NYC Comptroller Calls for Contract Extension Rejection Amid Corruption Allegations

New York City Comptroller Brad Lander is urging the Adams administration to reject a contract extension that would hand over nearly $20 million to hotel owner Weihong Hu, who was indicted last month in a corruption scheme involving one of her government-funded properties. The proposed three-year deal would continue housing formerly incarcerated individuals at Hu’s Fresh Meadows hotel.

Hu has held fundraisers for Adams’ 2021 and current reelection campaigns, including two events at the Fresh Meadows hotel. However, prosecutors allege that she bribed the CEO of a nonprofit organization to house inmates at her hotels. Lander’s office cited “potential vendor corruption and fraud” as reasons for rejecting the contract extension.

The city-funded program has been under scrutiny for years due to reports on Exodus’ operations, which included allegations of financial impropriety. An eight-page letter by deputy comptroller Charlette Hamamgian details questionable actions by the city in its dealings with Hu’s Queens hotels. The letter notes that Housing Works, a nonprofit organization providing re-entry support services, has not been accused of any wrongdoing.

MOCJ officials are working to find an alternative site for the residence, but critics argue that the continued funding would risk community safety and cost taxpayers more. Citizens Union director Ben Weinberg said it’s “baffling” that taxpayer dollars continue to fund a subcontractor after their indictment for bribery and theft of public funds.

The comptroller’s office is also investigating the relationship between Meiqiao, a food service firm tied to Hu, and the city’s contract with Housing Works. The $6 million increase in the Housing Works contract was attributed to an accounting error, but Lander’s office questions the legitimacy of this explanation.

Source: https://www.thecity.nyc/2025/03/19/comptroller-contract-fundraiser-indicted-mayor