Food for Poor head resigns amid
scandal
By NCR STAFF
Allegations of sexual and financial misconduct are swirling around
Food for the Poor, prompting the resignation Sept. 25 of the charitys
founder and president, Ferdinand Mahfood.
Food for the Poor, the 66th-largest charitable organization on an
international list compiled by the Chronicle of Philanthropy, solicits
funds through religious organizations, including Catholic parishes. The
organization, based in Deerfield Beach, Fla., provides relief in about 16
countries, primarily in Latin America and the Caribbean. Donations last year
amounted to $182 million, including about $51 million in cash from U.S. donors.
The organization collected another $500,000 in federal money.
Food for the Poor advertises regularly in numerous Catholic press
outlets, including NCR, and recruits priests to speak in
parishes.
Mahfood, who founded Food for the Poor in 1982, resigned as
president and chief executive officer just six weeks after he was placed on
administrative leave as allegations of sexual misconduct surfaced. At the time
of his resignation, his salary was more than $180,000 a year.
Rod Taylor, former development director, told law enforcement
officials in mid-September that Mahfood had been involved with two female
employees and had paid them through a fund in Jamaica. Mahfood is a native of
Jamaica.
Allegations related to Mahfood, known to co-workers as
Ferdy, are described in a Sept. 15 incident report on
file at the Broward sheriffs office.
Sexual relations with two women were also alleged in an internal
memo written by Catholic Bishop Paul Boyle of Mandeville, Jamaica, a board
member, according to the Sun-Sentinel, a newspaper in Fort Lauderdale,
Fla.
At the time of Mahfoods resignation, Boyle issued a news
release stating that Mahfoods brother, Robin, had been appointed
president and chief executive officer. Robin Mahfood is longtime secretary and
vice president of Food for the Poor.
The appointment displeased some of the organizations
employees and former employees who want a wider housecleaning. Taylor said he
was among executives and former executives who had called for a fresh start,
with a top officer from outside the organization.
The organization does a lot of good, and I would truly love
to see it survive, Taylor said. But it obviously needs to be
cleaned out. He said he had spoken to authorities about the problems
because he believes his responsibility as director of development is to
the donors, he said.
Newspapers, primarily an Oct. 4 article in the
Sun-Sentinel, gave the following account of events:
Reports of sexual impropriety first surfaced in April 1999, when
one of the female employees filed an internal complaint alleging sexual
harassment. An internal investigation turned up no evidence, but an audit in
August 2000 turned up evidence of the fund in Jamaica and gifts to the women.
The women, along with three persons related to one of them, were fired, and
Mahfood was suspended Aug. 14.
All employees were required to sign a gag order by Sept. 22
prohibiting defamatory statements, written or oral, and warning
that a breach would provoke immediate dismissal. Several employees, including
Taylor, resigned or were fired after refusing to sign. Robin Mahfood said the
order was intended to protect donors.
When Ferdinand Mahfood resigned Sept. 25 he said in a statement
that he had long suffered from bipolar disorder, a mental illness also known as
manic depression, which causes extreme mood swings.
Unfortunately, I have not recently successfully managed my
illness, and some of my behaviors have been unacceptable, Mahfood wrote.
For those behaviors, I apologize and ask for your forgiveness. He
did not elaborate.
Later, he told a reporter for the Sun-Sentinel, We
all suffer from human weakness. I have been in love with the human race for the
last 18 years. You should focus on that
and not on my friendship with
any particular women that I am alleged to have had a friendship with.
Mahfood is receiving treatment for his mental disorder as an
inpatient at a medical facility in Connecticut.
Taylor, the former development director, is suing the organization
for more than $15,000. His suit claims that he was wrongfully terminated for
speaking with authorities, first the sheriffs office, and then, as
directed by officials there, with the FBI.
Taylor told NCR he had been shocked to learn of
improprieties.
Ferdy was always such a passionate advocate for the
poor, he said. It was absolutely heartbreaking to think that he
would be involved in stealing money from the cause we were all so passionately
involved with.
According to The Florida Catholic, which published a report
of Mahfoods resignation on Sept. 28, Food for the Poor has 200 employees
at its headquarters.
Robin Mahfood said the charity, at the direction of its board,
would add a chief financial officer, a new chief operating officer and a
project and program officer. The realignment, Mahfood said, had been prompted
by a management audit by an outside firm.
Robin Mahfood also said any misappropriated money from the
Jamaican fund had been replaced. According to reports, the source of the fund
was the sale of folding chairs in Jamaica that had been donated in the United
States.
Taylor said some of the charitys officers and former
officers had concerns about Robin Mahfood in the top office because he runs a
for-profit company, Essex Imports, out of the same building as Food for the
Poor. Robin Mahfood said he intends to eventually turn that business over to
two of his sons.
National Catholic Reporter, October 13,
2000
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