Larry Davis, the CEO of DCM Erectors, was convicted last month of fraudulently representing that work on the new World Trade Center (WTC) and a related transportation hub was being performed by women- and minority-owned contractors. A jury in Manhattan, N.Y., determined that Davis deceived New York and New Jersey officials overseeing the project in order to secure the projects under a provision that was designed to ensure diversity in the workforce. The combined value of the jobs was $586 million.
Canadian contractor DCM acquired the $256 million contract for One World Trade Center in 2007 and a subsequent $330 million contract for the transportation hub in 2009. Davis, 65, was charged in 2013 with conspiracy and wire fraud along with his company, which also was convicted. His defense was basically that he did not intend to commit fraud during the time the contracts were being fulfilled. Obviously, the jurors, after hearing the evidence, disagreed.
Prosecutors alleged Davis concocted the scheme with Ecuador-born Johnny Garcia of Solera Construction Inc., who they say gained $200 million through the scheme, and Gale D’Aloia of GLS Enterprises Inc., who allegedly made hundreds of thousands of dollars as a result of the fraud. Both Garcia and D’Aloia pleaded guilty to their role in the deception and testified against Davis.
Contact us today for a free legal consultation with an experienced attorney.
Fields marked *may be required for submission.
If you would like to subscribe to the Jere Beasley Report digital edition, simply visit our Subscriptions page and provide the necessary information or call us at 800-898-2034.
Attorney Advertising - Prior results do not guarantee a similar outcome.