Council Member Cohen Joins Rally Against Albany's Efforts to Overturn NYC's Plastic Bag Law

Event on City Hall Steps Draws Big Crowd Determined to Protect the Law

 Scores of protesters showed their dedication to protecting the environment by rallying on the steps of New York City Hall on Sunday, February 5, in support of the plastic bag law passed by the New York City Council, set to take effect in less than 2 weeks. Council Member Andrew Cohen, a co-sponsor of the law, joined the coalition of 75 statewide environmental advocates and other state and local elected officials, speaking out to protest legislative efforts by elected officials in Albany to nullify the law.

New York City taxpayers pay millions each year to cart over 9 million discarded plastic bags to dumps, and once there, they do not decompose easily.  Those that do not make it to landfills end up in trees, wash into storm drains, or float away into the sea, where they can choke marine organisms mistaking them for food. In recognition of these significant costs and impacts here in the five boroughs, the Council passed Intro 209, imposing a nickel charge on plastic bags taken at grocery store checkout counters, in order to encourage shoppers to carry reusable shopping bags. More than half of the Council’s members co-sponsored the measure, and it was passed, and later signed by the Mayor, in 2016.

In January, 2017, the New York State Senate moved forward with legislation to nullify the law, and on Friday, February 3, leaders of the New York State Assembly stated their intention to join in opposing the law.

“New York City’s adoption of a five cent plastic bag fee is environmentally friendly policy.  Numerous other municipalities across our country have introduced similar fees and have seen a large reduction in the usage of plastic bags,” said Council Member Andrew Cohen. “The state legislature’s bills to nullify this law will usurp upon the domain of the City which would create a dangerous precedent where Albany could overturn any municipality’s local laws.” 

EDITOR'S NOTE: 

Councilman Andrew Cohen forgets that his council district is right at the border of the Westchester County line where there will be no bag fee (Tax). 

Instead of giving the bag fee (tax) to store owners who will gouge shoppers why is this bag fee (tax) not being given back to the customer as in the five cent deposit on plastic beverage bottles. 

The City Council has a novel idea, but is implementing it in the wrong way, and that is why there will be opposition to the 'Bag Tax'. 

Manhattan U.S. Attorney And NYPD Commissioner Announce Arrest Of Narcotics Dealer Responsible For Heroin Overdose Death

   Preet Bharara, the United States Attorney for the Southern District of New York, and James P. O’Neill, the Commissioner of the New York City Police Department (“NYPD”), announced the unsealing of a complaint charging FABRICE DIAZ, 24, with narcotics dealing that resulted in the overdose death of a 25-year-old man.

The complaint alleges that DIAZ participated in a conspiracy to distribute heroin, and that heroin distributed by DIAZ resulted in the death of Robert Vivolo, age 25, of the Bronx, New York, on October 21, 2016. DIAZ was arrested Friday morning and was presented in Manhattan federal court before United States Magistrate Judge Katharine H. Parker. DIAZ faces a mandatory minimum term of 20 years in prison.

U.S. Attorney Preet Bharara stated: “Once again, we are confronted with the lethal effects of the opioid abuse epidemic. As alleged, Fabrice Diaz sold the heroin that sadly killed Robert Vivolo. Thanks to the outstanding partnership with the New York City Police Department, we seek to combat the deadly opioid crisis one alleged drug dealer at a time.”

According to the Complaint[1]:

From at least in or about October 2016 up to January 2017, in the Southern District of New York and elsewhere, FABRICE DIAZ and others conspired to sell heroin. As part of that conspiracy, on or about October 21, 2016, DIAZ exchanged text messages with Robert Vivolo, a 25-year-old heroin addict who lived on City Island, in the Bronx, New York. In those messages, DIAZ arranged to sell heroin to Vivolo, and DIAZ delivered heroin to Vivolo’s home. A short time later, Vivolo overdosed on that heroin and died.

After Vivolo’s death, DIAZ was arrested on separate charges in New Rochelle, New York, on or about January 11, 2017, in possession of 17 envelopes of heroin.

