State Comptroller Thomas P. DiNapoli's Weekly News - Report Identifies Trends in Causes of Subway Delays

 

Report Identifies Trends in Causes of Subway Delays

Subway on-time performance last year and in the first half of 2025 remained better than in 2019, but the causes of delays have changed as riders have returned. The Metropolitan Transportation Authority (MTA) has an opportunity to further improve performance by targeting the main issues slowing down trains, including planned maintenance work, police and medical issues, and equipment problems, according to a new report released by Comptroller DiNapoli.

“As the MTA prioritizes work in its capital program and brings back riders, it’s important to understand where and how subway service is being disrupted and delayed,” DiNapoli said. “Targeting problem areas like signals and issues with subway cars that add to delays can improve straphangers experience and boost ridership. Working with the Police Department, Fire Department, and Homeless Services can also help reduce incidents that cause delays. Above all, the MTA should be clear and open about the work it is prioritizing to reduce delays and how those actions will benefit the public.”

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Comptroller DiNapoli Shares Insights on Local Government Oversight and Support

Comptroller DiNapoli recently sat down with Executive Director Chirstopher Koetzle of the New York Association of Towns to share insights on the role his office plays in supporting and overseeing local governments. This in-depth conversation tackled the Pension Fund, local audits, the importance of filing annual financial statements and services OSC provides to local governments.

Watch Interview

New York May Be Paying Medicaid Premiums for People Living Out of State

An audit released by Comptroller DiNapoli found multiple issues with how the state identified out of state Medicaid members, and found close to $1.2 billion in managed care premiums that were paid for members who may have resided outside of New York. Auditors found that the state Department of Health did not properly check to confirm that Medicaid members were New York residents and waited too long to recoup improper payments.

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M U N I C I P A L  A N D  S C H O O L  A U D I T S

• Rochester Prep Charter School 3 – IT Asset Management
  
  
• West Sparta Independent Volunteer Fire Department Company Number 1, Inc. – Board Oversight
  
  
• Town of Windsor – Capital Project
  
  
• Eastport Fire District – Procurement
  
  
• Town of Danby – Audit Follow-Up
  
  
• Starpoint Central School District – Audit Follow-Up

A L S O   I N   T H E   N E W S

• NYC's obsolete subway cars causing more problems for riders, comptroller report says
• Ex-fire chief sentenced for stealing $101K in Wayne Co.
• N.Y. may be paying Medicaid premiums for people living out of state, comptroller's audit says
• Check your mail: You could have up to $250 waiting for you from NY’s unclaimed funds
• NYS leaders present businesses with unclaimed fund checks

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P O S T   O F   T H E   W E E K

In Just 3 Weeks, Secretary Noem Saves the American Taxpayer Over $30 Million

 

Secretary Noem’s work to cut government waste, fraud, and abuse saved the American taxpayer $1 million per day in just 3 weeks

Since August 22, Homeland Security Secretary Kristi Noem has cancelled multiple frivolous and unnecessary government contracts and grants, saving the American taxpayer more than $30 million dollars.

The $31,692,166 million savings in this short amount of time is the result of de-obligated contracts and grants, and it reflect the whole-of-government effort ordered by President Trump to cut down on waste, fraud, and abuse in the federal government.

Secretary Noem has worked from day one to systematically slash the size of government and eliminate wasteful spending at the Department of Homeland Security — saving taxpayers more than $12 billion in her first 200 days. Most importantly, she accomplished all of it while ramping up law enforcement, border security, and immigration enforcement operations.

“In just three weeks, Secretary Noem has saved the taxpayer more than $30 million. That’s more than $1 million per DAY,” said Assistant Secretary Tricia McLaughlin. “Under President Trump and Secretary Noem, it is no longer open season on the American taxpayer at DHS. The Trump administration is draining the swamp, restoring accountability to the federal government, and putting hardworking Americans FIRST again.”

Secretary Noem personally reviews and approves all DHS contracts over $100,000. This policy has saved U.S. taxpayers roughly $50 million every day since she took office on January 25, 2025. Despite constant criticism of this policy from the media and D.C. bureaucrats, results like these speak for themselves.

These savings figures don’t even include the additional savings from DHS's immigration enforcement efforts since President Trump resumed office.

The Federation for American Immigration Reform (FAIR) estimates the net cost of illegal immigration at the federal, state, and local levels was at least $150.7 billion annually as of early 2023. This translates to an average cost of $8,776 per illegal immigrant or U.S.-born child of illegal immigrants per year. An estimated decrease of 1.6 million illegal aliens in the country has resulted in an additional $14 billion in cost savings per year.

Weekly News from State Senator Gustavo Rivera!

