Friday, August 12, 2005

Two more bail out in Air America financial flap

In the latest round of casualties in the Air America scandal, WorldnetDaily reports that two more staffers at the Gloria Wise Boy's & Girl's club have resigned:

Sources told the New York Post that acting executive director Lorraine Corva will be leaving her job Aug. 26, and that assistant executive director Jeff Aulenback also quit, effective immediately.

While a club spokesman refused to say why the two were leaving, sources told the paper the departures are "tied to the ongoing fallout from the highly unusual and possibly improper loan to Air America, as well as other dubious fiscal practices."

Ironically Air America -- noted for the comedians that compose it's left-leaning line-up -- is having a difficult time parting with this funny money:

"The [city] Department of Investigation advised Air America to repay $875,000 into an escrow account from which no money can be disbursed without our approval," DOI spokeswoman Emily Gest told the Post. "Air America has not followed that recommendation."

A likely conclusion that one might reach is that the funds from the loans have been depleted leaving the organization strapped for cash. This suspicion might be further supported by the fact that Air America was recently unable to... er... pay it's employees:

According to the Radio Equalizer, a blog published by broadcasting analyst Brian Maloney, an internal memo indicates Air America employees faced late paychecks in late July.

"They were apparently stunned to receive a last-minute notice sent at 5:09 p.m. Thursday, July 28th, indicating direct deposits would not be made Friday, as expected," Maloney states. "Written by company Vice President/Finance Sinohe Terrero, it implied the payroll processing company was to blame:

We have been advised by ADP that Direct Deposit will probably not post until Monday. We apologize for any inconvenience this may cost (sic). If you have any questions please feel free to call me.

Sinohe Terrero

Maloney as you might expect is rather dubious about this explanation:

"Was it really a foul-up at ADP, the nation's largest payroll processing company? Have you ever known ADP to delay direct deposits, due to its own negligence? I thought not."

Get out your inflatable vests, passengers -- this flight is going down.

I'm good enough,
I'm smart enough,
I'm broke.

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