A New York City-funded homeless services nonprofit became the center of a contract fraud scheme that routed more than $50 million through hidden vendors, inflated markups, false statements, and concealed ownership interests.
Thomas Bransky, former chief executive of Children’s Community Services, was sentenced to six months in prison, followed by three years of supervised release, according to amNewYork. He was also ordered to pay about $7.69 million in restitution and forfeit $1.2 million.
Children’s Community Services had more than $900 million in New York City contracts tied to temporary housing and homeless services for vulnerable New Yorkers, according to federal prosecutors and the New York City Department of Investigation.
The Nonprofit Had More Than $900 Million in City Contracts
ICYMI: The former CEO of Childrens Community Services, Thomas Bransky, was sentenced to six months in prison for fraud related to city homeless shelter contracts. @ZachReports was investigating way back in 2018. pic.twitter.com/dV49tkzLGl…