August 10, 2011; Source: Crain’s New York | Jeffrey Bernstein resigned his position as the chair of the Manhattan Chamber of Commerce one day after he was implicated in a $2.3 million embezzlement scheme allegedly carried out while he ran the Albert Ellis Institute, a nonprofit psychotherapy center. The institute has filed a lawsuit against J.P. Morgan Chase & Co. in which it claims that the bank allowed Bernstein to make 65 unauthorized transactions from the institute’s accounts from April 2010 to February of this year. As always, we have to wonder where the board was during this 11-month period.—Ruth McCambridge
About The Author
Ruth is Editor in Chief of the Nonprofit Quarterly. Her background includes forty-five years of experience in nonprofits, primarily in organizations that mix grassroots community work with policy change. Beginning in the mid-1980s, Ruth spent a decade at the Boston Foundation, developing and implementing capacity building programs and advocating for grantmaking attention to constituent involvement.