Scores of current, former New York City housing employees charged with taking bribes

Feb. 6 (UPI) -- More than 60 current and former New York City Housing Authority employees have been charged with taking bribes, the U.S. Attorney's Office for the Southern District of New York announced Tuesday.

"Sixty-six of the 70 defendants were arrested this morning in New York, New Jersey, Connecticut and North Carolina," the attorney's office said in a press release Tuesday.

According to the office of the United States Attorney for the Southern District of New York, contractors who did not agree to participate in the bribes were denied access to work.

"The defendants, all of whom were NYCHA employees during the time of the relevant conduct, demanded and received cash in exchange for NYCHA contracts by either requiring contactors to pay up front in order to be awarded the contracts or requiring payment after the contractor finished the work and needed a NYCHA employee to sign off on the completed job so the contractor could receive payment from NYCHA," the attorney's office said.

Southern District of New York attorney Damien Williams said the alleged corruption was "occurring at almost 100 NYCHA buildings across all five boroughs," comprising what he said was nearly a third of NYCHA buildings.

"Instead of acting in the interest of NYCHA residents, the city of New York or taxpayers, the defendants charged today allegedly used their jobs at NYCHA to line their own pockets," Williams said.

Cumulatively, the defendants allegedly demanded $2 million in bribes in exchange for $13 million worth of contracts, according to the attorney's office.

According to district attorneys, while city contracts are usually subject to a bidding process, the violations allegedly occurred primarily with contracts less than $10,000, which are allowed without a bidding process.

"The Justice Department will prosecute to the fullest extent of the law those who abuse their positions in public service in order to enrich themselves," said Attorney General Merrick Garland. "The crimes alleged in this case are serious violations of the public trust."

Officials said housing corruption increases costs for the city and residents.

"The alleged conduct identified during this investigation harms the effectiveness of housing programs that support more than 200,000 residents," said Housing and Urban Development Inspector General Rae Oliver Davis.

Individuals who were arrested in New York are expected to appear in court Tuesday, according to the attorney's office.