After being accused of exposing himself in the Newtown public library in 2001, Michael Seri was convicted, sentenced to six months in prison and labeled a sex offender. [...] in 2003, prosecutors dropped the charges against Seri — a Danbury artist, poet and Army veteran — after fingerprint evidence linked the crime to a known sexual predator who had been arrested for public indecency at other libraries in the area. Since he couldn’t live with his siblings, who also had young children, Seri slept in his car until a friend found him an apartment in Danbury. The state awarded him $370,000 this week, but subtracted $200,000, which Seri recovered in 2009 by successfully suing Newtown and its police department for mistakes made in the investigation. Newtown police charged Seri with masturbating in front of a 15-year-old girl, even though the victim described her attacker as a Hispanic man with dark hair, while Seri was white and balding.