The New York Attorney General wants to shutter the nonprofit due to financial mismanagement

Rochester, New York – The top law enforcement official in New York State is acting to dissolve a local nonprofit organization that may have misused public funds.

According to Attorney General Letitia James, the Community Resource Collaborative funded vital services for those in need, but in the exact wrong way.

According to a 15-page appeal submitted on Monday to the State Supreme Court, the CRC paid expenses, including personal ones, that had nothing to do with its aims.

Since its founding in 2021, the Community Resource Center (CRC) has provided more than $1 million in COVID-19 relief money from Monroe County to a number of regional nonprofit organizations that are a part of the Neighborhood Collaborative Project.

A forensic analysis published in March states that although those agencies were paid almost $750,000, they are still owed close to $244,000. According to the petition, money is also owing to three for-profit businesses.

When Monroe County Executive Adam Bello discovered in February that certain NGOs were not receiving their due compensation, he said the funding was promptly stopped.

At a March media briefing, Bello stated, “There are many victims here, though.” “Not only the county is involved, but also all of the NCP’s partner organizations and those groups that are active on the streets.”

The audit of CRC, according to the petition, discovered that the nonprofit covered costs unrelated to its purpose, such as $35,000 for lodging, $28,000 for transportation (which included CRC executives utilizing Uber), and $13,000 for meals.

Furthermore, according to the petition, $180,000 in transfers and disbursements seem to have been recognized by QuickBooks as loan repayments from Tina Paradiso, the founder of CRC.

The investigation further stated that the CRC paid its directors directly for no discernible reason, including $28,000 to the private company “Imprintable Solutions” in Paradiso and $20,000 to Anthony Hall, the former CEO of the CRC.

The petition states that CRC bought the Dewey Avenue property in September 2023. $162,495 was the total amount needed at closing, and it was paid with cash. Two for-profit companies, Sweet Ida Mae Pantry and Brothers and Sisters Unisex Salon, are located on the property. Devon Reynolds, the CRC Director, oversees both groups. According to the forensic investigation, the County sent CRC around $126,000 at the time of the purchase in order to refund sub-recipients, but CRC didn’t start paying out until October 2023.

In addition, the Attorney General requested that a receiver be appointed to sell the CRC’s residual assets and utilize the proceeds to reimburse the local organizations for unpaid debts.

According to the petition, neither the CRC nor the directors are carrying out any tasks.