Copyright 2022 Albuquerque Journal
SANTA FE – The Boys and Girls Clubs of Santa Fe has agreed in a settlement to pay $1.4 million after it was awarded federal special project grants for a facility that was never built, the U.S. Attorney’s Office in Albuquerque has announced.
The organization was awarded grants from the United States Department of Housing and Urban Development to purchase land in 2005 at 1107 Ocate Road in Santa Fe and to build a facility there, according to a news release.
“The government asserted that the Club failed to build a new facility and then did not return the funds as prescribed by HUD, federal law, and the grant agreements,” the release states.
Lawsuits going back several decades involving alleged sexual improprieties affected the organization’s finances, Santa Fe attorney Dan Cron, who represented the group, said Thursday.
Although they intended to build the facility “they didn’t have the money to do it,” Cron said. “It’s been repaid, the settlement has happened,” Cron said. “We cooperated fully.”
He said there was no deliberate fraud “or anything like that.”
Under the settlement, the organization paid a little more than $1.4 million to the United States government in exchange for being released “from any civil or administrative monetary claim for the Club’s conduct in this matter under the False Claims Act.”
The organization also failed to pay the government proceeds from the sale of portions of the land in violation of federal law, the grant...
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