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NY contractor fraud case scandal a thorn for mayor

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Mon, 13 Jun 11 4:46 AM | 27 view(s)
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NY contractor fraud case scandal a thorn for mayor
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By SAMANTHA GROSS

The Associated Press

NEW YORK — Mayor Michael Bloomberg landed his hard-fought third term in part by selling himself to voters as a savvy businessman and no-nonsense manager who could secure the city's finances in tough economic times.

But with yet another city contractor accused of profiting off a payroll technology kickbacks scheme on the mayor's watch, and still more arrests in the pipeline, the steady drip, drip, drip of bad news on the scandal is chipping away at his public image, some analysts say.

The project to computerize the timekeeping system for city employees started in 1998 and carried an estimated price tag of $63 million. In the years since Bloomberg took office in 2002, the timeframe has more than doubled and the cost has ballooned to more than $700 million — a total that prosecutors now say includes at least $85 million in kickbacks and falsified billing. 

http://www.ajc.com/news/nation-world/ny-contractor-fraud-case-974705.html




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