CityTime Scandal Causes Shakeup at Company Hired by NYC

SIAC chief executive sends letter to employees about big changes

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    NEWSLETTERS

    The multibillion-dollar technology giant that was in charge of New York City's scandal-plagued CityTime payroll project has fired three senior managers and hired a law firm to review its ethics and practices.

    A representative for SAIC Inc. says the company's chief executive sent a letter to employees Monday about the changes.

    Prosecutors say SAIC received a whistleblower complaint in 2005 about CityTime, but the target of the complaint remained on the project. Prosecutors now say CityTime is tainted by an epic fraud that involved hundreds of contractors, systemic overbilling and an international money-laundering conspiracy.

    In the letter, Walt Havenstein thanked employees for raising concerns about CityTime, and said the company was "putting in place vigorous new measures to ensure that similar concerns are fully addressed in the future."