Attorney General James To Sue New York City Government For Fraudulent Practices By Taxi And Limousine Commission

Posted to Applied Web NY on Thu, 02/20/2020 - 18:00

NEW YORK – New York Attorney General Letitia James today sent a notice of claim for $810 million to the City of New York, alleging that it fraudulently inflated the price of thousands of yellow taxicab medallions and profited from it over a 14-year period. An investigation by the Office of the Attorney General revealed that, between 2004 and 2017, the New York City Taxi and Limousine Commission (TLC) marketed the licenses for thousands of taxi medallions to purchasers as investments and conducted auctions of these medallions in a manner which artificially inflated prices by hundreds of millions of dollars. The city not only engaged in a scheme that defrauded medallion owners, but continued to further market these medallions at overvalued rates even after internal reports raised warnings about the inflated values.

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