March 8, 2019
New Jersey Construction Company and Owner debarred by FHWA
On March 8, 2019, FHWA debarred Miguel Demenjon and his company, Mimosa Construction Inc. (Mimosa), from Federal contracting for 3 years. In July 2016, Demenjon pleaded guilty to a Federal charge of concealing assets in a bankruptcy proceeding.
Mimosa performed work on various FHWA-funded bridge projects in the New York metropolitan area. The company had a $7.7 million contract to work on the New York State DOT’s Alexander Hamilton Bridge Rehabilitation Project (AHBP), but during the project, Demenjon declared bankruptcy. DOT-OIG agents were investigating potential DBE and prevailing wage fraud when they discovered that Demenjon had concealed and transferred Mimosa’s assets to undermine the bankruptcy proceedings.
DOT-OIG conducted this investigation with the Department of Labor OIG.
Note: Exclusion actions (suspensions and debarments) are frequently for a specific period of time and the System for Award Management should be consulted to find whether a company is currently excluded.