DIAZ faces a maximum sentence of life in prison, and a mandatory minimum sentence of 20 years in prison.

The statutory maximum sentence is prescribed by Congress and is provided here for information purposes only, as any sentencing of the defendant would be determined by a judge.

Mr. Bharara praised the investigative work of the NYPD. Mr. Bharara also thanked the Westchester County District Attorney’s Office and the New Rochelle Police Department for their assistance in the investigation. Mr. Bharara noted that the investigation remains ongoing.

This matter is being handled by the Office’s Narcotics Unit. Assistant United States Attorney David W. Denton Jr. is in charge of the prosecution.

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

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

Manhattan Man Sentenced To More Than 6 Years In Prison For Child Pornography Offenses

   Preet Bharara, the United States Attorney for the Southern District of New York, announced today that PAAL KLYKKEN, 35, was sentenced to 78 months in prison and supervised release for seven years for distributing and receiving child pornography. KLYKKEN pled guilty on September 1, 2016, before U.S. District Judge Valerie E. Caproni, who also imposed today’s sentence.

U.S. Attorney Preet Bharara stated: “Paal Klykken admitted to serially taking advantage of and victimizing his minor neighbor. Today, he has been sentenced to prison for his predatory criminal behavior.”

According to documents filed in this case and statements made in related court proceedings:

From at least early 2015 up to and including January 2016, KLYKKEN communicated by email and a social messaging app with a minor girl (the “Minor Victim”) who lived in a neighboring apartment. Because of the relative positions of their respective apartments, KLYKKEN was able to view inside the Minor Victim’s bedroom from his own apartment window while they communicated. The communications were often sexual, and KLYKKEN repeatedly enticed the Minor Victim to pose in sexual positions and engage in sexually explicit conduct while KLYKKEN watched from his home, often with the aid of a camera.

On March 18, 2016, KLYKKEN was arrested in Manhattan. After his arrest, KLYKKEN admitted, among other things, that, in addition to the conduct with the Minor Victim, for approximately 18 years, he had live-streamed and downloaded child pornography.

Mr. Bharara praised the efforts of the Federal Bureau of Investigation and expressed deep appreciation for the contribution of the New York City Police Department Vice Major Case Squad to this investigation.

Former Treasurer Of Patterson Fire Department Sentenced To 33 Months In Prison For Embezzlement And Filing False Tax Returns

   Preet Bharara, the United States Attorney for the Southern District of New York, announced today that ALBERT MELIN, the former treasurer of the volunteer Patterson Fire Department (“PFD"), was sentenced today by U.S. District Judge Nelson S. Roman to 33 months in prison for fraud and tax charges arising out of his embezzlement of more than $1.1 million from the PFD.

According to documents filed in court, MELIN, a chiropractor, was elected treasurer of the PFD in 2013. From in or about December 2013 to in or about October 2015, MELIN embezzled PFD funds under his control by writing checks to the two businesses he owned, 211 Medical, P.C. (“211 Medical”), and N.A.S. Management Co., Inc. (“N.A.S.”). MELIN then deposited the checks to bank accounts held by 211 Medical or N.A.S. MELIN also charged expenses of 211 Medical and N.A.S. to the PFD’s debit card.

MELIN embezzled more than $1.1 million by writing more than 130 fraudulent checks. He used the money to support 211 Medical and N.A.S., to make payments on his home mortgage loan and to pay personal expenses, including the costs of family vacations. MELIN failed to report this income on his personal return for 2014 and falsely reported some of the embezzled funds as revenue on the corporate return for 211 Medical in an effort to disguise their source.

On November 2, 2016, MELIN pled guilty to one count of wire fraud, which carries a maximum sentence of 20 years in prison, and one count of subscribing to false tax returns, which carries a maximum sentence of three years in prison.

In addition to the prison sentence, MELIN, 46, of Cary, North Carolina, was sentenced to three years of supervised release. Judge Roman also ordered MELIN to forfeit $1,151,665.76 in ill-gotten gains and to pay $1,349,318.76 in restitution.

