Tag: New York

Posted on

Attorney General James Secures $850,000 from Disability Services Not-for-Profit That Defrauded Medicaid

Maranatha Human Services Cheated Medicaid By Illegally Paying CEO
and Family Members for Work That Was Not Medicaid Eligible

New York Attorney General Letitia James today announced a settlement with Maranatha Human Services, Inc. (Maranatha), a not-for-profit organization that provides Medicaid services to people with developmental disabilities in New York. The agreement resolves claims brought by the state and federal government in a qui tam action initiated by a former employee against Maranatha and Henry A. Coley, the organization’s former chief executive officer. Maranatha committed Medicaid fraud, violating the New York False Claims Act by knowingly submitting false reports of its costs to the New York State Department of Health (DOH), falsely claiming reimbursement for millions of dollars Maranatha spent on salaries and contractor fees. These funds were used to enrich Coley, his family and friends, and to support side businesses he controlled — not for the provision of Medicaid services.

“As a charitable organization and Medicaid Provider, Maranatha was entrusted with public funds to serve a particularly vulnerable population,” said Attorney General James. “Instead, Maranatha diverted these critical funds to benefit its chief executive officer, his family and friends. Self-dealing will not go unchecked in New York. My office is committed to holding Medicaid providers accountable, ensuring the welfare and well-being of all New Yorkers, and protecting the integrity of this critical program.”

As part of the settlement, Maranatha has agreed to cooperate with the New York State Office for People with Developmental Disabilities (OPWDD) and take all necessary steps to transition the operations of its Medicaid-funded programs to one or more other providers to ensure continuity of services. Maranatha has agreed not to submit new claims for payment to state-funded health care programs on or after June 30, 2023. Within 60 days of the submission of the final claim to state or federal health care programs, Maranatha will submit its petition for dissolution under the New York Not-for-Profit Law to the Office of the Attorney General’s (OAG) Charities Bureau.

The federal government has also entered into an agreement with Maranatha to resolve its fraud claims stemming from the same misconduct. Maranatha will pay $510,000 to New York state and $340,000 to the federal government, for a total recovery of $850,000.

The state intervened in the whistleblower suit against Coley and Maranatha in February 2021. In its complaint-in-intervention filed against the defendants in April 2022, the state alleged that Maranatha paid excessive salaries and consulting fees to Coley and his family and friends, often in exchange for little or no work. The state also found that Maranatha paid independent contractors and Maranatha’s employees to work on side projects that had nothing to do with Maranatha’s provision of Medicaid services. Maranatha claimed such expenses as allowable costs in its Consolidated Fiscal Reports (CFRs) — costs that are reasonable and necessary for the provision of Medicaid services — when they were not. Because the state reimburses Maranatha at provider-specific rates set based on the legitimate Medicaid expenses reported in Maranatha’s CFRs, the state paid Maranatha at artificially inflated rates for each unit of service for which Maranatha billed the state. As a result, the state paid Maranatha millions above what it deserved from 2010 to 2019. 

In the settlement agreement, Maranatha admitted, acknowledged, and accepted responsibility for the following conduct:

