HUD OIG performed the sixth of the ongoing audits of the Lower Manhattan Development Corporation’s (LMDC’s) administration of the Community Development Block Grant (Block Grant) Disaster Recovery Assistance funds provided to the State of New York following the September 11, 2001, terrorist attacks on the World Trade Center in New York City.  HUD has allocated $2.783 billion in Disaster Recovery Assistance funds to the LMDC.  OIG’s…

Bronx District Attorney Darcel D. Clark today announced that a former employee of New York City Housing Authority’s Throggs Neck Houses was indicted on Grand Larceny, Bribe Receiving and other public corruption-related charges for allegedly defrauding people of more than $20,000 by falsely claiming he would secure them better apartments. District Attorney Clark said, “This defendant allegedly used his position as a NYCHA employee to…

Less Than 22 Months After the Arrests—Which Were the Largest Number of Federal Bribery Charges on a Single Day in Department of Justice History—All 70 Charged Defendants Have Pled Guilty or Were Convicted at Trial for Accepting Cash PaymentsUnited States Attorney for the Southern District of New York, Jay Clayton, Commissioner of the New York City Department of Investigation (“DOI”), Jocelyn E. Strauber, Acting Inspector General of the U.S…

Jay Clayton, United States Attorney for the Southern District of New York, announced that COREY GILMORE, a former superintendent for the New York City Housing Authority (“NYCHA”), was sentenced today to one year and one day in prison for soliciting and accepting approximately $32,000 in bribes from contractors in exchange for awarding repair contracts or approving repair work worth at least approximately $215,000.  GILMORE’s sentence was…

Jay Clayton, United States Attorney for the Southern District of New York, announced that HECTOR COLON, a former superintendent for the New York City Housing Authority (“NYCHA”), was sentenced today to 18 months in prison for soliciting and accepting approximately $30,000 in bribes from contractors in exchange for awarding repair contracts or approving repair work worth at least approximately $400,000.  COLON’s sentence was imposed by U.S…

Firm Billed for Services after Devastating 2016 West Virginia FloodCHARLESTON, W.Va. – Acting United States Attorney Lisa G. Johnston announced today that Horne LLP, of Ridgeland, Mississippi, has agreed to pay the United States $1,207,600 to resolve civil allegations that it received improper payments from federal disaster recovery grant funds in connection with disaster recovery services it provided in 2017 and 2018 in West Virginia.On June…

Claims Relate to Fraudulent Disaster Recovery Services After Devastating 2016 Flooding in West VirginiaCHARLESTON, W.Va. – Acting United States Attorney Lisa G. Johnston announced today that Thompson Construction Group Inc., of Sumter, South Carolina, has agreed to pay the United States $191,070 to resolve civil allegations that it violated the federal False Claims Act by submitting false claims for payment from federal disaster recovery…

Matthew Podolsky, the Acting United States Attorney for the Southern District of New York, announced that JOY HARRIS, a former superintendent for the New York City Housing Authority (“NYCHA”), was sentenced today to 41 months in prison for soliciting and accepting over $50,000 in bribes from contractors in exchange for awarding those contractors at least approximately $500,000 in contract work.  HARRIS’s sentence was imposed by U.S.…

Danielle R. Sassoon, the United States Attorney for the Southern District of New York, announced that JUAN MERCADO, a former superintendent for the New York City Housing Authority (“NYCHA”), was sentenced today to 48 months in prison for soliciting and accepting hundreds of thousands of dollars in bribes from contractors in exchange for awarding those contractors no-bid contracts or approving payment on previously awarded contracts at NYCHA…

Defendants Admit Violations and Agree to Pay $6.5 Million in Penalties and Restitution and to Undertake Broad Remediation of Their Housing PortfolioDamian Williams, the United States Attorney for the Southern District of New York; Lisa F. Garcia, the Regional Administrator for Region 2 of the U.S. Environmental Protection Agency (“EPA”); Matthew Ammon, the U.S. Department of Housing and Urban Development (“HUD”) Office of Lead Hazard…

In the Third Trial Following a 70-Person Takedown in February 2024, Corey Gilmore, a Former New York City Housing Authority Superintendent, was Convicted of Bribery and Extortion for Accepting Cash from NYCHA Contractors in Exchange for Awarding ContractsDamian Williams, the United States Attorney for the Southern District of New York, announced that Corey Gilmore, a former NYCHA superintendent, was convicted of bribery and extortion under…