In a significant development, the U.S. Attorney for the Southern District of New York (SDNY) unveiled charges against 70 current and former New York City Housing Authority (NYCHA) employees, marking a sweeping case involving allegations of bribery and extortion.
The investigation, which spanned over a year, involved collaboration between multiple agencies including the SDNY, the U.S. Department of Housing and Urban Development (HUD) Office of the Inspector General (OIG), the New York City Department of Investigations (DOI), and the U.S. Department of Labor OIG. According to SDNY attorney Damian Williams, the charges relate to kickbacks and bribes from NYCHA, dating as far back as 2013 and continuing until 2023.
Described as the “largest number of federal bribery charges on a single day in DOJ history,” the charges allege that NYCHA employees demanded and received cash payments in exchange for awarding contracts or approving completed work. These illicit transactions, detailed by SDNY, ranged from 10% to 20% of the contract value, with some demanding even higher amounts.