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Monday, September 16, 2013

NY - Report: Letter From Whistle-Blower Sparked Investigation Into Ex-Met Council Head

                                              William E. Rapfoge

New York, NY - Sources say it was an anonymous letter from a whistle-blower, which made its way into the hands of the board of directors, that sparked the investigation into former Met Council head William E. Rapfogel.

The NEW YORK TIMES reports that the letter, submitted by a source claiming to be a former employee of the charity’s insurance broker, found its way to a new chief financial officer who then began to investigate.

Sources say the fact that it was whistle-blower, and not the result of any internal audit or oversight from a government agency that ultimately revealed Rapfogel’s corruption, has caused many to question the process in which nonprofits routinely receive grants from politicians paid for by the taxpayers.

H. Tina Kim, a deputy city comptroller, said, “Oversight of nonprofit organizations is fragmented with multiple agencies having jurisdiction. 

This creates the potential for some problems to be missed, such as when one nonprofit charges more than one agency for the same service.”
Andrew J. Levander from the Dechert law firm has been hired by Met Council to oversee its internal investigation into the extent of Rapfogel’s malfeasance, and sources say that, to date, the charity has already received some of its money back, and is expecting to be fully refunded.

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