NATION : Pastor-Congressman Indicted in Housing Funds Embezzlement
NEW YORK — Rep. Floyd H. Flake was indicted today for conspiracy, fraud and tax evasion in the alleged embezzlement of funds from a federally subsidized senior citizens housing project run by his church.
The indictment, announced by U.S. Atty. Andrew Maloney, listed 17 counts against the New York Democrat and nine against his wife, Margarett, described as the bookkeeper for the operation.
In addition to his congressional duties, Flake is the pastor of the 156-year-old Allen African Methodist Episcopal Church in Queens. The church built and operates the 300-unit senior citizen facility.
Maloney told a news conference that Flake stole about $75,000 in transportation funds from the Allen Senior Citizens Apartments from 1983 to 1987, and diverted another $66,000 in church funds to his own use from 1983 to 1988.
The allegedly misappropriated money was not reported by Flake on federal income tax returns, Maloney said.
Flake, in a statement, said he has cooperated fully with the government in an 18-month investigation and expects to be acquitted.
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