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Thursday, July 6, 2023
NYS Office of the Comptroller DiNapoli: New Federal Funds Give NY A Chance to Expand Broadband, Close Digital Divide
Attorney General James Announces Agreement with New York State Association of Black, Puerto Rican, Hispanic, and Asian Legislators to Improve Governance
Association to Address Governance Concerns, Elect New Members to Board of Directors, Adopt Amended Bylaws, and Formalize Scholarship Program
New York Attorney General Letitia James today announced an agreement with the New York State Association of Black, Puerto Rican, Hispanic, and Asian Legislators, Inc. (ABPRHAL) to resolve concerns regarding the association’s governance and financial reporting. The ABPRHAL did not have full-time employees or sufficient oversight, causing the association to suffer a breakdown in leadership and repeatedly file inaccurate financial audits and disclosures to the Office of the Attorney General (OAG). Pursuant to the agreement, ABPRHAL and Chairwoman Latrice Walker agreed to elect new directors to its board, adopt amended bylaws to codify its leadership structure, and formalize its scholarship program. Some of these measures have already been adopted.
“The Association of Black, Puerto Rican, Hispanic, and Asian Legislators provides important services and opportunities to communities of color statewide, but without full-time leadership, the organization struggled to prepare financial filings and properly administer scholarships,” said Attorney General James. “All charitable organizations are required to comply with the same laws in our state. Under this agreement and with new bylaws, ABPRHAL will be able to continue its great contributions to New York.”
The ABPRHAL was founded in 1985 by members of the New York State Assembly legislative caucus of the same name with a mission to promote the social and general welfare of communities of color, encourage economic development, and support the fight for racial justice. Each year, the association sponsors an annual conference that convenes community leaders from throughout the state and holds a fundraising gala to support its scholarship program.
From Fiscal Year 2015 through Fiscal Year 2017, ABPRHAL did not have any full-time employees, but paid an independent contractor to act as Executive Director. At the time, the Board of Directors did not exercise sufficient supervision of the Executive Director or the association’s operations and finances. As a result, the annual financial reports filed with OAG's Charities Bureau were both inaccurate and incomplete. Additionally, the association did not have a formal, objective process for awarding scholarships, instead authorizing individual members to select recipients from a pool of applicants rather than have the board or a delegated committee select recipients based on objective criteria. Scholarships awarded in 2017 and 2018 were not paid to the recipients until 2019 and 2020.
Pursuant to the agreement, ABPRHAL has agreed to revise its bylaws, policies, and procedures. These amended bylaws will include the following requirements and provisions:
- No less than one-third of all Directors of the Board must be independent as defined by New York’s Not-For-Profit Corporation Law;
- One independent Director must be present for there to be a quorum to conduct the Board’s business;
- A complete description of ABPRHAL’s governance structure;
- Definition of the roles and policies of the association’s committees, officers, directors, members, and employees; and
- The association’s annual audit and IRS Form 990 will be prepared on an accrual basis, the former by a certified public accountant.
As part of the agreement, ABPRHAL will formalize its scholarship program by:
- Setting forth detailed qualifications for receiving an ABPRHAL scholarship;
- Establishing standard procedures and a timeline for applying for the scholarships;
- Revising the scholarship application form; and
- Posting all available scholarships on the association’s website.
Any fundraising related to the scholarship program will include a full description of the scholarship and the date on which it will be awarded. Scholarship recipients will be selected by the Board or a dedicated committee using objective criteria.
The ABPRHAL will maintain all records related to its operations for a minimum period of six years, to be provided upon request to OAG to verify compliance with the agreement.
Former Partner Of Investment Management Firm Arrested For $1.6 Million Investment Fraud Scheme
Joshua Henner Allegedly Solicited Over $1.6 Million From Victims On False Pretenses
Damian Williams, the United States Attorney for the Southern District of New York and Christie M. Curtis, the Acting Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”) announced the unsealing of a two-count Indictment charging JOSHUA HENNER with wire fraud and aggravated identity theft. As alleged in the Indictment, HENNER, through false statements and representations, convinced victims to loan him at least $1.6 million for the purpose of investing in a start-up, while, in reality, misappropriating those funds for his own purposes. HENNER was arrested this morning and will be presented in Manhattan federal court later today before U.S. Magistrate Judge Jennifer E. Willis.