Mr. Bharara praised the outstanding investigative work of the IRS, FBI, New York State Comptroller, and New York State Police. He thanked the Putnam County District Attorney’s Office for its assistance in the investigation.

NWBCCC Annual Meeting

  I had the Pleasure of attending the Northwest Bronx Community and Clergy Coalition today which was held at the Monroe College Jerome Avenue Campus. Almost twenty years ago I was associated with the NWBCCC while I was the Co-President of School District 10's President's Council. While the NWBCCC was formed in 1974 to respond to the wave of arson that threatened the entire Bronx then. Its mission was (and still is) to unite diverse people and institutions to work for Economic Democracy and racial justice through intergenerational community organizing. NWBCCC is working on its 43rd year of helping Bronx residents develop visionary leadership, build community power, and revitalize their neighborhoods. 

   Twenty years ago the Bronx was returning from its darkest days of the arson fires, and the NWBCCC was there to help people find housing, and to revitalize the housing that had been run down or abandoned. the other key issue then was education, which seems to have taken a backseat today to other problems such as health, energy, transportation, and weatherization. Maybe it was the change to Mayoral Control of the public schools, but it seemed that education is still a much needed priority to the people the NWBCCC serves to me.

   After some budget business, and  the election of a new Board of Directors the NWBCC got down to question the elected officials on hand. They included new Congressman Adriano Espaillat, a representative from Congressman Jose Serrano's office, State Senator Gustavo Rivera, Assemblyman Jose Rivera, Assemblyman Victor Pichardo, a representative of Assemblyman Michael Blake, Councilman Andrew Cohen, Councilwoman Vanessa Gibson, Councilman Ritchie Torres, and a representative of Councilman Andy King. There were also answers to some questions from State Senator Jeff Klein who could not attend. The photos below should tell the rest of the story.

Above - NWBCCC longtime member and Treasurer Ms. Margret Groake welcomes new Congressman Adriano Espaillat to the meeting.

Below Congressman Espaillat would later be joined by State Senator Gustavo Rivera and Assemblyman Victor Pichardo.

Above - The new Board of Directors for the NWBCCC for 2017

Below - Mr. Yorman Nunez of the NWBCCC hosted the questioning of the elected officials as you see Congressman Espaillat answering the first question on affordable housing.

Above - State Senator Gustavo Rivera quietly answers a question on a bill to reduce the maximum amount of time a student can be suspended. Senator Rivera answered that he needs to read the entire bill before voting to pass it. 

Below - Assemblyman Jose Rivera stood up next to Mr. Nunez, as the assemblyman clutched a NWBCCC t-shirt while rousing the crowd with a statement before saying that he would support the bill.

Above - Councilman Andrew Cohen answers a question on North Bronx Central Hospital by saying that he is 100 percent behind keeping the city hospital open and fully functioning as it is today.

Below - Councilman Ritchie Torres also answers the same question, but is worried since he say the property is owned by Montefiore Hospital.

A look at the huge crowd at the NWBCC annual meeting.

Former Financial Adviser At Global Bank Charged In Manhattan Federal Court With Multimillon-Dollar Scheme To Defraud Clients

Barry Connell Allegedly Made Misrepresentations to the Bank and Stole at Least $5 Million of his Clients’ Funds

   Preet Bharara, the United States Attorney for the Southern District of New York, and William F. Sweeney Jr., the Assistant Director-in-Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), announced today that BARRY CONNELL was charged with wire fraud and aggravated identity theft for allegedly using his position as a financial adviser at a global financial institution based in New York City (the “Bank”) to defraud multiple Bank clients out of at least $5 million over a one-year period. CONNELL was arrested this morning in Henderson, Nevada, and will be presented later today in federal court in Las Vegas, Nevada.

Manhattan U.S. Attorney Preet Bharara said: “As alleged, Barry Connell used his clients’ bank accounts as his own, siphoning off millions of dollars to pay for his extravagant lifestyle, including a country club membership and private jet expenses.”