  • Maranatha knew that it was required to distinguish “allowable costs” from “non-allowable costs” in its CFRs.
  • Maranatha knew that the allowable costs Maranatha reports in its CFRs are used by DOH, in part, to determine Maranatha’s reimbursement rates for the provision of Medicaid-funded services.
  • In each CFR that Maranatha submitted since 2010, Coley certified that Maranatha’s CFRs were true and correct, Maranatha accurately reported all expenditures made for services performed in accordance with the Mental Hygiene Law, and, since 2018, that Maranatha reported and adjusted out all non-allowable expenses on its CFRs.
  • From 2010 to 2019, Maranatha submitted annual CFRs that reported as “allowable costs” amounts expended not for Maranatha’s provision of Medicaid-funded services but instead to pursue certain for-profit business ventures, including a home goods business operated by Coley (non-Medicaid ventures).
  • Coley briefed Maranatha’s board of directors, which approved of Maranatha funding these non-Medicaid ventures.
  • Coley made a presentation to Maranatha’s board of directors acknowledging that it “was always the plan for Maranatha to use government funds as a launching pad to create private enterprise…”
  • Maranatha paid contractors to perform work related to the non-Medicaid ventures, including, since 2010, more than $300,000 to Coley’s daughter. Though much of her time was spent on work related to these non-Medicaid ventures, Maranatha reported her full compensation as an “allowable cost” in the CFRs.
  • Since 2010, Maranatha paid Coley more than $2 million in salary and benefits, and Maranatha claimed the full amount of that compensation as “allowable” costs on its CFRs. However, Coley devoted much of his time to working on non-Medicaid ventures.

The state previously resolved its fraud claims against Coley in a settlement that was approved by U.S. District Judge Kenneth M. Karas on November 9, 2021. Coley agreed to pay the State $132,000 and the federal government $88,000, representing the maximum restitution that he could afford to pay, and admitted and accepted responsibility for conduct alleged by the State and federal government in their complaints. Coley resigned from Maranatha during the state’s investigation in July 2021. As a result of his misconduct, Coley is barred from working or volunteering for any entity that receives funds from Medicaid. Additionally, Coley is permanently barred from serving as an officer, director, or trustee of any not-for-profit corporation in New York, and is similarly barred from serving in any capacity that permits him discretionary authority over charitable assets. 

The investigation was conducted by Attorney General James’s Medicaid Fraud Control Unit (MFCU) in consultation with the Charities Bureau. It was commenced after a whistleblower filed a complaint under the qui tam provisions of the New York False Claims Act, as well as the federal False Claims Act, in the United States District Court for the Southern District of New York. The New York False Claims Act allows individuals to file actions on behalf of the government and share in any recovery.

New York MFCU’s total funding for federal fiscal year (FY) 2022 is $59,918,216. Of that total, 75 percent, or $44,938,664, is awarded under a grant from the U.S. Department of Health and Human Services. The remaining 25 percent, totaling $14,979,552 for FY 2022, is funded by New York state. Through MFCU’s recoveries in law enforcement actions, it regularly returns more to the state than it receives in state funding.

Attorney General James thanks the U.S. Department of Justice and the U.S. Attorney’s Office for the Southern District of New York for its collaboration in the investigation, litigation, and resolution of this matter. 

The matter was handled by Principal Auditor-Investigator Theresa A. White, Auditor-Investigator Khristian Diaz, and Special Assistant Attorney General Ting Ting Tam of MFCU’s Civil Enforcement Division, which is led by Chief Alee N. Scott. Stacey Millis is the Chief Auditor of the Civil Enforcement Division. MFCU is led by Director Amy Held and Assistant Deputy Attorney General Paul J. Mahoney, and is a part of the Division for Criminal Justice. The Division for Criminal Justice is led by Chief Deputy Attorney General José Maldonado, and is overseen by First Deputy Attorney General Jennifer Levy.

Posted on

Attorney General James Warns New Yorkers to Be Careful of Sham Charities Created in Response to Buffalo Terror Attack

New York Attorney General Letitia James today issued an alert urging New Yorkers to beware of potentially fraudulent charities created in the wake of the hate-filled terror attack in Buffalo. Anyone who is considering making a donation to organizations that are purportedly assisting victims of the shooting should consult the office’s charitable giving tips before donating. Scammers often use incidents of crisis to perpetuate frauds to divert donations away from the intended recipients.

“In the wake of tragedies, like the horrific shooting in Buffalo, scammers often take advantage of acts of kindness for personal gain,” said Attorney General James. “As New Yorkers from every corner of the state show their support and solidarity with the Buffalo community, I urge them to be careful of sham charities and make sure they give to trustworthy organizations and groups. I join the whole Buffalo community and the entire state of New York in mourning this senseless, hate-filled act of terror.”

