US Attorney to Investigate College of New Rochelle's Financial Crisis

NEW ROCHELLE, NY — The U.S. Attorney’s office will be investigating the financial troubles of the College of New Rochelle.

That information was revealed by college officials in a meeting Thursday with faculty and staff, the Journal News said.

The college’s interim president, Dorothy Escribano, said information and annual budgets supplied to board members was fabricated by the prior controller.

President Judith Huntington stepped down in October as the financial crisis was unfolding. A month later preliminary inquiries into the finances found that around $20 million in payroll taxes were not paid for eight quarters, starting in 2014.

College officials have said that significant cost-cutting will be required to keep the doors of the institution open.

An anonymous donation of $5 million was announced Wednesday. An additional $1.5 million has been collected through the institution’s “We Are CNR” fundraising campaign.

The Journal News said that a spokesman for U.S. Attorney Preet Bharara would not deny or confirm an investigation was taking place.

For more information, including the timeframe for making $2 million worth of cuts, read the complete article at Journal News here.

Photo credit: Google Maps.