Warren Couple Charged With Filing False Superstorm Sandy Relief Application

Warren, NJ -- A married Warren couple have been charged with theft today after they received more than $80,000 by filing fraudulent applications for federal relief funds related to Superstorm Sandy, said Acting Attorney General John J. Hoffman.

Laura Cortese, 53, and Anthony Cortese, 53, are alleged to have falsely claimed that a storm-damaged property they own on Fremont Avenue in Seaside Heights, was their primary residence at the time Sandy hit, Hoffman said.

It is alleged that, in reality, their primary residence was in Warren, and the property in Seaside Heights was a summer home.

Together the couple filed an application for a low-interest SBA disaster-relief loan. They were approved for a $64,000 SBA loan, but ultimately accepted and received just $40,000 in loan proceeds, according to Hoffman.

The other applications were filed solely by Laura Cortese and resulted in the receipt of an additional $40,998 in relief funds, for a total of $80,998 in federal and state grant and loan funds received between the two defendants.

Laura applied for FEMA assistance and state grants under the Homeowner Resettlement Program (RSP) and the Reconstruction, Rehabilitation, Elevation and Mitigation (RREM) Program. She received $28,875 in FEMA rental assistance. She also received a $10,000 RSP grant and a $2,123 RREM grant payment.

Laura Cortese is charged with second-degree theft by deception and fourth-degree unsworn falsification.

Anthony Cortese is charged with third-degree theft by deception and fourth-degree unsworn falsification.

Second-degree charges carry a sentence of five to 10 years in state prison and a fine of up to $150,000. Third-degree charges carry a sentence of three to five years in state prison and a fine of up to $15,000, while fourth-degree charges carry a sentence of up to 18 months in state prison and a fine of $10,000. The charges are merely accusations and the defendants are presumed innocent until proven guilty.

Since March 2014, the Attorney General’s Office has filed criminal charges against 45 people for allegedly engaging in this type of fraud, including the eight individuals charged today.

The Attorney General’s Office is continuing its aggressive efforts to investigate fraud in Sandy relief programs, working jointly with the New Jersey Department of Community Affairs (DCA) and the Offices of Inspector General of the U.S. Department of Homeland Security, the U.S. Department of Housing and Urban Development (HUD), and the U.S. Small Business Administration (SBA).

“These individuals are alleged to have callously stolen Sandy relief funds, diverting aid from deserving recipients and forcing administrators to police this fraud instead of working exclusively to assist those hardest hit by the storm,” said Acting Attorney General Hoffman. “At a time when so many stepped up to help others, these defendants are alleged to have crookedly helped themselves.”

“While the facts vary, the common element in all of these cases is that the defendants shamelessly lied in order to qualify for relief funds that they knew they were not entitled to receive,” said Director Elie Honig of the Division of Criminal Justice. “Our goal in these joint efforts is to recover the stolen funds and also to send a clear message that this type of fraud will be met with serious criminal charges, now and during any future disaster relief efforts.”