It's either a problem in speech-dispatcher itself (though that's less likely) or in the module it's set up to use by default. It's probably best to try the following with logging enabled and send logs to the list to help diagnose:
1. Enable logging by changing your ~/.config/speech-dispatcher/speechd.conf file (Set LogDir to something reasonable for your device)
2. Try to recreate by sending some text with spd-say "Some text with\n newlines\n here" or something.
3. Try recreating again from within Orca, but with logging enabled.
With logs from those we can probably figure out what's wrong and fix it.