The New York State Attorney General’s Office is asking the court to dissolve Community Resource Collaborative and appoint a receiver to sell its assets.
The office filed a motion Friday to dissolve the nonprofit organization. The Attorney General’s Office oversees nonprofit organizations in New York and can seek to dissolve them through the courts. The office argues in the petition that the cooperative is bankrupt and unable to meet its obligations.
Monroe County hired Community Resource Collaborative in May 2023 to manage grants to approximately a dozen neighborhood nonprofits.
Over the next several months, the county directed more than $1 million in federal pandemic relief funds to the collaborative. But by January, the neighborhood group stopped accepting checks.
A forensic investigation by the Community Resource Collaborative found that the group that was supposed to receive the funds still owed a total of $243,907.
The county ultimately froze payments to the cooperating organizations and ordered a forensic examination of the books. The investigation concluded that government agencies involved in the project owed $243,907.
The firm is also asking the court to appoint a receiver to sell the cooperative’s assets, including the Dewey Street building. The proceeds will be used to pay the debts and debts of the joint venturers.
