Jay Clayton, the United States Attorney for the Southern District of New York, announced that Hector Colon, a former superintendent for the New York City Housing Authority (NYCHA), has been sentenced to 18 months in prison. Colon was found guilty of soliciting and accepting approximately $30,000 in bribes from contractors in exchange for awarding repair contracts or approving repair work valued at around $400,000. The sentence was handed down by U.S. District Judge Lewis J. Liman, who also presided over Colon's trial where he was convicted of bribery and extortion under color of official right.
"Hector Colon abused his position at NYCHA to demand bribes from contractors for his personal gain," stated U.S. Attorney Jay Clayton. "The women and men of this Office are committed to pursuing those who abuse the public’s trust."
NYCHA is the largest public housing authority in the United States, providing housing across New York City and receiving over $1.5 billion annually in federal funding from the U.S. Department of Housing and Urban Development (HUD). Typically, when repairs or construction work are needed at NYCHA properties, services must be procured through a bidding process. However, for contracts below a certain value threshold, designated staff such as superintendents could hire contractors without multiple bids. Regardless of contract type, a NYCHA employee had to certify satisfactory completion before payment could be made.
Colon served as a superintendent at three different NYCHA developments in Manhattan between 2018 and 2022. He demanded cash payments from contractors either to award them contracts or after they completed work requiring NYCHA approval for payment processing. Colon typically requested 10% of the contract value as a bribe—ranging between $500 and $1,000 depending on contract size—accumulating approximately $30,000 in total.
In February 2024, authorities arrested 70 individual NYCHA employees on charges related to bribery and extortion offenses; among them were Colon and others who have since pled guilty or been convicted after trial. Of these cases, Colon is now the second employee sentenced following trial conviction.
For individuals with information about illegal activities involving NYCHA employees such as bribery or extortion, contact can be made via OIGNYCHA@doi.nyc.gov or (212) 306-3356. Those involved may consider self-disclosure through the SDNY Whistleblower Pilot Program at USANYS.WBP@usdoj.gov.
Alongside his prison term, Colon has been sentenced to two years of supervised release and ordered to pay restitution amounting to $30,000 alongside forfeiture of an equivalent sum.
Clayton commended collaborative investigative efforts by several agencies including the New York City Department of Investigation; U.S. Department of Homeland Security – Homeland Security Investigations (HSI); HUD Office of Inspector General; U.S. Department of Labor – Office of Inspector General; Special Agents; Task Force Officers from the U.S Attorney’s Office for Southern District New York; all working under HSI Document & Benefit Fraud Task Force framework.
This prosecution falls within an Organized Crime Drug Enforcement Task Forces (OCDETF) operation aimed at dismantling criminal organizations using multi-agency intelligence-driven approaches led by prosecutors like Assistant U.S Attorneys Jacob R Fiddelman et al., supported by Paralegal Specialists Jayda Foote & Shirel Garzon.