Construction Firm Executive Guilty of Bribing Subcontractors
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A vice president of one of the country’s largest construction companies has pleaded guilty to bribing subcontractors to do work on his private home at cut-rate prices by threatening to exclude them from city contracts, officials said.
George Pauliny, a former vice president with the Turner Construction Co., threatened to exclude the subcontractors from projects with the New York City Economic Development Corp. — such as the passenger ship terminal renovation at Pier 88 on the West Side and the new passenger ship terminal in Red Hook, Brooklyn — if they did not perform the work on his home.
Pauliny, who was suspended by Turner in August after the company became aware of the investigation, admitted to prosecutors yesterday that he paid the subcontractors either unfair wages or did not pay them in full for installing a new boiler system and a radiant heating system in the driveway of his home in Middle Village, Queens, the Manhattan district attorney, Robert Morgenthau, said in a statement.
He pleaded guilty to grand larceny by extortion, Mr. Morgenthau said.
As part of Pauliny’s plea deal with the district attorney’s office, he was fired from Turner, where he earned a salary of $190,000. He will also be banned for life from performing contracting work connected to any governmental contracts and will be required to pay the subcontractors $10,000 for their services.
Pauliny bought his 2,088-square-foot home, situated just off Juniper Valley Park, in 1974, according to property records. City assessors last calculated its worth as about $700,000.
Mr. Morgenthau noted that Turner had given his office assistance in the investigation.
“Turner Construction Company has been aware of the District Attorney’s investigation of Mr. Pauliny for some time and has — as is its express policy — been fully cooperating with the District Attorney and his staff,” a statement released by Turner said. “As of now, Mr. Pauliny is no longer an employee of Turner Construction.”