Governor Cuomo Announces Proposal to Create a Pathways Pledge for New York State Employers as Part of 2021 State of the State

 

Companies Would Pledge to Create More Inclusive Workforces and Provide More Workforce Development Opportunities

Builds on Governor Cuomo's Historic $175 Million Workforce Development Initiative

Governor Andrew M. Cuomo and the blue-ribbon Reimagine New York Commission today announced a proposal to create a Pathways Pledge for New York State employers to create more inclusive workforces and provide more workforce development opportunities as part of the 2021 State of the State. The pledge commits both public and private-sector employers to reforming their talent recruitment, investment, and promotion policies to foster more equitable workforces after the COVID-19 pandemic.

"COVID-19 has exacerbated existing inequalities across our society, and the economy is no exception. Historic numbers of New Yorkers are out of work, and lower and middle-income households are being hit the hardest. Public and private employers have critical roles to play closing that gap," Governor Cuomo said. "We need to expand who they employ, invest in training and retraining and work with workforce development partners to get jobs to the jobless. That's why we are asking employers across the state to take the Pathways Pledge to help provide opportunity to all New Yorkers, not just those who are already well off."

To date, 16 companies have made the pledge, affecting over 120,000 workers in New York, and the state aims to triple those commitments in the next year. The Pledge builds on Governor Cuomo's progress advancing workforce development in New York State, including the $175 million Workforce Development Initiative, the first Governor's Office of Workforce Development, and ensuring that a majority of New York State civil service positions hire based on skills, not degrees.    

Participating employers will agree to report quarterly on their progress in implementing their Pledge commitments. They will agree to take actions including:

• Invest in current worker retraining or skills development for promotions and/or higher wages, including providing college financial support or supporting new skills training on the job; 
• Create new apprenticeship programs to provide pathways for underrepresented populations;
• Commit to exploring additional workforce supports for low-income workers or trainees, e.g., childcare and transportation subsidies;
• Commit to exploring skills-based hiring models by removing, as appropriate, high school or post-secondary degree requirements for new hires;
• Scale relationships with existing nontraditional workforce development partners by providing funding and/or expanded staff volunteer time to facilitate recruiting, interviews, and mentorship opportunities for new prospective employees; and/or
• Develop new relationships with New York State workforce development providers serving underserved communities, including State University of New York, City University of New York, Boards of Cooperative Educational Services, and/or nontraditional workforce development organizations.

The 16 founding employers participating in the Pathways Pledge are IBM, Chobani, Con Edison, Google, JPMorgan Chase, Mastercard, AIG, Memorial Sloan Kettering, Montefiore, Globalfoundries, TEKsystems, Loretto, Cognizant, Clarkson University, Berkeley College, and Athenex. 

In addition to new commitments from New York's leading employers, Governor Cuomo will also take the following State actions through his $175 million Workforce Development Initiative, inspired by the work of the Reimagine New York Commission. The COVID-19 health emergency has pushed a tremendous number of New Yorkers out of work. The crisis has also magnified inequalities, with lower- and middle-income households experiencing the greatest economic losses. The following actions will seek to expand job pathways and opportunities:

• Launch NYS Workforce Scholarships to allow low-income New Yorkers to attend high-quality training programs free-of-cost to gain skills leading to well-paid jobs. This initiative builds on Governor Cuomo's leadership to make college free for middle class New York families by creating non-college pathways vital to help New Yorkers move up the ladder.
• Expand SUNY For All Free Online Training so New Yorkers can enroll in additional employment certification programs for quality jobs in high-demand areas like IT, cyber, and healthcare, building on the success of hybrid learning models. 
• Expand the Employment Training Incentive Program retraining tax credit to further incentivize New York businesses to train and upskill employees and interns. This tax incentive will support training and wraparound services to help employees who are furloughed or out-of-work due to the COVID-19 pandemic. This will also provide internship opportunities to young New Yorkers. 

Reimagine New York Commission Working Group Co-Chair and Former IBM Chair, President and CEO Ginni Rometty said, "Jump-starting New York's economic recovery depends on creating new career opportunities for those hit hardest by the pandemic, especially New Yorkers without a college degree. That's why I'm encouraging all New York companies to adopt the Pathways Pledge, which commits employers to hire people based on their skills, not just their degrees. The pledge also calls for retraining programs to help workers build the skills that matter most in a fast-changing digital economy. Committing to the Pathways Pledge is a way for companies to expand opportunity, make the workforce more inclusive, and put skills first in rebuilding New York's economy." 

