Follow the Money, Find Board Members
Wed, Oct03, 2007 - Category: School of
Law |
University
It would be a daunting task to list the many and
varied ways in which Tom Monaghan has, over the
years, carefully populated his Ave Maria Boards with
people beholden to him. Many conflicts of interest
exist, but the task is made more difficult by high
Board turnover, lack of transparency (i.e. access to
Board meeting minutes), old web-based data, shifting
corporate structure, and the frequent use of shell
organizations that conceal relationships (i.e. "Ave
Maria University", a Michigan corporation vs. "Ave
Maria University, Inc" in Florida; "Nua
Baile", the Michigan company that hides
Monaghan ownership in Florida's "Ave Maria
Development" partnership). As far back as 2000,
Monaghan was warned by multiple people to stop
surrounding himself with conflicted
relationships. For example, consider the paid
consultant report of Fr. James T. Burtchaell, an
expert on Catholic higher education, given to Ave
Maria senior staff (excerpts):
+ "The board of trustees has functioned under several handicaps. The most immediate one is a pervasive conflict of interest. The majority of its members are already so beholden to Mr. Monaghan through employment, benefaction, family, or business that they could not be reasonably expected or trusted to offer disinterested and independent advice and judgement on matters... Still further, it needs the presence of other independent and experienced executives and philanthropists who are prepared to join Mr. Monaghan as peers, not clients.."
+ "The chairman, Mr. Monaghan... has followed a well-practiced tradition of close, entrepreneurial management which obliterates the requisite separation between independent governance and professional administration. Besides the obvious impropriety in the governance of an institution of higher learning, this corporation sole will deny Ave Maria any access to further funding sources."
Is there a relationship between being a member of Tom Monaghan's Board and having accepted a benefit from Monaghan? Consider this very incomplete list based on Ave Maria Foundation (AMF) IRS 990s up to 2005:
+ Leonard Leo
(photo left; AMSL Board), Executive Vice President,
Federalist Society & Chair of "Catholic Outreach"
at the Republican National Committee; AMF
Contribution to Federalist Society = $100,000
+ Edward Cardinal Egan, Archbishop of New York (AMSL Board) & Fr. Benedict Groeschel, Director of Office for Spiritual Development, Archdiocese of New York (AMU Board); AMF Contribution to "Cardinal's Office" Archdiocese of New York = $125,000
+ Anthony C. Rea (AMU Board), Committee Chairman, Papal Foundation; AMF Contribution to Papal Foundation = $89,400
+ Adam Cardinal Maida (AMSL Board), Archbishop of Detroit & President of Pope John Paul II Cultural Center; AMF Contribution to John Paul II Cultural Center = $1,023,100
+ Fr. Michael Scanlon (AMSL Board), former President, Franciscan University of Steubenville; AMF Contribution to Franciscan University of Steubenville = $198,000
+ Ralph Martin (AMC Board), President, Renewal Ministries; AMF Contribution to Renewal Ministries = $14,000; [Update - An AW reader astutely noted that Martin did co-author "The Martin Report", which was critical of certain AMC administrative practices. Martin left the AMC Board shortly after that time.]
Other relationships to consider:
+ Steve Ray
(photo left; AMC Board & AMU Board), Owner,
Distinctive Maintenance (a building
services/housekeeping company); Monaghan has served
as a significant source of
business/referrals for years,
including Ave Maria contracts;
website features testimony of Ave
Maria School of Law stating "I have to compliment the
floor crew for the outstanding job they did
yesterday."; offers free $25 Domino's Pizza
gift cards for projects exceeding
$500; has also significantly benefited from
book/cd/dvd sales through the
Fessio/IgnatiusPress tie into Monaghan; Ray also runs
"Defenders of the Faith" and uses
Monaghan to promote his CDs
(i.e. website post June 28, 2005 concerning one
of Ray's CDs for sale: "Tom Monaghan said that
it was one of the best talks he had ever heard";
Monaghan is featured on Ray's "Endorsements for
Steve" page).
+ NAPCIS, National Association of Private Catholic and Independent Schools; AMF Contribution to NAPCIS = $174,931; Ave Maria has hosted the NAPCIS meetings for years, featuring Monaghan as speaker; Dan Guernsey of AMF was appointed to the NAPCIS Board; NAPCIS is now moving it headquarters from California to Monaghan's Ave Maria Florida development; the Ave Maria Grammar and Preparatory School run by Guernsey and funded by Monaghan is now applying to NAPCIS for accreditation
+ Deal Hudson
(photo left), Director of The Morley Institute for
Church & Culture, former publisher/editor of
CRISIS Magazine, and former advisor to
Republican National Committee on
things Catholic; photo shows Monaghan (far left)
receiving CRISIS Magazine award from
Hudson (far right) in September 2000; in 2000 and
2001, Hudson's Morley Publishing Group accepted
$15,000 from AMF; in 2003, while
serving as Chairman of AALE (Ave Maria College and
University's lone accrediting agency), Hudson entered
into questionable
dealings on accreditation with Monaghan's
AMU lawyer-president Nick Healy; Hudson
suggested that Ave Maria's Monaghan, Healy, and
Fessio may be saints
for canonization.
