NEW YORK — A former superintendent for the New York City Housing Authority (NYCHA) was sentenced Friday to 48 months in prison for accepting more than $300,000 in bribes from contractors in exchange for awarding no-bid contracts and approving payments, federal prosecutors said.
Juan Mercado, 50, pleaded guilty to bribery charges and was sentenced by U.S. District Judge Valerie E. Caproni. Prosecutors said Mercado demanded kickbacks from contractors performing repair work at NYCHA developments in Queens, initially requiring 10% of the contract value before increasing the amount to 20%.
Between 2014 and 2023, Mercado received bribes ranging from $500 to $2,000 on hundreds of occasions, totaling approximately $329,300. The illicit payments were tied to more than $1.8 million in NYCHA contract work.
“As a public housing superintendent, Juan Mercado held a position of public trust,” U.S. Attorney Danielle R. Sassoon said. “For years, Mercado abused his position by demanding and accepting more than $300,000 in bribes—money that should have gone to improving the lives of NYCHA residents.”
Mercado was also sentenced to three years of supervised release and ordered to pay restitution and forfeiture totaling $329,300. His conviction is part of a broader federal investigation that has led to charges against 70 NYCHA employees, with most pleading guilty or convicted at trial.