Former
Housing Rehabilitation Director in New Brunswick
Sentenced to 87 Months for Taking $112,500 in Bribes
NEWARK
- The former director of housing rehabilitation for the City of New
Brunswick was sentenced today to 87 months in federal prison today for
extortion and tax evasion for accepting bribe payments and free home
renovations from contractors in exchange for contracts, Acting U.S.
Attorney Ralph J. Marra, Jr., announced.
U.S.
District Judge Harold A. Ackerman also ordered William Walker, 36, of
Pennsauken, to pay $112,500 in restitution to the federal Department
of Housing and Urban Development, which subsidizes the New Brunswick
housing program.
Judge
Ackerman told Walker to surrender to the federal Bureau of Prisons by
Feb. 12.
Walker
pleaded guilty on April 30 and admitted that he accepted bribes from
two contractors and failed to report the approximately $112,500 in corrupt
cash payments on his federal tax returns for tax years 2004, 2005 and
2006. He pleaded guilty to one count of extortion under color of official
right and one count of tax evasion.
"Walker
was at the top of a deeply corrupted housing rehabilitation program
in New Brunswick," said Marra. "He proved to be the most greedy
among the corrupt public employees we prosecuted and received an appropriately
long prison sentence."
From
2002 to November 2006, Walker was the director of the Neighborhood Preservation
Project for New Brunswick's Department of Community Planning and Economic
Development. Walker's responsibilities included approving funding and
contracts for the rehabilitation of substandard conditions in homes
owned by qualified low-or-moderateincome owners within the City of New
Brunswick.
Walker admitted at his plea hearing that between about January 2004
and September 2006, he had agreements with two construction and maintenance
contractors doing business with the City of New Brunswick - Friendly
Maintenance, based in Middlesex County, and Taj Maintenance, based in
Perth Amboy.
Walker
admitted that he accepted monthly cash payments of between $1,000 and
$3,500 in exchange for his rewarding contracts to Friendly Maintenance
valued at more than $1.3 million.
Walker
admitted that, with Taj Maintenance, he initially accepted cash payments
of about 7 percent of the value of each rehabilitation contract he awarded
the company. In 2006, he said he began accepting about $2,000 per month
from Taj Maintenance. In exchange for the corrupt payments, Walker admitted
that Taj Maintenance received rehabilitation payments of more than $900,000
from the City of New Brunswick. Marra credited Special Agents of the
FBI's Franklin Township Resident Agency, under the direction of Special
Agent in Charge Weysan Dun in Newark; Special Agents of the HUD Office
of the Inspector General, under the direction of Special Agent in Charge
Renee Febles; and Special Agents of the IRS Criminal Investigation Division,
under the direction of Special Agent in Charge William P. Offord, with
the Middlesex County corruption investigation. The investigation also
was assisted by investigators from the Middlesex County Prosecutor's
Office, under the direction of Middlesex County Prosecutor Bruce J.
Kaplan, and New Brunswick Police Department, under the direction of
Police Chief Anthony Caputo.
The
Walker case was prosecuted by Assistant U.S. Attorneys Brian R. Howe
and Hope S. Olds of the U.S. Attorney's Special Prosecution's Division
in Newark.
Defense
counsel:
Jeffrey M. Kolansky, Esq.