March 24, 08

NEWS / STATEMENT OF DOI COMMISSIONER ROSE GILL HEARN ON THE CONVICTIONS OF TWO FORMER CITY EMPLOYEES ON FED

The City of New York
Department of Investigation
ROSE GILL HEARN
COMMISSIONER
80 MAIDEN LANE Release #23-2008
NEW YORK, NY 10038 nyc.gov/html/doi
212-825-5900
FOR IMMEDIATE RELEASE DOI CONTACT: KEITH SCHWAM
MONDAY, MARCH 24, 2008 (212) 825-5931
STATEMENT OF DOI COMMISSIONER ROSE GILL HEARN ON THE CONVICTIONS
OF TWO FORMER CITY EMPLOYEES ON FEDERAL BRIBERY CHARGES
INVOLVING THE RECONSTRUCTION OF THE THIRD AVENUE BRIDGE
The former DOT employees who pleaded guilty today on federal bribery charges used their
authority within the New York City Department of Transportation to garner payoffs and pad their own
pockets on a construction project involving the Third Avenue Bridge, an important part of New York
City’s infrastructure. Even more serious, one of the individuals convicted today, BALRAM
CHANDIRAMANI, was the head of the Movable Bridges Division at the DOT, and he had oversight of all
25 of the City’s Movable Bridges. What CHANDIRAMANI and UDAY SHAH did not know, was that their
corrupt actions were being watched by DOI and our law enforcement partners.
The audacious conduct charged in this case involved the defendants’ scheme to obtain money
from the company that conducted a multi-million reconstruction of the bridge. During the time when the
company was negotiating payment for work on the bridge with the City, the two defendants offered to
use their respective positions within DOT to resolve payment issues with the City, in exchange for a total
of $450,000.
During the scheme, DOI was able to make sure that while the investigation moved forward, the
$6.5 million negotiated settlement with the contractor that was outlined in the charges was not paid out.
I am grateful to the state and federal law enforcement agencies who collectively worked on this
extensive and fruitful undercover investigation, each bringing something different to the effort.
DOI will continue to vigorously pursue this type of criminal conduct throughout the City’s
agencies. City employees contemplating engaging in this type of corrupt scheme should know that DOI
and its law enforcement partners are watching and these convictions are an example of the
consequences. These guilty pleas are also a testament to the strength of the evidence collected during
this investigation.
DOI is one of the oldest law-enforcement agencies in the country. The agency investigates and
refers for prosecution City employees and contractors engaged in corrupt or fraudulent activities or
unethical conduct. Investigations may involve any agency, officer, elected official or employee of the
City, as well as those who do business with or receive benefits from the City.
Get the worms out of the Big Apple.
To report someone ripping off the City, call DOI at (212) 825-5959.