Justice Department Announces Actions to Combat Cost-of-Living Crisis, Including Rescinding 11 Pieces of Guidance

 

The Justice Department announced that it is taking action in response to President Trump’s Presidential Memorandum “Delivering Emergency Price Relief for American Families and Defeating the Cost-of-Living Crisis" First, the Department is withdrawing 11 pieces of guidance to streamline Americans with Disabilities Act (ADA) compliance resources for American businesses. Next, the Department is raising awareness about tax incentives for businesses related to their compliance with the ADA.

The Jan. 20 Presidential Memorandum described the regulatory demands put in place by the prior administration and called on the heads of all executive departments and agencies to take appropriate actions to lower the cost of living throughout the country. Today’s withdrawal of 11 pieces of unnecessary and outdated guidance will aid businesses in complying with the ADA by eliminating unnecessary review and focusing only on current ADA guidance. Avoiding confusion and reducing the time spent understanding compliance may allow businesses to deliver price relief to consumers.

In addition, to further the goals of the Presidential Memorandum and to aid businesses during tax season, the Department is highlighting tax incentives available for businesses to help cover the costs of making access improvements for customers or employees with disabilities. The Department expects that small businesses will find this reminder helpful in reducing costs, especially as they prepare their tax filings. An explanation of these tax incentives is featured prominently on the ADA.gov website.

“The Justice Department is committed to ensuring that businesses and members of the public can easily understand their rights and obligations, including the tax incentives that are available to help businesses comply with the ADA,” said Deputy Assistant Attorney General Mac Warner of the Justice Department’s Civil Rights Division. “Putting money back into the pockets of business owners helps everyone by allowing those businesses to pass on cost savings to consumers and bolster the economy.”

The Department has identified the following 11 pieces of guidance for withdrawal:

1. COVID-19 and the Americans with Disabilities Act: Can a business stop me from bringing in my service animal because of the COVID-19 pandemic? (2021)
2. COVID-19 and the Americans with Disabilities Act: Does the Department of Justice issue exemptions from mask requirements? (2021)
3. COVID-19 and the Americans with Disabilities Act: Are there resources available that help explain my rights as an employee with a disability during the COVID-19 pandemic? (2021)
4. COVID-19 and the Americans with Disabilities Act: Can a hospital or medical facility exclude all “visitors” even where, due to a patient’s disability, the patient needs help from a family member, companion, or aide in order to equally access care? (2021)
5. COVID-19 and the Americans with Disabilities Act: Does the ADA apply to outdoor restaurants (sometimes called “streateries”) or other outdoor retail spaces that have popped up since COVID-19? (2021)
6. Expanding Your Market: Maintaining Accessible Features in Retail Establishments (2009)
7. Expanding Your Market: Gathering Input from Customers with Disabilities (2007)
8. Expanding Your Market: Accessible Customer Service Practices for Hotel and Lodging Guests with Disabilities (2006)
9. Reaching out to Customers with Disabilities (2005)
10. Americans with Disabilities Act: Assistance at Self-Serve Gas Stations (1999)
11. Five Steps to Make New Lodging Facilities Comply with the ADA (1999)

Los Angeles Director And Writer Charged With $11 Million Fraud In Connection With Streaming Science Fiction Television Show

Carl Erik Rinsch Used the Stolen Funds to Speculate on Securities and Cryptocurrency 

Matthew Podolsky, the Acting United States Attorney for the Southern District of New York, and Leslie Backschies, the Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), announced the unsealing of a seven-count Indictment charging CARL ERIK RINSCH for engaging in a scheme to defraud a subscription video on-demand streaming service (“Streaming Company-1”) in connection with a planned science fiction television show called “White Horse.”  RINSCH was arrested in West Hollywood, California, and was presented in the Central District of California.  The case is assigned to U.S. District Judge Jed S. Rakoff. 

Acting U.S. Attorney Matthew Podolsky said: “As alleged, Carl Erik Rinsch orchestrated a scheme to steal millions by soliciting a large investment from a video streaming service, claiming that money would be used to finance a television show that he was creating. But that was fiction. Rinsch instead allegedly used the funds on personal expenses and investments, including highly speculative options and cryptocurrency trading. Rinsch’s arrest is a reminder that this Office and our partners at the FBI remain vigilant in the fight against fraud and will bring those who cheat and steal to justice.” 

