Thursday Headlines: The Wrong Fraud Edition

Should the governor be so inclined, she can count pals of former New York City Mayor Eric Adams as part of the rising tide of auto insurance fraud in the state.

Zhan Petrosyants, a close friend of Adams, was federally indicted in connection with an alleged scheme to defraud the no-fault insurance system of tens of millions of dollars. (Politico New York, The City)

Streetsblog has been poking holes in the governor’s assertions that out-of-control auto insurance fraud is driving up prices for policyholders. Part of the inconsistency is that most of the fraud that does happen in New York is related to no-fault insurance, like Petrosyants’ case, rather than the sections of the law Hochul wants to alter that deal with lawsuits.

Her proposal would make it more difficult for crash victims in New York to sue for damages for pain and suffering. It is built on the premise that jackpot lawsuits, in addition to fraud, are responsible for rising premiums, and restricting access to lawsuits will lower them.

State lawmakers aren’t buying it in large numbers, and the disconnect is one of many issues tying up glacial state budget negotiations.

New York really is a place of constants. Someone tied to Adams has run afoul of the law, and the budget is late.

More news:

• Boosting the state’s pension, like many state workers and their unions are calling for, would cost $1.5 billion. (Newsday)
• The state budget is (predictably) late, with several policy debates on climate and broader affordability measures gumming up progress. (The New York Times, State of Politics)
• The New York City Council pitched a municipal budget that would make lawmakers’ ambitious plans for taxing the rich unnecessary. (The New York Post)
• Their plan would also expand the Fair Fares program, which gives low-income residents of the five boroughs free trips on the subway and buses. (Gothamist)
• Congestion pricing revenue is funding lower-emission trucking in the South Bronx. (amNY)
• Here at Streetsblog, we like to have fun, and in the process, we inadvertently pranked our friends at City & State during April Fool’s Day. (City & State)
• Troy automatically renewed its contract with controversial license plate reader contractor Flock Safety, but City Council members say the agreement isn’t valid. (WAMC)
• A man is facing up to 25 years in prison after admitting he drove into Walmart employees, killing one. (The Times Union)
• Syracuse is poised to spend up to $3 million to tear down a dilapidated parking garage. (The Syracuse Post-Standard)
• Immigration advocates were arrested at the state Capitol after blocking the entrance. (WXXI)