May 212017

Report from The Weekend Australian 2012 reveals some of the history of the company currently negotiating with Haringey to set up the HDV.  Fraud and bad employment practice seem to have been rife.  Who could trust this company with huge public assets?


Lend Lease admits US fraud, faces $US56m payout

LEND Lease, one of Australia's biggest construction and property groups, agreed to pay up to $US56 million ($54.2 million) in penalties and restitution after admitting a decade-long fraud that included routinely overcharging customers and ignoring minority hiring mandates, US authorities say.

A deferred prosecution agreement in US District Court in Brooklyn described the penalty and restitution to be paid by Lend Lease US Construction, a division of an Australian construction company that employed more than 1000 workers during the 10-year stretch from 1999 through 2009.

The fraud involved work on high-profile projects including the September 11 memorial, Grand Central Terminal, the New York Mets stadium and the Brooklyn courthouse in which the company was charged.

It is believed to be the largest property fraud settlement ever reached in New York City.

In court papers, prosecutors described how the company routinely over-billed clients including federal, state and local government contracting agencies. The government said that James Abadie, who formerly led the company's New York office, pleaded guilty overnight to conspiring to commit mail and wire fraud for over-billing Bovis' clients for more than a decade. Abadie, 55, who was one of New York's most prominent property executives, faces up to 20 years in prison.

The company was formerly known as Bovis Lend Lease LMB or Bovis. It was still known as Bovis when a fire that killed two firefighters occurred during its demolition of the former Deutsche Bank building in lower Manhattan. The Deutsche Bank demolition was one of the projects on which fraud was committed.

Other projects on which it worked included the federal courthouse in Brooklyn, the US Post Office and US Bankruptcy Court in Brooklyn and various schools in New Jersey's Abbott Districts, where authorities say the company also acted fraudulently to avoid complying with minority hiring laws.

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