FBI Assistant Director-in-Charge William F. Sweeney Jr. said: “The reliability of our banking system is paramount to the success of our economy and ability of our markets to flourish. But when that confidence deteriorates because people allegedly breach the expectation of trust, we all suffer. There’s no excuse for this type of alleged crime, especially when a client’s hard-earned money is involved.”

According to the allegations in the Complaint unsealed today in Manhattan federal court:[1]

From December 2015 to November 2016, CONNELL, a former financial adviser at the Bank, effected numerous unauthorized transactions from five accounts belonging to a single family of Bank clients, and as a result defrauded the clients of at least approximately $5 million.

In some instances, CONNELL effected the fraudulent transactions by submitting Bank forms falsely stating that he had received client instructions authorizing wire transfers to third parties for the client’s benefit, when in fact he had not received client authorization and the wire transfers were for CONNELL’s own benefit. In other instances, CONNELL effected the fraudulent transactions by using one client’s checks, which had been intended only to pay the client’s bills, to instead pay for CONNELL’s own expenses.

CONNELL used the client funds to pay for numerous exorbitant personal expenses, including a year’s rent for a house near Las Vegas, country club membership fees, and private jet expenses. CONNELL also paid bills for a credit card account in his spouse’s name, and made payments for his own benefit to automobile dealerships, an entertainment company, and a yacht company.

CONNELL, 50, of Chester, New Jersey, is charged with one count of wire fraud affecting a financial institution, which carries a maximum sentence of 30 years in prison and a maximum fine of $1 million or twice the gross gain or loss from the offense, and one count of aggravated identity theft, which carries a mandatory consecutive sentence of two years in prison and a maximum fine of $250,000 or twice the gross gain or loss from the offense. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.

Mr. Bharara praised the work of the FBI and thanked the U.S. Securities and Exchange Commission for its assistance. Mr. Bharara also thanked the Chester Township, New Jersey, Police Department and the Henderson, Nevada, Police Department for their assistance. He added that the investigation is continuing.

This case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorney Won S. Shin is in charge of the prosecution.

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

 

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

A.G. Schneiderman Provides $215,000 To New York Botanical Garden To Cut Bronx River Pollution

Funding Adds To Nearly $650,00 Provided By AG’s Office To Support The New York Botanical Garden’s Clean Water Program

Botanical Garden’s Use Of “Green Infrastructure” To Eliminate Pollution Seen As Model For Others Along River

   Attorney General Eric T. Schneiderman announced today that his office is providing $215,000 to The New York Botanical Garden to support the Garden’s use of “green infrastructure” to eliminate water pollution discharges to the Bronx River. This funding, which will allow the Garden to replace a paved parking area with a “porous” one that reduces storm water runoff, adds to the almost $650,000 in project funding that the Attorney General’s office has invested in the program through its Bronx River Watershed Initiative.

Green infrastructure – natural systems, like wetlands, or engineered systems, like porous pavement, that mimic them – captures, stores, and treats storm water that would otherwise run off the Garden’s property, carrying with it pesticides, fertilizers, and other pollutants into the adjacent waterbodies. Because green infrastructure relies on more natural systems, it can be more cost-effective, sustainable, and environmentally-friendly than wastewater treatment plants and other traditional infrastructure.

“Now more than ever, local leadership is crucial to ensuring the protection and improvement of our environment,” Attorney General Schneiderman said.  “The New York Botanical Garden is leading efforts to reclaim the Bronx River through environmentally-friendly approaches to eliminating water pollution.  I am proud to support the Botanical Garden’s work and, through our Bronx River Watershed Initiative, join local efforts throughout the Bronx and Westchester County focused on bringing new life to the Bronx River.”

“We are grateful to the Attorney General’s office for again recognizing The New York Botanical Garden’s efforts to improve water quality and on-site detention, and to reduce stormwater runoff into the Bronx River,” said Gregory Long, Chief Executive Officer and The William C. Steere Sr. President of NYBG. “The investment in this green infrastructure project will help us continue to serve as proud stewards of this 250-acre urban oasis. We thank Attorney General Schneiderman and his staff for their support of our mission to preserve NYBG’s National Historic Landmark landscape and our shared environment so that our neighbors and visitors may benefit from this natural resource for generations to come.”

