City wants $600M from tech giant in scandal

(AP) - New York City Mayor Michael Bloomberg isdemanding that a technology company in charge of a scandal-plaguedpayroll project reimburse the city more than $600

NEW YORK - (AP) - New York City Mayor Michael Bloomberg isdemanding that a technology company in charge of a scandal-plaguedpayroll project reimburse the city more than $600 million.

The company, SAIC Inc., handles a large number of contracts forthe federal government. Prosecutors have said the CityTime projectwas "corrupted to its core" and nearly the entire sum spent onthe project was tainted by fraud involving kickbacks and systemicoverbilling.

SAIC says it "understands and shares" the city's outrage.

The company said Wednesday it's ready to discuss an appropriateresolution "considering the breadth of the fraud alleged and thefact that SAIC delivered a system that the city said this week isworking well."

Prosecutors claim SAIC was warned about problems in 2005 butdidn't stop the alleged fraud.

advertisement | advertise on News 12

Trending Video

1 Neighborhood Brief for Feb. 26
2 Neighborhood Brief for Feb. 26
One person was injured after being struck by 3 1 injured after being struck by car
Animal rights activists continued to protest outside the 4 Protesters gather outside Ringling Bros. Circus
Barre originates from ballet, and similarly aims to 5 Ready, Set, Fit: Barre

advertisement | advertise on News 12

Features

Sorry to interrupt...

Your first 5 are free

Access to News12 is free for Optimum, Comcast®, Time Warner® and Service Electric℠ video customers.

Please enjoy 5 complimentary views to articles, photos, and videos during the next 30 days.

LOGIN SUBSCRIBE