  

Reimagine New York Commission Working Group Co-Chair and Former Infor Chairman and CEO Charles Phillips said, "In a rapidly evolving digital economy, it is now more important than ever for New Yorkers to be able to acquire new skills. Having spent my career in the technology industry, I have seen first-hand how innovation can require individuals to acquire new skills to succeed in the workplace. We must provide New Yorkers with increased access to job training and the financial support needed to pursue it; we must ensure that training programs in the state are high-quality and equip workers to succeed in their careers; and we must help workers to access the digital tools required to both receive training and participate in the workplace. The Reimagine New York Commission has advanced new policies and programs designed to help New Yorkers in each of these ways." 

  

Reimagine New York Commission Member and Per Scholas President and CEO Plinio Ayala said, "Per Scholas has been so honored and excited to participate in the Reimagine New York Commission to help New York build a successful economic recovery plan following the COVID-19 pandemic. We are encouraged by so many New York companies that are making a Pathways Pledge commitment to a more equitable and diverse workforce through worker upskilling and pre-employment training to ensure our labor force is prepared for in-demand jobs."

Reimagine New York Commission Member and Founder and CEO of Chobani Hamdi Ulukaya said, "As a founding member of the Pathways Pledge, Chobani has been creating opportunities for all New Yorkers no matter where they come from or their experience. The promises we're making today formalize an important mission—not just for this state but for the country. We must continue to do everything we can to break down the barriers to achieving the American Dream."  

Former CEO Of Real Estate Private Equity Investment Firm Charged With Securities Fraud

 

 Audrey Strauss, the Acting United States Attorney for the Southern District of New York, and William F. Sweeney Jr., the Assistant Director-in-Charge of the New York Office of the Federal Bureau of Investigation (“FBI”), announced today the arrest of ERIC MALLEY, the founder and former chief executive officer of real estate private equity investment firm MG Capital Management L.P.  on charges of securities fraud and wire fraud for his role in a scheme to fraudulently induce hundreds of individuals to invest a total of more than $50 million in two real estate investment funds by, among other things, lying about his own prior experience and investment track record and about the nature and characteristics of those funds.  MALLEY was arrested this morning in New Canaan, Connecticut, on a criminal complaint (the “Complaint”) and will be presented before a magistrate judge in the Southern District of New York. 

Acting Manhattan U.S. Attorney Audrey Strauss said:  “Eric Malley allegedly promised his clients that they would reap the benefits of owning equity in Manhattan real estate through his time-tested, sophisticated, debt-free investment strategy.  As alleged, those promises were lies.  Malley lied about his prior funds’ existence and performance, and he lied in promising clients that the funds were free of debt and leased to prominent corporate tenants.  While his investors lost money, Malley enriched himself.  We will continue to work with our law enforcement partners to protect investors from these types of deceptive practices.”

FBI Assistant Director William F. Sweeney Jr. said:  “As alleged, Malley, acting as CEO of an investment firm he founded, solicited investors with material misrepresentations and lies pertaining to luxury residential real estate and several investment funds.  Ultimately, the investors, many of whom had entrusted Malley with all of their retirement savings, lost nearly everything.  Today’s action should serve as a reminder to fraudsters who seek to prey on unwitting investors that the FBI and our partners will not waver in our commitment to bring them to justice.”

As alleged in the Complaint unsealed today in Manhattan federal Court[1]:

MALLEY founded MG Capital Management L.P. (“MG Capital”) in approximately January 2013, and served as its chief executive officer (“CEO”) from that time until approximately December 2019.  MALLEY described MG Capital as an opportunity for investors to invest in luxury residential real estate properties through limited partnership interests, and formed two real estate investment funds, MG Capital Management Residential Fund III (“Fund III”) and MG Capital Management Residential Fund IV (“Fund IV”) (collectively, “the Funds”), in approximately February 2014 and September 2017, respectively.

In connection with marketing the Funds to investors, MALLEY touted two purportedly extremely successful prior funds he had formed, Fund I and Fund II.  MALLEY also assured investors that the Funds would be and were debt-free, and that the properties held by the Funds would be and were leased primarily to corporate tenants.  MALLEY’s representations about the existence and performance of Funds I and II were largely fabricated.  Furthermore, the Funds were not debt-free, but instead held mortgaged properties, and the properties that made up the Funds were almost entirely leased to individual, not corporate, tenants.

