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Former Newark Deputy Mayor Sentenced in Bribery Scheme Involving City Development Projects

Newark

By: Richard L. Smith 
 

A former high-ranking Newark official has been sentenced to federal prison for his role in a bribery and kickback scheme tied to the redevelopment of city-owned properties.

According to information released by U.S. Attorney Robert Frazer, Carmelo Garcia, 51, was sentenced on June 3 to 12 months and one day in prison, followed by three years of supervised release.
 

Garcia previously served as Newark’s Deputy Mayor and Director of the Department of Economic and Housing Development (DEHD). 

He also held leadership positions with the Newark Community Economic Development Corporation (NCEDC), now known as Invest Newark.
 

Federal prosecutors said Garcia admitted accepting cash payments, jewelry, and other benefits from real estate developers Frank Valvano Jr. and Irwin Sablosky in exchange for using his influence to advance their redevelopment interests in Newark.

 

Garcia pleaded guilty to conspiracy to defraud the City of Newark and the NCEDC of honest services, honest services wire fraud, and receiving bribes connected to the business of a federally funded local government and organization.
 

According to court documents, the scheme operated between 2017 and April 2019. 

Prosecutors said Garcia used his positions within Newark city government and the NCEDC to help secure preliminary designation letters and redevelopment agreements that enabled Valvano and Sablosky to acquire and redevelop Newark-owned properties.
 

Authorities said Garcia also received luxury jewelry, including high-end watches and chains, through a jewelry and pawn business connected to the developers.

 

Investigators uncovered extensive phone records and text messages showing frequent communication between Garcia, Valvano, Sablosky, and others involved in the scheme. 

In one instance cited by prosecutors, Garcia allegedly accepted an envelope containing $25,000 in cash during a meeting in the restroom of a New Jersey restaurant in June 2018 while serving as Acting Deputy Mayor and DEHD Director.

 

Garcia was originally charged in October 2021 alongside Valvano, 57, of Florham Park, and Sablosky, 66, of Springfield. 

Both men previously pleaded guilty to conspiracy to commit honest services wire fraud and bribery and have already been sentenced.

 

The case was prosecuted by federal authorities as part of an ongoing effort to combat public corruption and protect the integrity of government decision-making in New Jersey.