U.S. Attorney Damian Williams said: “As alleged, Joshua Henner defrauded his victims of over $1.6 million and used those funds to line his own pockets. Investment fraud schemes are all too common. Thanks to our partnership with the Federal Bureau of Investigation, Henner will now be held accountable for his conduct.”
FBI Acting Assistant Director in Charge Christie M. Curtis said: “The defendant is alleged to have to conducted an investment fraud scheme, based on misrepresentations and falsehoods, in order to misappropriate more than $1.6 million in investor funds. Investment fraud schemes cause harm to victims directly involved, but also weaken the public's faith in the financial marketplace. Investigating and holding the individuals responsible for complex financial schemes accountable remains a top focus for the FBI.”
As alleged in the Indictment[1]:
From at least in or about May 2022 through at least in or about December 2022, HENNER ran a scheme that defrauded victims out of at least $1.6 million. HENNER solicited and obtained funds from victims based on representations that he had been an angel investor in a start-up (the “Company”) and that he needed funds to purchase additional shares in the Company to maintain his investment position.
To induce victims to give him funds, HENNER routinely made materially false oral and written statements, including lies about his previous investment in the Company and his ownership interest in the Company. Without their knowledge or authorization, HENNER misappropriated his victims’ funds by, among other things, transferring the funds to himself and other individuals.
During and in relation to the scheme, HENNER used, without authorization, the name and email address of a lawyer purportedly involved in the investments to communicate via email with his victims and foster the illusion that he was using the funds that his victims lent him for their intended purposes.
HENNER, 35, of New York, New York, is charged with one count of wire fraud, which carries a maximum sentence of 20 years in prison, and one count of aggravated identity theft, which carries a mandatory two-year consecutive sentence. The minimum and maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant would be determined by a judge.
Mr. Williams praised the outstanding investigative work of the Federal Bureau of Investigation.
The charges contained in the Indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth herein, constitute only allegations, and every fact described herein should be treated as an allegation.
NYC PUBLIC ADVOCATE'S STATEMENT ON THE APPOINTMENT OF NEW NYCHA CEO AND BOARD CHAIR
MAYOR ADAMS APPOINTS NEW NYCHA LEADERSHIP
Jamie Rubin Will Serve as NYCHA Board Chair
Lisa Bova-Hiatt Will Become Permanent CEO, Running Day-to-Day Operations
Leadership Appointments Follow National Search and Mayor Adams’ Record Funding Commitment to Affordable Housing, and Continue to Advance NYCHA’s Transformation Plan
Mayor Adams Also Appoints First Deputy Mayor Sheena Wright and Greg Belinfanti to NYCHA Board and Pamela Campbell as Labor Representative on NYCHA Trust Board
Following a national search, New York City Mayor Eric Adams today appointed Jamie Rubin as chair of the New York City Housing Authority (NYCHA) board and elevated Lisa Bova-Hiatt to be permanent CEO of the Authority. Rubin comes to NYCHA with three decades of experience in government, nonprofits, and the private sector, including leading the New York State Governor’s Office of Storm Recovery, New York State Homes and Community Renewal, and President Barack Obama’s Hurricane Sandy Recovery and Rebuilding Task Force. He will oversee the seven-member board that advises and votes on contracts, rules, regulations, and other administrative matters. Bova-Hiatt permanently assumes the role of CEO running day-to-day operations after nearly a year in the role on an interim basis and more than 25 years in the public sector, including at the Governor’s Office of Storm Recovery and The City University of New York (CUNY). Rubin and Bova-Hiatt’s appointments are the result of an extensive national search conducted by New York City, the U.S. Department of Housing and Urban Development (HUD), and the Office of the U.S. Attorney for the Southern District of New York (SDNY). Mayor Adams, HUD, and SDNY will continue working together on improving NYCHA and on further reforms under the 2019 federal agreement. The roles of chair and CEO were bifurcated last year in line with the planned restructuring outlined in NYCHA’s Transformation Plan — changes that were adopted by the NYCHA board on June 15, 2022.
