| Offices Raided; Priest Wonders Why
By Brendan J. Lyons
Albany Times Union
December 14, 2012
http://www.timesunion.com/local/article/Offices-raided-priest-wonders-why-4120286.php
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Father Peter Young, Feb. 3, 2012. (Times Union / Skip Dickstein)
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Father Peter Young, an Albany priest who heads a broad network of nonprofit support services for former convicts and addicts, said law enforcement raids of his offices this week has unsettled his organization and he's uncertain why it was necessary.
"I don't know where it's going to go," said Young, 82, in his first public comments since Wednesday's raid by a task force of federal and state investigators.
The raids took place at the Schenectady headquarters of The Altamont Program, and at two of the organization's offices in Menands and Albany. State attorney general's investigators, accompanied by FBI agents, interviewed employees while they seized computers and a trove of financial records.
"It scared our staff half to death because many are on parole," Young said. "They were sort of put in a room and couldn't move. Everyone's computer went. There was no dialogue and we didn't know what was going on."
The Altamont Program and its affiliated agencies rely heavily on government grants to operate 117 sites serving thousands of clients. The investigation began at least seven months ago when investigators started interviewing former employees as part of a broad examination of the Altamont Program's operations, including its ties to state government officials, according to people with knowledge of the probe.
Some former employees have told law enforcement officials that people within the organization were embezzling funds and that people who worked there believed Young may have granted favors to state legislative members who had steered grants — known as member items — to his cause.
Young denies ever promising favors to lawmakers but acknowledges that he's spent countless hours at the state capitol urging lawmakers to support his efforts and steer funding to state agencies that buttress his programs. He said his primary goal is to help people, especially former convicts and addicts, to turn their lives around and become "taxpayers."
Young, who is still actively involved in his nonprofit's day-to-day operations, said he was rarely informed which lawmakers helped secure funding for Altamont Program and said he never promised any lawmakers something in return for their efforts.
The Times Union reported Friday that a former state assemblyman from Brooklyn, William "Frank" Boyland Sr., was put on the payroll of Young's Troy-based drug rehabilitation facility, 820 River Street Inc. Boyland left his state Assembly seat in 2002. More than a year later, Boyland's son, William F. Boyland, Jr., who succeeded his father in the Assembly, co-sponsored, with Assembly Speaker Sheldon Silver, a member item grant of $300,000 for the Altamont Program.
Boyland Jr. also directed another $900,000 in grants to the Altamont Program between 2006 and 2009 during a period when his father worked for the organization, records show. Frank Boyland's daughter, Tracy, 44, a former New York City Council member, also has been employed by 820 River Street as an outreach coordinator in Brooklyn for several years.
Young said he was close to Frank Boyland but barely knew Boyland Jr.
"Believe me, I never did him any favor at all," Young said, adding that Boyland Jr. never asked him for anything.
Young said the decision to hire Frank Boyland, a powerful Democrat who served two decades in the Assembly and whose family is regarded as a political dynasty in Brooklyn, followed an internal discussion by the nonprofit's board of directors. Young said the consensus was that Boyland, who had deep contacts in Brooklyn, was the right person to bridge their sprawling nonprofit with people and companies who could provide jobs and housing for clients in New York City.
"Frank wanted to help and he's got all the contacts," Young said. "It was a major discussion on the board. ... Would we be looking in any way guilty if we do or we don't."
It's unclear how many years Boyland Sr., 72, worked for the program or what he was paid. Boyland was fired almost three years ago when it was discovered that he'd used a credit card from the nonprofit for personal expenses, Young said. The priest said he could not confirm details of Boyland's employment because investigators had seized their corporate records and computers. A former employee, who has been interviewed by the FBI, said Boyland Sr. was alleged to have used the credit card to purchase furniture for a residence and for restaurant outings in New York City.
"We immediately terminated him," Young said. "I felt bad about it because he did a lot of good work. ... I do feel he's been a friend of mine and he apologized and I believe he repaid it, but I don't know if he did or didn't."
Boyland Sr. could not be reached for comment. He had set his own hours because he did outreach work, Young added.
In past years, other state lawmakers, including former Sen. Efrain Gonzalez Jr., regularly stayed at Schuyler Inn in Menands, a motel owned by Vesta Community Housing Development Board Inc., a subsidiary of the Altamont Program. The motel is used by the nonprofit for housing, a culinary training program and for office space. The motel on Broadway was one of the three sites raided this week.
"We had the entire Black and Puerto Rican Caucus" stay there, Young said. "We had the rabbis and everyone. At that time it was an operating hotel. ... They met the state rate. They would have to pay because we were a hotel. ... They were a decent customer to have; they weren't any trouble."
The raid follows a more than year-long audit of The Altamont Program by the state Commission on Quality of Care and Advocacy for Persons With Disabilities. Young said the organizaton contacted the agency about two years ago after discovering that a former executive director of 820 River Street, Dennis Bassat, had allegedly cashed checks written to fictitious employees. Years earlier Bassat was scolded, but not fired, for misusing a corporate credit card at the nonprofit.
Young said the program provided "complete access" to the auditors. "That's why it was a surprise to have the people (descend) on our program this past week because we had an open door."
Bassat was arrested Dec. 7 in Florida and is scheduled to be returned to Rensselaer County on Wednesday to face charges contained in a sealed indictment, a person with knowledge of the matter said. The charges, including grand larceny, relate to Bassat's conduct at the nonprofit where he had worked for more than 25 years.
Young said the nonprofit struggled but managed to make payroll for more than 800 employees this week after its operation was crippled by the seizure of its computers and records.
"We have no idea what we're being accused of, so we're waiting and watching and saying what's going to happen. I wish I did," the priest said. "It would give me a little peace of mind and take some pressure off our staff who are filled with anxiety."
blyons@timesunion.com • 518-454-5547 • @blyonswriter
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