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| Report: NYC Foundation Can't Account for Money Raised from Jail Cigarette Sales |
| By Associated Press |
| Published: 03/05/2003 |
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A foundation run by the city Corrections Department failed to account for nearly $1 million in rebates earned from cigarette sales to prisoners, a newspaper reported recently. From 1995 to 1999, the Correction Foundation received at least $1,081,420 in rebates from tobacco companies, the Daily News reported. However, reports filed with the state attorney general did not account for $854,111 of the $923,311 it spent from 1994 to 2001. Department officials said they used the funds to produce promotional videos and throw holiday parties for inmates. But they refused to release documents itemizing spending, the newspaper said. ''It's not a diversion of funds,'' said department spokesman Tom Antenen. Jails initially received promotional clothing, sporting goods and other merchandise for rebate points printed on cigarette packs by the Lorillard and Brown & Williamson tobacco companies, but in 1995 the foundation asked for cash instead. Since 2000, the funds have been paid into the city treasury rather than the foundation. |
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