NYC construction co., 4 execs charged in overbilling scheme

A New York City construction company and four executives have been charged with bilking banks, The Economist magazine and other clients out of more than $30 million through an overbilling scheme.

Manhattan District Attorney Cyrus R. Vance Jr. announced Wednesday that Lehr Construction Corp. and the executives have been indicted on racketeering and other charges. The defendants were awaiting arraignment.

New York-based Lehr oversees interior renovations. Prosecutors say the company had subcontractors pad their bids and purchase orders, then collected the difference.

A lawyer for Lehr said the company will complete its projects and pay its bills despite the charges. The company filed for bankruptcy protection in February.