Investigators say Lao messaged the child, sent nude videos of himself and asked her to send nude photos in return.
It comes amid ongoing controversy surrounding EMR Recycling, which has been home to more than 12 fires in the last 5 years.
Another round of heavy rain swept through Camden on Thursday, flooding several roads, stranding drivers and renewing concerns just days after a similar storm.
Camden City Council voted unanimously against a settlement that would have allowed the phased reopening of EMR Recycling's waterfront facility.
Camden's mayor says the city saw the worst flooding since Super Storm Sandy in 2012.
Cleanup efforts continued after flash flooding inundated parts of Camden, leaving damaged homes, flooded basements and ruined vehicles.