Mayor Adams also appointed First Deputy Mayor Sheena Wright and experienced financial professional Greg Belinfanti to the NYCHA board and Pamela Campbell to the newly established board of the Public Housing Preservation Trust, filling a role designated for a nominee from a labor union representing NYCHA employees. These appointments follow two previous NYCHA board appointments in January 2023 and the creation of the Trust board with the appointment of six members, including two NYCHA residents. With her expanded portfolio, Deputy Mayor for Housing, Economic Development, and Workforce Maria Torres-Springer will also join the Trust board as an ex officio member, in line with the state law that outlines the board’s makeup. The first board meeting will take place on Friday, July 7.
“We have been clear since day one that NYCHA residents deserve the same quality of life as every New Yorker, and this administration has embraced the responsibility and the opportunity to deliver that,” said Mayor Adams. “Lisa Bova-Hiatt has proven that she has what it takes to run this city-within-a-city, and Jamie Rubin brings the wide-ranging experience and critical skills to guide NYCHA’s rejuvenation. With the leadership of Deputy Mayor Torres-Springer and the additions of First Deputy Mayor Sheena Wright, Greg Belinfanti, and Pamela Campbell to the NYCHA and Public Housing Preservation Trust boards, I am certain that NYCHA is better positioned than ever to face this challenge and provide residents with the safe, high-quality, affordable homes they deserve.”
“From day one, NYCHA has a been a priority of the Adams administration and, for the first time in city history, was included as a priority of a mayoral administration’s comprehensive housing plan,” said First Deputy Mayor Wright. “All New Yorkers deserve quality affordable housing, access to opportunities, and the path for economic mobility. I look forward to working alongside the NYCHA board and to being of service to the hundreds of thousands of New Yorkers who call NYCHA home.”
“NYCHA represents one of this administration’s most important avenues to secure affordable housing for the working people of this city. Today’s appointments add critical leadership and fortify NYCHA’s dedication to maintaining public housing for future generations,” said Deputy Mayor for Housing, Economic Development, and Workforce Torres-Springer. “Today’s appointments of Lisa Bova-Hiatt, Jamie Rubin, Greg Belinfanti, Pamela Campbell, and our very own First Deputy Mayor Sheena Wright send a clear message that this administration is laser-focused on preserving and revitalizing public housing across our city. I am thrilled to continue working with CEO Lisa Bova-Hiatt and her team in centering residents and bolstering opportunity across the entire NYCHA community.”
“It’s an honor to serve as the chair of NYCHA’s board and to step into this role at such a pivotal time for the Authority,” said NYCHA Chair Rubin. “Mayor Adams has made it clear that he is committed to making public housing the centerpiece of his housing plans. Lisa Bova-Hiatt and her team have made tremendous progress already, and I am looking forward to working with her and the entire NYCHA community.”
“Every day, I am honored to serve in this capacity and to have the opportunity to lead the Authority’s efforts to maintain and preserve public housing for the hundreds of thousands of residents living in NYCHA developments across the five boroughs,” said NYCHA CEO Bova-Hiatt. “As a lifelong New Yorker and a career public servant, I understand the importance of affordable housing in New York City — and I remain committed to maintaining the momentum of NYCHA’s continued transformation. I thank Mayor Adams for this appointment.”
“I am pleased to have been nominated to the NYCHA board and look forward to contributing to the Authority, as well as to the impactful work it has underway,” said NYCHA Board Member Greg Belinfanti.“I would like to thank Mayor Adams and NYCHA for this chance to serve as we collectively work to ensure that public housing is available for future generations of New Yorkers.”
“Having worked at NYCHA for my entire career, I have seen the impacts of long-term disinvestment on public housing firsthand and care deeply about this issue,” said NYCHA Trust Board Member Pamela Campbell. “I am excited to serve on the Trust board and to be part of standing up this new public entity, which has the potential to unlock billions of dollars in funding to improve developments — and the lives of New Yorkers — across the city.”
Mayor Adams and NYCHA are establishing the Trust at a critical moment for NYCHA, which faces tens of billions of dollars in capital needs following decades of federal disinvestment and urgent financial challenges — even as Mayor Adams has committed $24 billion to affordable housing, the most in New York City’s history. As a fully public entity, the Trust will bring billions of dollars in federal funding to finance comprehensive renovations for thousands of NYCHA apartments, while always maintaining residents’ rights — including permanently affordable rent and keeping NYCHA properties 100-percent public. Residents at developments selected for a vote will be able to choose between joining the Trust, participating in the Permanent Affordability Commitment Together program, or remaining in the Section 9 program.
