Investigators found inflated prices, deceptive advertising of services, and illegal operations plague high-traffic tourist areas

NEW YORK, NY – Ahead of the 2026 FIFA World Cup and other high-profile events this summer, the New York City Council released the details of a new investigation into the practices of unlicensed taxis and rideshares, pedicab operators, and unauthorized ticket vendors operating in and around Battery Park, Midtown Manhattan, and Coney Island. Through undercover fieldwork, observations, and dozens of interactions, investigators from the City Council’s Oversight and Investigations Division (OID) identified consistent patterns of deceptive activity, aggressive solicitation, and unlicensed operations designed to take advantage of consumers and avoid regulations.

The investigation was announced in a new report, Taken For a Ride.

“As New York City prepares to welcome millions of visitors for the NBA Finals, 2026 FIFA World Cup, America 250, and other major events, protecting tourists from scams and fraudulent activity must be a top priority,” said Speaker Julie Menin. “Tourism is a cornerstone of our economy, supporting hundreds of thousands of jobs and driving billions of dollars in economic activity across the five boroughs. To remain the world’s premier destination, visitors must feel safe, informed, and confident that they will be treated fairly. The Council investigated and issued a report that makes clear that stronger enforcement, better coordination, and improved public education are needed to crack down on bad actors and protect both tourists and New York City’s reputation. I thank the Council’s Oversight and Investigations Division for its important work on this issue.”

Throughout the investigation, Council investigators observed and documented the following:

  • Operators presented themselves as legitimate while bypassing required licensing, registration, or safety standards. Investigators found that participants in each of the reviewed industries often falsely represented themselves as being licensed. Investigators observed that:
    • Ticket vendors in Battery Park often wore clothing that gave the appearance of being official licensed ticket vendors, but many did not display the required license and were operating illegally.
    • Pedicab drivers solicited passengers and operated pedicabs without proper Department of Consumer and Worker Protection (DCWP) licensure or a valid driver’s license.
  • Prices were often unclear or inflated. Investigators observed instances where quoted prices differed from final charges or were structured in ways that obscured the true cost, such as when:
    • Pedicab drivers intentionally covered the mandatory per-minute rate sign or stated that the ride was charged by time but failed to provide the rate.
    • Battery Park Statue of Liberty ticket vendors quoted one price but failed to state that there were additional charges for transportation to the pier where their tour boats launched.
  • Vendors and operators routinely misrepresented what was being sold. Vendors and operators often described one service and delivered another, often actively seeking to represent themselves as the legitimate service.
    • Ticket vendors selling Statue of Liberty tours often misled customers into believing that the tours included disembarkation at the Statue of Liberty, but instead, the boats only circled Liberty Island.
    • Non-TLC vehicles used signs claiming to be official rideshare vehicles when they were not registered with the TLC.

To reduce scams and protect New Yorkers and visitors to the city, the Council recommends the mayoral administration take the following actions:

Enforcement

  • Coordinate with relevant enforcement partners, including the Port Authority of New York and New Jersey, NYPD, Department of Parks and Recreation (DPR), Department of Transportation (DOT), and other agencies, to create a unified enforcement strategy for areas where jurisdictions overlap.
  • Increase targeted enforcement in high-traffic tourist areas, particularly against unlicensed taxi and rideshare solicitation, misleading pedicab pricing, and unauthorized ticket vending.
  • Track complaints and enforcement outcomes during the World Cup period and other key tourist events to identify recurring locations, operators, and practices, and to assess whether additional enforcement or public education is needed.

Education

  • Prioritize the implementation of Introduction 847-A, sponsored by Deputy Leader Sandra Ung, which requires the Department of Consumer and Worker Protection to create and promote tourist-focused consumer protection materials addressing common deceptive trade practices. The Council passed Introduction 847-A in May.

“Our taxi drivers, pedicabs, and ticket sellers are the faces that tourists associate with New York City,” said Council Member Shekar Krishnan, Chair of the Committee on Oversight and Investigations. “Their work is essential to keeping the NBA Finals, the 2026 FIFA World Cup, and other major events running. Having unlicensed and scam vendors take advantage of tourists by selling them fake tickets or driving without the required licenses hurts the workers who are following the law and treating tourists right. The Council’s Oversight and Investigations Division investigated these scams to hold these illegal companies accountable and stand up for New York workers and our tourism industry.”

“With over a million visitors to the metro area anticipated ahead of the World Cup and other major events this summer, we have to redouble our efforts as government to protect visitors and New Yorkers from scams that this report identifies, and more,” said Council Member Harvey Epstein, Chair of the Committee on Consumer and Worker Protection. “What the Council has brought to light in this report is just how unfortunately common scams are in the pedicab, for hire vehicle, and sightseeing businesses. Not only do the bad actors highlighted in the report harm consumers, they also harm the workers in these industries that are following the law and trying to make an honest living. I thank the Speaker and my colleagues for prioritizing these important issues and I look forward to continuing our collaboration to ensure tourists and New Yorkers alike are educated and enjoy the strongest protections from scams.”

“While New York City offers a world-class experience to millions of visitors every year, that experience can be undermined by bad actors who seek to take advantage of tourists unfamiliar with our city and their rights as consumers,” said Deputy Leader Sandra Ung. “I want to thank the Council’s Oversight and Investigations Division for its thorough work in documenting these deceptive practices and for recognizing the value of Intro. 847-A as part of the solution. My legislation, which the Council passed in May, takes a commonsense approach by ensuring that visitors have access to clear, accessible information about common scams and deceptive business practices before they become victims. It builds on the important consumer protection work already being done by DCWP while acknowledging the unique vulnerabilities that tourists face when navigating an unfamiliar city. By empowering visitors with knowledge, we can help protect consumers, strengthen confidence in our city, and ensure that New York remains a welcoming destination for everyone.”

“Every day, thousands of visitors come to Lower Manhattan to see the Statue of Liberty, Battery Park, Chinatown, the Brooklyn Bridge, and the neighborhoods that make New York City unlike anywhere else in the world,” said Council Member Christopher Marte. “They should be welcomed, not misled or taken advantage of. This investigation makes clear that unlicensed operators and deceptive vendors are exploiting gaps in enforcement and public awareness, especially in high-traffic tourist areas like Battery Park. As we prepare for the World Cup and other major events, the City must do more to protect visitors, support legitimate businesses, and make sure people can experience New York safely and honestly.”

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