A Canadian man who got almost $1 billion worth of contracts to rebuild the World Trade Center and its transportation hub was accused by federal prosecutors Thursday of defrauding the Port Authority into thinking that his firm was qualified as a minority-owned enterprise.
Larry Davis, 63, of Missisauga, Ontario, was hired by the PA to erect steel decks and to purchase steel for the massive project. To qualify for the work as a minority-owned business, Davis’ company, DCM Erectors, teamed up with Solera Construction, a certified minority business enterprise owned by Johnny Garcia, 48, of Ossining.
A complaint filed in Manhattan Federal Court says Davis told the PA that Solera/DCM bought the steel and did the work, but it was actually done by an unidentified subcontractor.
Assistant U.S. Attorney Carrie Cohen said the government, which has already made plea deals with Garcia and a South Carolina woman who participated in the alleged fraud, intends to indict Davis on more charges than the conspiracy and mail fraud ones lobbed at him Thursday.
She said the additional charges involve similar fraud with other public construction sites.
Davis’ lawyer Sam Talkin said his client intends to fight the allegations.
Davis was released on $100,000 bail that will be posted in stages over the next week and his travel will be limited to this region and to his Ontario home as soon as he signs formal papers promising to waive extradition from Canada and the Bahamas.
“Larry Davis and his company had the special privilege of working on the World Trade Center Project which … holds a special place in New Yorkers’ hearts…. (but he) tried to cheat the system and deserving businesses out of work,” said U. S. Attorney Preet Bharara.
