Anthony Soave

Anthony "Tony" Soave is an American businessman and founder of Soave Enterprises, a Detroit-based holding company with diverse business interests including waste management, real estate, transportation, and beverage distribution. Soave remains one of Michigan's wealthiest and most politically connected businessmen, with his companies' assets reportedly exceeding $1 billion by the early 1990s.

In 1961, with a $15,000 loan from his father, Soave purchased a crane and truck and began his first contracting business. Soave entered the landfill business in 1967 by becoming half-owner of Hamlin Development Corp. in Shelby Township. His entry into waste management came in earnest in 1975 when Michigan National Bank offered him financing to take over trash facilities from Sanitas Service Corp., which was pulling out of Michigan. The deal included a trash compacting station at Harper and St. Aubin in Detroit and a closed landfill in Sumpter Township, along with Sanitas' existing contract with the City of Detroit. This acquisition formed the foundation of City Disposal Systems Inc., which later became City Management Corp.

Soave's waste management business expanded dramatically in the late 1980s and early 1990s. Taking advantage of Michigan's 1978 Public Act 641, which required counties to develop waste management plans and imposed stricter environmental regulations on landfills, Soave's City Management Corp. acquired numerous landfills and independent hauling companies throughout Michigan. By 1986, Soave Enterprises reportedly had 450 employees and $63 million in sales. By 1992, City Management sales had reportedly reached $301 million, growing nearly five times in five years. The company expanded beyond Michigan to include operations in Florida and Missouri.

In the Detroit area, Soave received more than $170 million in city contracts since 1975, according to Detroit City Council records reviewed by the Detroit Free Press. His companies received particularly significant business from the Detroit Water and Sewerage Department, with contracts totaling at least $109 million by 2008.

Beyond waste management, Soave's business empire has included:

• Beer distributorships in Illinois and Kalamazoo, Michigan
• Eagle Brand snack distribution
• A bolt manufacturer in Memphis, Tennessee
• A titanium company in Farmington Hills, Michigan
• A Lincoln-Mercury dealership in Independence, Missouri
• Real estate developments including the Lofts apartments on East Jefferson in Detroit and investments in Harmonie Park downtown
• Checker Sedan, which provides luxury transportation services at Detroit Metro Airport

Investigation for Defrauding City

In 1977, just two years after acquiring City Disposal Systems, Soave came under investigation by city authorities for allegedly defrauding Detroit taxpayers. A city foreman alleged that Soave's trash station was inflating the weight of city garbage trucks by as much as 3,000 pounds per truck and overcharging the city by up to $10,000 a month.

The allegation led to multiple investigations by the city auditor, the Michigan attorney general, and the Wayne County Organized Crime Task Force. The probes also uncovered Soave's earlier business connections with individuals allegedly tied to organized crime.

The city investigation revealed that Soave's brother, Marco, a director of City Disposal at the time, had previously owned Kercheval Used Auto Parts and Wrecking Co., which had contracted with the Detroit Police Department to tow abandoned cars. That company had been investigated in 1972 after citizens complained it was improperly seizing legally parked cars and charging drivers to retrieve them. Soave claimed he was unaware of Mudaro's mob ties initially. No charges were filed against Soave in the weight inflation case.

Arrest in FBI Sports Betting Probe

In 1971, Soave was arrested and indicted in a federal gambling conspiracy case along with 20 other men, many of whom were described as convicted bookies and known gamblers. The case was ultimately dismissed because prosecutors did not obtain the proper signatures on a federal wiretap order. Soave's arrest record in this case was later expunged in 1990.

Regarding this incident, Soave has maintained his innocence, stating, "There was no case. My [arrest] was expunged. As far as I know, I was to be a witness." This gambling case would later resurface as a potential issue during licensing investigations for Soave's business ventures.

New Jersey State Police investigation and Revelation of Mob Ties

In 1991, when Soave applied for a trash-hauling license in New Jersey, the New Jersey State Police compiled a report on Soave and City Management that detailed alleged contacts with known mob associates. The report drew from Detroit FBI, Michigan State Police, and state Commerce Department files.

Among the allegations in the New Jersey report were that Soave:

• Met regularly with John Riggi, who was described in the report as the boss of the DeCavalcante crime family of New Jersey and who later pleaded guilty to state and federal charges of labor racketeering and extortion, receiving a 12-year prison sentence
• Had at least one meeting with Joseph Caruano, identified in the report as a captain in the DeCavalcante family organization, with City Management disbursement records showing Caruano was paid $39,000 for a trucking contract
• Through his company City Environmental, paid $188,000 in 1989 and 1990 to a company owned by Caruano and Paul Farina, whom the report said were DeCavalcante family associates
• Made payments of $255,755 and $56,832 through City Environmental to Joseph Colina Sr. and Joseph Colina Jr., whom New Jersey police linked to the DeCavalcante family

The report also claimed Soave had business contacts in the 1960s to 1970s with individuals identified by the government and in court cases as Detroit mob members. For example, Soave loaned the late Anthony "Kango" Imbrunone $6,000 in February 1990. The FBI contended Imbrunone was an associate of Detroit's Tocco/Zerrilli crime family.

