Tuesday, August 12, 2014

CONGRESS,THE PRESIDENT...AND THE IDEA OF LITIGATION

No matter where one stands politically, the idea of Congressional litigation against the President (and/or vice-versa) is so repugnant for what it says about our dysfunctional government. Yet, all of these threats and discussion have been a catalyst crystallizing my own thoughts about what might be done to reconstruct JFNA into the delivery vehicle we, and that is all of us, contemplated at the time of the merger.

Clearly the merger cannot be undone and, clearly, the current stewards of our continental institution have neither the vision, the understanding nor the will to make of JFNA the expression of our communal core values and principles. A few of you are aware that before I retired from the practice of law, I was part of a firm that had a great depth in its non-profit law practice. I was able to use that expertise in my pro bono work for the Jewish Agency, the Jewish Agency North America and, even, for JFNA. So, last month I sat down with some of my former partners and associates to discuss how we might approach the courts to seek redress for JFNA's abandonment not only of principle but of purpose; to remedy the illness that is embodied in excess compensation; and to end, once and for all the opacity that blocks scrutiny of every decision from all except the privileged few. 

I recognize, possibly more than anyone, that litigation is never the best means to achieve the best most-reasoned end -- and in the context of our non-profit world, it would be far better were our leaders willing to do their jobs...but it is evident that they are either unable or unwilling to do so. They would rather attend meetings that are no more than self-congratulatory assemblies of the few, approve budgets that serially have not been followed year-after-year while spending is directed and redirected away from governance-approved budget lines to the whims of the few with no approvals, extend the term of a CEO who is to our Continental institution as John Kerry is to our nation's foreign policy(?) institution -- among other things. 

Sure, JFNA will point to its constant clean Audits as somehow proof of anything other than how well-run our financial professional have run that part of our organization. But clean audits, good as they are, are neither proof of accomplishment, nor the validation of actions outside of corporate governance nor the constant manipulation of the organization's budgets.

This is the Do Nothing JFNA...full stop. Oh, there will be a lot of pressure to somehow prove JFNA's "value" by pushing the Global Planning Table agenda -- seeking full funding from the same "best customers" who fund (and, need I add...control) everything. No one seems to realize...or care... that the vast number of federations have seen their financial resources and their donors stretched beyond all limitis while JFNA makes "ask" after "ask" without regard to priorities -- the federations' or G-d forbid JFNA's (if it had any). Throw out a "Signature Initiative" and, bless them, the same four or five federations line up and say "where do I sign" and "can't we do more?" JFNA is guilty of gross dereliction of duty, breach of fiduciary duty and it appears that litigation is the only path to effect change so long as JFNA is without leadership or purpose.

The partners and associates with whom I have been and am meeting believe that there is a basis for a lawsuit over the almost total waste of donors' funds and the serial breaches of fiduciary duty by our leaders about which I have been writing for so long. In fact, these lawyers, most all of whom are non-Jews, find it rather incredible that this Jewish organization, once the paradigm of financial responsibility, my organization, our organization, could have spent $650,000,000+ in Dues with no evident accountability.

We are moving forward.

Rwexler

13 comments:

Anonymous said...

Wishing you success and courage: “Courage is the most important of all the virtues because without courage, you can't practice any other virtue consistently.”
― Maya Angelou

Anonymous said...

Thanks for taking this on. I will contact you directly as I would be honored to join as a Plaintiff.

Anonymous said...

Hey, once you suggested the need for the imposition of a constructive trust on the Dues we pay until this mess gets straightened out. Well, it hasn't straightened out; now is the time to seek preliminary relief in the imposition of that constructive trust as a first step in your litigation. Don't get our hopes up -- this is too hopeless.

Anonymous said...

I can think of nothing more destructive than allowing the current deconstruction of our system to continue under the present leadership. They have driven the system's credibility to a low that I never would have imagined -- and the LCE just look on, apparently too mystified or petrified to act. If litigation works, which I doubt, good luck with it.

Anonymous said...

Richard, if you can get this mess before a Judge, have a Trustee appointed and secure the Lions of Judah and Cabinets, and the Network for the future, all else will follow, and JFNA can be reformed. I am sure it won't be easy, it will be complicated but know that the silent majority are with you and your associates.

Anonymous said...

So, bottom line, are you really going to do this? If there is litigation and you prevail, you will be blamed for bringing down a "system" that is in the process of self-immolation; if you don't, this organization will just drag itself along on its knuckles, failing in all of its responsibilities, and everyone will be looking around for someone to blame.

No one is willing to make the hard choices and do the hard work that has to be done to re-float this terrible failure. it's hard for you, painted as the villain of the piece by those who do nothing, to hum on a white horse and ride it to some awful form of victory.

Anonymous said...

Richard, Are you omniscient? While you rail on, not one federation raises its hand to be heard while their donors' funds, so hard too raise, are wasted by 25 JFNA day-in and day-out. Oh, sure, the CEOs rail in private to one another, in their chatrooms, wherever, about the futility of jfna, and, in particular, Silverman, but none have the courage to publicly challenge what they know to be great waste.

They prefer sheket above all other things -- and you are now threatening that sheket in a very public way.

Watch your back.

Anonymous said...

Richard, I am afraid the last comment is far too correct. We have very courageous and opinionated leader, both professional and lay leader, in private. In those settings they make you look tame. But in public…not a chance. Professionals are worried about their next job and lay leaders worried about their next committee assignment. Our own needs always win out. Mr. Spock reminded us, “The needs of the many outweigh the needs of the few.” If only.

Anonymous said...

Richard, I too agree with the last two Comments -- you will be on your own for all of the reasons stated. There are many constituencies which could effect change, but no one will join you. Sure, if the LCE were to rise up, there would be changes but they will not because they are further enriched and empowered by a Continental system that doesn't challenge them to do a damn thing.

JFNA is bankrupt of leadership and no one is going to tolerate its biggest (at least publicly) critic to place them in involuntary bankruptcy for being so.

Anonymous said...

Ah yes, let's bring back those glorious days when evertyhing worked perfectly. Seriously? Who are you kidding? Do you really think the old system(s) wouldn't have needed a massive overhaul if JFNA/UJC hadn't been created? JFNA has a million problems -- on that we can all agree, but the answer isn't looking backward, it's looking forward.

RWEX said...

I agree on all points with the last Anonymous Comment -- so what does the future have inshore?

RWEX said...

Make that "in store" not "inshore" -- I must have been thinking of the Titanic

Anonymous said...

If something isn't done, the future is as bleak as the present and past, isn't it? But do you really believe a single federation will join you in litigation...and don't you need at least one? They will just continue to kvetch among themselves, pay their Dues and march like the lemmings they are to the sea.