FBI Assistant Director Leslie Backschies said: “Carl Rinsch allegedly stole more than $11 million from a prominent streaming platform to finance lavish purchases and personal investments instead of completing a promised television series. The FBI will continue to reel in any individual who seeks to defraud businesses.”

As alleged in the Indictment:[1]

RINSCH is a film and television writer and director who partially completed a science fiction television show called “White Horse.”  In 2018, RINSCH reached an agreement with Streaming Company-1 in which Streaming Company-1 would both pay RINSCH for the existing episodes of White Horse and also fund completion of the rest of the show.  Between 2018 and 2019, Streaming Company-1 paid approximately $44 million for White Horse.

Between late 2019 and early 2020, RINSCH demanded even more money from Streaming Company-1 to complete White Horse.  Streaming Company-1 ultimately agreed to pay another $11 million, and transferred those funds to a company RINSCH controlled on or about March 6, 2020.  The entirety of those funds was to be spent on the completion of White Horse.

But RINSCH did not use those funds to complete White Horse.  Instead, within days, RINSCH began transferring the funds he received through a number of different bank accounts before consolidating them in a personal brokerage account.  RINSCH then used those funds to make a number of personal and speculative purchases of securities.  His trading was unsuccessful, and in less than two months after receiving $11 million from Streaming Company-1, RINSCH had lost more than half of those funds.

Even after losing most of the $11 million, RINSCH still did not spend the remaining funds he had stolen on White Horse.  Instead, he used the money to speculate on cryptocurrency, and on personal expenses and luxury items, including approximately $1,787,000 on credit card bills; approximately $1,073,000 on lawyers to sue Streaming Company-1 for even more money, and for lawyers related to his divorce; approximately $395,000 to stay at the Four Seasons hotel and at various luxury rental properties; approximately $3,787,000 on furniture and antiques, including approximately $638,000 to purchase two mattresses and approximately $295,000 on luxury bedding and linens; approximately $2,417,000 to purchase five Rolls-Royces and one Ferrari; and approximately $652,000 on watches and clothing.

RINSCH, 47, of Los Angeles, California, is charged with one count of wire fraud, which carries a maximum sentence of 20 years in prison; one count of money laundering, which carries a maximum sentence of 20 years in prison; and five counts of engaging in monetary transactions in property derived from specified unlawful activity, each of which carries a maximum sentence of 10 years in prison. 

The maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by a judge.

Mr. Podolsky praised the outstanding work of the FBI and Internal Revenue Service - Criminal Investigation. 

The case is being prosecuted by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorneys Jackie Delligatti, David A. Markewitz, and Kevin Mead are in charge of the prosecution.

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

MAYOR ADAMS CELEBRATES CITY PLANNING COMMISSION’S APPROVAL OF ATLANTIC AVENUE MIXED USE-PLAN TO CREATE 4,600 NEW HOMES, 2,800 PERMANENT JOBS

 

Plan to Include Significant Investments in New Public Space and Infrastructure to Build Safer Streets 

  

Plan Now Goes to New York City Council for Review and Final Vote 

  

Announcement Comes as Adams Administration Continues to Advance Bold, Transformational Housing Projects Across Five Boroughs 

New York City Mayor Eric Adams and New York City Department of City Planning (DCP) Director and City Planning Commission (CPC) Chair Dan Garodnick celebrated the CPC’s vote in favor of the Atlantic Avenue Mixed-Use Plan, a community-led proposal that will deliver new housing, jobs, and investments in infrastructure in Brooklyn. The plan would create 4,600 new homes — including 1,440 permanently income-restricted, affordable homes — and 2,800 permanent jobs to a roughly 21-block stretch of Atlantic Avenue in Central Brooklyn, including neighboring blocks in Crown Heights and Bedford-Stuyvesant. Alongside new housing and jobs, the plan includes significant investments in local infrastructure and amenities, such as new and improved open space and traffic safety improvements. Today’s announcement comes as the Adams administration continues to address the city’s housing crisis by advancing bold, transformational housing projects across the five boroughs. 

  

“With this vote, we come one step closer to turning the ambitious Atlantic Avenue Mixed-Use Plan from a proposal into reality,” said Mayor Adams. “The plan is a powerful reminder that government is still capable of delivering visionary and vital projects. This community-led proposal will build more affordable housing, create more jobs, and bring more public spaces for working-class families to live, play, and thrive. Across all the five boroughs, our administration is continuing to deliver bold, transformational housing projects that our city needs to build our way out of this generational affordable housing crisis.” 

