Garret Strathearn, Pay-to-Play Scheme, Pennsylvania 2026

Former Allentown Finance Director Sentenced in Pay-to-Play Scheme

PHILADELPHIA – In a move to bring closure to a long-running corruption case, Garret Strathearn, the former finance director of Allentown, Pennsylvania, was sentenced to 5 years’ probation for his role in a pay-to-play bidding scheme involving former Allentown Mayor Edwin Pawlowski.

Strathearn pleaded guilty in December 2016 to conspiracy to commit mail and wire fraud and later testified at Pawlowski’s trial in January 2018. He admitted to playing a critical role in steering the city’s delinquent real estate tax collection contract to Pawlowski’s preferred vendor, Northeast Revenue, in contravention of the standard process employed by the city to award contracts.

In return for the contract, Northeast Revenue made political contributions to Pawlowski’s failed campaigns for Pennsylvania Governor and United States Senate. Strathearn’s co-conspirators included Michael Fleck, a campaign consultant; James Hickey, a business consultant; Francis Dougherty, the Allentown Managing Director; and Dale Wiles, an Allentown Assistant City Solicitor, who all pleaded guilty and similarly admitted to steering contracts to Pawlowski’s preferred vendors.

“Strathearn’s criminal conduct contributed to Ed Pawlowski’s pay-to-play business model, which Pawlowski brazenly operated out of the Allentown City Hall,” said Deputy U.S. Attorney Louis D. Lappen. “Taxpayers have a right to expect that public officials have the interests of the entire city in mind, not just the interests of their political cronies. And businesses have a right to expect that when they submit contract proposals, they will be judged on the merits rather than on the size of their campaign contributions.”

The sentence handed down today underscores the efforts to enforce the law and ensure public trust. Those contemplating similar conduct should stop in their tracks and consider the consequences of taking the next step.

Strathearn was also ordered to pay a $5,000 fine and a $100 special assessment. His 5-year probation term will include the first six months of home confinement with electronic monitoring.

This case was investigated by the FBI and IRS Criminal Investigations. The case was prosecuted by Assistant United States Attorneys Anthony J. Wzorek and Michelle L. Morgan.

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