 

SENATOR RIVERA IN THE COMMUNITY

SENATOR RIVERA ALLOCATES OVER $1 MILLION DOLLARS TO UNION COMMUNITY HEALTH CENTER AND THE WEST BRONX HOUSING AND NEIGHBORHOOD RESOURCE CENTER!

Starting this week and over the next several weeks, Senator Gustavo Rivera will present awards to several organizations in his district, totaling over $1.4 million in state funding. This funding will support these organizations’ capital or operational needs.

From improving healthcare accessibility in the Bronx, to ensuring continued immigration and housing services, to supporting substance abuse recovery programs, the awarded organizations are trusted partners of Senator Rivera and his team. Through years of collaboration, their proven track record and overall community impact make them worthy of these investments.

This week, Senator Gustavo Rivera and Union Community Health Center (UNION) celebrated a $1,115,000 capital investment to renovate and expand UNION’s Dental Clinic at 2021 Grand Concourse in the Bronx. This project will significantly improve access to dental care for Bronx residents by reducing wait times and increasing service capacity. Construction is expected to begin shortly. Click here to watch the reel of this presentation.

“This investment represents more than bricks and mortar - it’s a commitment to access, addressing a severe shortage of dental services in the Bronx,” said Dr. Douglas York, PhD, MPH, President & Chief Executive Officer of Union Community Health Center. “Bronx families deserve superior quality care that is timely, accessible, and delivered in an environment designed for their needs. This project brings us closer to that goal."

Also this week, Senator Gustavo Rivera joined Joshua Stephenson, Executive Director of the West Bronx Housing and Neighborhood Resource Center (WBHNRC), and staff to present them with a $100,000 check to support the organization’s housing and eviction prevention programs.

"Senator Rivera's generous allocation of $100,000 to West Bronx Housing is a reflection of his commitment to preventing evictions and supporting tenants in the West Bronx. With this funding, West Bronx Housing is better situated to continue our work to help keep Bronx affordable for the people who make their homes in our community. Along with the thousands of tenants we work with each year, we are tremendously grateful to Senator Rivera as a champion of Bronxites struggling to keep a roof over their heads." 

SENATOR RIVERA HOSTS A VIRTUAL HARM REDUCTION CONVENING WITH STAKEHOLDERS AND PARTNER ORGANIZATIONS

Senator Rivera hosted a harm reduction convening with key community stakeholders to brainstorm solutions, stay informed about latest updates, and keep engaged participants accountable to their community.

Senator Rivera wants to particularly thank New York City Council Deputy Speaker Diana Ayala for joining to discuss the New York City Department of Health's new Syringe Buyback Pilot, which trades cash for used needles. Senator Rivera understands that the substance use crisis in The Bronx needs a multi-pronged approach and he will continue to hold these meetings to help keep our communities safe and healthy.

SENATOR RIVERA ATTENDS BRONX COMMUNITY BOARD 8 AND 50TH PRECINT COUNCIL MONTHLY MEETINGS

This week, Senator Rivera attended the Bronx Community Board 8 and the 50th Precinct Council monthly meetings. Senator Rivera shared updates on his work in the community, his legislative priorities, and the latest developments on important issues such as the failed CDPAP transition. He also responded to questions from board members, neighbors, and representatives from both Community Board 8 and the 50th Precinct Council. 

This week, Senator Rivera joined a rally organized by Teamsters Local 210 to express his solidarity with the over 200 employees on strike at Perrigo, the world’s largest private-label, over-the-counter (OTC) drug and consumer health products manufacturer. The strike began on September 2, is over disagreements regarding benefits and the company's threat to replace the striking workers.



"I am proud to stand with Teamsters Local 210 as they fight for a fair contract and negotiate in good faith. All workers deserve dignified wages, work conditions, and benefits. I urge Perrigo to come to the table ready to support their Bronx workforce, honor the union, and deliver the fair contract these workers have earned," said Senator Rivera.

BRONX BUSINESS OWNERS: SECURE UP TO $3,000 IN SECURITY UPGRADES BY APPLYING TO THE NY COMMERCIAL SECURITY TAX CREDIT

Co-CEO of Chinese Publicly Traded Technology Company and Financial Advisor Indicted for Over $100M Securities Fraud Scheme

 

An indictment was unsealed in the Eastern District of Virginia charging two men with orchestrating a securities fraud scheme utilizing Ostin Technology Group Co. Ltd. (OST) stock to target American retail investors. The charged scheme netted over $100 million for the defendants and their co-conspirators, who siphoned OST shares in non-bona fide securities transactions and then dumped their stock amidst a coordinated social media campaign to pump OST’s share price from April to June 2025. The Department of Justice has already seized nearly $10 million in assets from co-conspirators’ accounts.

