Comptroller Alan Hevesi will investigate alleged
cost overruns in construction of the temporary
PATH station at the World Trade Center site,
according to a published report.
Plans for the audit follow a federal lawsuit
filed last week claiming that the project's main
contractors overcharged the station's builder,
the Port Authority of New York and New Jersey,
causing the project to come in millions of
dollars over budget. "We want to make sure
that the increase in cost was legitimate, and
that proper procedures were followed in awarding
and monitoring the contract," Hevesi
spokesman David Neustadt told the New York Post
for Sunday editions.
The lawsuit was filed in U.S. District Court
in Newark last Sunday by Daidone Electric, a
subcontractor on the project. It claims the
project's three main contractors — Yonkers
Contracting, Tully Construction and A.J. Pegno
Construction — shortchanged Daidone even as
they overbilled the Port Authority.
Roger Markowitz, a lawyer for Yonkers, Tully
and Pegno, has denied the allegations. The three
contractors bid $16 million for the project but
were ultimately paid $37 million, the
Post has reported.
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