Investors in the Funds, many of whom invested the entirety of their retirement savings, lost all or almost all of their investments.  As to Fund III, in total, approximately 60 investors invested approximately $23 million.  Fund III incurred net operating losses of approximately $860,000, and its investors never received either distributions or a return of their investments.  MALLEY nevertheless distributed at least approximately $278,000 to himself in his capacity as general partner.  As to Fund IV, in total, approximately 275 investors invested approximately $35 million.  Fund IV incurred millions of dollars in losses, and MALLEY did not disclose those losses until approximately two years into Fund IV’s operation.

In or about mid-December 2019, MALLEY stepped down from his role as CEO of MG Capital.  Between in or about February 2020 and on or about March 31, 2020 – after MALLEY had become aware that the U.S. Securities and Exchange Commission (“SEC”) was investigating him – MALLEY accessed MG Capital’s server and deleted approximately 10,000 files from the server, including broker information and closing documents detailing the closing costs associated with acquisition of properties, which were used to obtain funding from the Funds’ administrators.

MALLEY, 50, of New Canaan, Connecticut, is charged with one count of securities fraud, which carries a maximum potential sentence of 20 years in prison, and one count of wire fraud, which carries a maximum potential sentence of 20 years in prison.  The maximum potential penalties are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.

Ms. Strauss praised the investigative work of the FBI and thanked the New York Regional Office of the U.S. Securities and Exchange Commission, which has separately filed a civil action against MALLEY and M.G. Capital Management.

The allegations contained in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.

 [1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth below constitute only allegations, and every fact described should be treated as an allegation.

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MAYOR DE BLASIO ANNOUNCES 24/7 MEGA VACCINATION SITE AT CITI FIELD

   

"The Mets are hitting it out of the park today," said Mayor Bill de Blasio.  "By making Citi Field a 24/7 vaccination site they’re stepping up to the plate for New Yorkers across our city.”

 

“Alex and I have talked about the importance of the Mets being actively involved in our community and we are happy to help out,” said Mets Owner Steve Cohen. “Partnering with the Mayor and City to open Citi Field as a 24/7 vaccination site will help get more people vaccinated faster as part of the City’s recovery from COVID-19.”

 

An additional 24/7 mega site also launched today at 125 Worth Street in Manhattan, adding to the two sites that are currently operational in the Bronx and Brooklyn. A site in Staten Island at the Vanderbilt Gotham Health Center will launch Friday, followed by a site at the DOHMH clinic in Corona, Queens on Saturday. By the end of this week, a total of five 24/7 vaccination sites across the city will be open, with one location in each borough.

 

The Citi Field site will eventually scale up to be able to vaccinate approximately 5,000-7,000 eligible New Yorkers per day, building on the City' s goal to offer one million doses of the vaccine by the end of January. For other sites citywide, eligible New Yorkers can make their vaccine appointments using the City’s Vaccine Finder, which aggregates all vaccination locations open to the eligible public citywide into a single, accessible five-borough network, including City-run sites and private providers.

 

New Yorkers 75 or older and frontline essential workers such as teachers and education workers, childcare staff, first responders, public safety workers, public transit workers, and other frontline essential workers are now eligible to get the free COVID-19 vaccine. Eligible New Yorkers in Phase 1A or 1B can reserve their appointment by calling 877 – VAX – 4NYC or by visiting nyc.gov/VaccineFinder.

 

This helpful tool allows New Yorkers to access the vaccine however works for them, at locations they know and trust in their own communities. Eligible New Yorkers who wish to make an appointment over the phone can do so by calling 877 – VAX – 4NYC between the hours of 8:00 AM - 9:00 PM, seven days a week.

 

Phase 1A priority groups also continue to be eligible for vaccines including healthcare workers and staff with direct patient contact, emergency responders, staff at COVID-19 testing and vaccination locations, home health aides, and long-term care staff and residents, among others.

 

“All New Yorkers must have access to the COVID-19 vaccine, and this massive new site gives us the ability to deliver the vaccine rapidly so that we can protect New Yorkers and keep our city safe,” said NYC Test & Trace Corps Executive Director Dr. Ted Long. “With a track record of testing millions of New Yorkers for the virus, the addition of our latest 24/7 vaccination site at Citi Field builds on the strong base we have established through the Test & Trace Corps to win the fight and finally end this pandemic.” 

 

 “The vaccination location at Citi Field adds to our growing network of vaccine access points citywide, making it even easier  for eligible New Yorkers to access the safe, free COVID-19 vaccine,” said Deputy Mayor Melanie Hartzog. “With more and more New Yorkers determined eligible by the State to be vaccinated all the time, we’re  focused  on continuing to ramp up  our capacity for vaccination  to meet demand. With vaccine supply very limited, however,  we urge  New Yorkers scheduling appointments  to be patient – and new sites like Citi Field will  help us deliver  on our promise of  vaccines  for all.” 

