WORLD NEWS FLASH
UNITED STATES
In the largest number of federal bribery charges on a single day in DOJ history, 70 current and former employees of the NYCHA Have Been Charged with allegedly accepting cash payments from contractors in exchange for awarding NYCHA contracts.
Damian Williams, the United States Attorney for the Southern District of New York; Jocelyn E. Strauber, the Commissioner of the New York City Department of Investigation (“DOI”); Ivan J. Arvelo, the Special Agent in Charge of the New York Field Office of Homeland Security Investigations (“HSI”); Rae Oliver Davis, the Inspector General of the U.S. Department of Housing and Urban Development, Office of Inspector General (“HUD OIG”); and Jonathan Mellone, the Special Agent in Charge of the Northeast Region of the U.S. Department of Labor, Office of Inspector General (“DOL-OIG”), announced the unsealing of bribery and extortion charges against 70 current and former employees of the New York City Housing Authority (“NYCHA”).
Sixty-six of the 70 defendants were arrested Feb. 6 in New York, New Jersey, Connecticut, and North Carolina. Defendants who were arrested in the New York area were scheduled to appear before U.S. Magistrate Judges Stewart D. Aaron, Sarah L. Cave, Valerie Figueredo, Sarah Netburn, Katharine H. Parker, Gary Stein, and Ona T. Wang in Manhattan federal court later.
According to the allegations in the Complaints and publicly filed documents in these cases: NYCHA is the largest public housing authority in the country, providing housing to 1 in 17 New Yorkers in 335 developments across the City and receiving over $1.5 billion in federal funding from the U.S. Department of Housing and Urban Development every year. When repairs or construction work require the use of outside contractors, services must typically be purchased via a bidding process.
However, at all times relevant to the Complaints, when the value of a contract was under a certain threshold (up to $10,000), designated staff at NYCHA developments could hire a contractor of their choosing without soliciting multiple bids. This “no-bid” process was faster than the general NYCHA procurement process, and selection of the contractor required approval of only the designated staff at the development where the work was to be performed.
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 contractors 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.
As alleged, the defendants typically demanded approximately 10% to 20% of the contract value – between $500 and $2,000 depending on the size of the contract – but some defendants demanded even higher amounts. In total, these defendants demanded over $2 million in corrupt payments from contractors in exchange for awarding over $13 million worth of no-bid contracts.
These prosecutions are part of an Organized Crime Drug Enforcement Task Forces (“OCDETF”) operation. OCDETF identifies, disrupts, and dismantles criminal organizations using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
These cases are being handled by the Office’s Public Corruption Unit. Assistant U.S. Attorneys Jerry J. Fang, Jacob R. Fiddelman, Meredith Foster, Catherine Ghosh, and Sheb Swett are in charge of the prosecutions.
The charges contained in the Complaints are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
If you believe you have information related to bribery, extortion, or any other illegal conduct by NYCHA employees, please contact OIGNYCHA@doi.nyc.gov or (212) 306-3356. If you were involved in such conduct, please consider self-disclosing through the SDNY Whistleblower Pilot Program at USANYS.WBP@usdoj.gov.
MASS SHOOTING UPDATE
Information recent as of 2-6-2024 at 12 p.m.
2024 Mass Shooting Stats: (Source: Mass Shooting Tracker – https://www.massshootingtracker.site/data/?year=2024)
- Total Mass Shootings: 47
- Total Dead: 90
- Total Wounded: 136
- Shootings Per Day: 1.27
- Days Reached in Year 2024 as of Feb. 6: 37
UNITED KINGDOM
KING CHARLES III BATTLING CANCER
One of the world’s most famous and sometimes controversial people is facing a fight for his life.
On Feb. 5, Buckingham Palace issued the following statement regarding King Charles III:
“During The King’s recent hospital procedure for benign prostate enlargement, a separate issue of concern was noted. Subsequent diagnostic tests have identified a form of cancer.
“His Majesty has commenced a schedule of regular treatments, during which time he has been advised by doctors to postpone public-facing duties. Throughout this period, His Majesty will continue to undertake State business and official paperwork as usual.
“The King is grateful to his medical team for their swift intervention, which was made possible thanks to his recent hospital procedure. He remains wholly positive about his treatment and looks forward to returning to full public duty as soon as possible.
“His Majesty has chosen to share his diagnosis to prevent speculation and in the hope it may assist public understanding for all those around the world who are affected by cancer.”
