While Philadelphia Gas Works (PGW) is in the midst of defendinga 30% rate hike request, the Philadelphia District Attorney hasfiled criminal charges against four former PGW executives for theftand misuse of company funds. The action was sparked by aPhiladelphia County Grand Jury investigation.

The jury alleges the former executives used their company creditcards on personal expenditures such as art, hotel stays and homeimprovement projects. Deborah Perry Estrin, James Hawes III,Gregory Martin and Ramon Sharbutt were all charged with multiplecounts of theft, with some receiving additional charges ofconspiracy, forgery and the receiving of stolen property. Thecharges range from misdemeanors which could just mean probation, tothird-degree felonies which can carry a maximum sentence of sevenyears in prison. Hawes was PGW’s former CEO, Martin its COO,Sharbutt its CFO, and Estrin its human resources director.

District Attorney Office spokeswoman Cathie Abookire said allfour of the suspects’ attorneys had been notified, and Martin hadalready turned himself in and is awaiting arraignment. Abookiresaid that this ends the current investigation.

The charges come as the latest addition to the utility’s recenttroubles. In July the Pennsylvania Public Utility Commission took overrate-setting and customer complaint handling for the flounderingcompany after it had experienced computer system problems, debt, andcustomer discontent. Last year’s brand new $70 million computer systemover-billed some customers, and did not bill others at all (see DailyGPI, July 5). PGW serves 518,00 gascustomers in the Philadelphia area.

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