NYC gives troubled nonprofit $200M despite corruption indictment
Mayor Zohran Mamdani's administration awarded nearly $200 million in city contracts to Brooklyn nonprofit BHRAGS Home Care despite federal corruption charges against its executive director and former board chairman.
The administration of Mayor Zohran Mamdani has awarded a Brooklyn nonprofit organization embroiled in federal corruption charges nearly $200 million in city contracts, according to New York Post.
BHRAGS Home Care, which operates homeless shelters across the city, secured at least two new municipal agreements just two months after its leadership faced federal indictment on bribery and corruption allegations. City records indicate the nonprofit will receive $136 million for managing shelter facilities serving homeless adults and an additional $50 million for providing social services in hotel settings.
The contracts will proceed under the oversight of an independent monitor working in coordination with city authorities, as first reported by Gothamist.
Federal Charges Against Nonprofit Leadership
Roberto Samedy, who serves as executive director of BHRAGS, and Jean Ronald Tirelus, the organization’s former board chairman, face accusations of illegally diverting $1.3 million through embezzlement and kickback schemes. Federal prosecutors unveiled the indictment in March alongside charges against two additional codefendants.
The case emerged amid broader scrutiny of several high-profile city Democrats and their financial connections to the nonprofit sector. BHRAGS had previously received over $450,000 in discretionary funding from Brooklyn City Councilwoman Farah Louis, a Democrat.
Raids and Political Connections
Federal agents raided the residence of Councilwoman Louis and her sister Debbie Louis, an aide to Governor Kathy Hochul, in February. Neither woman has been arrested or charged with any criminal conduct.
Both Samedy and Tirelus entered not guilty pleas to the federal charges they face.
City Defends Decision
Officials within Mayor Mamdani’s administration have stood by the decision to maintain contractual relationships with BHRAGS despite the ongoing federal criminal proceedings against its leadership.
Neha Sharma, spokesperson for the Department of Social Services, told Gothamist that installing a monitor selected and managed by the Department of Investigation allows the city to maintain accountability over new organizational leadership while working to rehabilitate the troubled nonprofit.
The Department of Social Services did not respond to inquiries from New York Post seeking additional comment on the contract awards.
With information from New York Post