“The defendants targeted American retail investors through a predatory pump and dump scheme to take advantage of the artificial inflation of the price of OST shares,” said Acting Assistant Attorney General Matthew R. Galeotti of the Justice Department’s Criminal Division. “These charges show the Criminal Division’s focus on aggressively protecting Americans from foreign actors seeking to exploit U.S. markets. Through the hard work of our prosecutors and law enforcement partners, we will continue to act quickly to seize the proceeds of these crimes and mitigate losses for victims.”

“Protecting the integrity of our financial markets remains a top priority,” said U.S. Attorney Erik S. Siebert for the Eastern District of Virginia. “Anyone who picks the pockets of American investors in violation of the law will be aggressively prosecuted. The Department of Justice has established whistleblower programs to encourage corporations and individuals to come forward with timely information regarding misconduct and criminal behavior. Failing to do so invites serious consequences.”

“Securities fraud by foreign actors not only exploits fair investment practices, but also defrauds American investors and harms U.S. markets,” said Assistant Director Jose A. Perez of the FBI’s Criminal Investigative Division. “Today’s charges demonstrate the FBI’s continued commitment, alongside our partners, to combatting financial crime and bringing perpetrators to justice.”

“The SEC-Office of Inspector General (SEC-OIG) will relentlessly investigate individuals who submit false filings with the SEC,” said Inspector General Kevin Muhlendorf of the SEC. “Comprehensive investigative oversight to protect investors, the global markets, and the operational integrity of the SEC’s programs, systems, and operations is a top priority for our office.”

According to the indictment, Lai Kui Sen is the co-CEO of OST, and Yan Zhao, who goes by the aliases Hank Shi and Hank Shu, among others, is a financial advisor. OST is a Cayman Islands company with its principal operations in China, that claimed to be a manufacturer of display modules used in consumer electronics, commercial LCD displays, and automotive displays. OST is publicly traded on NASDAQ and operated, at one point, with a variable interest entity (VIE) investment structure, which is often used by Chinese companies.

According to the indictment, Sen, Zhao, and others allegedly engaged in a complex scheme to first provide a group of fifteen co-conspirators with tens of millions of OST shares through two non-bona fide securities transactions. In one of these transactions, these co-conspirators paid nothing to OST for more than 70 million OST shares. 

The indictment alleges that, on April 15, 2025, the same day that the select investors received their first tranche of heavily discounted OST shares, a fraudulent campaign began to artificially inflate the price and trading volume of the OST stock. This included promoting the stock by impersonating real investment advisors, among others, promoting the stock on social media, and creating a false impression of market-wide buying momentum.  To capitalize on OST’s artificial price inflation and to harm the victim investors, Zhao and Sen facilitated the opening of brokerage accounts for certain select investors and orchestrated the selling of the shares that they had received either heavily discounted or for no remuneration. These sales generated substantial profits of approximately more than $110 million.  Ultimately, according to the indictment, unwitting investors suffered significant losses when, on June 26, 2025, OST lost over $950 million in market capitalization, representing over 94% of its value. 

Both defendants are charged with conspiracy to commit securities fraud and wire fraud, securities fraud, and wire fraud. If convicted, the defendants face a maximum penalty of 20 years in prison for conspiracy and wire fraud, 25 years in prison for Title 18 securities fraud, and 20 years in prison for Title 15 securities fraud. A federal judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

The FBI and SEC-OIG investigated the case. The Department of Justice appreciates the efforts of FINRA’s Surveillance and Market Intelligence – Market Abuse Group who referred this matter.

Trial Attorney Kashan K. Pathan of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Avi Panth for the Eastern District of Virginia are prosecuting the case.

If you believe you may have been a victim in this case, visit https://www.justice.gov/criminal/criminal-vns/case/united-states-v-yan-zhao-and-lai-kui-sen for more information.

An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

Attorney General James’ Office of Special Investigation Opens Investigation into Civilian Death in Brooklyn

 

The New York Attorney General’s Office of Special Investigation (OSI) has opened an investigation into the death of Justin Coleman, who died on September 7, 2025 following an encounter with members of the New York City Police Department (NYPD) in Brooklyn. Under New York state law, OSI investigates every matter in which a police officer or peace officer may have caused the death of a person.

At approximately 5:28 a.m. on September 7, Mr. Coleman went to the rear door of the 73rd Precinct in Brooklyn. An officer approached Mr. Coleman, who then slashed the officer with a knife and fled. Additional officers chased Mr. Coleman to the intersection of Saratoga Avenue and Park Place. Mr. Coleman allegedly advanced toward an officer while holding the knife. Two officers fired their service weapons, striking Mr. Coleman. Mr. Coleman was transported to a local hospital, where he was pronounced dead. The injured officer was treated and has been released from the hospital. Officers recovered a knife at the scene. 

