State Spends $1M on Legal Fees for Criminal Probe Into WTC Fire

Newsday

by AMY WESTFELDT

The state owner of a condemned ground zero skyscraper has hired a law firm for $1 million to represent it in a criminal investigation into the August blaze that killed two firefighters.

The Lower Manhattan Development Corp.'s board on Thursday approved the contract with Dechert LLP to represent the state rebuilding agency in probes into the blaze at the former Deutsche Bank tower. It was among $10.4 million in expenses approved to continue the cleanup and dismantling of the 26-story tower just across from the World Trade Center site.

The Manhattan district attorney's office and the state attorney general's office are investigating the fire at the partially dismantled, contaminated building, which officials have blamed on a construction worker's tossed cigarette.

But the probes have focused on oversight for the LMDC-owned tower, which had no fire plan; a deliberately cut standpipe that hampered firefighting efforts in the blaze; and the selection process for contractors and subcontractors.

The firm was retained in late September, although the board was not asked to approve it until Thursday.

The city has hired criminal lawyer Gary Naftalis to represent it in the investigations. Naftalis and his firm were hired at a $265 hourly rate; a Law Department spokeswoman wouldn't say how many hours had been billed as of Thursday.

The LMDC also approved spending over $9 million extending several existing contracts for the building, including for an environmental consulting firm and an integrity monitor. LMDC president David Emil said that the agency may eventually get the money back from insurance on the project.

Officials weren't able to say how much the dismantling of the building will cost.

The agency, which generally held monthly meetings, had not held a public board meeting since one month before the Aug. 18 fire.










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