Grand Jury indicts former Lawrence Twp. mayor for official misconduct, theft from job in Asbury Park

The former executive director of the Asbury Park Housing Authority, has been charged by a Grand Jury with 38 counts of official misconduct as well as theft and fraudulent use of a credit card during his tenure at the authority, Acting Monmouth County Prosecutor Christopher J. Gramiccioni said Monday.

A Monmouth County grand jury returned a 42-count indictment Monday against Mark W. Holmes Sr., 54, of Lawrence Township. He is charged with 22-counts of second degree official misconduct, 16-counts of third degree official misconduct, one count of second degree pattern of official misconduct, two counts of third degree fraudulent use of a credit card, and one count of second degree theft by deception, Gramiccioni said in a press release.

Authorities say that while employed with the Housing Authority, Holmes  - a former mayor and councilman in Lawrence Township - stole more than $75,000 "by diverting state grant funds, collecting reimbursements for unauthorized meals, and double-dipping on per diem payments when traveling."

The prosecutor said that prior to his job with the Housing Authority, Holmes worked as the executive director of the Asbury Park Housing Authority from December 2008 to June 2011. He had also worked as the deputy director of the authority.

"Just months before assuming the role as executive director, Holmes applied for and received a $99,897 grant award from the state Department of Labor and Workforce Development," the prosecutor said. "This Literacy Skills Training Grant was intended to provide training in computers and other marketable skills for Asbury Park public housing residents."

The prosecutor said that over the course of a year while serving as executive director for the Asbury Park Housing Authority, Holmes secure more than $75,000 in State Training Grant funds. However, an investigation revealed that he transferred $58,000 of those funds "to the APHA Community Development Corporation, an organization he created, and, rather than use the money for training purposes, Holmes used the money to fund a $50,000 salary increase for himself without APHA Board approval."

Authorities say he also opened up credit cards under the CDC he created and used the cards for personal expenses, totaling more than $30,000 in debt. He also took over 30 business trips, using money from the APHA to give himself advance payments totaling over $22,000, which the prosecutor said were intended for meal expenses. He then attempted to get reimbursed for these funds, although he had already paid himself in advance

"Holmes also used APHA funds for personal expenditures while on these trips, including spa treatments, hotel in-room movies, and gentlemen’s clubs.  On at least three occasions, he used APHA funds to pay for stretch limousine service to transport him and his family to and from the airport," the prosecutor said, adding that he also used funds from the authority to pay for meals in Lawrenceville and Asbury Park.

Holmes also used over $13,000 of APHA funds for unauthorized meal expenses in the Asbury Park and Lawrenceville areas.

Holmes is currently free after posting $70,000 bail. If convicted of second degree official misconduct, he could face to 10 years in a New Jersey state prison. If he's convicted of the third degree misconduct charges, he could face up to 5 years in a New Jersey state prison.

"The Official Misconduct charges are also subject to a mandatory period of parole ineligibility, forfeiture of any state pension benefits and a lifetime ban on public employment in New Jersey, as required by law," the prosecutor said in the press release, adding that the "pattern of official misconduct" charge carries up to 10 years in prison while fraudulent use of a credit card, carries a three to five year term and theft by deception another 10 years.