Upon his diagnosis, he was soon joined by sons William and Harry, the former of which is the immediate successor to the throne. By rule, the line of succession continues with William’s children, and not Harry as some often misunderstand.
While there were some warm wishes from around the world, not all of it was love. Upon his mother Queen Elizabeth II’s death, at soccer (football) matches, there were chants of “Lizzie’s in a Box!”
Although the Palace did not give any indication that the King was in grave danger, one must hope that his fight goes better than that of country star Toby Keith, who passed away from stomach cancer at 62.
WORLD
“F1 GOAT” TO JOIN FERRARI IN 2025
By Walter Elliott
LONDON – Formula One racing is still reverberating from Lewis Hamilton’s surprise Feb. 1 announcement that he will leave his longtime Mercedes AMG Petronas team to Scuderia Ferrari in 2025.
The last time the sports world was rocked by a similar move would be perhaps when quarterback Tom Brady’s leaving the NFL New England Patriots in 2020 for the Tampa Bay Buccaneers. He and the Buccaneers won Super Bowl LV in 2021, adding a record seventh victory to his six with the Patriots before retiring in 2022.
Hamilton – considered the best current F1 driver who needs an eighth World Driver Championship to become the Greatest of All Time – will be leaving the engine manufacturer where he scored all 103 Grands Prix with and the factory team where he had won the bulk of his races since his 2007 series debut.
“This is the hardest decision I’ve ever had to make,” said Hamilton on Instagram Thursday. “After an incredible 11 years with Mercedes-AMG Petronas F1 Team, the time has come for me to start a new chapter in my life and the chance to fulfill another childhood dream.”
The second-generation Grenadian-Briton, 39, until his Thursday announcement, appeared to be ending his career with Mercedes. He and Mercedes Team Principal Toto Wolff had signed a two-year contract extension Aug. 31 with a 2025 sabbatical leave option.
“When we signed the contract with Lewis, we went for a shorter term, so the events weren’t a surprise, maybe the timing,” said Wolff Feb. 2. “How he framed it to me was perfectly understandable; that he needed a new challenge, that he was looking for a different environment and that maybe it was the last possibility to do something else.”
Wolff is meanwhile faced with who he will put in Hamilton’s car alongside George Russell for 2025 onwards. The Briton had won the 2022 Brazilian GP and scored nine top five finishes last year. Hamilton finished in the top five 12 times, including three second places.)
One of F1’s most storied drivers, instead, will be joining F1’s most storied team.
Ferrari, who missed only three of F1’s 1,076 races since 1950, holds a record 15 World Drivers Championships and 16 World Constructors Championships. Michael Schumacher is the Maranello, Modena, IT outfit’s most successful driver – winning 72 of his overall 92 GPs with them and securing five drivers titles and four constructors crowns 2000-2004.
The retired Schumacher, who won seven drivers titles with Benetton-Ford and Ferrari, has since had his most GP wins, top three finishes, most pole positions and most points records surpassed by Hamilton. The German still holds the most fastest race laps over Hamilton. Hamilton, ironically, succeeded Schumacher on the Mercedes-AMG team when the latter retired at the end of 2012.
Ferrari Racing Director Frederic Vasseur, on Friday, decided to keep Charles Leclerc as his lead driver and give Hamilton Carlos Sainz, Jr.’s car for 2025.
The son of four-time Dakar Rally winner Carlos Sainz, Sr., ironically, won last year’s Singapore GP for Ferrari, keeping the otherwise dominant Red Bull-Hondas of reigning champ Max Verstappen and Sergio Perez from winning all 22 GPs last year.
“News about my future will be announced in due course,” said Sainz Thursday from Madrid. “We still have a long season ahead of us and, like always, I’ll give my absolute best for the Team and for the Tifosi all around the world.”
One open question is whether Hamilton’s experience will help Ferrari match Red Bull’s performance. He may build his team around him like Schumacher did in his prime.
Ferrari, in 2022-23, had suffered several tactical pit stop and tire management miscues that cost Sainz and Leclerc several victories or high finishes. Both Ferrari and Mercedes have been working hard to balance their cars’ handling compared to Red Bull since the 2022 return of ground effects aerodynamics.
The 2024 F1 season, at a record 24 GPs, is to open with the Bahrain GP on the Sakhir Int’l Circuit March 2.
