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December 21, 2010


DiNapoli Rejects SAIC Contract

Cites CityTime Scandal

State Comptroller Thomas P. DiNapoli today announced his office had rejected a contract between the New York City Transit Authority and Science Applications International Corporation (SAIC). The $118 million contract for an upgrade to the Transit Authority's VHF radio system in Brooklyn, Manhattan, Queens and the Bronx is the first contract submitted to DiNapoli's office under the Public Authority Reform Act passed earlier this year.

"SAIC's role in the CityTime scandal in New York City remains unclear," DiNapoli said. "There are indictments and very serious concerns about vendors involved on that project. In short, there are too many unanswered questions and too many public dollars at risk for this contract to go forward. New York can't afford another scandal like CityTime. I won't let the Transit Authority put $118 million on the table without the right kind of protections."

DiNapoli's office sent a rejection letter to the Transit Authority citing "a recent and potentially significant vendor responsibility issue, namely whether there is any SAIC involvement in the CityTime consultant scandal where consultant fraud and money laundering charges were recently announced by the United States Attorney's Office."

DiNapoli said allegations of mismanagement and cost overruns by SAIC on the CityTime contract heightened his office's concerns.

The rejection letter can be found here.



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