New York Consolidated Laws, Tax Law - TAX § 39-a. Penalties for fraud in the START-UP NY program

(a) shall be immediately terminated from such program;

(b) shall be subject to applicable criminal penalties, including but not limited to the felony crime of offering a false instrument for filing in the first degree pursuant to section 175.35 of the penal law;  and

(c) shall be required in that year to add back to tax the total value of the tax benefits described in section thirty-nine of this article that such business has received and that the employees of such business have received up to the date of such finding.  The amount required to be added back shall be reported on such business's corporate franchise report if such business is taxed as a corporation or on the corporate franchise tax reports or personal income tax returns of the owners of such business if such business is taxed as a sole proprietorship, partnership or New York S corporation.