Company hired to replace dangerous lead pipes in Newark faked $10.2M in work, feds say

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The CEO and a foreperson of JAS Enerprise Group have been charged.

A company hired to replace 18,000 dangerous lead water pipes in Newark billed the city for $10.2 million while using misleading photographs, federal authorities announced Thursday.

Hired by the city in 2019 for the Newark lead service line replacement, JAS didn’t bother to do the job, federal authorities said. Sanders, Sawyer and others then periodically submitted payment requests to the city, authorities said. A city official said residents were never in danger because a corrosion control knowns as orthophosphate had been used to coat the lead pipes.

“For years, lead pipes that transport drinking water to homes in Newark remained buried in the ground after the city hired a company to replace them,” Newark FBI acting Special Agent in Charge Nelson I. Delgado said in a statement.

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