The Bronx River flows for roughly 23 miles through southern Westchester and the Bronx and has a long history of pollution. While considerable progress has been made in recent years toward reclaiming the river, these efforts are still hampered by a number of lingering problems, including poor water quality. A principal cause of the Bronx River’s water quality problems is storm water runoff – rainwater and snowmelt that flows over impervious surfaces and into waters, picking up raw sewage, litter, gas and oil, pesticides, fertilizers and other harmful pollutants along its path.

Through its “Sustainability and Climate Change Program,” the New York Botanical Garden has been actively revising its design, construction, and maintenance practices to address pressing environmental issues, including water pollution.  To this end, the Garden is incorporating green infrastructure improvements into the planning, design, and construction of all new or renovated projects throughout its 250 acres in order to reduce the volume of, and improve the quality of the remaining, stormwater runoff entering into the Bronx River.

The $215,000 in project funding being announced today adds to the almost $650,o00 in support previously provided by the Attorney General’s office from its Bronx River Watershed Initiative to projects central to the Garden’s Sustainability and Climate Change Program. In these projects, a variety of green infrastructure approaches have been used to capture, store, and treat polluted stormwater from the Garden’s historic Stone Mill area and Horticulture Operations Center.  In total, the Attorney General’s Bronx River Watershed Initiative has invested about $865,000 in the Garden’s clean water program. 

The Garden’s Sustainability and Climate Change Program provides a model for how institutions, local governments, businesses, and private landowners in the Bronx River watershed can use green infrastructure to reduce water pollution.  Its public education and outreach efforts, which call attention to these green infrastructure practices, also serve as a model for advancing efforts to protect and improve water quality.  NYBG’s ability to educate the public is substantial, as it draws over one million visitors per year from a local, national, and international audience.   

The funding provided to The New York Botanical Garden is a portion of the monies obtained by the Attorney General’s Office through its Bronx River Watershed Initiative. That initiative yielded settlements with the Yonkers Raceway Corporation, the City of Yonkers, the City of White Plains, the Village of Scarsdale, the City of Mt. Vernon and the Town of Greenburgh, all of which were polluting the river with untreated sanitary sewage discharges from their stormwater sewers. 

All told, the Bronx River Watershed Initiative has dedicated more than $6.4 million to support local efforts in the Bronx and Westchester Counties focused on restoring water quality in the waterway by controlling storm runoff and snow melt. With matching funds, the initiative is bringing over $15.2 million through 21 local entities for 32 projects that combat principal causes of the Bronx River’s continuing water quality problems.  With the funding announced today, all of the Initiative’s funds have now been allocated.  

A.G. Outlines Impact Of Spectrum-Time Warner Cable's Alleged Fraud In Western NY, Issues Consumer Alert To Assist New Yorkers In Choosing The Best Internet Service

Consumer Alert Follows A.G. Schneiderman’s Announcement Of Lawsuit Against Spectrum-Time Warner Cable That Alleges Company Failed To Deliver The Reliable And Fast Internet Access It Promised To Subscribers Across The State 

Spectrum Has Over 570,000 Subscribers In Western New York, AG's Office Received More Than 300 Complaints 

Suit Seeks To Compensate Spectrum-Time Warner Cable Subscribers For Five Years Of Broken Promises And Damages And Restitution That Could Be Worth Upwards Of Hundreds Of Millions Of Dollars 

   Attorney General Eric T. Schneiderman issued a consumer alert today to provide New Yorkers with tips for selecting the best internet service plan. This consumer alert follows the Attorney General’s announcement yesterday of his office’s lawsuit against Charter Communications Inc. (“Charter”) and its subsidiary Spectrum Management Holdings, LLC, (f/k/a Time Warner Cable, Inc.,) (together, “Spectrum-TWC”) for allegedly conducting a deliberate scheme to defraud and mislead New Yorkers by promising internet service that they knew they could not deliver.

