| New York City
Comptroller William C. Thompson, Jr. today barred Rapid Demolition
Co., Inc. and its owner, Joseph Najjar, from conducting any future
business with the City and State for the next five years. The action
follows an extensive investigation into an RDC project at a Department
of Sanitation facility on West 57th Street. The Comptroller's Office
started an investigation of Rapid Demolition in April after receiving
complaints from workers at the West 57th site and concerns about wage
violations reported by the Greater New York Laborers-Employers Cooperation
and Education Trust and the International Union of Operating Engineers,
Local 15. On June 12th, and during the Comptroller's investigation,
scaffolding collapsed at the facility, prompting an investigation
into safety measures and a halt to the demolition.
Thompson, as Chief Fiscal Officer of the City of New York, is responsible
for the investigation and enforcement of the State's prevailing
wage laws on public works.
"It is necessary at this time to bar Rapid Demolition from
any future work in the City of New York because we must ensure that
workers are not exploited, and that New Yorkers can walk the streets
safely," Thompson said. "As a result of my office's investigation,
Rapid Demolition and its owner have admitted to willfully violating
the State labor laws and underpaying workers."
Thompson said that four workers who performed labor at the West
57th Street site will be reimbursed for underpayments and interest.
That money had already been withheld from Rapid Demolition. The
Comptroller also has assessed a 10% penalty against Rapid.
The Department of Sanitation secured the $4.2 million demolition
contract with Rapid Demolition on November 11, 1999. Under the terms
of the contract, work was expected to conclude by August 2001, but
did not.
The Comptroller expressed his thanks to the Mason Tenders District
Council and the Operating Engineers for bringing the matter to his
attention.
###
|