Metropolis Company Sought to Conceal Nepotism Rent By Personal Messages, Lawsuit Alleges

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Senior managers within the company that handles authorities buying and leases tried to cover their discussions about hot-button points from the general public by speaking through private textual content messages, emails and hand-delivered written memos, an investigation by The Metropolis Reporter has discovered.

The conversations contain high-level executives of the Division of Citywide Administrative Providers (DCAS), who sought to maintain off the books chatter associated to: 

  • Dialogue of an government deputy commissioner’s transfer to put in her nephew in an company job. 
  • Leasing a constructing in Queens for the Manhattan-based Probation Division as a result of the then-commissioner wished to work nearer to house.
  • Proposed protocols to check for the lethal Legionella micro organism in city-owned buildings.

Almost all of those conversations passed off in the course of the first 5 months of Mayor Zohran Mamdani’s tenure and seem to violate guidelines requiring that metropolis enterprise happen over city-issued telephones or through the town’s inner electronic mail system — a measure that ensures these discussions might be preserved as official information topic to public disclosure.

Are you a metropolis worker? Are you aware of metropolis employees utilizing non-public electronic mail and textual content messages to debate metropolis enterprise? Contact reporter Greg B. Smith at gsmith@thecityreporter.nyc or on Sign at 646-391-2426.

The town reporter

This situation of hiding official information just lately made headlines after it was revealed that Emilia Rowland Winter, who handles new media for Mamdani, used the Sign encrypted app to coordinate Metropolis Corridor messaging with a military of Instagram and Tik-Tok influencers. The New York Instances reported that Sign communications to not less than one influencer had been set to “auto-delete,” thus negating the flexibility to retain these communications as an official file.

In response, the mayor’s chief counsel stated he took “fast corrective motion,” and all staff had been then instructed to not use the “auto-delete” perform and keep away from utilizing Sign altogether whereas discussing official metropolis enterprise.

Then, in a Sept. 21 common textual content to metropolis staff, Mamdani chief of workers Elle Bisgaard-Church broadened the advisory, instructing staff to “use your metropolis electronic mail deal with for all work-related messages” and “use your metropolis issued desk or cellular phone” and “not use your private telephone for work-related calls.”

Former Department of Citywide Administrative Services manager Michelle Gundy shared text messages with Senior Advisor Meghan Mulgrew that Gundy says show Mulgrew tried to communicate off of Microsoft Teams, which is used for official city records.
Former Division of Citywide Administrative Providers supervisor Michelle Gundy shared textual content messages with Senior Advisor Meghan Mulgrew that Gundy says present Mulgrew tried to speak off of Microsoft Groups, which is used for official metropolis communication. Credit score: Courtesy of Michelle Gundy

In a Jan. 15 memo first made public by The Metropolis Reporter in early September, Mamdani’s chief counsel, Ramzi Kassem, explicitly instructed municipal staff to solely conduct metropolis enterprise on their work accounts: “You shouldn’t use WhatsApp, Sign, or another communications app or platform for work,” he wrote. 

Beneath the Radar

However Michelle Gundy, a former deputy assistant commissioner at DCAS, has come ahead to allege in a whistleblower lawsuit and in conversations with The Metropolis Reporter that her supervisors frequently instructed her to make use of her private telephone — not one issued to her by the town — and private electronic mail to debate sure delicate matters. Gundy says the tactic was pretty widespread on the high ranges of the company.

Her lawsuit, filed in August by lawyer John Scola, alleges that she was fired in Could as a result of she had objected to a few of these practices. 

“Dr. Gundy had a spotless file working a 1,000-employee Metropolis division till she was fired for reporting nepotism at DCAS,” Scola stated. “When the Metropolis punishes the one who stories corruption as a substitute of the individuals who commit it, each civil servant learns to remain quiet.”

Retaliation Declare

In her swimsuit, Gundy costs that she was terminated “in direct retaliation for disclosing and refusing to take part in governmental corruption, nepotism, abuse of hiring authority and the illegal concentrating on of subordinate staff.”

Gundy says she was instructed she was not being let go for poor efficiency however because of a reorganization of the company. Inside 24 hours of her departure, Gundy’s supervisor circulated an agency-wide electronic mail recruiting to fill her place, demonstrating that “the ‘reorganization’ was a pretext for illegal retaliation,” the swimsuit alleges.

To corroborate the allegations in her lawsuit, Gundy offered The Metropolis Reporter with a few of these non-public communications — all on the members’ private accounts — that she says had been meant to dodge disclosure in public information requests.

The Metropolis Reporter despatched DCAS a listing of detailed questions on Gundy’s costs and the precise texts and emails. Citing the lawsuit, spokesperson Anessa Hodgson declined to reply, saying: “As a part of this administration, we take all issues about transparency critically. We would like New Yorkers to know simply how their authorities is delivering for them.”

The Boss’ Nephew

A sample of communication exterior the town’s official system emerges within the narrative of the lawsuit and in a evaluation of textual content threads and emails Gundy screen-grabbed and preserved.

In February, for instance, an off-the-grid dialogue centered on Government Deputy Commissioner Shameka Boyer-Overton getting the company “to rent her nephew Maurice Edouard Jr. in a senior place” after Gundy says the company’s human assets unit “had formally rejected him as unqualified,” the lawsuit alleges.

