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Indian-Origin NY State Employee Faces 15-Year Jail for Moonlighting, Allegedly Earning $50,000

Indian-origin A NY State employee was arrested for moonlighting as a contractor, allegedly misusing $50,000 in taxpayer funds.

Mehul Goswami, a 39-year-old Indian-origin project coordinator employed by the New York State Office of Information Technology Services, faces up to 15 years in prison after being arrested on October 15, 2025, for grand larceny in the second degree—a Class C felony—stemming from an elaborate moonlighting scheme that allegedly netted him over Rs 40 lakh ($50,000) in unauthorised earnings. Working remotely from his Malta residence, Goswami is accused of simultaneously contracting for GlobalFoundries, a major semiconductor manufacturer in the region, during the exact hours he was billing the state for his official duties starting in March 2022. The investigation, triggered by an anonymous email tip, was conducted jointly by the New York State Inspector General's Office and Saratoga County Sheriff's Office, uncovering evidence of double-dipping that misused taxpayer funds and eroded public trust.

Inspector General Lucy Lang condemned the breach in a statement, emphasising, "Public employees are entrusted with the responsibility to serve with integrity, and Goswami's alleged conduct represents a serious breach of that trust. Working a second, full-time job while claiming to be working for the State is an abuse of public resources, including taxpayer dollars." Goswami's state salary alone amounted to $117,891 in 2024, but the illicit side gig allegedly allowed him to pocket an additional $50,000 by falsifying his work hours, prompting charges under New York's stringent anti-fraud statutes. The case highlights vulnerabilities in remote work protocols, where oversight is challenging, and has ignited discussions on ethical boundaries in hybrid employment models post-pandemic.

Goswami appeared before Judge James A. Fauci in Malta Town Court shortly after his arrest and was released without bail, as the offence does not qualify under recent reforms to New York's bail guidelines that prioritise non-violent crimes. Prosecutors will proceed with the case, which could lead to substantial restitution alongside any sentence, while Lang affirmed her office's commitment to collaborating with law enforcement to safeguard public service integrity. The scandal has drawn parallels to similar high-profile moonlighting busts in tech and government sectors, underscoring the need for enhanced monitoring tools like time-tracking software and whistleblower protections.

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As the proceedings unfold, Goswami's predicament serves as a cautionary tale for the global Indian diaspora in the US, where competitive job markets tempt dual roles but legal repercussions loom large. With New York's public sector employing over 300,000, such incidents erode confidence and fuel calls for stricter ethics training. For now, the 35-year-old Saratoga County resident—whose family ties to India remain unclear—awaits trial, his American dream overshadowed by allegations of systemic betrayal in the heart of Silicon Valley's eastern outpost.

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