Attorney General James offers the following tips for those donating to those impacted by the Buffalo shooting:  

  • Check Before Giving. Donate to charities you are familiar with and carefully review information about the charity before you give. Most charities are required to register and file financial reports with the Office of the Attorney General’s Charities Bureau if they solicit contributions from New Yorkers. Check our website, charitiesnys.com, for financial reports of charities or ask the charity directly for its reports. 
     
  • Ask How Your Donation Will Be Used. Find out how the charity plans to use your donation, including the services and individuals your donation will support. Find out more than just the cause. Find out what organization or entity will receive the money and what programs it conducts or what services it provides.
     
  • Look Into Newly Formed Organizations Carefully. Often, in the aftermath of tragedies, new organizations emerge to meet community needs. While most of these organizations are well-intentioned, and some may provide innovative forms of assistance, some may not have the experience or infrastructure to follow through on their promises, and some may turn out to be scams. 
     
  • Solicited by Email? Find Out Who is Soliciting. If you receive a solicitation by email, find out who is behind that email address. Contact the charity whose name is in the email or visit its website to find out if the email is really from the charity. Do not give personal information or your credit card number in response to an email solicitation unless you have checked out the charity. 
     
  • Be Careful When Giving Through Social Media or Other Fundraising Sites. Before giving through these social media or fundraising sites, research the identity of the organizer of the fundraising efforts and ask the same questions you would of a charity. Online platforms that host groups and individuals soliciting for causes may not thoroughly vet those who use their service. Donors should only give to campaigns conducted by people whom they know. Donors also should take a close look at the site’s FAQs and Terms and Conditions to see what fees will be charged. Also, don’t assume that charities recommended on social media sites, blogs, or other websites have already been vetted. Research the charity yourself to confirm that the charity is aware of the campaign and has given its approved permission for the use of its name or logo. If available, sign up for updates from the campaign organizer to keep abreast on how contributions to the campaign are being spent. 
     
  • Exercise Caution Before You Text A Contribution. Check the charity’s website or call the charity to confirm it has authorized contributions to be made via text message. 
     
  • Don’t Give Cash. Give directly to the charity either by check made payable to the organization or through the charity’s website. 
     
  • Be Careful About Personal Information. Be cautious before giving out credit card or personal information over the phone, by text message, or via the internet. In all cases, make sure you are familiar with the organization to which you give such information and check to see that the fundraising campaign is legitimate.
Posted on

Attorney General James Sues Couple
for Embezzling $1 Million in Charity Funds

Former H.O.M.E. Inc, Executive Director Shirley Goddard
and Her Husband Diverted Nearly $1 Million Over 6 Years

New York Attorney General Letitia James today continued her efforts to combat fraud in charitable organizations by filing a civil complaint against Shirley Goddard, the former executive director and Board Chair of the Humanitarian Organization for Multicultural Experiences, Inc. (H.O.M.E.) and her husband Tyrone Goddard. Between 2012 and 2018, Mrs. Goddard improperly diverted or misused nearly a million dollars in H.O.M.E.’s charitable assets for her personal gain. Mr. Goddard, the former board chair, was aware of and helped to conceal his wife’s unlawful conduct. The money that the Goddards stole hindered H.O.M.E.’s ability to fulfill its mission to provide critical services to individuals with developmental disabilities in the Syracuse area.

Today’s complaint seeks restitution of the funds that were diverted from H.O.M.E., as well as a permanent bar on any fiduciary role for Shirley or Tyrone Goddard in any New York charitable organization.

“Stealing funds that are used to help developmentally disabled individuals is cruel and goes against everything that we stand for as New Yorkers,” said Attorney General James. “Our communities have faith that our charities will help them through their struggles, and our charities must be stable, honest, and ethical in order to do so. Today’s lawsuit demonstrates my commitment to pursue wrongdoers who take advantage of charities and the vulnerable communities they serve.”

