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East Orange officials and William Mowell, former assistant executive director of the East Orange Water Commission, pictured right, have been facing a lawsuit by a former commission employee. (File photo/New Jersey Department of Corrections)

(File photo/New Jersey Department of Corrections)

EAST ORANGE — A tentative settlement has been reached in a lawsuit over an effort to hide elevated levels of an industrial solvent in drinking water pumped to residents in the city and neighboring South Orange.

The agreement would resolve a lawsuit filed by former East Orange Water Commission employee Thomas Valenza involving claims that the commission’s former executive director, Harry Mansmann, and former assistant executive director William Mowell schemed to hide the water contamination.

Mansmann and Mowell were both indicted in February 2013 on criminal charges related to the alleged scheme. Mansmann later died and Mowell was sentenced on Dec. 12 to three years in state prison after pleading guilty.

In the lawsuit, which was initially filed in April 2013 in New Jersey Superior Court, Valenza alleges he was directed to turn off contaminated wells before collecting samples, but he refused to do so. Valenza was later “forced to retire,” after learning about illegal activity at the agency, the lawsuit states.

In addition to Mansmann’s estate and Mowell, East Orange and the East Orange Water Commission are named as defendants in the lawsuit.

Howard Mankoff, the attorney representing Mowell in the lawsuit, said “the case is basically settled.”

“The parties came to an agreement at mediation and we are waiting for the East Orange Water Commision to approve the settlement,” Mankoff said on Wednesday in a phone interview.

Mankoff declined to provide specifics about the settlement agreement, but said it does not include admissions of wrongdoing by any defendant.

In a statement provided by a city spokeswoman, East Orange officials said: “This is an issue being handled by the East Orange Water Commission. As it is a pending legal matter, the city has no comment at this time.”

Valenza’s attorney, Luanne Peterpaul, declined to comment on the case.

Valenza, who began working for the commission in February 1993, retired in July 2011, records show.

The New Jersey Attorney General’s Office has said Mansmann and Mowell conspired to falsify testing results and hide elevated levels of tetrachlorethene in order to avoid building an expensive water purification plant that would remove the chemical from the water supply.

Exposure to the chemical, used for dry cleaning and other purposes, over a prolonged period of time is a potential cancer risk, federal health officials said. The state Department of Environmental Protection, however, conducted its own testing of the water system and found the water quality is safe.

As part of the scheme, Mowell has said that in March and April 2011, he took samples after contaminated wells had been turned off for several days. He admitted knowing the test results would not accurately reflect the water supply once those wells were restarted.

In an effort to flush the chemical from the most contaminated well – which had levels as high as 25 times the safe drinking limit – Mowell has admitted that he and Mansmann had water from that well pumped onto the bank of the Passaic River in Florham Park.

The two men also issued a false public notice, claiming that pumping had been reduced from certain wells on an ongoing basis and that the chemical levels were in line with state standards, state authorities said. The pair had only reduced pumping from contaminated wells temporarily for sampling, and the chemical levels were too high, authorities said.

In the wake of the criminal charges against Mansmann and Mowell, East Orange Mayor Lester Taylor III demanded the resignations of four of the five water commissioners.

Two of the commissioners resigned, but commissioners Khalid Wright and Darryl Walls opted for a public hearing in front of the city council. The council voted last month not to dismiss Wright and Walls.

The lawsuit filed by Valenza suggests problems at the commission over the course of several years.

According to Valenza’s lawsuit, Mansmann began in 2006 to “systematically harass Plaintiff for reporting violations and refusing to violate regulations.”

Mansmann accused Valenza of “trying to ‘annihilate’ the water department for reporting unsatisfactory test results in accordance with federal and state regulations,” the lawsuit states.

When Valenza tried to speak with Mansmann in 2008 regarding contaminated wells, Mansmann allegedly indicated he didn’t care and said “I drink diet soda,” according to the lawsuit.

Valenza later sent a memo to the water commissioners, asking to discuss water quality concerns, but he didn’t hear back, the lawsuit states.

In late 2008, Mansmann told Valenza “it was alright” to turn off contaminated wells before collecting samples and then turn the wells on again, the lawsuit states. But Valenza continued to operate in accordance with state regulations, the lawsuit states.

After the commission had received a notice of violation from the state in regard to the level of tetrachlorethene in the water supply, Mansmann allegedly directed Valenza and another employee in March 2011 to turn off contaminated wells for two days before collecting samples and then restart the wells, according to the lawsuit.

Valenza was later told to follow Mowell’s directives concerning sample collection and reporting and “threatened that if he does not, the next conversation would be concerning Plaintiff’s insubordination,” the lawsuit states.

Valenza became “emotionally distraught over the hostile work environment” and took a sick leave in April 2011, the lawsuit states. While Valenza was on leave, Mowell allegedly turned off the contaminated wells and collected samples on three separate occasions, the lawsuit states.

Soon after, Valenza told the defendants that he needed a “leave of absence due to the emotional distress and hostile work environment,” the lawsuit states.

The lawsuit states that Valenza “grew very concerned with the conduct and the failure of anyone to listen to his concerns and reports.”

“The work environment became more alarming. Plaintiff became aware of activity that was in violation of state law,” the lawsuit states. “Plaintiff could no longer physically and mentally tolerate the treatment he was receiving.

“The violations by the Defendants continued and Plaintiff could not return to work.”

Bill Wichert may be reached at bwichert@njadvancemedia.com. Follow him on Twitter @BillWichertNJ. Find NJ.com on Facebook.