The Massachusetts Convention Center Authority board has signed a $500,000 severance agreement with CEO Marcel Vernon as a state committee launches an investigation into bombshell allegations of corruption.

“The Authority agrees to pay Mr. Vernon a severance payment in the gross amount of five hundred thousand dollars and zero cents ($500,000.00),” reads the agreement, sent first to the Herald. “The Severance Payment expressly includes all amounts due or allegedly due to Mr. Vernon under the Employment Agreement other than those referenced herein as well as in consideration of him waiving any non-contract claims that he may have, as discussed below.”

The agreement, already signed by both Vernon and the Board of Directors, comes as the Senate Committee on Post Audit & Oversight probes leadership at the quasi-public agency for corruption related to securing documents, surveying employees, mismanagement of public funds and more.

“My transition from the Massachusetts Convention Center Authority reflects a thoughtful move toward a progressive, growth-oriented environment where I can leverage my experience, innovative thinking, and leadership to drive lasting operational and cultural improvement and help guide global growth initiatives within a collaborative, well-governed organization,” Vernon said in a statement sent to the Herald.

“There were important points I wanted to make in connection with my decision to depart the Authority, particularly around accountability and transparency. These were points I believe needed to be made. I have made them, and I intend to continue advocating for those principles publicly and constructively. I am grateful to so many in our community from civic and elected leaders, to the Authority’s employees, to partners and stakeholders who supported the work and appreciated what we accomplished together. I value their friendship, collegiality, and support,” he said.

It further stipulates that Vernon will be allowed to discuss the Authority, privately and publicly, without any confidentiality restrictions.

“The Parties recognize and agree that given that the Authority is a public authority of the Commonwealth of Massachusetts, there is no confidentiality governing this Separation Agreement and its terms,” the agreement says. “The Parties understand, represent, and warrant that nothing in this Agreement should be construed as an admission of wrongdoing or liability by or on the part of any of them.”

The Herald was first to report that the Senate Committee on Post Audit and Oversight will be calling on leadership at the Seaport center to provide information and documents related to the allegations.

The committee sent a summons letter to Vernon on Dec. 5. Vernon responded to the letter, sent by state Senator and Committee Chair Mark Montigny, saying he welcomes the summons.

“As Justice Brandeis observed, sunlight is the best disinfectant. In my opinion as someone who was hired a little over a year ago to try to start addressing the very problems that the Committee has correctly identified as troubling ones, the investigation announced today by the Senate Committee on Post Audit and Oversight is a welcome, much-needed initiative to help root out the historic, all-too-entrenched issues faced by the Massachusetts Convention Center Authority,” Vernon wrote in response to the Committee.

“I regard this investigation as very important, and necessary and I regard the Committee as an ally of those of us who have been working to reform the Authority. There will no doubt be some who will try to impede the investigation. I will not be one of them. Like the Committee, I believe that the public is entitled to complete transparency about this subject, and I intend to work actively to help the Committee achieve that transparency,” he said.

Following Vernon’s response welcoming the investigation, the board scheduled an “emergency meeting” that violated Massachusetts Open Meeting Law by failing to notify the public within 48 hours and within two business days. The December 7 meeting, held behind closed doors in executive session, was meant to “discuss strategy with respect to litigation,” according to the meeting agenda. There were rumors the meeting was intended to fire Vernon in retaliation for welcoming the investigation, but the board ultimately made no decision.

Vernon was appointed to the position after the timing of these allegations, in October 2024, to curb reports of racial bias and discrimination.

In the agreement, the board also noted “a number of extremely important achievements and advances at the Authority,” adding that he will remain as an employee for the remainder of the year as the board appoints an interim-CEO.

“The Authority acknowledges that in the year that he has been CEO, Mr. Vernon has been responsible for a number of extremely important achievements and advances at the Authority during a challenging time in the Authority’s history. The Board, and his fellow employees, are grateful to him for that. Today, Mr. Vernon has decided voluntarily to tender his resignation as CEO,” the board said.

“During this transition period, the Board and Mr. Vernon have agreed that he will stay on as an employee through the end of the year in order for the Authority to receive the benefit of his advice, and the terms of his departure have been laid out in a formal agreement. The Board will soon be appointing an interim CEO to ensure that the critical work of the MCCA proceeds without interruption,” it said.

The letter from the state Senate Committee addresses a laundry list of corruption allegations related to procuring contracts, surveilling employees without their consent, hiring outside law firms and private investigators to gather information on employees, and destroying physical and electronic evidence, among other things.

“Please describe the use of MCCA resources by the Chief Information Security Officer to investigate and surveil Authority employees without authorization. Please describe the justification, processes and procedures to access, monitor and delete information from MCCA employee emails and accounts, as well as accessing employee laptop cameras and microphones,” the summons letter requested. “Please also describe the internal MCCA rules or regulations that would permit the Chief Information Security Officer to utilize such practices.”

Montigny and the committee are ordering that the requested records be delivered within two weeks, setting a deadline of December 19.

The new investigation comes after the Herald reported that Vernon and other MCCA officials have been called to testify before the Joint Committee on Racial Equity, Civil Rights and Inclusion on efforts to curb racial bias and discrimination from the Authority.

This is a developing story …