RISC Calls for Independent Investigation of Sports Institute
Monday, February 20, 2012
The RI Statewide Coalition (RISC) is issuing its support for the request by the University of Rhode Island Administration to launch an outside independent investigation of disturbing allegations of the financial activities and operation of the Institute for International Sport at URI.
RISC is also calling upon Governor Chafee and legislative leaders, especially Speaker Gordon Fox, to ensure that the investigation bring full transparency of the Institute’s handling of public funds over the years.
“The Rhode Island taxpayer deserves a full accounting of what truly has occurred here, no matter where—or to whom—the trail leads,” states RISC Executive Director Harriet Lloyd. “The nature of the allegations warrant an independent investigation and we support URI’s administrators in pursuing that.”
Lloyd notes what’s been uncovered thus far is very troubling.
“There are unexplained real estate purchases in exclusive enclaves; years of unauthorized pay and benefits to Mr. Doyle from the state payroll, instead of from the Institute itself; and disturbing questions about the forgery of the signature of benefactor Alan Hassenfeld on an annual report. There’s a growing list of very unsettling questions.”(An Annual Report in 2009 listed Hassenfeld as the Institute’s Chairman, and included his signature, when in fact he was not Chairman and did not sign the document, although he reportedly has been a long time generous supporter of the organization.)
Raises Questions about Misuse of Legislative Grants
RISC says the findings of an initial audit by Auditor General Dennis Hoyle which revealed unaccountable uses of a $575,000 legislative grant, demonstrate show the lack of oversight of such grants can result in misuse of taxpayer dollars. The audit shows roughly $400,000 of the grant which was given for the construction of a facility cannot be accounted for, and the building stands unfinished. “What is unfolding here raises serious concerns about how public grant money is distributed, and what oversight is provided in how it’s used,” continues Lloyd.“We call upon Speaker Fox to demand that this next stage of an independent investigation get to the bottom of where the grant money has gone.”
Chafee Should Demand Transparent Inquiry
RISC is also urging Governor Chafee, who has pledged to guard against public corruption and made it a goal to increase state support for URI despite severe budget constraints, to ensure that a full and transparent inquiry take place.
“At a time when it’s a real challenge for the state to increase its investment to higher education, the Governor should ensure that URI does not end up on the hook for the alleged misuse of money by this Institute.” The audit reveals URI is owed over $380,000 in reimbursements for compensation costs for the Institute’s Director and possibly could inherit other debt.
Over the past two decades, in addition to private donations, the Institute received at least $5 million dollars in state grant money and nearly $800,000 dollars from federal grants that were secured by various members of the state’s congressional delegation.
