search

The Real Deal Logo

Trending

Evictions surge at Hialeah’s luxury apartment projects Shoma Village, Pura Vida and ManorEvictions surge at Hialeah’s luxury apartment projects Shoma Village, Pura Vida and ManorLawmakers reach sweeping housing deal with “good cause eviction,” new 421aLawmakers reach sweeping housing deal with “good cause eviction,” new 421aTony Park and Elad Dror take a gamble on Koreatown office-to-resi conversionTony Park and Elad Dror take a gamble on Koreatown office-to-resi conversionHow NYC fits into the broker commission battleHow NYC fits into the broker commission battle
New York

Feds investigate NYCHA over $10M report

U.S. Housing and Urban Development officials have opened an investigation into a $10 million report generated by the New York City Housing Authority, the New York Daily News reported. The NYCHA report was authored by the Boston Consulting Group, a business strategy advisor that previously employed embattled NYCHA chairman John Rhea.

The report, which is not available to the public, has generated concern at HUD over “the procurement procedures NYCHA followed in contracting with BCG,” Adam Glantz, a spokesman for HUD, told the News.

Sign Up for the undefined Newsletter

HUD officials have also demanded to see portions of the report and invoices for the work Boston Consulting did. The agency declined to comment on the state of the investigation, however.

Rhea has been praised for securing federal stimulus money for NYCHA in sums upward of $65 million a year, but has also been criticized for allegedly sparking an exodus of well-qualified officials. These officials left in the wake of troubles, such as last year’s botched payment of rent subsidies by NYCHA, which was blamed on computer glitches. [NYDN]

Tags
John RheaNYCHA