that an internal investigation by Assistant Parish Attorney Louis Gruntz wasn’t good enough. Gruntz has sent his report to the council but said state ethics law demands it be kept confidential.

Broussard and Parish Attorney Tom Wilkinson recused themselves from the internal investigation after disclosing they had past or present business relationships with Lagniappe Industries.

“Any investigation conducted by the executive branch of Jefferson Parish government or the parish attorney or his staff will lack objectivity and credibility,” Goyeneche wrote.

The Times-Picayune previously reported that Lagniappe Industries allegedly participated in contracts for insurance plans for employees of the town of Kenner, which is located in Jefferson Parish, as well.

Information from: The Times-Picayune, http://www.nola.com