New York public housing bribery case ends with a milestone 70 convictions
Seventy NYCHA employees were convicted of bribery, fraud, and extortion, accepting over $2.1 million in kickbacks linked to $15 million in no-bid contracts, authorities said.
- On Tuesday, Seventy New York City Housing Authority employees were convicted, capping a decade-long scheme where public housing staff steered work to contractors.
- Staff extracted cash kickbacks, demanding $500 to $2,000, typically about 10% to 20% of contract value, sometimes before work was signed off, investigators found.
- City records show workers pocketed over $2.1 million from bribes linked to $15 million in no-bid contracts, and authorities ordered more than $2.1 million restitution plus $2 million forfeiture.
- Prosecutors said 56 felony pleas, 11 misdemeanor pleas and three trial convictions arose from charges including bribery, fraud and extortion, with U.S. Attorney Jay Clayton condemning defendants for `attempting to criminally leverage the contracting process.`
- The scheme affected nearly a third of NYCHA's 335 developments across five boroughs, raising concerns as tenants report rodents, mold and outages while NYCHA receives over $1.5 billion in federal funding annually.
12 Articles
12 Articles
New York public housing bribery case ends with a milestone 70 convictions
Prosecutors have secured the 70th and final conviction of a massive corruption probe into New York City's public housing. The decade-long bribery scheme involved public housing employees who steered work to contractors in exchange for bribes. The arrests in February…
New York public housing bribery case ends with a milestone 70 convictions
NEW YORK (AP) — The 70th and final conviction in a sweeping New York City corruption probe was secured on Tuesday, concluding a decade-long bribery scheme in which public housing employees steered work to contractors in exchange for bribes. The arrests in February 2024 were the largest single-day bribery takedown in the history of the U.S. Justice Department, prosecutors said, and targted current and former employees of the New York City Housing…
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