In May 2018, the New York State Office for People With Developmental Disabilities (OPWDD) referred the matter to the Office of the Attorney General (OAG) when an audit uncovered financial improprieties and suspected theft of funds from H.O.M.E. The OAG’s subsequent investigation found that over the course of 6 years, Mrs. Goddard falsified loans to clients, manipulated expense reimbursements, and took overpayments of her salary. Through unauthorized phone transfers, cash withdrawals, and ATM transactions, she embezzled hundreds of thousands of dollars. Mr. Goddard became aware of his wife’s theft by 2013, and rather than take action to stop the misconduct, he assisted in his wife’s effort to conceal the embezzlement.

To account for the financial inconsistencies, the Complaint alleges that the Goddards falsely claimed that funds missing from H.O.M.E.’s accounts were due to errors by H.O.M.E.’s bank — Bank of America — which they claimed was investigating the matter over a period of years. The couple would periodically make payments back into the H.O.M.E. accounts which bolstered the “bank error” story by making it appear that the bank was correcting the errors. The Complaint also alleges that Mrs. Goddard created fake letters from the bank that claimed to support the bank error investigation, and that she falsified bank statements and provided them to OPWDD. The Goddards further deceived the H.O.M.E. Board and the organization’s outside auditors by advising that they had visited the bank to address the problem and the bank would be repaying the missing funds.

At around November 2018, H.O.M.E. terminated Mrs. Goddard as executive director. Mr. Goddard, who was a chairman of the H.O.M.E  Board, resigned at the same time.

Today’s complaint seeks full restitution of the charitable assets that were diverted from H.O.M.E. as a result of the Goddards’ actions. The amount of restitution will be determined at trial and is currently estimated to be between $650,000 and approximately $900,000. To protect the integrity of New York charities, Attorney General James is also seeking a permanent bar prohibiting the Goddards from holding any fiduciary role in a charitable or nonprofit organization operating in New York.

A complaint is merely an accusation; the defendants have the right to contest the allegations of a complaint at a civil trial, and the attorney general has the burden of proving each of these allegations at trial by the preponderance of the evidence.  

This matter was handled by Assistant Attorney General Sharon Sash with the assistance of Associate Accountant Darren Beauchamp under the supervision of Emily Stern, Co-Chief of Charities Enforcement and James Sheehan, Chief of the Charities Bureau. The Charities Bureau is a part of the Division for Social Justice, which is led by Chief Deputy Attorney General Meghan Faux, and is overseen by First Deputy Attorney General Jennifer Levy.

Posted on

Attorney General James Delivers Over $640,000
to New York Breast Cancer Organizations

Funds Derived from Fraudulent Charities and
Fundraising Network Shut Down by AG’s Office

New York Attorney General Letitia James today delivered more than $640,000 to five nonprofit organizations that are leading the fight against breast cancer. The funds were recovered by the Office of the Attorney General (OAG) from organizations and individuals who defrauded New Yorkers into making donations that went into the pockets of telemarketers. The OAG recovered the funds from the Breast Cancer Survivors Foundation, Inc. (BCSF), a sham organization, and Garrett Morgan, a telemarketer who misled donors into contributing to a sham breast cancer organization on Long Island. The $644,054.79 in restitution was distributed to the American Cancer Society, Living Beyond Breast Cancer, West Islip Breast Cancer Coalition, Babylon Breast Cancer Coalition, and Manhasset Women’s Coalition Against Breast Cancer.

“It is unconscionable that organizations and telemarketers preyed on the public’s generosity and deprived breast cancer patients of vital support during a time of tremendous physical, mental, and emotional distress,” said Attorney General James. “Today, I am honored to return these funds to the people and organizations that need them most. My office is proud to be a partner to these five incredible organizations and help them in supporting breast cancer patients and survivors throughout their journey.”

