Brooklyn, NY – The owner of Baron Environmental Inc. (BEI), Vitalijs Zurna, has been sentenced to five years of probation following a scheme to defraud the New York City Housing Authority (NYCHA) during a lead abatement project at the Saratoga Village complex. Zurna and his company submitted falsified documents, including forged EPA-accredited lead training certificates, to secure the contract and misrepresent the qualifications of workers performing the potentially hazardous work.
The investigation, which began in 2012, revealed a pattern of deceit intended to allow BEI to perform lead abatement work without adhering to required safety standards. NYCHA contracts for lead abatement are heavily regulated due to the severe health risks posed by lead exposure, particularly to children. The submission of fraudulent credentials not only put residents at risk but also undermined the integrity of the bidding process.
Zurna was initially charged on June 28, 2012, with multiple counts of forgery and falsifying business records under New York Penal Law. These included Article 170.10(2) – Forgery in the Second Degree; Article 170.25 – Criminal Possession of a Forged Instrument in the Second Degree; Article 170.10 – Falsifying Business Records in the First Degree; Article 175.01(2) – Falsifying Business Records in the Second Degree; Article 170.20 – Criminal Possession of a Forged Instrument in the Third Degree; Article 175.25 – Tampering with Public Records in the First Degree. A subsequent indictment on September 26, 2012, expanded the charges to 42 counts.
Corporate Accountability
While Zurna initially pleaded not guilty, BEI itself faced legal repercussions. A corporate summons was issued on November 19, 2012, requiring Zurna to appear in Kings County Supreme Court on behalf of the company. When Zurna failed to appear, the court entered a guilty plea for BEI and levied a $10,000 fine. This highlights the increasing trend of holding corporations accountable for the fraudulent actions of their leadership.
Personal Consequences
On March 11, 2013, Zurna ultimately pleaded guilty to Grand Larceny in the Second Degree (New York Penal Law Article 155.40(1)), a Class C felony. This plea secured a sentence of 60 months probation, handed down on April 26, 2013. In addition to probation, Zurna was ordered to pay $25 in Crime Victim Assistance (CVA) fees, $50 for DNA analysis, and a $300 surcharge. The relatively light sentence has drawn criticism from some advocates who argue that the penalties do not adequately reflect the severity of the endangerment to NYCHA residents.
Key Facts
- Defendant: Vitalijs Zurna, owner of Baron Environmental Inc.
- Location: Saratoga Village, Brooklyn, New York
- Crime: Submission of forged EPA-accredited lead training certificates to NYCHA.
- Statutes Violated: Multiple counts of Forgery, Falsifying Business Records, Tampering with Public Records, and Grand Larceny.
- Penalties: 60 months probation, $10,000 fine for BEI, and $375 in state/local fees for Zurna.
- Date of Sentence: April 26, 2013
The case serves as a cautionary tale about the importance of due diligence in government contracting and the potential consequences of prioritizing profit over public safety. The GrimyTimes will continue to follow developments related to environmental crimes and corporate fraud in New York City.
Source: EPA ECHO Enforcement Case Database
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