Bronx Non-Profit Heads Accused Of Embezzling $200K

According to the U.S. Attorney's Office, the president and director of SBCC Management Corporation, which manages HUD-subsidized properties in the Bronx, stole $200,000 from the non-profit—and SBCC's president is Richard Izquierdo Arroyo, grandson of State Assemblywoman Carmen E. Arroyo and nephew of City Councilwoman Maria del Carmen Arroyo (SBCC director is Margarita Villegas). Almost $15,000 from the non-profit were given to campaigns for someone believed to be Carmen Arroyo and Running Scared details some of the other spending: "The pair, along with an unnamed relative, ran up tabs worth $15,000 at clothing stores including Ralph Lauren, Tommy Hilfiger, and --our favorite-- Promgirl. They also ran up bills of $66,000 with fine dining at the likes of Portofino, A Venice Restaurant, Tavern on the Green, and -- go figure -- IHOP. Another $48,000 went for airfares and hotels in San Juan, and Brooklyn (!). Another $34,000 was plunked down for car rentals, garages, and parking tickets in Puerto Rico, the Dominican Republic and around the Empire State." Richard Arroyo and Villegas were indicted; City Councilwoman Arroyo, who apparently directed at least $50,000 in funds to SBCC, said, "I am confident that in the end, they will be able to clear their names."