About Sheena Wright
Sheena Wright has served in the Adams administration since January 2022, first as deputy mayor of strategic initiatives and, since January 2023, as first deputy mayor.
During her time in the administration, she helped launch the first phase of the MyCity portal, a one-stop-shop where New Yorkers can easily apply for and track city services and benefits. She has helped the city deliver on key planks of the Blueprint for Child Care & Early Childhood Education in New York City — most notably, clearing a backlogged waitlist for vouchers and allowing families of 36,000 children to apply for low-cost, high-quality child care. First Deputy Mayor Wright also co-led the Joint Taskforce to Get Nonprofits Paid on Time, which unlocked more than $4.2 billion in contractual dollars for more than 460 large and small organizations. She drove a historic expansion of New York City’s summer youth employment program — already the nation’s largest such program — to offer job opportunities to 100,000 young New Yorkers this past summer. And First Deputy Mayor Wright additionally co-leads the city’s Gun Violence Prevention Task Force, which has contributed to the city’s decrease in shootings.
First Deputy Mayor Wright previously served as the first female president and CEO of United Way of New York City and president and CEO of Abyssinian Development Corporation. Before joining the Adams administration, she was appointed to the city’s Education Sector Advisory Council and the state’s New York Forward Re-Opening Advisory Board.
First Deputy Mayor Wright practiced law, including for five years at the law firm Wachtell, Lipton, Rosen & Katz. She also served as a trustee for Columbia University and acted as a board member for New Visions for Public Schools, NYC Kids Rise, and the New York City Regional Economic Development Council.
First Deputy Mayor Wright has been named number one on City & State New York’s “Nonprofit Power 100,” listed in Crain’s New York Business’ “Notable Black Leaders and Executives” and named numerous times as a notable nonprofit executive and civil servant.
She is a graduate of Columbia University and Columbia Law School.
About Jamie Rubin
Jamie Rubin comes to NYCHA with more than three decades of experience working on affordable housing, disaster recovery, major infrastructure projects, and clean energy in the public, private, and nonprofit sectors. He is currently the chief investment officer of Aligned Climate Capital, investing in the low-carbon economy nationally, and he previously worked as CEO of Meridiam NA, investing in and developing transformative infrastructure projects, including LaGuardia Airport Terminal B, the Miami Beach monorail, and the D.C. Metro Purple Line extension.
Rubin served for five years as a top official in New York State government — building and leading the Governor’s Office of Storm Recovery to assist homeowners and small businesses while prioritizing long-term resiliency and environmental sustainability and safeguarding against fraud and abuse, overseeing the state’s affordable housing strategy as commissioner of New York State Homes and Community Renewal, and overseeing the executive chamber as director of state operations. He also severed in the federal government as the director of President Obama’s Hurricane Sandy Recovery and Rebuilding Task Force, a senior advisor to HUD Secretary Shaun Donovan, and previously in the White House under President Bill Clinton, in the Office of the Chairman of the Federal Communications Commission, as well as on the Obama-Biden presidential transition in 2008.
Rubin has founded, led, or served on the board of more than a dozen nonprofits and community groups, including the Osborne Association, the Citizens Budget Commission, the Regional Plan Association, and GreaterNY. After the onset of the COVID-19 pandemic, he spearheaded the creation of the $150 million New York Forward Loan Fund — which provides emergency low-interest loans to small businesses — and co-chaired the Recovery Task Force of the Human Services Council, the umbrella group of New York’s largest human services organizations. He is the founder and chair of the NYC 2025 initiative at New York University’s (NYU) Wagner School of Public Policy and, until recently, served as a director of the Housing Investment Trust, a subsidiary of the AFL-CIO Pension Fund.
He is a graduate of Harvard University and Yale Law School.
About Lisa Bova-Hiatt
Lisa Bova-Hiatt was appointed interim chief executive officer of the New York City Housing Authority in September 2022.
Bova-Hiatt has more than 25 years of experience in the public sector. She joined NYCHA in February 2020 as general counsel, where she led the Authority’s Law Department and was involved with all NYCHA executive matters, including compliance with the U.S. Department of Housing and Urban Development agreement, NYCHA’s transformation and implementation plans, and operations and administration.
