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Attorney General secures $1.6 million from ex-leaders of Queens cemetery

LEGAL NEWSLINE

Friday, November 22, 2024

Attorney General secures $1.6 million from ex-leaders of Queens cemetery

State AG
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Attorney General Letitia James | Official website

New York Attorney General Letitia James has announced the recovery of over $1.6 million from former leaders of Lutheran All Faiths Cemetery in Queens. The funds, misused by Daniel Austin, Sr. and Anthony Mordente, will be returned to the cemetery for restoration and upkeep.

Attorney General James stated, "No one deserves to have their final resting place desecrated by mismanagement and greed." She emphasized that Austin, Sr. and Mordente used the cemetery's funds for personal gain while neglecting its maintenance.

Lutheran All Faiths Cemetery has been a burial site for more than 540,000 New Yorkers over nearly 150 years. Under Austin, Sr.'s leadership starting in 1990, conditions worsened significantly until his departure in 2014. The settlement includes $900,000 from Austin, Sr., which he took as an unlawful retirement benefit while still receiving a salary as a consultant. Mordente will return $585,000 received improperly during his tenure.

In September 2019, Attorney General James filed a lawsuit against several directors following an investigation revealing misuse of charitable funds and self-dealing. It was found that Austin Jr., elected president without competition after his father's retirement, diverted over $60,000 in bonuses before resigning with full pension benefits.

The investigation uncovered misuse of assets benefiting board members' families and unauthorized mortgage loans issued using cemetery funds. As part of the agreement reached today, both Austins and Mordente are barred from financial management roles in any New York nonprofit organizations.

Previously settled cases involved four additional directors who admitted to improper financial transactions harming the cemetery. They agreed to return payments received during their service totaling $187,100.

This case was managed by Senior Counsel Sandra Pullman along with other legal professionals under the supervision of Charities Enforcement Section Chief Emily Stern and Charities Bureau Chief James Sheehan.

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