By: Richard L. Smith
The CEO of a New Jersey construction company and a foreperson were arrested for their alleged roles in a conspiracy to commit wire fraud related to Newark’s Lead Service Line Replacement (LSLR) Program, according to a statement released by the U.S. Attorney’s Office for the District of New Jersey.
Michael Sawyer, 57, of Burlington, and Latronia Sanders, 55, of Roselle, are accused of defrauding the city of Newark by falsely claiming to have replaced lead pipes under a program designed to improve the city’s drinking water.
Both Sawyer and Sanders face charges of conspiracy to commit wire fraud and appeared in federal court in Newark on Thursday.
The LSLR Program, launched in 2019, aimed to replace around 18,000 lead service lines in Newark. Sawyer’s company, JAS Group Enterprise Inc., was contracted for the project.
However, according to the U.S. Attorney’s Office, instead of replacing all lead pipes as required, Sawyer and Sanders allegedly left lead pipes in place while submitting false documentation, including misleading photos, to collect payment.
“These defendants allegedly profited at the expense of Newark’s residents by failing to replace dangerous lead pipes,” said U.S. Attorney Philip R. Sellinger. “We will hold them accountable for defrauding the city and jeopardizing the health of the community.”
The FBI and EPA have also been involved in the investigation, with officials noting the health risks posed by lead pipes, particularly to children. Newark residents are encouraged to report any suspicious activities related to the program to the FBI.
If convicted, Sawyer and Sanders each face up to 20 years in prison and significant fines.