Credit: Tom Sofield/LevittownNow.com
The former maintenance director for the Bristol Township School District and two other men were charged via indictment Tuesday by federal authorities with one count of conspiracy and five counts of wire fraud.
Former maintenance director James N. Anders, Jr, 59, of Willow Grove; Patrick Squires, 58, of Voorhees, New Jersey; and Ernest Neff, 58, of Newtown, are accused of defrauding the taxpayer-funded school district to “advance their personal business interests,” United States Attorney Zane David Memeger said Tuesday afternoon.
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Federal prosecutors said in the indictment that Anders and Squires, who operated Healthcare Basics Inc., worked with Neff to defraud the district. The alleged fraud happened between September 2006 to September 2011 and cost the cash-strapped district $373,453.43, an FBI investigation found.
From the indictment:
Defendants James Anders Jr. and Patrick Squires agreed that a Squires-controlled company would submit the winning quote on a dozen BTSD maintenance department purchases of between $4,000 and $10,000. Defendant Squires determined which of his companies would submit quotes to defendant Anders. Defendants Squires, Ernest, Neff, and others acting at Squires’ direction, drafted quotes for the Squires companies. The Squires quotes were not intended to be competitive or to secure BTSD’s acceptance; rather, the Squires quotes were designed to mislead BTSD by giving the appearance of genuine competitive quotes and compliance with BTSD policy and state statute. Upon receipt of three quotes from Squires-related companies, defendant Anders submitted the lowest Squires quote for approval by BTSD officials, which accepted the recommendation.
In an effort to mislead district officials, Squires created additional business entities, including Township Supply, Bellows HVAC Supply and Supply Source, to submit quotes. Neff was also involved in creating some business entities to mislead the district, officials said. In some cases, Squires used legitimate businesses names without their permission, according to court documents.
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Prosecutors alleged that Nelson Service Group, which was operated by Anders, received contracts from the district without Anders stating he was involved, violating a district prohibition on self-dealing. Authorities said Anders attempted to hide the fact that he was self-dealing in district contracts, which included video systems to light repairs, by falsely invoicing the work under a Squires-controlled company.
In 2011, the same year federal authorities allege the scheme was taking place, the district was forced to lay off teachers to help cut back on expenses.
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If convicted on all charges, the three could each face a maximum possible statutory sentence of 105 years in prison, with an advisory guidelines range of 46-57 months, three years supervised release, a $1.5 million fine, a $600 special assessment, restitution of approximately $373,453.43 and forfeiture, a press release said.
Anders had an annual salary of $87,577 in 2011, according to Bristol Township School District records.
The case was investigated by the FBI and the United States Department of Education Office of Inspector General before heading to a grand jury. Assistant United States Attorney Joan E. Burnes is slated to prosecute the case.
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Bristol Township School District officials were not immediately available for comment Tuesday evening.
Click here to read a full copy of the indictment
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Editor’s Note: All individuals arrested or charged with a crime are presumed innocent until proven guilty. The story was compiled using information from police and public court documents.
