Funds

Former borough manager in Cumberland County accused of mismanaging funds


NEWVILLE RESIDENTS ARE PAYING THE PRICE. THERE WAS A LOT OF ROBBING PETER TO PAY PAUL, AND THAT HAS LED TO CRIMINAL CHARGES, INCLUDING TAMPERING WITH PUBLIC RECORDS AND ACCESS DEVICE FRAUD AGAINST FORMER LONGTIME NEWVILLE BOROUGH MANAGER FRED PATZER. IT IS ALLEGED THAT PATZER IMPROPERLY UTILIZED UTILIZE NEW VILLE WATER AND SEWER AUTHORITY MONIES TO PAY FOR NEWVILLE BOROUGH EXPENSES. ONE EXAMPLE THE DA CITED WAS PURCHASING A NEW POLICE VEHICLE. HE SAYS THERE WERE DOZENS MORE THAT PATZER THEN COVERED THEM UP TO THE TUNE OF HUNDREDS OF THOUSANDS OF DOLLARS OVER A FIVE YEAR PERIOD. THIS WAS IN AN EFFORT TO COVER UP HIS MISMANAGEMENT AND MISAPPROPRIATION OF NEWVILLE FINANCIAL FUNDS. THE BOROUGH TREASURER DISCOVERED IRREGULAR WHEN PATZER BECAME ILL, AND IN DECEMBER OF 2022, THE DISTRICT ATTORNEY SAYS THERE’S NO EVIDENCE HE PUT MONEY INTO HIS OWN POCKET. BUT THE FINANCIAL MANEUVERING HAS LEFT NEWVILLE RESIDENTS PAYING THE PRICE. PROPERTY TAXES PRETTY MUCH DOUBLED, AND, UM, THE ITE TAX, BECAUSE WITH ACT 47, YOU NOW HAVE THE ABILITY TO RAISE ITE TAX. THERE HAVE ALSO BEEN LAYOFFS AND NEWVILLE FILED FOR DISTRESSED COMMUNITY STATUS. THE BOROUGH COUNCIL PRESIDENT TELLS ME THERE ARE ALSO NOW CHECKS AND BALANCES IN PLACE TO PREVEN

Cumberland County district attorney charges former Newville manager with mismanaging funds

Cumberland County District Attorney Sean McCormack filed felony charges, including tampering with public records and access device fraud, against former longtime Newville Borough Manager Fred Potzer.Authorities said Potzer used funds from other accounts, such as the Water and Sewer Authority, to pay borough expenses to the tune of several hundred thousand dollars and cover up the transactions.A police affidavit alleges Potzer did it because there was no money coming into the borough, and he was “robbing Peter to pay Paul.”The district attorney said there were dozens of transactions, including using Authority money to buy a new police vehicle.Potzer is free on $10,000 dollars bail. A call to his attorney was not returned.He’s scheduled for a preliminary hearing on the charges in May.The borough treasurer discovered irregularities when Potzer became ill in 2022. The financial maneuvering left Newville residents paying the price. Property taxes doubled, and the earned income tax was raised. There were layoffs, and the borough filed for distressed community status. The borough council president said checks and balances are now in place to prevent this from happening again.

Cumberland County District Attorney Sean McCormack filed felony charges, including tampering with public records and access device fraud, against former longtime Newville Borough Manager Fred Potzer.

Authorities said Potzer used funds from other accounts, such as the Water and Sewer Authority, to pay borough expenses to the tune of several hundred thousand dollars and cover up the transactions.

A police affidavit alleges Potzer did it because there was no money coming into the borough, and he was “robbing Peter to pay Paul.”

The district attorney said there were dozens of transactions, including using Authority money to buy a new police vehicle.

Potzer is free on $10,000 dollars bail. A call to his attorney was not returned.

He’s scheduled for a preliminary hearing on the charges in May.

The borough treasurer discovered irregularities when Potzer became ill in 2022.

The financial maneuvering left Newville residents paying the price. Property taxes doubled, and the earned income tax was raised. There were layoffs, and the borough filed for distressed community status.

The borough council president said checks and balances are now in place to prevent this from happening again.



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