On April 5, four men and three construction companies were indicted for collectively defrauding at least 40 subcontractors out of $9.6 million. Artisan Construction, McGovern & Company and IBEX Construction are accused of refusing to pay for work completed on 34 major construction projects in Manhattan, including the “Oculus” at the World Trade Center.
In addition to charges of fraud and grand larceny, two of the construction companies were also charged with forgery and falsifying business records.
Each construction company has been accused of the following:
- Artisan Construction – James Galvin, president, and Garret Branagh, chief financial officer – Defrauding at least 17 subcontracting companies out of $2.9 million between December 1, 2013 and January 25, 2017, as well as forging documents and creating false business records to receive payments from a property owner
- McGovern & Company – Daniel McGovern, owner and president – Defrauding at least 16 subcontracting companies out of $5.6 million from November 14, 2013 and February 22, 2017, as well as forgery of documents and creating false business records
- IBEX Construction Company – Andrew Frankl, owner and president – Defrauding at least eight subcontracting companies out of $1 million for completed work between January 2013 and March 2017
On April 5, Galvin and McGovern were arraigned in Manhattan Superior Court and released on $500,000 bond. Warrants have been issued for Branagh and Frankl. As with any federal indictment, the accused defendants are innocent until proven guilty.
Fraud, larceny and forgery are serious federal offenses. If you have been accused of similar crimes, an experienced criminal defense attorney can protect your legal rights and fight for a better outcome.