With over 570,000 subscribers in the Western New York region, Spectrum-Time Warner Cable is the largest supplier of internet service in the state. The complaint alleges that since January 2012 Spectrum-TWC’s marketing promised subscribers who signed up for its internet service that they would get a "fast, reliable connection" to the internet from anywhere in their home. But a 16-month investigation by the Attorney General’s office – which included reviewing internal corporate communications and hundreds of thousands of subscriber speed tests – found Spectrum-Time Warner subscribers were getting dramatically short-changed on both speed and reliability.

“Reliable internet is vital for millions of New York families and businesses,” said Attorney General Schneiderman. “As alleged in our complaint, our sixteen month investigation found that Spectrum-Time Warner Cable's 2.5 million subscribers in New York were repeatedly cheated into paying more internet speeds the company knew it would not provide. That's just wrong. I encourage consumers to read our tips to ensure they don't pay extra for speed their provider just cannot deliver."

The Attorney General’s Office looked into thousands of complaints from New York subscribers, including more than 300 from Western New York.

The suit alleges that subscribers’ wired internet speeds for the premium plan (100, 200, and 300 Mbps) were up to 70 percent slower than promised; WiFi speeds were even slower, with some subscribers getting speeds that were more than 80 percent slower than what they had paid for. As alleged in the complaint, Spectrum-TWC charged New Yorkers as much as $109.99 per month for premium plans could not achieve speeds promised in their slower plans. 

Today’s consumer alert will provide consumers with a guide to asking the right questions in order to determine the appropriate internet plan for their households needs. When choosing an internet plan, consumers ask the following:

• What will you be using the Internet for?
• How much speed do you really need?
• What equipment do you need?
• How much speed are you actually getting?

Internet Service Providers (“ISPs”) offer a variety of speeds that are measured in “megabits per second” (“Mbps”) from as low as 6 Mbps to upwards of 100, 200 or even 1,000 Mbps. Internet users should consider how they’ll be using their internet and what speeds are recommended for these internet applications.

Consumers should also consider whether they’ll need a modem and/or router to connect to the internet in their home and ensure that it’s compatible with their ISP’s network. Keep in mind that as technology evolves, modems and routers will need to be able to handle more and more speed. The AG’s investigation also found that Spectrum-TWC executives knew that the company’s hardware and network were incapable of achieving the speeds promised to subscribers, but nevertheless continued to make false representations about speed and reliability. The investigation further revealed that while Spectrum-TWC earned billions of dollars in profits from selling its high-margin internet service to millions of New York subscribers, it repeatedly declined to make capital investments necessary to improve its network or provide subscribers with the necessary hardware.

Finally, consumers should check to see what speed they’re actually receiving, rather than relying on the promises of their Internet service provider. There are a number of online tools that can help check your speed:

• Measurement Lab’s Internet Health Test
• Oookla
• DSL Reports

If you’re not receiving the speed you’re paying for, find out why and call your Internet Service Provider. The problem may be as simple as needing to move your router to a better location in your house. Or it could be an issue that only your provider can fix such as performing maintenance on its network.

“New York consumers care deeply about the quality and cost of their broadband internet service,” said Chuck Bell, Programs Director for Consumers Union. “In the 21^st Century, broadband internet is an essential telecommunications service that New Yorkers rely on to be informed citizens, to advance their knowledge and learning, to keep in touch with family, to pay bills and arrange for health care, to name just a few vital uses. Consumers Union asked our New York state members about the quality of their internet service last year, and over 650 people quickly responded by taking a broadband speed test and sending the results to the Attorney General. The bottom line is that consumers deserve to get the broadband speeds they are paying for, and that are touted in company marketing claims and advertising.  We are extremely pleased that Attorney General Schneiderman and his staff are fighting for consumers on this issue, by investigating customer complaints, and holding internet providers accountable for what they promise.”

"The Attorney General's detailed allegations of widespread false advertising and deceptive practices by Spectrum-Time Warner Cable in marketing and providing high speed broadband service are highly disturbing," said NYPIRG General Counsel Russ Haven. "In 2017, access to broadband is essential for connecting with the world. It's fundamental that consumers are entitled to get what they're promised when they plunk down their hard-earned money for products and services." 

