A longtime Morrow official has been indicted on charges he circumvented state laws to build Olde Towne Morrow, a $13 million village of shops, offices and restaurants that now sits empty near Southlake Mall.

John James Lampl II, a recently ousted city councilman who is running for Morrow mayor, was arrested on Little St. Simons Island on Friday and posted $80,000 bond over the weekend. He faces 16 felony counts that include failure to comply with laws regarding public works contracts that require public bidding, false statements involving business contracts and authorizing the use of residential fire sprinklers in a commercial development, and perjuring himself before a grand jury on June 17.

Lampl told the grand jury that Olde Towne Morrow had no debt and was paid for when, in fact, there was a $10 million bond involving the property, Clayton County District Attorney Tracy Graham Lawson said. Lampl's job did not give him authority to sign off on the sprinklers or enter into contracts with the moving company that transported houses to the Olde Towne Morrow site.

Attempts to reach Lampl were unsuccessful. Most of the indictments cover a time when Lampl was Morrow's city manager and economic developer, from 2006 to last year. Lampl, 46, faces up to 85 years in prison if convicted. An arraignment is likely in July or August.

Morrow's mayor and city council alerted the Clayton County District Attorney's office after noticing irregularities in an independent audit done on Olde Towne Morrow last year.

"Public officials and public servants are on notice that they need to follow the laws that apply to their positions or be subject to prosecution for their failure to do so," Lawson said.

Lampl has been with the city of Morrow in some capacity for two decades. He served on the city council, worked as city manager for 10 years and was executive director of the Downtown Development Authority before returning to the city council last year in a special election. He was removed from the city council in May.

“The research we’ve been doing over the past several months leads us to believe this [indictment] is a good thing,” said Paula DeTar, a member of the activist group Morrow Citizens for Better Government.

Intended as a magnet for tourists and businesses, Olde Towne Morrow was supposed to offer shops, restaurants and office buildings. Old homes were moved to the 16-acre site and were going to be turned into office or restaurant space, with one briefly in operation. A wooden covered bridge was added to the site, which sits between I-75 and Southlake Mall. The complex, which is owned by the Morrow Downtown Development Authority, resembles a deserted town.

"The black cloud that hangs over Olde Towne Morrow combined with the economy makes it a real difficult issue to deal with right now," said City Manager Jeff Eady. "[The case] will not change our day-to-day operation.We have a lot of important business to take care of and that includes figuring out what to do with Olde Towne Morrow."