The Borough of Haddonfield has agreed to pay $445,000 to settle a whistleblower lawsuit brought by a former police sergeant who claimed he was punished for refusing to cover up misconduct by a local official, according to settlement documents obtained by Transparency NJ.
Former Police Sergeant Michael Caruso sued in 2020 under New Jersey’s whistleblower law, claiming the borough retaliated after he insisted on arresting Haddonfield Commissioner Jeffrey Kasko during a 2019 incident.
Officers were dispatched to Marne Avenue on Feb. 13, 2019, for a reported assault, according to the lawsuit.
Before officers arrived, Caruso alleged that Kasko drove recklessly out of his driveway to avoid being served court papers, hitting another vehicle and causing more than $2,000 in damage.
A patrol officer said Kasko ignored commands to stop and struck him with the front quarter panel and mirror of his car, the complaint said.
When Caruso and a lieutenant arrived, they found a corporal talking with Kasko without wearing required recording equipment.
Caruso alleged the corporal later entered Kasko’s home, off-camera, and, along with the lieutenant, discussed how to “get Commissioner Kasko out of the predicament.”
Caruso said he objected and insisted there was probable cause to arrest Kasko for aggravated assault on a law enforcement officer.
Kasko’s attorney did not immediately respond to a request for comment on the case.
The complaint says supervisors tried to minimize the incident after Caruso pushed for the arrest.
He alleged they discouraged him from recording the arrest, allowed Kasko to avoid handcuffs, and even called the court administrator to seek “special treatment” so Kasko would not be jailed.
Caruso said he refused to go along and transported Kasko to the Camden County Jail.
The backlash was immediate, Caruso claimed, with officers openly criticizing Caruso and one corporal warning the arrest amounted to “career suicide.”
The lawsuit says retaliation escalated during the promotion process for lieutenant.
Caruso said he was ranked first on the eligibility list but was skipped over in July 2019 in favor of another sergeant.
He alleged that Kasko participated in the vote on the promotion despite a conflict of interest.
Caruso said he was told by a superior that promotions were based on “loyalty” and favoring officers who “don’t cause any noise inside the Borough.”
Unable to recover from an on-duty injury, Caruso retired on May 1, 2020.
A Camden County judge sided with the borough in 2022, finding Caruso hadn’t engaged in whistleblowing under New Jersey’s whistleblower law because he only voiced an opinion about arresting Kasko and never reported misconduct to higher-ups.
The court also found no evidence linking Caruso’s actions to the decision to deny him a promotion.
Caruso appealed, and on Dec. 11, 2024, the Appellate Division vacated that ruling and sent the case back to Camden County for reconsideration.
The appeals court panel said the trial court applied the wrong legal standard.
The case settled before it was resolved in trial court.
The borough did not admit wrongdoing but agreed to pay Caruso $445,000 in exchange for a broad release of claims. Both parties signed the agreement in August and September 2025.
The agreement bars Caruso from seeking future employment with the borough and requires confidentiality, though it allows disclosure if required by law.
Requests for comment from Haddonfield Mayor David Siedell and the borough’s defense lawyer Timothy R. Bieg, were not immediately returned.
In an email to Transparency NJ, Siedell said: “The Borough of Haddonfield stands by the sworn testimony of Chief Cutler and members of the Haddonfield Police Department. On the advice of counsel for the Borough’s insurer, the matter was resolved through settlement. We have no further comment.”
Caruso was represented by Charles J. Sciarra of Sciarra Catrambone Curran & Gray.
“Sgt. Caruso, now retired, is pleased the matter is resolved and wishes good health to all involved,” Sciarra said.
Colleen Murphy may be reached at cmurphy@njadvancemedia.com.
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