In the lawsuit, Synapse Technology claims that an official from Rich Township High School District 227 is holding the company's overtime pay in exchange for certain kickbacks, the Neighborhood Star reports.
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However, Synapse claims they were pressured to complete the project ahead of schedule, forcing them to ask for approval to pay its workers overtime. Licatesi approved the overtime, according to the suit.
The district reportedly paid Synapse $150,000, but allegedly refused to pay another $227,000 that it owed.
Licatesi told the Star the allegations were not true and that he doesn't "work like that."
"Never have, never will," Licatersi said. "I have 32 years working in the school systems. You can ask the hundreds of contractors I've worked with. Joe Licatesi does not take one single nickel."