Ex-Mayor of Newark Indicted on Corruption

NEWARK, N.J. — A federal grand jury indicted a former Newark Mayor, Sharpe James, on corruption charges Thursday, accusing him of fraud in the sale of city-owned land and using city credit cards to spend extravagantly on himself and several women.The 33-count indictment charges Mr. James with allegedly facilitating and approving the cut-rate sales of city-owned land to a female companion.Mr. James, 71, is also charged with using the credit cards for himself and eight women during vacations and trips to locations such as Puerto Rico, Martha’s Vineyard, the Dominican Republic and Rio de Janeiro, U.S. Attorney Christopher J. Christie and state Attorney General Anne Milgram announced.“The allegations in this indictment are stark examples of the greed and arrogance of unchecked power,” said Mr. Christie, who said the investigation was still continuing. “When Sharpe James had a choice between enriching himself or helping the people of Newark, he chose self-enrichment.”Mr. James, also a state senator since 1999, voluntarily surrendered to the FBI after the indictment was announced; he was to appear in federal court later Thursday.His lawyer declined to comment Thursday.A female companion, Tamika Riley, allegedly made more than $500,000 from the land sales and is also charged with fraud, authorities said. She was arrested by the FBI and was also expected in court Thursday.Ms. Riley, 38, of Jersey City, is a publicist and former clothing store operator in Newark.The credit card charges occurred between 2001 and 2006 and total more than $58,000. Some of the charges include luxury hotel suites, expensive meals, airfare, car rentals including one for a Jaguar convertible, and a trip to Florida to test drive a Rolls-Royce the former mayor was considering purchasing, according to the indictment.In one case, Mr. James allegedly used a city credit card to pay for a penthouse suite on a cruise scheduled for six weeks after he left office in 2006.The indictment charges Mr. James improperly steered properties to Ms. Riley, and that she, with Mr. James’s help, quickly resold at least seven properties at much higher prices. Ms. Riley was able to buy the properties though she lacked real estate and construction experience and the financial wherewithal to rehabilitate the properties, the indictments alleges.Meanwhile, Ms. Riley raised and donated campaign funds for Mr. James and traveled internationally with him, enjoying vacations and meals partly funded by the city credit cards, the indictment alleges.The former mayor has said little publicly since federal investigators notified him he was the target of a corruption probe last month.In a handwritten letter to The Associated Press dated June 16, Mr. James said he never had the power to broker land deals or set prices by himself.Mr. James served as the mayor of New Jersey’s largest city for 20 years before announcing last year he wouldn’t seek re-election. He’s also said he won’t seek another Senate term.Mr. James first joined Newark city council in 1970 and his election in 1986 made him the city’s second black mayor.He earns $49,000 a year as a senator and collects an annual pension of about $125,000 from Newark.Additionally, he accrued more than $1 million in a retirement account at Essex County College, where he worked two decades ago.Last week he withdrew $500,000 from his retirement account, a state Treasury Department spokesman, Tom Vincz, said.

Ex-Mayor of Newark Indicted on Corruption

Ex-Mayor of Newark Indicted on Corruption

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