+ Fr. William Thomas, former pastor, Holy Spirit Catholic Church (Hamburg, MI); AMF Contribution to Holy Spirit Catholic Church in 2000 = $10,000; in 2001, AMF and Thomas attempted to convince parishioners to start a school designed and run by AMF; Thomas received computer-related help at the invitation of Ave Maria School of Law and Ave Maria College when Thomas was investigated for Internets-based child pornography; that help was not reported to police investigators (background here, series here)
+ Cardinal Newman Society; AMF Contribution to Cardinal Newman Society for the Preservation of Catholic Higher Education = $10,000; in an October 1, 2007 press release, AMU announced that it was chosen by the Society "as one of the best Catholic schools in America for undergraduate students" and stated that AMU students would be shown on the front cover photo of the Society's forthcoming guide to Catholic colleges; keep in mind that AMU just moved to untested unfinished facilities, is not fully unaccredited, is on shakey-ground to continue receiving federal funds, is on its 3rd application for regional accreditation, has suffered high faculty turnover and student transfers, and has been said to have a "climate of fear" by students and parents; the Society gave this honor to AMU despite its Provost stating less than one year ago that "problems" were near "crisis" level, and despite the recent statement by the Bishop of Venice that Ave Maria is not even a "Catholic university"!
+ "The board of trustees has functioned under several handicaps. The most immediate one is a pervasive conflict of interest. The majority of its members are already so beholden to Mr. Monaghan through employment, benefaction, family, or business that they could not be reasonably expected or trusted to offer disinterested and independent advice and judgement on matters... Still further, it needs the presence of other independent and experienced executives and philanthropists who are prepared to join Mr. Monaghan as peers, not clients.."
+ "The chairman, Mr. Monaghan... has followed a well-practiced tradition of close, entrepreneurial management which obliterates the requisite separation between independent governance and professional administration. Besides the obvious impropriety in the governance of an institution of higher learning, this corporation sole will deny Ave Maria any access to further funding sources."
Is there a relationship between being a member of Tom Monaghan's Board and having accepted a benefit from Monaghan? Consider this very incomplete list based on Ave Maria Foundation (AMF) IRS 990s up to 2005:
+ Edward Cardinal Egan, Archbishop of New York (AMSL Board) & Fr. Benedict Groeschel, Director of Office for Spiritual Development, Archdiocese of New York (AMU Board); AMF Contribution to "Cardinal's Office" Archdiocese of New York = $125,000
+ Anthony C. Rea (AMU Board), Committee Chairman, Papal Foundation; AMF Contribution to Papal Foundation = $89,400
+ Adam Cardinal Maida (AMSL Board), Archbishop of Detroit & President of Pope John Paul II Cultural Center; AMF Contribution to John Paul II Cultural Center = $1,023,100
+ Fr. Michael Scanlon (AMSL Board), former President, Franciscan University of Steubenville; AMF Contribution to Franciscan University of Steubenville = $198,000
+ Ralph Martin (AMC Board), President, Renewal Ministries; AMF Contribution to Renewal Ministries = $14,000; [Update - An AW reader astutely noted that Martin did co-author "The Martin Report", which was critical of certain AMC administrative practices. Martin left the AMC Board shortly after that time.]
Other relationships to consider:
+ NAPCIS, National Association of Private Catholic and Independent Schools; AMF Contribution to NAPCIS = $174,931; Ave Maria has hosted the NAPCIS meetings for years, featuring Monaghan as speaker; Dan Guernsey of AMF was appointed to the NAPCIS Board; NAPCIS is now moving it headquarters from California to Monaghan's Ave Maria Florida development; the Ave Maria Grammar and Preparatory School run by Guernsey and funded by Monaghan is now applying to NAPCIS for accreditation
+ Fr. William Thomas, former pastor, Holy Spirit Catholic Church (Hamburg, MI); AMF Contribution to Holy Spirit Catholic Church in 2000 = $10,000; in 2001, AMF and Thomas attempted to convince parishioners to start a school designed and run by AMF; Thomas received computer-related help at the invitation of Ave Maria School of Law and Ave Maria College when Thomas was investigated for Internets-based child pornography; that help was not reported to police investigators (background here, series here)
+ Cardinal Newman Society; AMF Contribution to Cardinal Newman Society for the Preservation of Catholic Higher Education = $10,000; in an October 1, 2007 press release, AMU announced that it was chosen by the Society "as one of the best Catholic schools in America for undergraduate students" and stated that AMU students would be shown on the front cover photo of the Society's forthcoming guide to Catholic colleges; keep in mind that AMU just moved to untested unfinished facilities, is not fully unaccredited, is on shakey-ground to continue receiving federal funds, is on its 3rd application for regional accreditation, has suffered high faculty turnover and student transfers, and has been said to have a "climate of fear" by students and parents; the Society gave this honor to AMU despite its Provost stating less than one year ago that "problems" were near "crisis" level, and despite the recent statement by the Bishop of Venice that Ave Maria is not even a "Catholic university"!