In 2017, OAG announced an agreement with BCSF and its president and founder. The BCSF posed in phone and mail solicitations as a medical center for breast cancer patients, when in reality it was a shell organization funneling donations to an outside fundraiser, which pocketed 92 cents of every dollar donated to BCSF. The OAG’s agreement required BCSF to shut down immediately and pay more than $300,000 in restitution, the last of which was received by OAG in 2021. The OAG also obtained $40,000 from BCSF’s auditors, McEnerney, Brady & Company LLC and Edmund Brady.

In 2013, OAG won a judgment against Garrett Morgan for fraud in raising funds for the Coalition Against Breast Cancer, a sham Long Island organization. The organization raised millions of dollars with solicitations that claimed there was a “mammography fund,” when there was none, and that donations would provide free mammograms to uninsured women. Morgan did not pay the judgment and, acting on a motion by OAG, the court appointed a receiver to collect or sell Morgan’s property to satisfy the judgment. In 2021, the receiver delivered $303,747.86 to OAG.

The OAG’s Charities Bureau selected five nonprofit organizations to receive the restitution funds, including:

The American Cancer Society ($314,054.79): The American Cancer Society will use the award to support an initiative that increases breast cancer screening in high poverty areas, including screening among women who have never been screened before or who are not up to date with screening. The initiative focuses on uninsured and underinsured women by partnering with community health centers. With funds from OAG, the American Cancer Society will launch a new cohort of community health centers to participate in the mammogram initiative.

“The American Cancer Society is committed to expanding access to care for all and removing barriers that prevent cancer patients from getting the care and treatment they need,” said Dr. Karen Knudsen, CEO, American Cancer Society. “The pandemic brought about dramatic declines in breast cancer screenings. We are grateful that funds from the New York Attorney General’s Office will expand our lifesaving initiative to increase cancer screening rates and ultimately save lives.”

Living Beyond Breast Cancer ($225,000): Living Beyond Breast Cancer, a national nonprofit organization, will use the award to support its Living Beyond Breast Cancer Fund, which provides one-time grants to help those on limited incomes manage the financial burden of breast cancer. Grants range from $500 to $1,000 and are for living expenses. Grants are paid directly to vendors or billers. Recipients of the one-time grants must be in active treatment for breast cancer or living with metastatic breast cancer, and have a household income under 400 percent of the U.S. federal poverty line.

“We are honored to have been selected by the New York Attorney General’s Office,” said Jean Sachs, CEO, Living Beyond Breast Cancer. “Living Beyond Breast Cancer was founded over 30 years ago to offer trusted information and a community of support for all people directly impacted by breast cancer. We annually serve over 600,000 people across the country. A critical program of ours is the Living Beyond Breast Cancer Fund, a financial assistance program that pays the bills for women in treatment for basic needs such as rent, utilities, and transportation. Since 2006, we have been able to disburse over 3,150 grants for an approximate total of $2,530,000 to women and their families. Since the pandemic began, we have doubled the number of grants available to give to recipients as a way to alleviate financial hardship faced by so many across the country. The funds provided by the New York Attorney General’s Office will allow us to continue this intensive support, and help women in treatment focus on their health and not on their bills.” 

West Islip Breast Cancer Coalition on Long Island ($30,000): West Islip Breast Cancer Coalition of Long Island, Inc., will use the award to provide patients undergoing breast cancer treatment with services such as transportation, meals, childcare, house cleaning, wigs, advice, and support from former cancer patients.

“The West Islip Breast Cancer Coalition for Long Island, Inc. is extremely grateful to the Attorney General’s Office and its commitment to overseeing that funds raised to help women with breast cancer go to legitimate organizations that provide services to the many women on Long Island going through chemotherapy and radiation,” said Margaret Campise, president, West Islip Breast Cancer Coalition. “This award will ensure that many Long Island women will be taken care of through our ‘Lend A Helping Hand’ program, which offers free services like house cleaning, transportation to treatments, co-payments, wigs, prosthesis, and post-operative care. On behalf of the many women going through breast cancer, and the West Islip Breast Cancer Coalition for Long Island, I want to thank the Attorney General’s Office.”