Pursuant to New York State Executive Law Section 70-b, OSI assesses every incident reported to it where a police officer or a peace officer, including a corrections officer, may have caused the death of a person by an act or omission. Under the law, the officer may be on-duty or off-duty, and the decedent may be armed or unarmed. Also, the decedent may or may not be in custody or incarcerated. If OSI’s assessment indicates an officer may have caused the death, OSI proceeds to conduct a full investigation of the incident.

These are preliminary facts and subject to change.  

During National Preparedness Month, Governor Hochul Urges New Yorkers to Make an Emergency Plan and Attend a Citizen Preparedness Course

437,500 New Yorkers Trained Through CPC Courses to Date

September is National Preparedness Month and This Year’s Theme is “Preparedness Starts at Home”

New Yorkers Can Register for a Free Citizen Preparedness Corps Course

Text Your County or Borough to 333111 to Receive Real Time Emergency and Weather Alerts

Governor Kathy Hochul encouraged New Yorkers to make an emergency plan during National Preparedness Month. National Preparedness Month is held every September and this year’s theme is “Preparedness Starts at Home,” which focuses on the essentials of preparedness: making a family emergency plan, knowing your risk, building an emergency supply kit and taking action to prepare for emergencies in your community. New Yorkers are also encouraged to attend a Citizen Preparedness Corps (CPC) training course during National Preparedness Month. CPC training is provided by the New York State Division of Homeland Security and Emergency Services and the New York National Guard.

“Keeping New York safe is my top priority – and that starts with preparedness,” Governor Hochul said. “Here in New York, we know well the importance of being ready to act when disaster strikes. That is why I’m encouraging all New Yorkers to remember the essentials of preparedness and shore up their plans for when emergencies and disasters strike.”

CPC trainings are free and held in-person throughout the state. New Yorkers can find a local training and enroll on the DHSES website. For those unable to attend in person, courses are also available online in English and with subtitles in 12 additional languages, including Arabic, Bengali, Chinese, French, Haitian Creole, Italian, Korean, Polish, Russian, Spanish, Urdu and Yiddish. To date, 437,000 people have completed the program.

The New York State Citizen Preparedness Corps (CPC) was established to train everyday New Yorkers how to prepare for emergencies and disasters, respond immediately and recover as quickly as possible to pre-disaster conditions.

Division of Homeland Security and Emergency Services Commissioner Jackie Bray said, “Preparedness is key when it comes to staying safe during emergencies and disasters. Packing a go bag, making a plan, signing up for real time alerts and knowing your risk are simple steps you can take to keep yourself and your loved ones ready for emergencies.”

Some items to consider when preparing for disasters:

Create a Family Emergency Plan

• Know where to go in an emergency. Be familiar with evacuation routes from home, work, and areas that you frequently visit. Your family should have two meet up locations: one near your home and another outside your community. Ensure everyone in the family knows these locations and can get access to them.
• Make certain your plan accounts for everyone in your household.
• Emergencies pose many risks, especially for older adults, infants, children, and individuals with access or functional needs. Make sure your plan addresses their needs as you decide how you will evacuate, shelter in place, or communicate with emergency workers. Arrange help from family, friends, or service providers if you need additional assistance.
• Plan what to do with your pets should you be required to evacuate your residence. Some shelters, hotels or motels do not allow pets.
• Practice your plan.

Prepare an Emergency Kit

• Often during an emergency, electricity, water, heat, air conditioning or telephone service may not work. You should have basic supplies to survive if an emergency occurs. Your emergency kit should contain enough food, water, medications, and other consumables to last 10 days.

Stay Connected and Get Involved

• Check on your friends, family, and neighbors and plan the ways your family can stay connected during an emergency. Make a household emergency contact list and give it to everyone on the list to ensure your family knows how to always contact each other.
• Get real-time emergency and weather alert texts delivered directly to your phone. Text your county or borough of residence to 333111 to enroll now. Learn more at dhses.ny.gov/emergency-alerts.
• For more information on what you can do to prepare for an emergency, go to dhses.ny.gov/safety-and-prevention.

About the State Division of Homeland Security and Emergency Services

The Division of Homeland Security and Emergency Services provides leadership, coordination and support for efforts to prevent, protect against, prepare for, respond to, and recover from terrorism, natural disasters, threats, fires and other emergencies. For more information, visit the DHSES Facebook page, follow @NYSDHSES on X, or visit dhses.ny.gov.