Who is Leo Govoni? Nonprofit founder accused of taking $100M from vulnerable people’s trusts
TAMPA, Fla. (WFLA) — 8 On Your Side is taking a look into the “interlocking companies” of one Pinellas County businessman.
We have told you the founder of a St. Petersburg nonprofit stands accused of taking and not repaying $100 million from the trusts of vulnerable people.
Leo Govoni is a businessman operating mainly out of Pinellas County. He founded the Center for Special Needs Trust Administration 24 years ago. Govoni has strong ties to the community, to attorneys and local universities.
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“It might not be today, but tomorrow sometime, you’re going to have to answer for what you did, and I hope it’s soon,” said Nicalea Gonzalez, Amora’s mom.
Gonzalez of Riverview is speaking directly to those who played a role in depleting her daughter’s trust at the center.
“I hope they take the person and people that have done this or started this process accountable 100%,” she said.
Nine years ago, when Amora was 5, she was in a car crash that left her severely injured.
“Stomach issues and walking issues, she had to start all over again, walk, talk everything,” said Gonzalez.
Amora received a settlement, and that money was placed in a trust at the center in 2015.
“She doesn’t have half of what she had in there and it’s not okay,” said Gonzalez.
The center filed for bankruptcy in February. According to the Chapter 11 filing, its leadership learned its founders, Leo Govoni and his business partner, John Staunton, loaned $100 million to Govoni’s company, Boston Finance Group, over an 11 year span. The center said that money is still missing. The case is now in federal bankruptcy court.
“It gives me hope that finally we get somewhere where somebody is going to tell us answers,” said Gonzalez.
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The bankruptcy filing claims several Govoni-owned businesses played a role in the missing $100 million from the center, including Austin Colby and Boston Settlement Group.
A state records search shows Govoni has dozens of companies in Tampa Bay, many of which operate on 49th Street North in Clearwater on the same property as Big Storm Brewing, which is run by Govoni’s son, LG.
LG’s LinkedIn shows he served as vice president of his dad’s company, Boston Finance Group, from May 2009 through February 2013.
In March of 2023, Govoni filed a brochure with the U.S. Securities and Exchange Commission on behalf of another one of his companies, Boston Asset Management.
“On the face of it, it looks like a very credible filing,” said Harry Margolis, partner at Margolis, Bloom & Augustino. “They reported on what they do how they charge what their fees are.
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Margolis practices estate law and special needs planning in Massachusetts. This case has sparked his attention and he’s been studying it for months.
“I think he was crafty in a way,” said Margolis.
The filing lists 20 of Govoni’s businesses. It reads, “BAM is one entity within a diversified corporate organization controlled by Mr. Govoni that includes entities whose businesses could cause a perceived or real conflict of interest.”
“The fact that there were there were so many interlocking companies, perhaps could raise a red flag, but on the surface, it looks like a well-written, credible report,” said Margolis.
It also said “The Center is not a related entity. However, we maintain a close business affiliation and professional relationship with the Center, a Florida not-for-profit corporation offering specialized trustee services for special needs and pooled trusts and professional trust administration. Pursuant to Florida trust law, The Center delegates its money management services for its trust clients to us under a separate agreement and for separate fees. Leo Govoni, CEO of BAM, founded The Center. The Center maintains its own offices separate from our offices. Due to The Center’s relationship with us (i.e., Mr. Govoni is a founder of The Center and both Mr. Govoni and Mr. Walrath were Directors of The Center until May 2009) there is an inherent potential Conflict of Interest when The Center uses us for professional money management services. However, as a Trustee, The Center has a fiduciary duty (and owes a duty of loyalty) to its beneficiaries to strictly adhere to the Florida Trust Code and abide by these rules and not allow his/her judgment or the influences of a third party to control his/her actions. While we believe that The Center’s delegation of investment functions to BAM meets all fiduciary duties under both state and federal statutes, The Center is not obligated to use us for professional money management services.”
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8 On Your Side asked the SEC if they are investigating BAM or Govoni and a spokesperson replied, “the SEC doesn’t comment on the existence or nonexistence of an investigation.”
Investigator Brittany Muller has been trying to get in contact with Govoni, so she went to BAM in Clearwater, where global Litigation Services also operates out of.
LG answered the door and directed Brittany to talk with his father’s attorney. Those attorneys with Trenam Law have previously told me no comment.
Govoni and Staunton were featured in Stetson Lawyer magazine in 2008. The photo is from a dedication ceremony when the College of Law named a suite after them. The two served as members of Stetson’s Elder Law Advisory Board.
“He under wrote a professorship at Stetson University School of Law and that by doing that I think he bought a lot of credibility,” said Margolis.
Margolis said and that gave credibility to the Center, which grew to be one of the largest trust administrators in the country and people like Gonzalez trusted that her daughter’s money would be safe there.
“Whoever and however, anybody can help us please do because this is not only affecting adults, but it’s affecting children people that rely on others to help them and we need help,” said Gonzalez.
We also reported that this allegedly didn’t start unraveling until Govoni’s daughter, Caitlin Janicki, left an unsigned letter at the Center following her resignation in April 2022. Janicki had been serving as the center’s Vice President. Govoni’s wife, Jane, teaches at USF’s College of Education.
We have not been able to reach this family, and as mentioned, Govoni’s attorney’s has previously told us no comment.
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