Boss Accused Of Fraud Earns $1 Million From ‘Vermin-Infested’ Homeless Shelters

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Boss Accused Of Fraud Earns $1 Million From Vermin Infested Homeless ShelterCORE Services Group/Alamy

A New York City homeless shelter boss, previously accused of fraud, has reportedly been earning $1 million from ‘vermin infested shelters’.

Jack A. Brown III is the founder and CEO of non-profit CORE Services Group, which runs several homeless shelters across NYC.


Brown, 53, previously worked as an executive at Correctional Services Corporation, a Florida-based private prison that was fined for bribing politicians in 2003.

Jack A. Brown III (Core Services Group)Core Services Group

Brown, who had not admitted any wrongdoing, was also sued by his former employers for stealing confidential documents and lying to his bosses. A federal judge denied his bid to have the lawsuit dismissed, and the case was reportedly settled.

Despite Brown’s dubious past, since 2017, CORE has reportedly received more than $352 million from Mayor Bill de Blasio’s administration to run homeless shelters.


An investigation carried out by The New York Times has found that Brown now earns more than $1 million per year running a network of homeless shelters.

According to the report, Brown has created private companies that he then awarded CORE contracts, he is also alleged to hired family members for lucrative positives. All the while, those residing in the shelters are said to have experienced squalid conditions, dealing with mice, cockroaches, mould and and rotten food.

Speaking with the Times, residents claimed to have been served mouldy bacon and undercooked meatloaf, leading to diarrhoea outbreaks, with one resident, 58-year-old Tracey Covington, telling the publication, ‘it’s hell in here’.


Covington has reportedly resided at the Beach House shelter in the Arverne section of Queens, known to be CORE’s largest NYC shelter. Alleged conditions aside, security guards hired by Brown from his private company are claimed to have slept while on the job, doing nothing to prevent drug use and fistfights.

In a statement given to the Times, CORE said it hadn’t received any complaints from residents in regards to getting sick from the food, stating:

The health and safety of our clients is CORE’s highest priority, and we take all resident complaints related to violence and drug use in our facilities seriously.

CORE has also vigorously defended its track record as well as the track record of Brown, asserting that the group had tried to comply with changing rules in the city.


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Topics: News, new york city, Now


The New York Times
  1. The New York Times

    Housing Boss Earns $1 Million to Run Shelters Despite a Troubled Past

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