Babylon Breast Cancer Coalition ($35,000): Babylon Breast Cancer Coalition, Inc., will use the award to provide an array of services to patients undergoing treatment for breast cancer and gynecological cancers, including transportation to medical appointments, housekeeping, meals, and childcare as needed during treatment.

“About 1 in 8 U.S. women (13 percent) will develop invasive breast cancer over the course of a lifetime and when that happens a woman’s life, and the lives of those who love her, are thrown into turmoil as she undergoes a horrific treatment ordeal,” said Nick Radesca, volunteer & vice president of finance, Babylon Breast Cancer Coalition. “Because most people’s lives have been impacted by this disease, many willingly donate to breast cancer charities. I want to thank the New York State Attorney General’s Office for bringing unscrupulous individuals to justice and redistributing defrauded donors’ funds to legitimate organizations. Babylon Breast Cancer Coalition, Inc. will use its share to provide free support services such as transportation to and from medical appointments, housecleaning, financial assistance, childcare, meal preparation, and other needed services.”

Manhasset Women’s Coalition Against Breast Cancer ($40,000): Manhasset Women’s Coalition Against Breast Cancer, Inc., will use the award to support its outreach program, which provides services to patients in the form of transportation, childcare, house cleaning, wigs, and non-financial support including advice and general emotional support of other former patients.

“The Manhasset Women’s Coalition Against Breast Cancer congratulates the Office of the New York Attorney General’s Charities Bureau for their efforts in pursuing the shutdown of the Coalition Against Breast Cancer and the Breast Cancer Survivor’s Foundation, both fraudulent organizations,” said Lynn Minutillo, member of board of directors, Manhasset Women’s Coalition Against Breast Cancer. “The MWCABC is so very grateful to be designated as a recipient of funds secured in the settlements of these cases. The women with breast cancer with whom we engage will be better served financially, emotionally, and educationally. Be assured we will strive to be conscientious stewards of the funds entrusted to us.”

The recovered funds distributed today are part of OAG’s Operation Bottomfeeder, which is an initiative of the Charities Bureau to identify fraudulent charities and their fundraisers. This is done through an analysis of annual financial reports, fundraising contracts, and other documents that nonprofit corporations file with the Charities Bureau, and has allowed OAG to take appropriate enforcement action against those engaging in fraud. In 2020, as a part of Operation Bottomfeeder, Attorney General James announced a multi-agency agreement imposing a nationwide, permanent, ban on Outreach Calling, a for-profit fundraiser, from charitable fundraising. To date, Operation Bottomfeeder has recovered approximately $1.7 million from sham charities and their fundraisers and has redistributed that money to legitimate charities.

This matter was handled by Enforcement Section Co-Chief Yael Fuchs and Assistant Attorneys General Peggy Farber, William Wang, and Sharon Sash under the supervision of Charities Bureau Chief James Sheehan and Deputy Bureau Chief Karin Kunstler-Goldman. The Charities Bureau is a part of the Division for Social Justice, which is led by Chief Deputy Attorney General Meghan Faux and overseen by First Deputy Attorney General Jennifer Levy.

Posted on

Attorney General James Provides $2.4 Million to Brooklyn Substance Abuse Treatment Programs with Funds Derived from Fraudulent Charity Shut Down by AG’s Office

New York Attorney General Letitia James today provided more than $2.4 million to the Brooklyn Community Foundation (BCF) to fund substance abuse treatment programs throughout Brooklyn. The funds are derived from charitable assets that remained after the Office of the Attorney General (OAG) dissolved Canarsie A.W.A.R.E., Inc. for its participation in a scheme that exploited some of New York’s most vulnerable residents and defrauded Medicaid.

