Former Roosevelt Island Officials Accused of Misusing Taxpayer Funds for PR Campaign
According to a recent state investigation, former officials at Roosevelt Island used taxpayer money to fund a scheme to manipulate the press in response to criticism of the Roosevelt Island Tramway’s service. The investigation revealed that officials paid a PR firm, Status Labs, $168,680 to orchestrate a yearlong campaign aimed at suppressing negative press coverage.
The Roosevelt Island tram, which transports over 2 million passengers annually between Midtown Manhattan and Roosevelt Island, had been facing complaints about breakdowns, overcrowding, and inadequate accommodations for passengers with disabilities. In an effort to deflect these complaints, officials at the Roosevelt Island Operating Corporation hired Status Labs to create positive articles about the executives and plant them on various blogs.
While some service issues were attributed to an increase in tourist usage, residents and local blogs raised concerns about poor management being overlooked in media coverage. The report detailed how the PR team manipulated Google’s search engine optimization algorithm to push negative articles lower in search results.
Despite the findings, the report noted that the executives responsible for the campaign are no longer employed, and Status Labs’ contract was not renewed, reducing the risk of continued misuse of state resources. The report also suggested that the executive staff may have violated New York State’s Public Officers Law Code of Ethics, prompting further review by a state ethics commission.
Inspector General Lucy Lang, who led the investigation, described the actions as “improper” and “contrary to public policy.” This incident has shed light on longstanding criticisms of the RIOC, with allegations of corruption and unethical behavior dating back several years.
Local newspapers and residents have expressed concerns about the RIOC’s leadership, highlighting a culture of harassment, favoritism, and corruption within the organization. The report has sparked discussions about accountability and transparency in public agencies.