RIOC President Shelton Haynes And General Counsel Gretchen Robinson Currently On Administrative Leave Seek Court Order Restoring Them To Their Positions And Shutting Down Investigation - New Interim RIOC Leadership Wins Praise From Community For Reset Of Relationship With Residents
... The Roosevelt Island Operating Corporation (RIOC) Board of Directors received notice of several employee concerns about the RIOC workplace. The Board has determined that it is necessary to conduct a review of these concerns by way of an outside professional. During this review, Shelton Haynes (RIOC CEO) and Gretchen Robinson (RIOC General Counsel) will be placed on administrative paid leave.
During this period of review, the day-to-day operations of RIOC will be overseen by an interim leadership team that includes Dhruvika Patel Amin (RIOC’s Chief Financial Officer & Vice President) and Gerrald Ellis (RIOC’s Assistant Vice President & Deputy General Counsel). In addition, RIOC Board member and Audit Committee Chair, Howard Polivy, will serve as a dedicated Board member liaison and will provide additional support to the interim leadership. No further comments about this matter will be made by the RIOC Board until the review is completed. We thank all of our RIOC staff for your full cooperation and support during this period of time.
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| Shelton Haynes, Gretchen Robinson (Standing), RIOC Chair Ruthanne Visnauskas at 11/14/23 Board Meeting |
During the last two weeks, the new interim RIOC leadership, including Board Directors Ben Fhala and Lydia Tang have begun a series of community engagement initiatives which have been welcomed by the Roosevelt Island community.
Mr Fhala was among the three local residents, including Lydia Tang and Dr Michal Melamed, appointed to the RIOC Board of Directors last June. During the last 7 months, these three new directors have attempted, with varying degrees of success, to bring some transparency, community engagement and oversight to RIOC.
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| Image From November 14, 2023 RIOC Board of Directors Meeting |
... Ms Amin and Mr Ellis also participated in a frank and open discussion with Roosevelt Island residents, Board Directors and local media during an informal meeting organized by RIOC Director Ben Fhala which took place immediately after a contentious RIOC Operations Committee meeting on January 17. {link added}
It was a very productive meeting and an example of positive community engagement by RIOC, a welcome change from the previous administration under Shelton Haynes.
Community Board 8 Roosevelt Island committee chair Paul Krikler noted after a January 18 meeting of his committee with residents and the new RIOC leadership:
Yesterday we had a very positive meeting with RIOC leadership. I think it's fair to say that this marked the start of a reset of the relationship between residents and RIOC.
and Roosevelt Island Historical Society President Judy Berdy added:
Can we handle this openness?
It is unclear how long the new interim RIOC leadership will remain in place, how long the review of Mr Haynes and Ms Robinson's workplace conduct will take and if they will return to their positions as President/CEO and General Counsel respectively.
But, Mr Haynes and Ms Robinson are attempting to stop the review of their
workplace conduct and demand to be restored to their positions at RIOC.
On January 23, Mr Haynes and Ms Robinson filed an Order To Show Cause in the US District Court for the Southern District Of NY seeking a Temporary Restraining Order and Preliminary Injunction:
- (a) Enjoining Defendants and any persons or entities acting in concert with or on behalf of Defendants from initiating an investigation into or disciplinary proceedings against or taking adverse employment actions against Haynes;
- (b) Enjoining Defendants and any persons or entities acting in concert with or on behalf of Defendants from initiating an investigation into or disciplinary proceedings against or taking adverse employment actions against Robinson;
- (c) Directing Defendants to restore Haynes to his position as CEO and President of the Roosevelt Island Operating Corporation (“RIOC”); and
- (d) Directing Defendants to restore Robinson to her position as Vice President and General Counsel of RIOC,...
Here's the
January 23 Order To Show Cause.
According to Mr Haynes' January 23 affidavit in support of the Order To Show Cause:
... 45. On or about the morning of January 16, 2024, Ms. Visnauskas and Mr. Polivy informed me that, effective immediately, I would be placed on paid administrative leave.46. During this meeting, I was told that the RIOC Board had received complaints from at least five staff members about me and the administration, alleging a toxic work environment. I was told the Board determined that it was necessary to investigate these concerns and to put me on leave pending that investigation. When I noted that Mr. Fhala and others had been harassing and interfering with my work and the work of the RIOC administration, Ms. Visnauskas said there was no recourse.
47. According to outside counsel for the Board, the five employee complaints were submitted sometime after my counsel provided revisions to the proposed Protocols, and after Ms. Robinson and I filed our amended complaint.
48. This is the first time I have ever been placed on administrative leave as a result of an investigation. In my tenure as CEO and President of RIOC, I have faced twelve other investigations—none of which have resulted in any findings of wrongdoing—but I was never put on leave....
Ms Visnauskas is the Chair of the RIOC Board of Directors and Commissioner of NY State Division of Homes and Community Renewal. Mr Polivy is a long time member of the RIOC Board of Directors.
Among the allegations in Mr Haynes' affidavit are:
28 ... Mr. Fhala, Ms. Tang, and others have continued to harass and excessively scrutinize me and Ms. Robinson by, among other things, initiating a new,unwarranted investigation into a procurement contract, attempting to limit our authority, conducting pretextual reviews of our confidential payroll records, and making critical statements about us to the already hostile media.29. Within one week after Ms. Robinson and I initiated the Federal Lawsuit, Mr. Fhala sought an “emergency” Board meeting to reduce my monetary approval thresholds by nearly 50%. Specifically, Mr. Fhala wanted to reduce the amount of funds I was authorized to spend without pre-approval by the Board from $175,000 to $90,000—a substantial reduction that would significantly curtail my ability to run day-to-day operations.