Soave has strongly disputed these characterizations, saying the New Jersey report was "deliberately slanted against him by the State Police, who were under pressure to make him look bad."

Casino licensing challenges

In 1999, Soave faced scrutiny when the Michigan Gaming Control Board investigated his role as landlord for MGM Grand Detroit's temporary casino. Soave was the majority owner of the former IRS building on Abbott near the Lodge Freeway, which MGM Grand was renovating into a $200-million temporary casino.

State gaming laws required major suppliers to casinos, like investors, to pass background investigations and obtain licenses. Gaming regulators in other jurisdictions had carefully scrutinized personal associations of gaming license applicants, with precedents like Hilton Hotels Corp. being denied a gaming license in 1985 because one of its attorneys had alleged mob ties.

Casino licensing experts suggested that Soave's past contacts with reputed mob figures could prevent him from getting a license. Initially, Soave and his partners at Lodge/Abbott Associates attempted to avoid the licensing requirement. His lawyers argued that because the landlord had no equity investment and took no profits from the casino, Lodge/Abbott should be classified as a "supplier" and not required to undergo a state gaming license investigation.

State officials disagreed, and in June 1999, the Michigan Gaming Control Board granted a temporary license to Lodge/Abbott with strict conditions: Soave, who had an interest in the building through a trust he established for his daughters, could receive no revenues or assets from the lease, and he was required to submit a personal disclosure application and pass licensing scrutiny before Lodge/Abbott could get a regular license.

If the board refused to grant a regular license to Lodge/Abbott, MGM Grand Detroit would be required to exercise its option to buy the building. The arrangement allowed MGM Grand to proceed with its planned summer opening while Soave's background was being investigated.

Warren Firebombing of Competitor

In 1991, a trash transfer station operated by Oakland Disposal in Warren, Michigan, was firebombed. The incident severely damaged the facility and forced the company out of business. Just days after the firebombing, Warren Mayor Ronald Bonkowski steered the defunct company's $16 million waste-hauling contract to Warren Waste Transfer, a company incorporated just one week before the firebombing by Soave and Quirino D'Alessandro, a longtime friend of Bonkowski.

The full details of this incident became public in June 1993 when government informant John Pree testified that Detroit mob boss Vito Giacalone had ordered the firebombing to benefit Soave.

Soave vehemently denied any involvement in the firebombing. His public relations firm issued a statement calling Pree's testimony "absolutely and categorically false," adding, "Neither Mr. Soave, nor any of his companies, have ever had any involvement in the vandalism or the arson or in trying to force Oakland Disposal out of business." The statement also attacked Pree as a "habitual criminal" looking to switch his way out of a life sentence.

The aftermath of the firebombing was significant for Soave's business interests. A week after the incident, Soave, then 63, and D'Alessandro indeed replaced the crippled Oakland Disposal with a $16 million contract to haul Warren's trash through their newly formed company, Warren Waste Transfer. The contract was approved with the help of Warren Mayor Ronald Bonkowski, who had been D'Alessandro's friend for 25 years.

Amtrak Legislation Benefits

In 2005, Anthony Soave became the sole beneficiary of a specific congressional earmark inserted into transportation legislation signed by President Bush. According to a New York Times article, Representative Joe Knollenberg, an appropriations subcommittee chairman from Michigan, inserted language into the transportation bill that required Amtrak to increase the number of railcars it hauled or forfeit $8.3 million in federal funding.

The article explicitly noted that this legislative provision was designed to benefit "the businessman, Anthony Soave, and his company, ExpressTrak." Most significantly, the New York Times pointed out that Soave "owns the only company that supplies such rail cars," making him the exclusive beneficiary of this congressional directive.

Campaign Contributions and Lobbying Efforts

The New York Times noted that "Anthony Soave, his companies and his employees have contributed hundreds of thousands of dollars to Republican candidates and causes and smaller amounts to Democrats."¹ More specifically, according to campaign finance records cited in the article, Mr. Knollenberg "has received roughly $45,000 from Mr. Soave, his family and employees at Soave Enterprises since 1997."

Furthermore, the article detailed how ExpressTrak actively lobbied for the legislative provision through "A 2003 agreement between ExpressTrak and the law firm Foley & Lardner, which handles the company's dispute with Amtrak and also lobbied for the $8.3 million earmark."

