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Business

Bronx security workers unpaid and left in limbo: Westech’s sudden closure sparks outrage and legal battles

By Emily Swanson
Comments
Posted on October 4, 2024
20240910_155728
Angry employees of Westech Security and Investigations Inc., which closed its Bronx office and left workers unpaid for weeks, gathered outside the building at 3040 East Tremont Avenue on Sept. 10, 2024.
Photo Emily Swanson

Bronx-based employees of a large security company remain unpaid weeks after the business closed last month without warning.

Westech Security and Investigations, which had an office on East Tremont, shuttered while owing many of its workers up to $1,000. However, the former employees are not the only ones who say they have been duped — investors and local check cashing companies make the same claim, the Bronx Times has learned. Meanwhile, other security companies throughout the city are stepping in to help the former employees who were swindled.

In the weeks since Bronx Times broke the story about the closure, Westech owner/CEO William Vassell has come under fire and is facing questions from many former employees. Meanwhile, investors in the company and local check cashing companies—who had the firm on a blacklist—are also seeking answers as to how they will recoup lost funds.

Former security guards, who rallied on Sept. 10 to demand their pay outside the closed office, said they have not received an explanation or apology from their former employer. While Vassell told the Bronx Times he has talked to “anyone who asked,” most have heard nothing. 

“I feel very hurt about what me and my coworkers went through,” said former security guard Davina Roache in text messages to the Bronx Times on Oct. 2. “I can’t believe they got away with this and haven’t even reach[ed] out to the workers.”

Roache said she applied for unemployment, but it has been difficult and slow, and she cannot afford to pay her bills.

“I am so hurt! I can’t believe we are still subject to free labor in America,” said Roache. 

Breach of contract 

Several former Westech employees have filed complaints with the state Department of Labor, which confirmed it is gathering information.

In a call with the Bronx Times on Oct. 3, Vassell said he has provided payroll information to the federal Department of Labor and that he believes it’s possible for employees to receive the pay they’re owed. But it will take time. 

“As much as they’re unhappy, I’m unhappy,” he said.

Vassell blames the city for the firm’s demise — specifically the Department of Homeless Services (DHS), which oversees shelters — for not paying up in a timely manner for the security services that were provided. He also said some private institutions were often late to pay, thereby leaving him without enough to make payroll. 

He said the city routinely pays “months late.” The Bronx Times is awaiting response from DHS.

Vassell said because of the late payments, the company’s lender, J&D Financial based in Florida, stopped funding and is holding on to about $2 million in reserves that could go towards paying the workers.

But J&D Financial, along with one of Westech’s primary shareholders, has sued Westech and Vassell, alleging in an Aug. 27 complaint that the company owes tens of millions of dollars to the plaintiffs and accusing the defendant of breach of contract and fraud.

The complaint filed in the Supreme Court of New York County said that Vassell is “running the company into the ground and has no concern whether it remains viable or not.” 

The plaintiffs’ attorney, Richard Roth, declined to comment when reached by the Bronx Times on Sept. 18 but confirmed that the case against Westech remained ongoing. 

Vassell said he thought the case was dropped but that he would confirm soon. If the lawsuit stands, he said he would likely file a countersuit to get back the millions in reserves. 

Vassell maintained that if he could access those funds, all could be resolved. “There’s enough in reserves to cover the payroll” plus any amount potentially owed to investors, he said.

But Westech is facing three more lawsuits in New York, Nassau and Bronx counties for breach of contract and related offenses, and the company’s financial troubles appear to be deep and longstanding.

‘We were treated like garbage’ 

The Bronx Times heard from a past Westech worker who saw signs of problems months ago — and said he was fired after raising questions. 

David Cumberbatch Jr. worked with four others as a security guard at a senior housing site in the Williamsbridge neighborhood. He started in February 2023 and loved the job. 

“I provided more than just security,” Cumberbatch said. He developed friendships with the elderly residents and often was a “stand-in” for family who never visited, he said.

But Cumberbatch began to have problems with his checks. Sometimes they were issued late, and several local cashers, including one he frequented on Gun Hill Road and White Plains Road, would not accept any checks from the company. “Once they saw Westech, they wasn’t touching it,” he said. 

In May 2024, Cumberbatch said he went to the office on East Tremont to discuss pay issues. Soon after, he was replaced at his job site and fired from the company. He said Westech still owes him about $1,000. 

Cumberbatch said he was disappointed to learn that the Bronx workers went through the same situation he did. 

“I lowered myself by tolerating these shenanigans,” he said. “All of my colleagues gave a thousand percent, but we were treated like garbage.” 

‘This hurts’

Andrew Seigel, who owns a small check cashing business in Brooklyn, told the Bronx Times he is trying to recover about $1,000 from Westech’s owner after a teller mistakenly endorsed a bad check from the security firm.  

Seigel said he found Vassell’s number and called him, and Vassell promised to wire the money, which has not yet happened. 

He said he believes Vassell switched between different bank accounts to avoid being blacklisted at check cashing sites and that he knowingly issued bad checks. “This is a criminal act,” Seigel said. “I’ve gotta get paid back somehow.”

But ultimately, he said he thinks Vassell will find a way to dodge responsibility. “All this guy’s going to do is restructure and open up under another name,” he said. 

For a small business, losing $1,000 is significant, said Seigel. “This hurts. This is $1,000. This ruins my whole month.”

Help for the workers  

After seeing the Bronx Times story, three local security companies — Fields Protective Services, Natures Finest Security and Arrow Security — reached out to express sympathy for the guards — and to offer them jobs. Arrow Security, which has 6,800 employees across seven states, is also offering sign-on bonuses to help the workers recoup some of their missing pay. 

Company President AJ Caro, who has 30 years of experience in the industry, said he was sad but not surprised to see the news about Westech. Vassell had a reputation for buying up companies, running out of money and then reselling, leaving employees hanging, he said. 

“I don’t think this is the first time he’s done something like this,” said Caro. However, Vassell said that claim was untrue and that while he has had failed businesses in the past, this was the first time his employees did not get paid.

Caro’s company has committed at least $10,000 for workers who can show that Westech owes them money and are subsequently hired by Arrow. A client of theirs heard about the employees’ plight and also contributed to the fund, which Caro said will likely be re-upped if needed.  

He said he felt sorry for the guards and for the damage done to his industry. “It’s already a hard, demanding job,” he said.

And while it is common to see pay discrepancies due to issues clocking in and out, Caro said most security companies are trustworthy and highly stable. As an added protection, many of Arrow’s clients are union sites, and security guards there become union members — thereby eliminating the kinds of problems found at Westech, he said. 

As for his own company, “We’ve never missed a pay period,” said Caro. “I wouldn’t eat, personally, if I had people I wasn’t paying.”

Caro said the demand for security services is growing in certain areas. While the profession is growing slower than average nationwide — about two percent per year, according to the Bureau of Labor Statistics — New York City is adding migrant housing, transitional shelters and other sites that often employ security services, said Caro. 

He said there would be plenty of work for former Westech guards. “We need people.”

This story was updated Oct. 7 at 11:00 a.m.


Reach Emily Swanson at eswanson@schnepsmedia.com or (646) 717-0015. For more coverage, follow us on Twitter, Facebook and Instagram @bronxtimes

About the Author

Emily Swanson

Emily Swanson is a reporter at the Bronx Times and 2023 graduate of the CUNY Craig Newmark Graduate School of Journalism. Originally from Minneapolis, MN, she now lives in the South Bronx neighborhood of Port Morris. She enjoys cooking, photography and rooting for the Knicks, Timberwolves, Liberty and Yankees.

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