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Engineering firm sues John Engerman’s Strategy Group, claiming $72K in unpaid disaster recovery fees

John Engerman, owner of the business consulting firm Strategy Group VI LLC, is being sued by the engineering firm WM Williams Partners VI LLC for allegedly owing $72,000 for project management services.
www.vidol.gov/workforcesummit2021/
John Engerman, owner of the business consulting firm Strategy Group VI LLC, is being sued by the engineering firm WM Williams Partners VI LLC for allegedly owing $72,000 for project management services.

ST. CROIX — A St. Thomas–based engineering firm filed a lawsuit today in Superior Court alleging a business consulting firm owes it $72,000 for project management services connected to federally funded disaster recovery work following the 2017 hurricanes.
           
WM Williams Partners VI LLC, an engineering firm owned by Winston M. Williams Jr. that provides project management services, filed the complaint through its attorney against the business consulting firm Strategy Group VI LLC and its owner, John Engerman.
           
The dispute between WM Williams Partners and Strategy Group VI, also known as The Strategy Group, or TSG, stems from reconstruction projects undertaken in the aftermath of Hurricanes Irma and Maria, according to the complaint, which was filed by attorney Sharmane Davis-Brathwaite, of Brathwaite Law LLC.
           
Strategy Group VI served as a subcontractor to Witt O’Brien’s USVI LLC on various reconstruction projects for the Virgin Islands government and the PFA’s Office of Disaster Recovery. WM Williams Partners alleges it was retained by TSG to provide independent project management services in support of those contracts.
           
The plaintiff claims the parties agreed around May 26, 2024 on a compensation structure under which WM Williams Partners would be paid hourly for certain government projects and receive a percentage of invoiced amounts on the ODR project. That agreement was allegedly memorialized in a spreadsheet prepared by TSG.
           
However, the lawsuit alleges that in September 2024, TSG reduced the plaintiff’s payment on the ODR project, citing a purported reduction in its $1.5 million subcontract with Witt O’Brien’s. WM Williams Partners contends it had already performed its services and was entitled to be paid based on the originally agreed amount. The engineering firm claims it is owed $27,291.23 on the ODR project alone and says Strategy Group VI has refused repeated requests to produce documentation supporting the alleged reduction in the subcontract.
           
Strategy Group VI, in a statement to WTJX in response to a request for comment, acknowledged that an outstanding balance is the subject of a pending legal matter. After indicating it does not comment on active litigation, the company provided “appropriate context.”
           
“Strategy Group VI has not yet been paid by its primary contractor for certain disaster recovery work performed in the territory,” according to the statement. “As a result, downstream payments to vendors have been delayed. This payment sequencing challenge is common throughout the U.S. Virgin Islands, where many disaster recovery firms remain unpaid or partially paid for extended periods, including prime contractors.”

Strategy Group VI LLC, also known as The Strategy Group, or TSG, is a St. Thomas-based business consulting firm owned by John Engerman.
WTJX/Jose Bultes
Strategy Group VI LLC, also known as The Strategy Group, or TSG, is a St. Thomas-based business consulting firm owned by John Engerman.

In one count of the complaint, WM Williams Partners seeks an equitable accounting of the money Witt O’Brien’s paid to Strategy Group VI for the ODR project, arguing it lacks access to TSG’s agreements with Witt O’Brien’s and has no adequate remedy at law without court intervention.
           
The lawsuit also alleges unjust enrichment in a second count, claiming Strategy Group VI and Engerman improperly allocated project revenues by including another Engerman-affiliated company, 3 Tech Isles LLC (3TI), for a 66% distribution. The plaintiff alleges that 3TI, incorporated in the Virgin Islands for software- and computer-related activities, was not licensed to perform project management services for the ODR project and that its inclusion reduced WM Williams Partners’ compensation. The complaint further alleges that the plaintiff’s experience and expertise working on multimillion-dollar construction projects was unmatched by TSG.
           
According to Strategy Group VI’s statement, 3TI did not contract with TSG’s primary contractor nor any public entity and did not provide licensed professional services to any public agency.
           
“Any individual support was requested by and compensated directly by Strategy Group VI as an independent contractor,” the statement reads. “No licensing issue exists.”
           
In a third count relating to debt, WM Williams Partners claims TSG owes a total of $45,560 for hourly-billed services on government projects, in addition to the $27,291.23 allegedly owed for the ODR work for a total of $72,851.23. The complaint states that TSG acknowledged in October 2024 that the plaintiff had not been paid in full for its services.
           
Strategy Group VI, according to its statement, has acted in good faith and has paid its vendors when funds were received from the prime contractor.
           
“We remain committed to resolving all outstanding obligations once funds are received,” according to Strategy Group VI. “The matter will be addressed through the appropriate legal process.”

The lawsuit seeks a full accounting of payments made by Witt O’Brien’s to the defendants during the relevant period, pre- and post-judgment interest, reimbursement of costs and attorney’s fees, and any other relief the court deems appropriate.

Engerman served as Governor Albert Bryan Jr.’s territorial campaign manager during the successful 2018 gubernatorial race.

Tom Eader is the Chief Reporter for WTJX. Originally from South Bend, Indiana, Eader received his bachelor's degree in journalism from Ball State University, where he wrote for his college newspaper. He moved to St. Croix in 2003, after landing a job as a reporter for the St. Croix Avis. Eader worked at the Avis for 20 years, as both a reporter and photographer, and served as Bureau Chief from 2013 until their closure at the beginning of 2024. Eader is an award-winning journalist, known for his thorough and detailed reporting on multiple topics important to the Virgin Islands community. Joining the WTJX team in January of 2024, Eader brings a wealth of experience and knowledge to the newsroom. Email: teader@wtjx.org | Phone: 340-227-4463
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