Within 22 months, all 70 NYCHA employees charged in the largest single-day federal bribery action were convicted for accepting over $2.1 million in corrupt payments.
New York, NY. — Federal prosecutors announced Tuesday that all 70 New York City Housing Authority (NYCHA) employees charged in a sweeping February 2024 bribery and extortion investigation have now been convicted, marking the completion of one of the largest single-day corruption actions in Department of Justice history.
U.S. Attorney Jay Clayton said the final guilty plea represents “an important milestone,” noting that every defendant has now admitted guilt or been found guilty at trial for accepting cash bribes in exchange for awarding repair and maintenance contracts at NYCHA developments. All told, three defendants were convicted at trial, 56 pled guilty to felony charges, and 11 pled guilty to misdemeanor offenses. Sentences imposed so far range up to 48 months in prison.
Prosecutors said the defendants collectively accepted more than $2.1 million in bribes in return for steering over $15 million in “micro-purchase” NYCHA contracts—no-bid jobs under $10,000 that could be awarded directly by on-site staff. In many cases, NYCHA employees demanded payments of 10% to 20% of a contract’s value, either to award the job or to approve the contractor’s completed work for payment…