She was previously general counsel of the City University Construction Fund and executive university counsel of CUNY. Prior to CUNY, Lisa served as executive director of the New York Governor’s Office of Storm Recovery, where she played an integral role in helping the agency carry out the reconstruction of over 12,000 homes and hundreds of infrastructure projects.
Lisa previously spent 19 years in various roles at the New York City Law Department, including as the deputy chief of the Tax and Bankruptcy Litigation Division, where she specialized in real estate acquisition and development, and chief advisor to administration officials.
She is a graduate of Villanova University and Brooklyn Law School.
About Greg Belinfanti
Greg Belinfanti is a senior managing director at One Equity Partners (OEP), where he has worked since 2006, and a member of the investment committee and valuation committee. At OEP, he has worked on investments in health care and business services, leading many of the firm’s health care transactions.
He serves on the boards of directors of the Local Initiatives Support Corporation, AdaptHealth, AMT/Restorix, Ernest Health, Infucare Rx, Montgomery Transport, and Prime Time Healthcare. He was previously a member of the boards of directors of Apollo Health Street, ArthroCare, Celltrion Healthcare, EGS, OneLink, Prodigy, PS Logistics, The Results Companies, Simplura Health Group, and Systagenix.
He previously served as a vice president in the investment banking division of Lehman Brothers, specializing in Global Health Care.
Belinfanti is a graduate of New York University and Harvard Law School.
About Pamela Campbell
Pamela Campbell has dedicated her 27-year career to the residents of NYCHA. She started her career as a seasonal worker, moving her way up to caretaker, and then supervisor of caretakers, before retiring as an assistant superintendent for Baisley Houses in Queens. A member of Teamsters Local 237, she also worked at Seth Low Houses and Howard Houses in Brooklyn, as well as Queensbridge Houses in Queens
Campbell is a graduate of Boys and Girls High School in Brooklyn.
Governor Hochul Announces More Than $516 Million in Bridge NY Funding to Rehabilitate and Replace Local Bridges and Culverts
Provides Funding For 216 Projects in 141 Communities Across New York
Program Supports Efforts to Harden Critical Infrastructure and Make Local Communities More Resilient to Impacts of Climate Change
Governor Kathy Hochul today announced the award of more than $516 million in enhanced assistance for 141 local governments to rehabilitate and replace bridges and culverts while supporting resiliency and sustainability in every region of the state. This funding, provided through the State's BRIDGE NY initiative, is aimed at helping local governments across the state harden their existing infrastructure while boosting the resiliency of bridges and culverts in the state. The State’s BRIDGE NY initiative supports projects that combat climate change by reducing the risk of flooding, improves the resiliency of structures, facilitates regional economic competitiveness and prioritizes projects that benefit environmental justice communities.
Permits Filed For 3885 Orloff Avenue In Van Cortlandt Village, The Bronx
Permits have been filed to expand a three-story structure into a four-story residential building at 3885 Orloff Avenue in Van Cortlandt Village, The Bronx. Located between West 238th Street and Cannon Place, the lot is closest to the 242nd Street subway station, serviced by the 1 train. Herman Jakob of West Street Gardens LLC is listed as the owner behind the applications.
The proposed 38-foot-tall development will yield 6,736 square feet designated for residential space. The building will have 17 residences, with an average unit scope of 396 square feet. The masonry-based structure will also have a cellar, basement, and a 33-foot-long side yard.
Leandro Nils Dickson Architect is listed as the architect of record.
Demolition permits will likely not be needed as the project calls for an expansion. An estimated completion date has not been announced.
Permits Filed For 3044 Decatur Avenue In Norwood, The Bronx
Permits have been filed for a four-story residential building at 3044 Decatur Avenue in Norwood, The Bronx. Located between East 204th Street and East Mosholu Parkway North, the lot is near the Kingsbridge Road subway station, serviced by the B and D trains. Lin Kumbullaj of Kiri Construction Corp. is listed as the owner behind the applications.
The proposed 37-foot-tall development will yield 5,884 square feet designated for residential space. The building will have nine residences, most likely rentals based on the average unit scope of 653 square feet. The concrete-based structure will also have a cellar and a 55-foot-long rear yard.
Badaly Architects is listed as the architect of record.
Demolition permits have not been filed yet. An estimated completion date has not been announced.