A.G. Schneiderman Announces Arrest Of Public Works Contractor Charged With Wage Theft Of Nearly $700K

Defendant Allegedly Failed To Pay $691,040 In Prevailing Wages And Benefits To Ten Workers Performing Construction On Bronx Public Schools.


New York, NY – May 3, 2017 – Today, Attorney General Eric T. Schneideman and New York City Comptroller Scott M. Stringer announced the arrest of contractor Vickram Mangru on charges that he underpaid wages and benefits to workers on a publicly-funded New York City construction project. The arrest is part of an ongoing investigation into widespread allegations of prevailing wage theft at New York City public works projects.

Contracted to perform work on several New York City Department of Education (NYCDOE) public schools in the Bronx between December 2012 and April 2014, Mangru – while doing business as Vick Construction out of Valley Stream, New York -was charged with allegedly cheating six workers out of $301,683 in wages. Vick Construction and Mangru had previously been debarred and banned for a five-year period from performing public work projects by the New York City Comptroller’s Office for failing to pay proper prevailing wages to workers. On December 31, 2013, Mangru entered into a settlement agreement, admitting he underpaid workers by $34,347 in prevailing wages and supplements.

Undeterred, Mangru allegedly continued to operate in several public schools and continued to pay well below proper prevailing wage rates, forming AVM Construction in January 2014. AVM Construction was purportedly owned by Mangru’s son Ravi Mangru and his wife Gayatri Mangru, who both claimed to be the company’s president. However, according to workers, Mangru ran the day to day operations of AVM Construction, including directly supervising the work and paying employees.

Between April 2014 and February 2015, Mangru is alleged to have continued working on multiple NYCDOE school projects in the Bronx. An investigation determined that Mangru, now operating under the umbrella of AVM Construction, allegedly failed to pay proper prevailing wages to ten workers on those school projects by an additional $389,357 during the ten-month period.

In total, Mangru allegedly failed to pay $691,040 in prevailing wages and benefits to ten workers, from December 2012 to February 2015.

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