Owners of Construction Company Charged with Defrauding the City of New York in Connection with Over $13.5 Million of Public School Repairs

Earlier today, in federal court in Brooklyn, a complaint was filed charging Dalip Singh and Gurnirmal Singh, the owners of TEMCO Construction NY, Inc., with conspiracy to commit wire fraud in a scheme to submit falsified payroll records to the New York City Department of Education (DOE) about the wages and benefits paid by TEMCO to employees performing repairs on New York City public schools.  Dalip Singh and Gurnirmal Singh were arrested this morning and will make their initial appearance this afternoon before United States Magistrate Judge Cheryl L. Pollak.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Harry T. Chavis, Jr., Special Agent in Charge, Internal Revenue Service-Criminal Investigation, New York (IRS-CI); Michael Alfonso, Acting Special Agent in Charge, Homeland Security Investigations, New York (HSI New York); and Amy Connelly, Special Agent in Charge, Social Security Administration, Office of the Inspector General, Boston-New York Field Division (SSAOIG), announced the arrests and charges.

“As alleged, the defendants lied to the DOE about using undocumented workers, and deprived those workers—who toiled long days, school holidays, and weekends—of proper compensation they had earned, so that they could line their pockets and bank accounts on New York City’s tab,” stated United States Attorney Nocella.  “My Office and our law enforcement partners will vigorously pursue employers who try to gain an unfair advantage over honest companies that follow the law and treat their workers fairly.”

Mr. Nocella expressed his appreciation to the DOE and the New York City Office of the Comptroller for their assistance.

“The Singhs allegedly laundered more than thirteen million dollars from the City of New York, underpaying their workers in cash and pocketing the difference.  These two men took advantage of both the taxpayers and undocumented workers, then tried to destroy the evidence.  It is clear that there was no regard for the rule of law, but after today, they will learn what justice is all about,” stated IRS-CI New York Special Agent in Charge Chavis.

“Today’s charges reflect our relentless pursuit of criminal businesses that undermine the viability of immigration systems, circumvent labor laws, and ultimately gain an unfair financial advantage in the national economy via the employment of illegal aliens,” stated HSI New York Acting Special Agent in Charge Alfonso.  “The message is clear:  if you exploit the unauthorized workforce for personal gain and undercut American jobs, HSI—along with our law enforcement partners—will hold you accountable.”

“These defendants broke the law by hiring illegal undocumented workers, exploited them by underpaying them and manipulating wage records to falsely inflate their own and their family members’ Social Security earnings,” stated Amy Connelly, Special Agent in Charge, SSA OIG, New York Field Division. “Their scheme defrauded federal programs that rely on accurate wage reporting. We thank our partners at the IRS and HSI New York for their collaboration in uncovering this fraud and holding the owners of TEMCO Construction NY accountable.”

From approximately December 2017 to April 2025, TEMCO maintained an office in Jamaica, New York.  In April 2025, TEMCO moved its office to Hicksville, New York.  According to the criminal complaint, between 2017 and 2025, Dalip Singh and Gurnirmal Singh, who are not related, hired undocumented aliens without legal authorization to work in the United States to provide masonry, scaffolding, and construction services at New York City public schools and DOE buildings (“DOE Worksites”) at below the prevailing wage required by New York State labor law and contracts with the DOE.  Dalip Singh then submitted false certified payrolls to the DOE for work performed by TEMCO employees at DOE Worksites.  These payroll certifications falsely listed relatives who did not actually work at the DOE Worksites, falsely omitted some undocumented workers who actually worked at the DOE Worksites, and falsely overstated the wages being paid to TEMCO’s workers.

Specifically, Dalip Singh falsely stated that TEMCO had paid its employees the prevailing wage when in fact, the employees had been paid far less, often in cash, or had their wages on other jobs lowered to offset the prevailing wages on the DOE work.  The defendants pocketed the difference that their employees were underpaid.

As further alleged in the complaint, the defendants attempted to conceal their fraud, directing their workers to lie to New York City investigators about the wages they received.  When Dalip Singh suspected that law enforcement agents were investigating, he directed his employees to conceal and destroy records.

The charges in the complaint are allegations and the defendants are presumed innocent unless and until proven guilty. If convicted of wire fraud, the defendants each face up to 20 years in prison.

This case is part of the U.S. Attorney for the Eastern District of New York’s Transnational Criminal Organizations (TCOs) Strike Force.  Capitalizing on the Office’s preeminence in this area, the Strike Force focuses on investigating, prosecuting and dismantling cartels and TCOs.

The government’s case is being handled by the Office’s Business and Securities Fraud Section. Assistant United States  Attorney John Vagelatos is in charge of the prosecution.

The Defendant:

DALIP SINGH
Age: 67
East Meadow, Long Island

GURNIRMAL SINGH
Age: 64
Westbury, Long Island

E.D.N.Y. Docket No. 25-MJ-219