 

Bronx State Senator Luis Sepulveda Turns Himself In After His Wife Accuses Him of Assault

 

This morning State Senator Luis Sepulveda turned himself in at the 48th Precinct facing charges that he assaulted his wife. It was reported that his wife Elizabeth called 911 Saturday shortly after the senator who is running for Bronx Borough President finished a virtual candidates forum. The incident had occurred in their West Farms apartment where both said to police that the other had assaulted them. It was rumored that the reason Sepulveda's wife went to Florida previously was because of a domestic dispute, but she returned to the Bronx a short time later. 

He became a State Senator in April of 2018 replacing Ruben Diaz Sr. who left the State Senate to become a City Councilman. Senator Sepulveda is known for his work in Criminal Justice reforms, sponsoring the Green Light Bill which granted drivers licenses to undocumented immigrants in New York State. He chairs the Senate Committee on Crime Victims and Corrections, but Senate Majority Leader Andrea Stewart Cousins said that Senator Sepulveda would be removed as the chair, and stripped of all his committee assignments. She added that the situation will be monitored, and that she takes these allegations extremely seriously.

In January 2020 the State Senate received a thirteen page packet from Senator Sepulveda's older brother who is incarcerated in a Florida jail after being convicted in 1998 of importation of Cocaine, Marijuana, and Hashish oil. The senator denied the claims stating they are false, and that his brother is in a difficult place in his life. The charges were not substantiated by the Ethics Committee chaired By Senator Biaggi.

Here is a statement from Marvin Ray Raskin Esq. that we were given.

"Mr. Sepulveda has been the victim of recurring physical violence by his estranged spouse for approximately nine years, a situation he has endured because of the young child they share together. This false accusation is a calculated attempt by a disgruntled party to leverage a divorce settlement from a case she filed in Florida this past November.”

"All allegations must be taken seriously and investigated to the full extent of the law, which is why the Senator is committed to and will proactively provide full transparency as this matter is resolved. The issues raised must see the full light of day, and we are confident that when the true history of the relationship is understood, the facts that present themselves will clear his name.”

Two Men Charged in Connection with Events at U.S. Capitol

 

 Two more men were charged in federal court in the District of Columbia in connection with the riots at the U.S. Capitol on Wednesday, Jan. 6, 2021.

Larry Rendell Brock, of Texas, was charged with one count of knowingly entering or remaining in any restricted building or grounds without lawful authority and one count of violent entry and disorderly conduct on Capitol grounds. Brock was arrested today in Texas.

It is alleged that Brock was identified as one of the individuals who unlawfully entered the U.S. Capitol wearing a green helmet, green tactical vest with patches, black and camo jacket, and beige pants holding a white flex cuff, which is used by law enforcement to restrain and/or detain subjects.

Eric Gavelek Munchel, of Tennessee, was charged with one count of knowingly entering or remaining in any restricted building or grounds without lawful authority and one count of violent entry and disorderly conduct on Capitol grounds. Munchel was arrested today in Tennessee.

It is alleged that Munchel was inside of the U.S. Capitol on Jan. 6, 2021. Photos depicting his presence show a person who appears to be Munchel carrying plastic restraints, an item in a holster on his right hip, and a cell phone mounted on his chest with the camera facing outward, ostensibly to record events that day.

These cases are being prosecuted by the U.S. Attorney’s Office for the District of Columbia and the Counterterrorism Section of the DOJ’s National Security Division, with assistance from the U.S. Attorney’s Office for the Northern District of Texas and the U.S. Attorney’s Office for the Middle District of Tennessee. The cases are being investigated by the FBI’s Washington Field Office, the FBI’s Dallas Field Office, the FBI’s Memphis Field Office and the United States Capitol Police.

The information contained in the charging documents are merely allegations. The defendants are presumed innocent until proven guilty.

The ATF and FBI continue to urge the public to report suspected use of explosive devices, or violent, destructive acts associated with the recent unrest. Anyone with information can call 1-888-ATF-TIPS (1-888-283-8477), email ATFTips@atf.gov or submit information anonymously via ReportIt.com.

 The FBI is looking for individuals who may have incited or promoted violence of any kind. Anyone with digital material or tips can call 1-800-CALL-FBI (800-225-5324) or submit images or videos at fbi.gov/USCapitol.