  

“Atlantic Avenue has been held back by outdated zoning for far too long. A central corridor like this should be a vibrant place for residents and workers alike, and that’s exactly what this plan will achieve,” said DCP Director and CPC Chair Garodnick. “With today’s vote, this Brooklyn community is one step closer to getting affordable homes, jobs, and infrastructure improvements it needs. Thanks to the City Planning Commissioners for their support.” 

  

“Thank you to the entire team at the Department of City Planning for their outstanding work in reaching this important milestone. The Atlantic Avenue Mixed-Use Plan represents a bold vision that will transform this corridor in Central Brooklyn into a dynamic and vibrant community where families can thrive,” said Deputy Mayor for Housing, Economic Development, and Workforce Adolfo Carrión, Jr. “I look forward to collaborating with Councilmembers Hudson and Ossé, as well as the entire City Council, to bring this plan across the finish line and deliver 4,600 new homes, 2,800 jobs, and vital investments to this community.” 

  

“Delivery of urgently-needed new housing must go hand-in-hand with investments in the surrounding neighborhood. Here, it's paired with a redesigned Atlantic Avenue that prioritizes safety for drivers, pedestrians, and cyclists, and enhances public space,” said Deputy Mayor for Operations Jeffrey Roth. “We look forward to engaging further with the City Council and community to see this important plan through.” 

   

A New Vision for Atlantic Avenue 

   

Illustrative rendering of a potential future of Atlantic Avenue. 

The Atlantic Avenue Mixed-Use Plan focuses on a section of Atlantic Avenue and neighboring streets between Vanderbilt and Nostrand Avenues. Since the 1960s, this area of Atlantic Avenue has been zoned for one-to-two industrial buildings and storage, despite its proximity to a major commercial area and transit hub. Through this plan, Atlantic Avenue would be transformed into a vibrant, mixed-use neighborhood with new housing — including permanently income-restricted affordable homes through Mandatory Inclusionary Housing — alongside 800,000 square feet of new, active ground floor commercial uses and manufacturing businesses, and community facilities. Neighboring avenues and streets would see moderately-sized mixed-use buildings with income-restricted affordable housing and job-generating uses.  

  

Building More Affordable Housing 

  

Through programs run by the New York City Department of Housing Preservation and Development (HPD), the city will also develop an additional 380 permanently affordable homes on city and nonprofit-owned sites across the neighborhood, including 542 Dean Street, 516 Bergen Street, and 1134-1142 Pacific Street. These buildings will include homes reserved for older, low-income households, as well as formerly homeless New Yorkers. To preserve existing affordable housing, HPD's Partners in Preservation program will provide a nearly $3 million investment to community-based groups focused on anti-harassment and anti-displacement work to support local tenants. HPD will also hold a series of housing resources workshops this spring and summer to assist tenants and homeowners with their needs. In response to feedback from industrial business owners and other community members during the public review process, the City Planning Commission also modified the proposal to make it safer and easier to preserve and grow industrial businesses in mixed-use buildings within neighborhood. 

  

Creating Safer Streets and Investing in Public Spaces 

  

Alongside new housing and job opportunities, the Atlantic Avenue Mixed-Use Plan includes significant commitments to support and enhance the neighborhood’s infrastructure. To enhance the community’s open space, the plan has allocated $24.2 million in improvements to St. Andrew's Playground, including a new, synthetic turf multi-use field with a running track, upgraded basketball and handball courts, renovated playgrounds, a remodeled public restroom, new seating, plantings, and other green infrastructure. Lowry Triangle, located near Atlantic Avenue and Washington Avenue, will also be augmented to serve as a more vibrant community space. The plan also includes the first expansion of a zoning incentive to encourage the creation of publicly accessible open space outside of a central business district. 

  

To make Atlantic Avenue safer for users of all ages, the plan includes several interim street safety improvements to be followed by future investments. These include painted "neckdowns," which are raised curb extensions that narrow the travel lane at intersections or midblock locations; daylighting to improve visibility at intersections; and bike corrals and a new bike lane on Bedford Avenue. Additionally, new buildings along Atlantic Avenue and Bedford Avenue would be required to be placed between five and 20 feet further away from the street, increasing sidewalk widths for pedestrians.  

