Senator Charles J. Fuschillo, Jr. recently announced that legislation he is sponsoring would disqualify corrupt corporations, such as Enron, MCI/WorldCom and Tyco, from bidding on lucrative government contracts in New York State. The "New York State Contract Disqualification Act of 2003" would deny these corporations access to contracts at all levels of government and would require a written declaration from corporations stating their right to bid on contracts in the state.

The loss of state funds due to corrupt corporations has not only affected the day-to-day budgetary constraints of the state but has inflicted immense damage on the state pension fund. According to a recent report from the Office of the New York State Comptroller, the loss seen by the State of New York due to these crooked corporations has totaled over $13 billion. This includes a $2.8 billion loss to the state's economy, a cut in state revenues of over $1 billion and a decrease in the value of the state pension fund of $9 billion.

The state's loss in the value of the state pension fund has driven up the contribution the various local governments are responsible for and forced these municipalities to allocate more money to that area. This increase, which is directly due to the actions of corrupt corporations, has consistently been placed into the property tax liabilities of state residents.

The "New York State Contract Disqualification Act of 2003" would make sure that these companies would not have the chance to cause anymore hardship to the taxpayers of Long Island and the state. The new law would not only eliminate those who have been convicted of felonious activity but all companies that have attempted to defraud and mislead the public over the last five years.

Any company that has, in the preceding five years, paid a civil penalty over $500,000, paid a final award of over $5 million or declared bankruptcy due to accounting fraud or corporate governance would also be banned. This would ensure that New York State would deal only with law-abiding companies and that only law-abiding companies could profit from government contracts.

"Too many companies have lied and stolen from the citizens of this state and the time has come for them to feel the loss as well," stated Fuschillo. "It's time for New York to put companies on notice that commiting fraud on New York State will end your right to make money in New York State. If you commit fraud, don't expect to maintain business as usual."