Long Island City has lost some of its connection.
Spain-based Wi-Fi provider GOWEX, which was announced last year as one of the organizations that would help bring free Wi-Fi access throughout the city, has filed bankruptcy and had “dozens” of its hotspots go offline, according to the New York Post.
Some of the hotspots include areas in Long Island City, the Bronx and Staten Island, the Post said.
According to the Post, analysts at Gotham City Research posted in a July 1 report that GOWEX had lied about the size of its contract with the city’s Economic Development Corporation, claiming it had 100,00 hotspots throughout the world, when it actually had about 5,000.
Founder and CEO of GOWEX, Jenaro Garcia resigned after he admitted he inflated the revenues, according to the Chicago Tribune.
When it was announced last year, GOWEX was expected to help bring free Wi-Fi access to the Long Island City area with the network being installed along the Vernon Boulevard, Jackson Avenue and Queens Plaza commercial and retail corridors.
GOWEX had a contract with the EDC worth $245,000 and it has paid the company about $185,000 so far, according to published reports. The contract with GOWEX runs through September 2016.