Representative Knollenberg initially defended the provision but later changed his position "after hearing of the fee agreement, which he said may have presented an 'inappropriate financial incentive.'"

Bribery of Kwame Kilpatrick administration

In testimony during the corruption trial of former Detroit Mayor Kwame Kilpatrick, Soave stated that he had provided Kilpatrick with approximately 20 round-trip flights on his private jets at a cost of $389,000, along with luxury gifts including an $800 pair of shoes, a $1,200 purse, and a $6,000 Cartier watch for Kilpatrick's father, Bernard Kilpatrick.

Soave testified that he felt pressured to provide these benefits to protect his business interests with the city. According to Soave's testimony, when he first met Kilpatrick in 2002, the newly elected mayor had held up approval of a $50 million contract until Soave dropped one minority contractor and hired Kilpatrick's friend, contractor Bobby Ferguson.

"I wanted to keep him happy. I didn't want him holding a job up," Soave testified. "He held one job up and I always had that in my mind and I didn't want that happening again."

Despite these admissions, Soave was never charged with any crime related to his dealings with Kilpatrick. Federal prosecutors described Soave as a victim of extortion rather than a willing participant in corruption.

FCA land deal controversy

In 2019, while the city of Detroit was negotiating behind closed doors with Fiat Chrysler Automobiles (FCA) to open an assembly plant, Soave's company, Fodale Group & Associates, purchased key pieces of land adjacent to the proposed site. According to city and county property records, Soave paid just $60,000 each for two contaminated former landfills (12001 and 12017 Mack Avenue) that had previously been owned by Republic Services.

The land purchases were completed on November 7, 2019, just one month before news broke about FCA's plans to open the assembly plant. These properties later became part of a controversial land swap deal between the city and Soave. The timing of Soave's purchase raised questions about whether he had advance knowledge of the FCA development plans. Soave and his business partners had donated tens of thousands of dollars to Mayor Mike Duggan's political campaigns and played a major role in Duggan's successful write-in campaign.

Under the proposed arrangement, Soave would exchange his two contaminated parcels (5.3 acres total), which would be used as parking lots for the assembly plant, for 72 city-owned parcels (9.5 acres) in the area of Van Dyke Street and Lynch Road for a new development. The contaminated properties were purchased "as is" according to the property deed, but under the deal with the city, taxpayers would be responsible for the environmental cleanup costs.

City officials denied any impropriety, with Basil Cherian, deputy group executive for Detroit's Jobs and Economy Team, stating: "By the time we started looking into these properties for possible FCA land acquisition, Fodale and Soave already were under contract to purchase them."

The land swap deal was part of a larger $2.5 billion FCA investment project that the city claimed would generate 4,950 manufacturing jobs. Despite mounting public opposition and concerns from City Council members like Raquel Castaneda-Lopez, who called the deal "a misuse of public bond money" and "a massive giveaway of public lands without any community engagement," the project moved forward.

2019 towing controversy

In 2019, Detroit Mayor Mike Duggan's administration banned several towing companies with connections to towing magnate Gasper Fiore from doing business with the city for up to 15 years. Critics noted that this potentially benefited Soave, who owned a tow company and several impound lots in Detroit. Media reports questioned why Soave's company continued to receive city business despite his past admissions regarding gifts to Kilpatrick, while companies with more tenuous connections to Fiore were debarred.

Political connections

In 1988, Soave was one of only 18 people in Michigan and 249 nationally to personally contribute $100,000 or more to the Republican National Committee. During the 2000s, political action committees linked to Soave contributed $55,000 to Kwame Kilpatrick's campaigns.

Soave's business ties to Wayne County officials became controversial in 1993 when The Detroit News reported that Wayne County Executive Edward McNamara had vacationed at Soave's Florida condominium.2 This relationship, along with other potential conflicts of interest, prompted the Wayne County Board of Commissioners to unanimously vote to study a proposed ethics ordinance.

Former Michigan governor James Blanchard was a guest in Soave's private suite at the Palace of Auburn Hills. During the 1992 presidential campaign, Barbara Bush was the honored guest at a luncheon for 200 people at Soave's $1.9 million Grosse Pointe Farms mansion.

In a 1997 Detroit News article, Soave was listed among the top donors to Detroit Mayor Dennis Archer's campaign, having contributed $44,900. The article noted that "many of the mayor's top donors are people who have contracts with the city or are seeking them."

More recently, in 2021, Soave contributed nearly $42,000 to Michigan House Republicans and $40,000 to Michigan Senate Republicans, making him one of the largest individual donors to both caucuses.