By Curt Guyette
December 20, 2016
Excerpt: “The false pretenses charges brought against former emergency managers Darnell Earley and Gerald Ambrose “are based on the Defendants gaining authorization to borrow millions using the alleged reason of an environmental calamity,” according to a statement issued by Schuette’s office.
“Without the funds from Flint,” the statement continued, “the Karegnondi Water Authority (KWA) Pipeline would have to be mothballed. However, as a bankrupt city, Flint needed the Michigan Department of Treasury’s approval to get loans.”
Earley and Ambrose face a maximum penalty of 20 years in prison if convicted of false pretenses for the loan scheme—which, Todd Flood, special Flint water crisis prosecutor appointed by Schuette, described as a “classic bait-and-switch.”
Along with Earley and Ambrose, former Flint public works officials Howard Croft and Daugherty Johnson were each charged with two felonies alleging that they helped obtain the loan under false pretenses. They are also accused of allowing the Flint water treatment plant to begin operation before it was ready to adequately treat the river water.”