“Leaders of a Minneapolis nonprofit that serves low-income residents used taxpayer money to pay for a celebrity cruise and trips to Palm Beach and the Bahamas, according to a recently completed state audit.
Along with the trips, the audit by the state Department of Human Services found that the nonprofit’s leaders spent public money on bonuses, golf, spa treatments, furniture, alcohol and even a personal car loan.”
Further the paper reports that
“Community Action had an $11 million budget in fiscal year 2011, with over half of its revenue coming from government grants.
The audit’s findings put Community Action at risk of losing at least $2.8 million in aid. Johnson said the organization might have to pay back more than $870,000 that was misspent. “There were decisions made about how dollars were spent that are quite frankly pretty egregious,” Johnson said
Auditors blamed Community Action’s board, which includes several well-known politicians and community leaders, for a lack of oversight and for personally benefiting from $34,892 worth of activities that “do not appear to serve a business purpose, and are considered waste and abuse as defined in state policy.”
DFL Congressman Keith Ellison promptly resigned from the Board when the audit became public and then claimed he had nothing to do with the decision-making process because he had appointed a “representative” to the Board.
- See more at:
http://www.mnactionnetwork.org/notes-no ... QpKWP.dpuf" onclick="window.open(this.href);return false;
