Attorney General Christopher S. Porrino today announced that the Attorney General’s Office and its state and federal partners have charged four new defendants with filing fraudulent applications for federal relief funds related to Superstorm Sandy, bringing the total number of such defendants charged by the office since March 2014 to 104.
“It’s despicable that over 100 people saw fit to resort to fraud in the face of a historic disaster, allegedly stealing funds intended for those who were hardest hit,” said Attorney General Porrino. “At the same time, we’re heartened by the many who stepped up to help others and we’re proud of our historic collaborative efforts to fight fraud, which have recovered millions of dollars and sent an unmistakable message that those who commit this type of fraud will face serious criminal charges.”
The 104 people charged by the Attorney General’s Office were allegedly responsible for diverting over $6 million in relief funds.
The defendants are alleged, in most cases, to have filed fraudulent applications for relief funds offered by the Federal Emergency Management Agency (FEMA). In many cases, they also applied for funds from a Sandy relief program funded by HUD, low-interest disaster loans from the SBA, or funds from HHS. The HUD funds are administered in New Jersey by the New Jersey Department of Community Affairs and the HHS funds are administered by the New Jersey Department of Human Services.
The following four defendants were charged yesterday by complaint-summons:
* Janyn Pettyjohn, 57, of Washington, D.C./Palm Coast, Fla., allegedly filed fraudulent applications following Superstorm Sandy for FEMA assistance, a low-interest SBA disaster-relief loan, and state grants under the Homeowner Resettlement Program (RSP) and the Reconstruction, Rehabilitation, Elevation and Mitigation (RREM) Program. As a result, she received a total of approximately $243,226 in relief funds. It is alleged that Pettyjohn falsely claimed in her applications that a home she owns on Kearny Avenue in Seaside Heights, N.J., which was damaged by Superstorm Sandy, was her primary residence at the time Sandy struck. It is alleged that, in fact, her primary residence was in Washington, D.C., and the home in Seaside Heights was an investment/rental property. As a result of the alleged fraudulent applications, Pettyjohn received $5,090 from FEMA, $126,600 in SBA loan proceeds, $101,536 in RREM grant funds, and a $10,000 RSP grant. Pettyjohn is charged with second-degree theft by deception and fourth-degree unsworn falsification.
* Robert Zachok, 53, of Toms River, N.J., allegedly filed fraudulent applications following Superstorm Sandy for state grants under the Homeowner Resettlement Program (RSP), the Reconstruction, Rehabilitation, Elevation and Mitigation (RREM) Program, and the Sandy Homeowner and Renter Assistance Program (SHRAP). As a result, he allegedly received approximately $158,525 in relief funds to which he was not entitled. Zachok allegedly falsely claimed in his applications that a home he owns on East Barnegat Way in Lavallette, N.J., which was damaged by Superstorm Sandy, was his primary residence when Sandy struck. It is alleged that, in fact, his primary residence at the time of the storm was in Toms River and the home in Lavallette was a rental property. As a result of the alleged false applications, Zachok received a $10,000 RSP grant, RREM grant funds totaling $131,492, and $7,033 in SHRAP funds. Zachok is charged with second-degree theft by deception and fourth-degree unsworn falsification.
* William E. Thompson, 57, of Lavallette, N.J., allegedly filed fraudulent applications following Superstorm Sandy for FEMA assistance and state grants under the Homeowner Resettlement Program (RSP) and the Reconstruction, Rehabilitation, Elevation and Mitigation (RREM) Program. As a result, he allegedly received approximately $41,448 in relief funds to which he was not entitled. Thompson allegedly falsely claimed in his applications that a home he owns on Sailfish Way in Lavallette, N.J., which was damaged by Superstorm Sandy, was his primary residence when Sandy struck. It is alleged that, in fact, his primary residence at the time of the storm was in Asbury Park, N.J., and the home in Lavallette was a vacation property. As a result of the alleged fraudulent applications, Thompson received $5,090 from FEMA, a $10,000 RSP grant, and $26,398 in RREM grant funds. Thompson is charged with third-degree theft by deception and fourth-degree unsworn falsification.
* Carmen Martinez, 57, of Atlantic City, N.J., allegedly filed fraudulent applications following Superstorm Sandy for FEMA assistance and state grants under the Homeowner Resettlement Program (RSP) and the Sandy Homeowner and Renter Assistance Program (SHRAP). As a result, she allegedly received approximately $34,090 in relief funds to which she was not entitled. Martinez allegedly falsely claimed in her applications that a home she owned on North Iowa Avenue in Atlantic City, which was damaged by Superstorm Sandy, was her primary residence when Sandy struck. It is alleged that, in fact, her primary residence at the time of the storm was in Galloway Township, N.J., and the home on North Iowa Avenue in Atlantic City was a rental property. As a result of the alleged fraudulent applications, Martinez received $9,090 from FEMA, a $10,000 RSP grant, and $15,000 in SHRAP funds. Martinez is charged with third-degree theft by deception and fourth-degree unsworn falsification.
Second-degree charges carry a sentence of five to 10 years in state prison and a fine of up to$150,000. Third-degree charges carry a sentence of three to five years in prison and a fine of up to $15,000, while fourth-degree charges carry a sentence of up to 18 months in prison and a fine of $10,000.
The charges are merely accusations and the defendants are presumed innocent until proven guilty.