A former administrator at a Queens charity has been charged with siphoning a substantial sum meant for feeding the needy into his own pockets, according to a recent announcement by Queens District Attorney Melinda Katz. The accused, Otto Starzmann, faces allegations of grand larceny and criminal possession of stolen property following an investigation revealing misuse of funds at River Fund, the charity in question.
Starzmann, who served as the chief production officer, is said to have diverted $872,440 from the nonprofit organization, channeling the funds instead to purchase land and enrich his personal bank accounts. The DA's statement, obtained by Queens District Attorney’s Office, highlighted that "Instead of paying farmers to fill his employer’s warehouse with healthy food for the needy and vulnerable in our community, the defendant is accused of stealing the charitable funds."
The specifics of the case detail how Starzmann allegedly established a shell company, Foodgate Inc, and submitted sham invoices for non-existent deliveries of produce. These invoices led River Fund to release funds in advance for the supposed agriculture, a cleverly orchestrated plan which saw no actual food reaching those in need. The investigation found that not only were there no corresponding deliveries, but the funds ended up in bank accounts controlled solely by Starzmann.
This misuse saw approximately $429,508 used to acquire 22 acres of land in Warwick, NY, with additional payments made to architecture firms, amongst other personal expenditures. The substantial transactions and withdrawals were traced to the defendant's accounts, casting a glaring spotlight on the depth of the alleged embezzlement. As reported by the Queens District Attorney’s Office, these revelations have landed Starzmann with charges that, upon conviction, could see him facing five to 15 years in prison.
The case continues to unravel as the judicial process moves forward, with Starzmann's next court appearance set for September 4.