  

Alongside this plan, several storm water and sewer upgrades for Atlantic Avenue and Dean Street are already underway, as are the installation of subsurface stormwater detention systems and 140 rain gardens throughout the neighborhood. These investments will increase sewer capacity and help the neighborhood better handle storm events. New buildings would also be required to meet the New York City Department of Environmental Protection’s stormwater standards, further reducing flooding.  

  

Engaging with the Community 

  

Over the past decade, DCP has worked closely with Brooklyn Community Board 8 and local stakeholders to develop a vision for a more dynamic, mixed-use Atlantic Avenue. The official study for the Atlantic Avenue Mixed-Use Plan kicked off in early 2023 with New York City Councilmembers Crystal Hudson and Chi Ossé, engagement facilitator WXY Studio, Community Boards 2, 3, and 8, and agency partners. The process included over 20 meetings: three public community planning workshops, nine public working group meetings on three topic areas, and nine steering committee meetings to help shape the plan, which culminated in the release of the Community Vision and Priorities Report in 2023. CPC’s vote follows favorable recommendations with conditions from Brooklyn Community Boards 3 and 8, and Brooklyn Borough President Antonio Reynoso. The Atlantic Avenue Mixed-Use Plan now goes to the New York City Council for a public hearing and vote. 

  

The Adams Administration’s Record on Housing 

  

This year, Mayor Adams has doubled down on his commitment to build more affordable housing across the five boroughs. Last month, Mayor Adams and the New York City Economic Development Corporation announced the next phase of an ambitious, bold new vision for Coney Island in Brooklyn that will deliver 1,500 new homes and invest in the reconstruction of the historic Riegelmann Boardwalk. Additionally, Mayor Adams and HPD celebrated a $82 million investment to put homeownership within reach for more New Yorkers by expanding the HomeFirst Down Payment Assistance Program. Finally, the Adams administration has advanced several bold, forward-looking projects, including reimagining Gansevoort Square to build mixed-income housing, building 100 percent affordable housing at the Grand Concourse Library in the Bronx, advancing the 388 Hudson development in Manhattan to provide hundreds of critically-needed affordable housing units, and kicking off public review on the Midtown South Mixed-Use plan to create nearly 10,000 homes — all building on this year’s State of the City address. 

  

Since entering office, Mayor Adams had made historic investments toward creating affordable housing and ensuring more New Yorkers have a place to call home. DCP is advancing several robust neighborhood plans that, if adopted, would deliver more than 50,000 units over the next 15 years in Midtown South in Manhattan and in Long Island City and Jamaica in Queens. Last year, the City Council approved the Bronx-Metro North Station Area Plan, which will create approximately 7,000 homes and 10,000 permanent jobs in the East Bronx.  

  

Moreover, last December, Mayor Adams celebrated the passage of “City of Yes for Housing Opportunity,” the most pro-housing proposal in city history that will build 80,000 new homes over 15 years and invest $5 billion towards critical infrastructure updates and housing. In June 2024, City Hall and the New York City Council agreed to an on-time, balanced, and fiscally-responsible $112.4 billion Fiscal Year (FY) 2025 Adopted Budget that invested $2 billion in capital funds across FY25 and FY26 to HPD and the New York City Housing Authority’s capital budgets. In total, the Adams administration has committed $24.5 billion in housing capital in the current 10-year plan as the city faces a generational housing crisis. Mayor Adams celebrated both back-to-back record breaking fiscal years and calendar years in both creating and connecting New Yorkers to affordable housing. Last spring, the city celebrated the largest 100 percent affordable housing project in 40 years with the Willets Point transformation. 

  

Further, the Adams administration is using every tool available to address the city's housing crisis. Mayor Adams announced multiple new tools, including a $4 million state grant, to help New York City homeowners create accessory dwelling units that will not only help older adults afford to remain in the communities they call home but also help build generational wealth. 

  

Finally, Mayor Adams and members of his administration successfully advocated for new tools in the 2024 New York state budget that will spur the creation of urgently-needed housing. These tools include a new tax incentive for multifamily rental construction, a tax incentive program to encourage office conversions to create more affordable units, lifting the arbitrary "floor-to-area ratio" cap that held back affordable housing production in certain high-demand areas of the city, and the ability to create a pilot program to legalize and make safe basement apartments.