$450K In Sandy Fraud Alleged Against Woman, 2 Men

TRENTON, NJ — Three more people with homes in Ocean County have been charged with fraudulently receiving relief funds designated for victims of Superstorm Sandy, Attorney General Christopher S. Porrino announced Friday.

The charges bring the total number of those charged with Sandy relief fund fraud to more than 100, Porrino said.

The three are accused of filing fraudulent applications for relief funds offered by the Federal Emergency Management Agency. In many cases, they also applied for funds from a Sandy relief program funded by HUD, low-interest disaster loans from the Small Business Administration, or funds from the Department of Health and Human Services. The HUD funds are administered in New Jersey by the New Jersey Department of Community Affairs and the HHS funds are administered by the New Jersey Department of Human Services.

The following were charged Thursday:

• Janyn Pettyjohn, 57, of Washington, D.C. and Palm Coast, Fla., is accused of fraudulently receiving $243,226 in relief funds, including FEMA assistance, a low-interest SBA disaster-relief loan, and state grants under the Homeowner Resettlement Program and the Reconstruction, Rehabilitation, Elevation and Mitigation (RREM) Program. Authorities allege Pettyjohn falsely claimed a home she owns on Kearny Avenue in Seaside Heights that was damaged in Sandy was her primary residence at the time the storm struck, but that her primary home is in Washington and the Seaside Heights home is an investment/rental property. Pettyjohn received $5,090 from FEMA, $126,600 in SBA loan proceeds, $101,536 in RREM grant funds, and a $10,000 RSP grant. She is charged with second-degree theft by deception and fourth-degree unsworn falsification.

• Robert Zachok, 53, of Toms River is accused fraudulently receiving $158,525 in relief funds. Authorities allege Zachok claimed a home he owns on East Barnegat Way in Lavallette that was damaged by Sandy, was his primary residence, but that his primary home is in Toms River and the Lavallette home was a rental property. Zachok received a $10,000 RSP grant, RREM grant funds totaling $131,492, and $7,033 in SHRAP funds. Zachok is charged with second-degree theft by deception and fourth-degree unsworn falsification.

• William E. Thompson, 57, of Lavallette is accused of fraudulently receiving $41,448 in relief funds. Authorities allege Thompson claimed a home he owns on Sailfish Way in Lavallette that was damaged by Sandy was his primary residence when Sandy struck. Authorities allege his primary home was in Asbury Park at the time Sandy hit and that the Lavallette home was a vacation property. Thompson received $5,090 from FEMA, a $10,000 RSP grant, and $26,398 in RREM grant funds. Thompson is charged with third-degree theft by deception and fourth-degree unsworn falsification.

"It’s despicable that over 100 people saw fit to resort to fraud in the face of a historic disaster, allegedly stealing funds intended for those who were hardest hit," Porrino said. "At the same time, we’re heartened by the many who stepped up to help others and we’re proud of our historic collaborative efforts to fight fraud, which have recovered millions of dollars and sent an unmistakable message that those who commit this type of fraud will face serious criminal charges."

The new cases were investigated by detectives of the New Jersey Division of Criminal Justice and special agents and inspectors of the U.S. Department of Homeland Security Office of Inspector General, HUD Office of Inspector General, SBA Office of Inspector General, HHS Office of Inspector General and U.S. Postal Inspection Service. The National Insurance Crime Bureau assisted. Deputy Attorneys General Denise Grugan, Supriya Prasad, William Conlow and Derek Miller are prosecuting the new defendants under the supervision of Deputy Attorney General Michael A. Monahan, Chief of the Financial & Computer Crimes Bureau, and Deputy Attorney General Mark Kurzawa, Deputy Bureau Chief. Lt. David Nolan and Sgt. Fred Weidman conducted and coordinated the investigations for the Division of Criminal Justice, with others, including Detective John Pisano and Special Civil Investigators Jeff Gross and Ronald Rauer.

Photos of William Thompson, Janyn Pettyjohn and Robert Zachok provided by the state Attorney General's office