REPORT: Rye Golf Club Manager Stole from All of Us; a "Madoff Moment"

We want to buy the screenplay rights because you simply cannot make this stuff up. Rye City let the cat out of the bag Wednesday afternoon, releasing the results of the Rye Golf Club investigation concerning rampant mismanagement and financial malfeasance (read pages 14 to 32).

We'll figure our how to serialize the report, because it reads like a gritty crime novel (but is unfortunately non fiction).

Thirty minutes after the release of the report, Rye Mayor Doug French released a statement saying "What the investigation shows is that at the very outset, an individual was able to manipulate a system that transcended over 6 years and across many, many roles and individuals.  It is the City's Madoff moment where wrong-doing went unnoticed, and where there wasn't one break in the chain, but several.  While we will pursue all avenues for restitution, we will also work to restructure our enterprise fund models and restore credibility."

Here is the final summary of the report:

"CONCLUSION
Based on these factual findings, the Council has concluded that the former General Manager of the RGC Scott Yandrasevich had a significant and undisclosed conflict of interest with respect to two RGC vendors, RM Staffing and Studio Y, in violation of Section 15.2 of the City of Rye Code of Ethics. The Council has further determined that Mr. Yandrasevich controlled RM Staffing, and that, over a six-year period, he used RM Staffing and its affiliated business Studio Y to steal many hundreds of thousands of dollars from the City of Rye.

To date, the investigation has not uncovered evidence that any current or former City of Rye employee other than Mr. Yandrasevich received improper financial benefits in connection with RGC’s relationship with RM Staffing and Studio Y.

The City Council has referred this matter to the Westchester District Attorney’s Office. The City Council will continue to consider additional appropriate remedial measures, including but not limited to implementing enhanced financial controls and procedures, pursuing civil claims and seeking to recover on the City’s employee theft insurance policy."

Comments

[D]

I had the pleasure of knowing and dealing with Vincenzo Tamburro. He was a great example of how our city employees should be. Therefore, I'm surprised at what is posted by "investigate Vinnie's Death." If Peter and Doug are the adults, god help us all. The assumption that Mr. Floatie and Hen Island are why we have all the problems we do, is narrow minded. I think it time to pull your own head out! They both sat on the audit from 2009. Doug said he investigated the consulting relationship in June 2012 and found no problem with it. Peter thinks everyone is to blame, not those who had the information and authority to exercise change. The RGC members have every right to be upset.

It's a shame that postings are associated with a great person and fine example of a civil service employee.

Focus on facts! Not politics and personalities.

[Jim Amico]

http://rye.patch.com/articles/letter-to-the-editor-assumption-of-trust

[Jim Amico]

Anne,

You gotta luv it...I have never in my life witnessed so much double standard BS, absolutely incredible.

Here we probably have the worse City Manager in municipality history and Filippi wants to shred everyones "resume" but Pickup's???

YOU JUST CAN'T MAKE THIS S*** UP!!!

[Anne McCarthy]

Thanks Andrew. This was fascinating to watch. You're right. The facial expressions are telling. While I was looking through the meeting cablecasts for this particular Pickup lie, I came across a Finance 101 lesson from someone whose resume should be shredded! June 13, 2012 City Council meeting, Dickie Filippi - advocating to accept Lester's $3.6MM bid for the old CVS - gives us a lesson in collateralization, saying the days of commercial real estate collaterlization are over! Prices aren't coming back! "I'm in the business." If buyers can't get the financing, there won't be frothy bids. Ok, Dickie Filippi, less than 9 months later we have a bid that's 55% higher than the one you wanted to go with, based of course on your financial knowledge and experience. Where's the shredder?

[tedc]

New - Rye Golf Scandal – The Numbers Guy:

Mirror, mirror on the wall, which incurious city paymaster topped them all?

“SUGAR DADDY.”

http://www.lausdeo10580.com/lausdeo10580/2013/03/investigators-city-manager-pickup-approved-70-of-74-million-that-went-to-rm-staffing.html

[ADapolite]

Anne,

The "above board", "it's all legal", and "the city attorney vetted it" comments were made by Pickup at a Sept 27, 2012 Golf Commission Meeting- not a Council Meeting. RyeTV did not record the meeting (for real this time) but unfortunately for Pickup, Leon and I covered it with a few cameras. Personally, I find Pickup's facial expressions more telling than the words he spoke:

http://www.lausdeo10580.com/lausdeo10580/2012/10/rye-golf-club-general-manager-admits-working-for-staffing-company.html

[Anne McCarthy]

The report describes Pickup acknowledging he knew that counsel hadn't reviewed or approved RM Staffing when he stated during the 9/27/12 Council Meeting that RM Staffing had been reviewed and all was above board. Pickup said he was trying to calm everyone down. Now, this is the same person who said we work from an assumption of trust and we have to believe the people who work for us are honest. Mr. Piscionere and Mr. Sculti aptly pointed out the error of Pickup's logic (checks and balances!). Despite its clearly flawed logic, it's still hard to stomach the comment. We have a City Manager who encourages us to assume he's honest while consistently and conveniently lying to us. This isn't the first time Pickup's been caught lying with tangible, drastic consequences. It won't be the last. Who will bear the consequences? BTW, the 9/27/12 meeting cablecast doesn't seem to be on the ryeny.gov site.

[Jim Amico]

@ the TWO BIGGEST A**HOLES THAT POST ON THIS SITE...."RYE DIM MIT" & "INVESTIGATE VINNIE'S DEATH",

It's a damn shame I can't prove who you really are because I would personally pay you a visit at your front door(s)!!!

And yes, you may take this any way you damn well please!!!

Mr.Jay Sears,

You are no better of a human being by allowing this disgusting behavior to continue on your site!!!

[tedc]

Speaking of which Ray, where's MY check? It's Friday after all....

[Ray Tartaglione]

Ted C,
Is there any way Doug French can follow his handpicked appointed RGC/RFP committee members out the door?
Bob,
I agreed with you 100%. But watch out, they are going to accuse you of being on my payroll. But you are going to have to get on line, I am starting to run out of money.