Three longtime leaders of a nonprofit that advocates for chambers of commerce in Nassau County are asking a state judge to remove the group’s president and treasurer for allegedly violating bylaws, financial reporting requirements and ousting two of the leaders after they filed a complaint with the state attorney general’s office, according to a recent lawsuit.
Julie Marchesella, former secretary of the Nassau Council of Chambers of Commerce; Francesca Carlow, the former legislative liaison, and current board member Cheryl Fajardo filed suit in State Supreme Court in Nassau on July 17. They alleged the council’s president and treasurer spent funds without proper approvals and did not follow the group’s voting rules, the suit states.
The council is an umbrella group that represents and advocates for approximately 40 local chambers. Small businesses make up the lion’s share of chamber members and have been struggling to cope with higher prices, a shortage of workers and customers increasingly shopping online.
Marchesella, Carlow and Fajardo, who said they were whistleblowers in court documents, referred Newsday to their attorney on Tuesday when asked for comment.
Steven M. Lester, the longtime leaders’ lawyer, said they “sought financial transparency and accountability” from those operating the council.
Instead of responding to the leaders’ concerns, “those in control of NCCC’s Board immediately retaliated against [the leaders],” Lester said in a statement, adding as result of the “vindictive retaliation” the leaders “reluctantly” filed the suit.
Council president Frank Camarano Jr. didn’t respond to requests for comment on Tuesday. Council treasurer Gary Slavin couldn’t be reached.
According to the suit, Camarano “and others acting in concert with him” attempted to push through a bylaw change — without the necessary board consensus — that would remove a limit of two consecutive two-year terms for his and other officer positions.
Camarano first became president in 2021 and is now serving a second two-year term. He is scheduled to leave office on Oct. 31, the suit states.
Marchesella, Carlow and Fajardo allege that the treasurer did not present detailed financial records at the council’s monthly meetings between 2022 and last year as required by the bylaws.
Board members are volunteers, though the council raises money through annual fundraisers and membership fees, according to its website and bylaws.
Marchesella and Carlow, both past presidents, allege the board retaliated against them for raising questions about financial transparency and bylaw violations.
The leaders also brought their concerns to the Nassau comptroller’s office, Oyster Bay and North Hempstead towns, and filed an online complaint with the state attorney general’s office in May. The leaders said they contacted the county and two towns because each earmarked thousands of dollars in federal American Rescue Plan Act funds for the council to help small businesses.
Spokespersons for Oyster Bay and North Hempstead said on Tuesday the towns had received no formal complaints.
The comptroller’s office and attorney general’s office did not respond to request for comment by press time.
Shortly thereafter their complaints, Marchesella and Carlow said they were removed from their officer and board positions in May and July, respectively, by a majority vote of other board members, according to the suit. Fajardo remains on the board, which currently has 11 members, according to the council’s website.
The leaders are seeking a reversal of the votes that removed Marchesella and Carlow from the board, and to have Camarano and Slavin removed from their posts.
Marchesella owns Queen of Hearts, a women’s clothing store in Merrick, and Carlow is a former co-owner of Trio Hardware in Plainview. They allege that Camarano hired people and spent funds without board approval, committed to a $3,000-a-month office lease without approval and that tax forms from the group’s charitable arm showed “excessive” expenses.