The owners and managers of affordable housing developer Applied Construction Inc., have paid nearly $500,000 to 16 underpaid workers announced New York State Attorney General Eric T. Schneiderman, Tuesday Feb. 18. The company was building affordable housing in the Bronx.
Owner Mohammad T. Riaz pleaded guilty and was convicted of failing to pay the prevailing wage, which city law mandates for public work projects. His company has been barred from public works projects in the state for five years.
“Development of affordable housing is critical for New York City, but it must be done with contractors and subcontractors who follow the law and pay workers properly,” Attorney General Schneiderman said in a press release.
New York City Department of Housing Preservation and Development (HPD) financed and oversaw the project.