70 NYCHA Employees Arrested in Single Day After Federal Corruption Investigation

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In connection with a federal corruption probe, up to 70 workers of the New York City Housing Authority were arrested on Tuesday. U.S. Attorney Damian Williams stated this was the biggest bribery bust in the Department of Justice's history in a single day.

The purported behavior spanned from 2013 until 2023. It is alleged that the defendants accepted financial payments from contractors in exchange for providing contracts to NYCHA.

According to officials, contractors were asked to pay $2 million in bribe money by hundreds of current and former NYCHA employees in exchange for performing more than $13 million worth of work at NYCHA buildings. Officials claim that contractors who did not pay a bribe lost their jobs.

Nearly 100 NYCHA buildings, or roughly 1/3 of all NYCHA buildings, have superintendents who take and demand bribes for contractors as business as usual, according to officials.

According to officials, superintendents and assistant superintendents have significant influence over which contractors get small contracts for building or repair work. These contracts, which included plumbing and construction repairs among other needed work in NYCHA buildings, had a value of less than $10,000.

Since they do not require a competitive bidding process, the contracts are considered no-bid contracts.

"Contractors who paid NYCHA superintendents should not be afraid to come forward and speak out," Williams said. "As the complaint today makes clear, many contractors have been brave enough to tell law enforcement about bribes NYCHA employees demanded of them. Going forward contractors should understand that NYCHA employees should not be asking for a single penny."

As the investigation continues, more arrests are possible.