New York City Admits to Defrauding FEMA in Aftermath of Superstorm Sandy

February 25th, 2019

A settlement was reached this week between New York City and the U.S. Attorney for the Southern District over fraudulent damage claims in the wake of Superstorm Sandy. According to the filing, NYC Department of Transportation claimed pre-existing damage to the city fleet as having occurred during the storm and sought and received federal funds for replacement of vehicles that had already been marked for scrap prior to landfall of the storm. The City will reimburse the federal government over $5 million for the false claims.