An audit of SUNY Downstate Medical Center conducted by the state Comptroller”™s office revealed fake bids for construction contracts and other procurement issues, according to an April 10 report from Comptroller Thomas DiNapoli.
After DiNapoli”™s office received three anonymous letters alleging fraudulent activity, forensic auditors and investigators uncovered multiple inconsistencies regarding bids made by Eagle Two Construction Inc., based in Brooklyn, between Jan. 1669 and Oct. 2010. SUNY Downstate is also located in Brooklyn.
The results of the audit show that Eagle Two Construction was affiliated with several other companies that had submitted competing bids in six separate procurements.
Investigators also found that several bids submitted by Eagle Two Construction were forged.
“The systematic breakdown in oversight found at SUNY Downstate Medical Center allowed for questionable practices that may have undermined the integrity of the purchasing process and raises concerns about whether the best price was obtained,” DiNapoli said in a statement.
The audit”™s findings have been referred to the state Joint Commission on Public Ethics.
According to DiNapoli”™s office, SUNY Downstate officials denied improper relationships with outside vendors existed.
Representatives of Eagle Two Construction could not be reached.
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