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Report Fraud, Waste and Abuse
Date Published
January 29, 2014
News Type
Article
Link to Original
Lansing State Journal

GRAND RAPIDS — A St. Johns businessman has pleaded guilty to charges that he submitted false claims to the U.S. Department of Housing and Urban Development, federal prosecutors announced today.

James Ortman, 58, admitted earlier this month to defrauding HUD out of a $200,000 grant in 2008 for a facade project for a building in downtown St. Johns. He also admitted to defrauding the government on another grant for an apartment complex in St. Johns that was never completed. The amount of that grant was not disclosed by prosecutors.

Ortman, of Maple Rapids, faces up to 5 years in prison, a $250,000 fine and could be ordered to pay restitution to HUD.

According to documents filed in U.S. District Court in Grand Rapids:

Ortman was awarded a grant for facade improvements in 2008 for his building located at the corner of Clinton and Walker streets in downtown St. Johns...