By Donald H. Harrison
SAN DIEGO — Shoshana Grossbard, a respected economist who serves as editor in chief of the Review of Economics of the Household, has urged Acting U.S. Attorney Randy Grossman and San Diego District Attorney Summer Stephan to look into the circumstances surrounding the domination of the nonprofit Friendship Circle of San Diego (FCSD) by the family of disgraced Rabbi Yisroel Goldstein of Chabad of Poway.
In a letter to both officials, with a copy to the clerk in the U.S. District Court Judge Cynthia Bashant, Grossbard, who also is an emeritus professor at San Diego State University, outlined why she believes a probe should be initiated into the affairs of the charity, which was set up by ex-Rabbi Goldstein to help families of the disabled.
The text of her letter reads:
I am writing you today about an unfortunate situation going on right now with the Friendship Circle in San Diego (FCSD). Until recently this has been a wonderful organization dedicated to help the handicapped. My daughter and I have volunteered for FCSD and I can attest that the organization was helping many since Ms. Elisheva Green started it in San Diego in 2005. Naively, she entrusted the finances of FCSD to Rabbi Y. Goldstein, then Rabbi of Chabad of Poway, who in the meanwhile has been indicted for criminal activities. As a result, Yisroel Goldstein, as the Chairman of the Board of the FCSD, had control of the FCSD finances and he has involved the FCSD in his criminal activities. After Yisroel Goldstein knew he was going to be convicted he turned over the Friendship Circle to his son Mendel Goldstein and a board of community members who had no prior involvement with the Friendship Circle.
Since July 2020, Mendel Goldstein has repeatedly promised to return control of the FCSD to a group of founders, major donors and active volunteers in the FCSD. This hasn’t happened. Mendel’s entire board resigned and he has turned over complete control of the FCSD to Shuie Goldstein. Shuie has no prior experience or training in running a nonprofit but has control of the substantial funds donated to support those with disabilities. He continues to syphon off those funds to himself and his family, while providing almost no programming or services to FCSD’s special needs community. At the same time Shuie Goldstein is demanding a large unearned severance package from the Friendship Circle-from money that was intended to help those with disabilities, another unscrupulous act. Mrs. Green has resigned from FCSD as she has concluded that this is the most effective way of publicizing her frustration with the current situation.
I care about the handicapped of San Diego and know Mrs. Elisheva Green for forty years. She and her husband Alan have raised a family of able and generous children. Mrs. Green has an impeccable record and is extremely devoted to helping others, especially those in need. I want to see permanent control over FCSD going to Mrs. Green and a board of trusted individuals handpicked by Ms. Green and perhaps a few others who have impeccable credentials.
If some criminal behavior is occurring here, please help bring justice.
Yisroel Goldstein has pleaded guilty in federal court to a tax fraud scheme in which he rebated to various individuals 90 percent of the “contributions” they made to Chabad while they claimed the entire contribution on their income tax returns. His sentencing by Judge Bashant has been delayed as he provides prosecutors with evidence against other people who were involved in the scheme. Prosecutors have recommended that Goldstein receive probation in return for his cooperation. Meanwhile, Chabad has decertified him as one of its rabbis.
Elisheva Green, referenced in Prof. Grossbard’s letter, also has spoken publicly about the Friendship Circle situation. Last month, in a letter to leaders of the Jewish community, she wrote:
Despite Yisroel Goldstein’s conviction in Federal Court it appears to me that Yisroel Goldstein continues to pull the strings behind the scenes. Yisroel Goldstein drafted bylaws that give his family permanent control over FCSD, and despite over a year of promises, we have not received the signed releases that would end that ludicrous authority.
After 14 months of being repeatedly lied to and attempting to pursue multiple recourses to regain control of the FCSD, I cannot remain part of the fiction that the current main mission of the FCSD is to provide services to those with disabilities. It isn’t. Its present primary goal is to provide income and employment for Shuie Goldstein and his family.
It is not customary for prosecutors — whether at the federal or state levels — to comment on potential cases prior to bringing a formal action. The Goldstein family has routinely declined any comment. If any of these parties should publicly comment, this publication will bring such news to its readers.
*
Donald H. Harrison is editor of San Diego Jewish World. He may be contacted via donald.harrison@sdjewishworld.com
A line needs to be drawn between the conflicting messages people may be quick to judge here. I just want it known that there is not a connection of what was done by Rabbi Goldstein to the tireless efforts, actions, and brilliant programs of The Friendship Circle or Elisheva Green.
Perhaps it is time to disassociate from where people with neuro and physical challenges thrived in the past and not drop the program, yet relocate it and those improperly associated.