As the complaint alleges, Spectrum-TWC continues to underserve their subscribers by failing to make the capital investments necessary to live up to their promised speeds. These investments would include substantially upgrading Spectrum-TWC’s network capability and replacing large numbers of deficient modems and wireless routers that subscribers currently pay Spectrum-TWC up to $10 per month to rent.

The complaint specifically alleges a series of false and misleading practices by the company over the course of several years, including:

Spectrum-TWC Misled Subscribers By Falsely Promising Speeds It Knew It Would Not Deliver

The complaint alleges that since at least 2012, Spectrum-TWC represented to its New York subscribers that they could get fast and reliable Internet access.  However, the company knew that these promises were impossible to keep for several reasons.  First, Spectrum-TWC leased deficient modem equipment to subscribers that could not deliver the promised speeds. Second, in addition to the equipment failures, Spectrum-TWC’s network was overloaded and could not consistently deliver the speeds it promised to subscribers. That was because Spectrum-TWC did not design the network to reliably deliver the promised speeds.  Moreover, the complaint alleges that Spectrum-TWC decided to cut costs by not fixing the equipment and network failures.  To mask its misconduct, the complaint alleges that Spectrum-TWC rigged test results.

For example:

• During the Relevant Period, Spectrum-TWC leased deficient cable modems to over 900,000 subscribers in New York that could not deliver the advertised speeds. As of February 2016, Spectrum-TWC still charged over 185,000 New Yorkers, or roughly 7% of its 2.5 million active subscriber base at the time, $10 a month for deficient modems that, in its own words, were “not capable of supporting the service levels paid for.” 
• The results of numerous tests from multiple Internet speed measurements confirm that Spectrum-TWC delivered to subscribers on Spectrum-TWC’s fastest speed plans only a third to a half of the download speeds—sometimes even less—than they had paid for. 

Spectrum-TWC Misled Subscribers By Promising Wireless Connectivity That It Knew It Would Not Deliver

The complaint alleges that since at least 2012, Spectrum-TWC promised its subscribers go-anywhere wireless connectivity in their homes. However, the company knew that the wireless routers provided to subscribers could not deliver the promised speeds or service. 

For example:

• As of February 2016, Spectrum-TWC supplied over 250,000 subscribers on 200 Mbps and 300 Mbps plans deficient WiFi routers that Spectrum-TWC knew could not deliver speeds above 100 Mbps.
• Separately, Spectrum-TWC ignored its own engineers and promised subscribers a home WiFi experience that was beyond the technical limits of its equipment and WiFi technology.

Spectrum-TWC Misled Subscribers By Promising Fast, Reliable Access to Online Content That It Knew It Would Not Deliver

The complaint alleges that since at least 2012, Spectrum-TWC represented to their subscribers that they would get fast, reliable access to content online like Netflix and gaming. However, Spectrum-TWC knew that it could not deliver on this promise because of the state of interconnection points in the transmission of online content. Specifically, the company was aware of, and sometimes deliberately created, bottlenecks at interconnection points, which resulted in slowdowns and disruptions to subscribers’ service. 

For example:

• Spectrum-TWC knew that bottlenecks in its network would result in many subscribers routinely experiencing the very hallmarks of a poor Internet connection—slowdowns, lag time, buffering and interruptions, yet its marketing specifically promised that they would avoid when streaming videos, playing online games and accessing other online content. 

But these executives traded on the fact that most subscribers had a limited choice of Internet service providers and that the technical complexity of deducing the problems would make it difficult for subscribers to pin the blame on the company.

The New York-based cable operator, originally known as Time Warner Cable, is currently rebranding itself as “Spectrum” throughout the state. Spectrum-TWC provides Internet service to approximately 2.5 million households/subscribers in New York State, and the complaint covers the subscription plans of almost 5 million subscribers over the relevant period. 

In its filing, the New York Attorney General’s Office is seeking restitution for New York consumers as well as appropriate injunctive and equitable relief to end Spectrum-TWC’s longstanding deceptive practices.