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For Immediate Release:  
For Further Information:
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January 28, 2009  

Jeff Lamm
973-504-6327

Office of The Attorney General
- Anne Milgram, Attorney General
Division of Consumer Affairs
- David Szuchman, Director

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State Files Suit to Dissolve 9/11 Charitable Organization
After Finding $75,000 in Illegal Expenditures

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NEWARK – The Office of the Attorney General and Division of Consumer Affairs have filed suit to dissolve the “9/11 Rescue Workers Foundation, Inc.” of Kinnelon, New Jersey after state investigators identified more than $75,000 in illegal expenditures during a forensic accounting review.

Last August, the Division revoked the registration of the foundation, enjoined it from soliciting in New Jersey and barred Frederick Parisi, its founder and president, from acting as an officer or director of any charitable organization operating in the state.

The state’s lawsuit, filed in Superior Court in Morris County, also seeks to have Parisi, and Jean Street, Parisi’s mother and former treasurer of the foundation, return the money they used for non-charitable purposes so that the court can award it to another charity with a similar purpose.

“It is outrageous that Parisi and Street solicited donations under the pretense of helping rescue workers who suffered health problems after responding to Ground Zero but in reality spent the funds on themselves and family members,” Attorney General Anne Milgram said.

State investigators identified 87 transactions where Parisi or Street signed checks or approved withdrawals that served no apparent charitable purpose. The transactions included checks for $27,000 and $20,000 that Street made out to herself, checks to pay private school tuition and other expenses for Parisi’s children and numerous payments to “cash.”

Each of the more than 23,000 charitable organizations operating in New Jersey is required to register annually with the Division. The annual registration process includes the submission of financial information by each charitable organization.

“The state registers charities to provide regulation and oversight and we remain vigilant against those con artists who attempt to enrich themselves under the guise of seeking donations to help others,” said David Szuchman, Consumer Affairs Director.

Deputy Attorney General Joshua T. Rabinowitz of the Consumer Fraud Prosecution Section is representing the state in this action.

An online directory of charitable organizations registered in New Jersey can be found at http://www.state.nj.us/lps/ca/charity/chardir.htm. Consumers also can call the Charitable Registration Hotline at (973)504-6215.

 

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