Contractor May Face Federal Indictment For Alleged Overbilling

OKLAHOMA CITY (AP) -- A local contractor whose company is accused of fraudulently overbilling Oklahoma Gas and Electric Company may face a federal indictment.<br/><br/>Assistant U.S. Attorney Scott Williams

Saturday, May 12th 2007, 10:22 pm

By: News On 6

OKLAHOMA CITY (AP) -- A local contractor whose company is accused of fraudulently overbilling Oklahoma Gas and Electric Company may face a federal indictment.

Assistant U.S. Attorney Scott Williams said Friday that a federal grand jury may be asked to return an expanded indictment against James E Newman. Newman declined a plea agreement that involved him pleading guilty to one count of filing a fraudulent
income tax return in 2001.

Newman's company, Terra Tech, previously was ordered to pay OG&E $210,586 after the company declined to contest a civil lawsuit that accused it of using three types of
schemes to overbill the utility on 25 separate jobs.

Terra Tech did more than $11.4 million in work for OG&E.

The FBI has been investigating whether Newman treated OG&E employees to casino stays and expensive gifts as kickbacks.