30. Shortly thereafter, Ms. Tang requested an accounting of my time worked, leave requested, and salary since my appointment to the position of acting CEO. Ms. Tang did not need my confidential time and leave records to complete her duties as a Board member. Instead, I believe she requested those records to try to “find” issues with my work history.
31. As another example, approximately one week after Ms. Robinson and I initiated the Federal Lawsuit, Mr. Fhala, along with Ms. Tang, met with Mr. Ellis, without our knowledge. I believe this meeting was conducted at the behest of Mr. Fhala and Ms. Tang for the purpose of obtaining information that could be used against me and Ms. Robinson.
32. Shortly after this meeting, Mr. Ellis requested access to RIOC’s email search systems, under the pretense of needing access to obtain information for certain legal work. In reality, Mr. Ellis used the access he was given to search through mine and Ms. Robinson’s emails. I believe Mr. Ellis searched through our past emails on multiple occasions, from on or about September 26, 2023, to on or about October 20, 2023, to try to search for information to be used against us. There was no valid reason for Mr. Ellis to surreptitiously search through our emails.
33. On a separate occasion, Mr. Fhala emailed both the NYSIG and the COELIG to suggest that our procurement of a contract with a digital reputation management company was somehow improper. The contract had been entered into approximately one year earlier—well before Mr. Fhala joined the RIOC Board—to try to counter the negative impacts on RIOC and its staff created by the onslaught of unfavorable press. Moreover, there was nothing improper about the contract: it had gone through a public procurement process based on responses to a public Request for Proposals. RIOC’s comptroller, director of procurement, IT director, and legal staff were all aware of and/or involved in the procurement process. Before the contract was signed, Mr. Polivy had even encouraged Ms. Robinson and me to counterbalance the negative press with positive stories. Ms. Christian and Mr. Kraut encouraged us after the contract was signed. Moreover, the Battery Park City Authority—RIOC’s sister agency for Battery Park City—had entered into a similar contract with a similar media firm that has conducted similar work and no questions had been raised about the propriety of that contract. Despite this background establishing the propriety of the contract, Mr. Fhala has attempted to raise suspicions about the contract and used it to attempt to initiate yet another frivolous investigation into me and Ms. Robinson. Neither the Chamber nor anyone at RIOC ever took any action to counter Mr. Fhala’s conduct....
39. Mr. Fhala has also repeatedly “scolded” Ms. Robinson and me and spoken to us in a condescending, derogatory manner. For example, at a Board meeting on or about September 14, 2023, Mr. Fhala condescendingly told me and Ms. Robinson, “May I remind you that you report to us?” He has also written similar things in emails to us.
43. On or about January 2, 2024, I met with Ms. Christian. She informed me that she learned that a few days prior to our meeting, Dhruvika Patel Amin (the current CFO& Vice President) was having trouble accessing information for the Board regarding confidential overtime records for RIOC employees. Ms. Christian believed that Ms. Amin was attempting to see if I received overtime pay during my time as CEO and President (such pay is not permitted).
44. Also on or about January 2, 2024, I spoke with Mr. Ekpo. He confirmed his belief that the allegations in the amended complaint are 100 percent accurate. He also confirmed that Ms. Lopez had instructed Mr. Miskiewicz to remove observations of racism that were in the first draft of the report...
... 50. I am aware of numerous RIOC staff members and employees who are terrified about their job security and career opportunities given Defendants’ unreasonable and targeted treatment of me and Ms. Robinson following our complaints of discrimination and retaliation....
Here's the
full affidavit from Mr Haynes.
Ms Robinson submitted an affidavit substantially similar to that of Mr Haynes.
Here's
Plantiff's Memorandum of Law
in support of the Order To Show Cause.
Mr Haynes affidavit references (Para 31) a federal lawsuit he and Ms Robinson
initiated.
As previously reported, on September 12, 2023:
... Mr Haynes and Ms Robinson filed a racial discrimination lawsuit in the Southern District Of NY against members of NY State Governor Kathy Hochul's Executive Chamber as well as the Commissioner, General Counsel and Deputy Counsel of the NY State Division of Homes and Community Renewal.
Though not named as defendants in the lawsuit, Mr Haynes and Ms Robinson claim in their lawsuit that NY State Senator Liz Krueger, NY State Assembly Member Rebecca Seawright and Roosevelt Island Daily publisher David Stone contributed to a "racist backlash" against them.
The lawsuit also claims that Mr Haynes and Ms Robinson were excluded from the appointment process of 3 new RIOC Board Members in an attempt to undermine their authority and "ability to discharge their job functions." Haynes and Robinson claim the 3 new RIOC board members are antagonistic to them...
On December 8, 2023, Mr Haynes and Ms Robinson added RIOC and one of the newly appointed RIOC Board members Ben Fhala to their lawsuit. Here's the Haynes/Robinson amended complaint.
Stay tuned for more updates.
UPDATE 1/29: According to 1/26 Pacer filing:
... proceedings held before Judge Katherine Polk Failla: Telephone Conference held on 1/26/2024. Attorneys Milton L. Williams, Jr. and Jeffrey C. Skinner representing Plaintiffs present. Attorneys Alan Schoenfeld and Thais R. Ridgeway representing Executive Chamber Defendants present. Attorney Scott Todd Baken representing Defendant RIOC. Defendants' opposition to Plaintiffs' motion for a preliminary injunction is due by 2/5/2024; Plaintiffs' reply is due by 2/7/2024, 12:00 p.m. Plaintiffs' Second Amended Complaint is due by 1/31/2024; Defendants' time to answer the second amended complaint is stayed pending further order of the Court. A preliminary injunction hearing is scheduled for 2/9/2024 at 10:30 a.m.
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