“Substance abuse is a harmful and pervasive issue in so many of our communities,” said Attorney General James. “Although recovery is never an easy journey, it can be a lot easier with access to reliable treatment programs. Today’s agreement ensures that these funds will finally be used in the manner in which they were intended — to support some of our most vulnerable communities. I thank the Brooklyn Community Foundation for their partnership and dedication to helping New Yorkers access these lifesaving treatment services.”

“We are deeply honored and excited to partner with the Office of the Attorney General to redistribute these funds in a way that will repair harm and provide vital resources to trusted and thoroughly vetted community-based health providers,” said Cecilia Clarke, president and CEO of Brooklyn Community Foundation (BCF). “Brooklyn Community Foundation’s approach centers community members as key decision-makers to invest in organizations that share our commitment to racial justice. We hope this partnership will serve as a powerful new model for government and foundation collaboration.”

In 2016, as a part of the OAG’s investigation into fraudulent substance abuse providers and their exploitation of individuals living in substance abuse transitional housing — also known as “three-quarter houses” — the OAG indicted Canarsie A.W.A.R.E. Inc. — a New York not-for-profit organization that provided substance abuse treatment services — and its owner for defrauding Medicaid. In September 2018, Canarsie A.W.A.R.E. pleaded guilty to grand larceny in the first degree. In 2019, the OAG won a New York Supreme Court order to dissolve Canarsie A.W.A.R.E. and distribute its assets for use by other substance abuse treatment programs. Today’s agreement between the OAG and the BCF is in connection with the OAG’s settlement of its claims against Canarsie A.W.A.R.E. Inc.

Under New York’s Not-for Profit Corporation Law, assets remaining after the dissolution of a non-profit organization must be distributed to another non-profit organization engaged in similar activities to those of the dissolving nonprofit. The BCF — a well-established grant-making organization dedicated to mobilizing people, funds, and expertise for a fair Brooklyn — will award grants to Brooklyn not-for-profit providers of substance abuse treatment. The funds will support treatment programs providing technical assistance and capacity-building support to the grant recipients, including assistance with fundraising, financial management, and strategic planning. The BCF will also conduct site visits to the grant recipients, and monitor the recipients’ use of funds through regular reporting requirements and communications. The BCF will award the grants in each of three successive years, beginning in 2021.

“I am pleased that the Brooklyn Community Foundation will be offering grants to substance abuse treatment programs that will operate in our community,” said State Senator Roxanne J. Persaud (SD-19). “The services offered are much needed as we fight the scourge of addiction while helping people to uplift their lives.”

“I applaud Attorney General Letitia James for her efforts to redistribute assets recovered in a previous settlement against a dishonest drug treatment provider back into our communities,” said Assemblymember Nick Perry (AD-58). “The $2.4 million disbursement to the Brooklyn Community Foundation should go a long way to providing much needed substance abuse treatment for those Brooklynites struggling with addiction, and get them on the road to recovery rather than on a path through our criminal justice system.”

“The Substance Abuse and Mental Health Administration reported that in 2019, more than 6 million Black Americans suffered from a mental health illness and or substance abuse issue,” said New York City Council Majority Leader Laurie A. Cumbo. “Mental health and substance abuse are urgent issues that often go unaddressed due to stigma and lack of accessible resources, and COVID-19 has further deepened the mental health and substance abuse crises our communities are facing. Although it is gravely disappointing when patients are victimized by organizations meant to help them, I could not think of a better organization to recover funds from Canarsie’s A.W.A.R.E program. The Brooklyn Community Foundation, located in District 35, has provided over $50 million dollars in grants to non-profit organizations throughout our community for over a decade. I am confident that their community-based approach will allow these newly acquired resources to reach those who need them most at a time when we are all suffering. Thank you to the Charities Bureau for making this possible and to Attorney General James for her unwavering dedication to uplifting our Brooklyn community.”