Former Department of Citywide Administrative Services manager and Staten Island resident Michelle Gundy says she was fired after blowing the whistle on cronyism within the department,
Former Division of Citywide Administrative Providers supervisor Michelle Gundy alleges within the lawsuit that high company officers used non-public textual content messages to maintain controversial matters off official metropolis messaging programs, Sept. 24, 2026. Credit score: Ben Fractenberg/The Metropolis Reporter

Gundy says one other high DCAS official, Laura Ringelheim, instructed her to “put in writing what she knew about Edouard’s rent and to hand-deliver it to (her) workplace somewhat than transmit it by official electronic mail channels.” She did as instructed, handing Ringelheim’s assistant the memo — an motion that Gundy alleged “protected disclosure” of the potential nepotistism.

Gundy alleges that Boyer-Overton initially tried to get the state — which reimburses DCAS for workers assigned to take care of state courts — to pay for her nephew’s wage as an “oiler,” a trades job for which she says he had no qualification. That was rejected so, Gundy says, Boyer-Overton created a brand new DCAS place, “Strategic Initiative Specialist,” for him. Edouard lists his title as “Deputy Director of Services Operations DCAS” on his Linkedin profile.

Gundy says her supervisor, Deputy Commissioner Patrick Benn, instructed her verbally to submit a grievance about Edouard’s hiring to the Division of Investigation. She says she did this anonymously.

DCAS spokesperson Hodgson didn’t reply to questions on Edouard, together with his job description and wage.

Beaver Avenue Blues

Boyer-Overton, who claimed on her metropolis monetary disclosure kind that none of her kin are on the town payroll, didn’t reply to a message from The Metropolis Reporter on Tuesday asking about Gundy’s allegations and her use of non-public electronic mail to debate official metropolis enterprise.

Gundy says she exchanged outside-the-system texts with one other high DCAS supervisor, Senior Advisor Meghan Mulgrew, a daughter of lecturers union head Michael Mulgrew. In her lawsuit, Gundy says they did this “as a result of Mulgrew wished to maintain the communications non-public.”

In texts on their private telephones, Mulgrew mentioned shifting to terminate an worker. Gundy instructed The Metropolis Reporter she had decided the justifications for the termination “had been fabricated.” In a March 24 change, Gundy wrote, “I’m formally carried out combating to take away (the worker) from something.” Mulgrew responded, “Let me work on this.”

Early this 12 months, Mulgrew and Gundy turned to non-public texting to debate DCAS’ plans to lease workplace house for the Division of Probation as a result of the lease on its fundamental workplace at 33 Beaver Avenue close to Wall Avenue was about to run out.

Mulgrew began a Feb. 26 textual content message by writing, “Hey didn’t need this in groups,” a reference to Microsoft Groups, which routinely archives all content material as official information.

Gundy texted Mulgrew that the then-Probation Commissioner Juanita Holmes was pushing DCAS to lease house for the company’s fundamental workplace in Lengthy Island Metropolis, explaining, “Right here’s what occurred: the previous commissioner selected that house in LIC as a result of it’s near her home.”

Department of Probation Commissioner Juanita Holmes prepares to testify during a City Council hearing on issues in her department.
In response to non-public messages exchanged by officers on the Division of Citywide Administrative Providers, former Probation Commissioner Juanita Holmes (heart) had hoped to maneuver her headquarters to Lengthy Island Metropolis from Decrease Manhattan. Credit score: Ben Fractenberg/THE CITY

Gundy then defined to Mulgrew that the brand new commissioner, Sharun Goodwin, who had changed Holmes a couple of weeks earlier, “didn’t need to be that removed from Metropolis Corridor and all of their group packages. Virtually all of their useful websites are in Manhattan.”

Mulgrew didn’t reply to The Metropolis Reporter’s message asking her about her use of non-public texting to debate metropolis enterprise. The DCAS spokesperson declined to debate the behind-the-scenes proposal to maneuver the probation division to Queens. Probation wound up staying put at Beaver Avenue.

Legionella Protocol

One other space of personal dialogue concerned DCAS crafting a protocol to make sure cooling towers on city-owned properties had been correctly examined for the doubtless lethal Legionella micro organism. Gundy’s non-public textual content dialog with Deputy Commissioner Benn passed off in April, simply earlier than a brand new legislation was set to take impact requiring constructing homeowners to do testing each 30 days, an enormous change from the prior 90-day requirement.

Gundy described to Benn how she’d vetted an inner DCAS memo memorializing the deliberate protocols: “The contract is de facto nuanced so we went by it to verify it aligns with the memo. We needs to be good. Additionally the brand new legislation mandates testing each 30 days however the contract says each 90 days. We flagged it within the memo.”

Days after she was terminated, Gundy filed a 30-page grievance with the Division of Investigation detailing the off-the-grid conversations. On June 23, Ann Petterson, the inspector basic overseeing a number of companies together with DCAS, responded through electronic mail to verify that DOI was trying into her grievance.

Investigations Division spokesperson Diane Struzzi stated, “DOI is conscious of this matter and is trying into it.”

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