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Did NHRP Break the Law?

NHRP's Certificate Of Dissolution
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Residents of the 49th Ward recently learned that Jim Ginderske's organization, Neighbors for a Healthy Rogers Park, is a sham. It is discredited, officially, by the Illinois Secretary of State's office.

The NHRP was dissolved by official decree on May 9, 2008 for failure to submit an annual report (see image). Even so, Jim Ginderske continues to brandish the NHRP name as some sort of talisman of legitimacy.

In other words, NHRP is not transparent. You and I - and the Secretary of State - have not been given a full accounting of any money that passed through the hands of the NHRP.

We would like to see a full accounting from NHRP. We would like to see them open their books. (We doubt that they will.) Had they filed an annual report, we could look at it. Did they not file because of incompetence, or because they have something to hide?

During the last aldermanic campaigns, Ginderske's aldermanic campaign chair Tom Westgard filled out a Form NFP 102.10, Articles of Incorporation for a general not for profit corporation. He signed and dated it November 14, 2006. The board of directors members named on the form were Ginderske, Westgard, and Francis Scudellari (a Ginderske 2007 campaign member).

Appendix A of NHRP's incorporation papers raises interesting questions.

Appendix A, Section 2 of the NHRP's articles of incorporation state that it is "organized exclusively for charitable, religious, educational and scientific purposes, including, for such purposes, the making of distributions to organizations that quality as exempt organizations under section 501(c)(3) of the Internal Revenue Code, or the corresponding section of any future federal tax code."

The NHRP was dissolved by the Illinois Secretary of State in May of 2008 for failure to submit an annual report. Let us assume that NHRP immediately ceased any fundraising activity immediately. NHRP submitted its Form NFP 102.10 in November of 2006. That's approximately 19 months in which NHRP was, presumably, soliciting donations.

That raises questions. Notice that Section 1 states that NHRP was "organized exclusively for charitable, religious, educational and scientific purposes," and for making donations to other 501(c)(3) organizations. It does NOT say "or." It says "exclusively" and "and."

Question: Did NHRP engage in religious activities? Section 1 said they had to. Scientific activities? What were those?

Question: Did NHRP funnel money to the Ginderske 2007 aldermanic campaign? We're not saying they did. We are asking whether that happened.

Question: After Ginderske lost his campaign bid, he supported Moore's campaign in the run-off election. Did NHRP funnel money to the Joe Moore aldermanic campaign? We're not saying they did; we are asking whether that happened.

Questions: Will Alderman Joe Moore completely break with and disown the NHRP? Will he also demand to see their financial records, their missing annual report? Will Joe Moore follow the lead of the Illinois Secretary of State and acknowledge that the NHRP is a group that has no legitimacy?

Section 3 states that "No part of the net earnings of The Corporation shall inure to the benefit of, or be distributable to its members, trustees, officers, or other private persons" except as "reasonable compensation for services rendered" to the corporation.

Question: Did any money donated to the NHRP find its way into the pockets of NHRP board members? We're not saying this happened; we are asking whether it did, and if so, how much and why?

Section 3 also states that "No substantial part of the activities of The Corporation shall be the carrying on of propaganda, or otherwise attempting to influence legislation, and the corporation shall not participate in, or intervene in (including the publishing of distribution of statements) any political campaign on behalf of or in opposition to any candidate for public office."

Question: NHRP regularly carried on propaganda activities, and continues to do so. (Propaganda is not necessarily a bad thing; an ad for toothpaste is propaganda, as is an ad telling us to buckle our seat belts.)

NHRP's barrage of messages regarding health centers and community centers is certainly propaganda. This has certainly been a "substantial part of the activities" of NHRP. Furthermore, did NHRP "participate in, or intervene in (including the publishing of distribution of statements) any political campaign on behalf of or in opposition to any candidate for public office?"

Section 4 instructs that "Upon the dissolution of The Corporation, assets shall be distributed for one or more exempt purposes within the meaning of section 501(c)(3) of the Internal Revenue Code," or be distributed to federal, state or local government "for a public purpose." It goes on to order that "assets no so disposed of shall be disposed" by a county court.

Question: What has happened, since May 9, 2008, to any money that NHRP had?